As the chair of the United States Federal Reserve from 2006-2014, Ben Bernanke liked to say that monetary policy is 98% talk and only two percent action. In other words, what the central bank says is hugely important. It can affect households, firms, and market expectations, and, in turn, impact the economy. That message could not be more important when considering inflation … [Read more...] about Fighting Inflation With Better Communication
By Jorge M. Agüero Few efforts could be more important for Latin America and the Caribbean than ending the scourge of domestic violence. The region has the world's second highest rate of violence against women by partners or ex-partners and shockingly high levels of femicides, involving the killing of women because of their gender. The good news is that many countries … [Read more...] about Domestic Violence Campaigns Can Have Negative Repercussions: Why?
When people think of climate change's effects on the Caribbean, they tend to think of rising seas and extreme weather, like Irma and Maria - the Category 5 hurricanes that ripped through the region in September 2017, killing hundreds and causing billions of dollars in damage. Those calamities are a key reason that the Caribbean region, though a small emitter of greenhouse … [Read more...] about Surging Temperatures and the Threat to Caribbean Growth
Latin America needs to increase its rate of tax collection. With budgets tight and capital spending meager, the region can't tolerate rates of evasion for personal and corporate income taxes of up to 50% in many countries. Moreover, in a region already very unequal, tax evasion tends to increase inequality. But the challenges of improving tax collection are immense. Apart … [Read more...] about The Pros and Cons of Simplified Tax Notices and Amnesties
Ask anyone in a Western society what makes the world go round, and they are likely to say selfishness, or at least self-interest. It is an idea drilled into us by Thomas Hobbes more than three hundred years ago and by Adam Smith, who argued for the benefits of self-interest in economic progress. It seems more than obvious in our dog-eat-dog world. But psychology and … [Read more...] about Some Economists Say We’re Less Selfish Than We Think. Why?