More in Global Economy


2 years

Trade, Technology, and Job Disruption

Both technological developments and international trade can disrupt an economy, and in somewhat similar ways, but many people have very different reactions to these forces. To illustrate the point, I sometimes pose this question:

2 years

Global Alcohol Markets

Markets for beer, wine and spirits offer can patterns of broad cultural interest--and for the college teacher, may serve to attract the attention of students as well. Kym Anderson, Giulia Meloni, and Johan Swinnen discuss "Global Alcohol Markets: Evolving Consumption Patterns, Regulations, and Industrial Organizations" in the most recent Annual Review of Resource Economics (vol. 10, pp. 105-132, not freely available online, but many readers will have access through a library subscription). The authors take a global perspective on the evolution of alcohol markets. Here are a few points of the many that caught my eye.

2 years

Insights Into the Dramatic Rise in Pre-Marriage Cohabitation

If you go back 70 years, the share of women and men living together before marriage was under 1%. If you go back 50 years, it was less than 10%. Now, about 70% of men and women live together before marriage.

2 years

Do Remittances Help Growth?

Remittances are money sent back to a home country by emigrants. On a global basis, remittances to developing countries topped $400 billion in 2017, far exceeding foreign aid to those countries, similar in size to flows of loans and equity investment in those countries, and beginning to approach the level of foreign direct investment  in those countries.

2 years

Canada Legalizes Marijuana: What's Up in Colorado and Oregon?

Canada became the second country to legalize recreational use of marijuana this Wednesday. The first was Uruguay, back in 2013.

2 years

US Wages: The Short-Term Mystery Resolved

The Great Recession ended more than nine years ago, in June 2009. The US unemployment rate declined slowly after that, but it has now been below 5.0% every month for more than two years, since September 2015. Thus, an ongoing mystery for the US economy is: Why haven't wages started to rise more quickly as the labor market conditions improved? Jay Shambaugh, Ryan Nunn, Patrick Liu, and Greg Nantz provide some factual background to address this question in "Thirteen Facts about Wage Growth," written for the Hamilton Project at the Brookings Institution (September 2017). The second part of the report addresses the question: "How Strong Has Wage Growth Been since the Great Recession?"

2 years

Will Artificial Intelligence Recharge Economic Growth?

There may be no more important question for the future of the US economy than whether the ongoing advances in information technology and artificial intelligence will eventually (and this "eventually" is central to their argument) translate into substantial productivity gains. Erik Brynjolfsson, Daniel Rock, and Chad Syverson make the case for optimism in "Artificial Intelligence and the Modern Productivity Paradox: A Clash of Expectations and Statistics" (NBER Working Paper 24001, November 2017). The paper isn't freely available online, but many readers will have access to NBER working papers through their library. The essay will eventually be part of a conference volume on The Economics of Artificial Intelligence.