BUSINESS
Bond Yields and Downgrades: Debunking the mainstream economic myths
Moody’s recent downgrade of US debt rattled bond markets, triggering sharp moves in yields. But dig deeper, and you’ll find a more complex reality behind the headlines
BUSINESS
Does converting yuan into gold pose a threat to the dollar?
A thriving foreign exchange market facilitates speculation in the dollar and adds to its hegemony
BUSINESS
Utah Pays Vendors in Gold: Toward a gold standard?
As Utah moves to let vendors accept gold and silver as payment, some see the glint of a gold standard revival. But beneath the shine lies a system still deeply rooted in fiat currency realities
BUSINESS
Trump’s diktats are undermining the dollar as international currency
As global markets reel from the Trump administration’s trade blitzkrieg, a seismic shift may be brewing in the financial world: the unravelling of America's role as lender of last resort. With Washington backing away from its dollar diplomacy and central banks in Europe and Asia stepping up their game, the era of unquestioned dollar dominance may be closer to its end than anyone thought
BUSINESS
The Mar-a-Lago Accord: An imminent proposal to restructure the global financial order
Global markets are on edge as the US advances a bold and controversial financial strategy. With world leaders expected to face mounting pressure from Washington, a new economic realignment may be in the making—one that could shake the foundations of international trade, currency markets, and geopolitical alliances
BUSINESS
Trump’s tariff gambit sparks dollar dominance debate
Donald Trump's renewed tariff threats underscore the United States' deep concern over the dollar's global dominance. While such threats may temporarily disrupt efforts to reduce dependence on the dollar, they could also hasten the search for alternatives
BUSINESS
Deconstructing the DOGE narrative about government debt
The fear of US public debt, often exaggerated by policymakers, overlooks fundamental economic realities. Instead of focusing on debt reduction, the priority should be ensuring government expenditures enhance productive capacity to sustain economic growth
BUSINESS
Why is everyone chasing gold?
The demand for gold may turn into a run on gold as the paper gold market is many times the physical gold stock
BUSINESS
Trump 2.0: A nightmare for macroeconomic policymakers
Trump 2.0 is proving to be more disruptive for the world than his first innings
BUSINESS
Neoliberalism is dead, long live neoliberalism
A careful analysis of neoliberalism, along with the initial statements and actions of the Trump administration, might suggest a strengthening of neoliberal forces under his regime
BUSINESS
A 90-hour work week makes you a poor consumer -- and your company a poorer producer
Cheap labour and long hours are detrimental to the economy
POLITICS
A better alternative to the Congress’s poll promises in Karnataka
Most of the schemes being proposed by the Congress will immediately enhance demand without addressing the issues related to the supply-side-this will be inflationary
BUSINESS
US debt ceiling crisis: a self-inflicted wound
Why would any government ever want to do default, given that the economic consequences of such an act would be disastrous for itself, its own people and even the global economy?
BUSINESS
Will Europe recede into macroeconomic instability with its proposed new fiscal rule?
Given the disparate levels of debt and deficits across member states, the key question is whether it is fair to impose a universal austerity rule for all of EU
BUSINESS
Remembering BR Ambedkar as a monetary economist
Ambedkar argued that the gold exchange standard during colonial India was flawed. While it did restrict private citizens from minting silver to coins, it did not prevent the Indian government from doing so
BUSINESS
Is there a solution to recurrent bank crises?
Shocks, uncertainty and contagion being inevitable, the only ‘solution’ to recurrent crises could lie with central banks
BUSINESS
Why is the US financial system so fragile?
The US Federal Deposit Insurance Corporation (FDIC) reports some 565 bank failures since 2001 with total assets of over $319 billion. Furthermore, although accounts are fully insured up to $250,000, recovery on uninsured deposits has rarely been 100 percent
BUSINESS
The defunct economics that drives US monetary policy
Raising interest rates is too blunt a tool to tackle the inflationary pressures of today
BUSINESS
The need for a consumption-led growth strategy
The current trickle-down economics is not working for the masses of the population. We need to transform workers into consumers to broaden the market
BUSINESS
Redefining asset classes using default risk is a robust approach
Modern Monetary Theory offers a useful framework for defining assets, physical or financial, by assessing their default risk
BUSINESS
The root cause of Pakistan’s crisis: Macroeconomics or geopolitics?
While the mainstream framing of Pakistan’s crisis is a lack of fiscal prudence, what the country really suffers from is a resource curse, not in energy or minerals, but from its position in geopolitics
BUSINESS
Budget 2023: A return to the Washington Consensus
The Indian government believes that the growth of the economy, through a trickle-down process, will lead to lower unemployment
BUSINESS
Budget 2023: Sustaining private investment should be a priority
Also, the budget needs to address pressing concerns over unemployment, inflation, rising inequalities in income and wealth, growing concentration in industry and distress in the MSME sector
BUSINESS
Is UK’s return to austerity warranted?
Even though the forecasts for the UK economy are more optimistic from 2024 onwards, the moot question is whether self-imposed fiscal deficit targets should be the priority for the government at this juncture
