Category Archives: Macroeconomics & Money

NZ Government’s Influence on Economic Growth

Listener: 26 April, 2012. Keywords: Growth & Innovation;  Macroeconomics & Money; New Zealand has had two great economic booms – during the Liberal era from about 1895, and from about 1935 while the first Labour Government was in power. In each case, per capita GDP doubled in about a decade; each followed a depression (since…
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New Zealand Should Tax Financial Transactions

Listener: 17 Match, 2012. Keywords: Macroeconomics & Money; Regulation & Taxation; Eminent economist James Tobin in 1972 suggested a financial transaction tax on spot-market currency conversions. Many others have supported him. That includes people who don’t like money and think of a financial transaction tax as a sin tax. (Tobin certainly did not. He was…
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A Canterbury Earthquake Levy Would Be Prudent

Listener: 3 March 2012. Keywords: Macroeconomics & Money; Regulation & Taxation; Forecasts for the New Zealand economy have been wound back since last year. Given the deteriorating state of the world economy, they will probably be wound back even further. And that’s going to make it even harder for the Government to meet its election…
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The Course Of Prices: 1860 to Today

An appendix for Not in Narrow Seas: New Zealand History from an Economic Perspective The work was funded by a grant from the Reserve Bank of New Zealand which is not responsible for any errors or interpretations. A version was presented to an RBNZ seminar on 1 March 2012. Keywords: Macroeconomics & Money; Political Economy…
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Germany Must Makes Adjustments Too

GERMANY MUST MAKES ADJUSTMENTS TOO Listener: 4 February, 2012. Keywords: Macroeconomics & Money; A decade ago, the Economic and Monetary Union (EMU) replaced 17 European currencies with the euro, locking their nominal exchange rates together. Germany decided its wage and price structure was too high. This made it more likely Germans would buy imports and…
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The Too Hard Basket

THE TOO HARD BASKET Listener: 19 January, 2012. Keywords: Environment & Resources; Distributional Economics;  Macroeconomics & Money; Political Economy & History;  Regulation & Taxation;  Social Policy; Every government has issues it hopes will go away. They don’t. Here are some for our one. Our Emissions Trading Scheme is looking like a dog’s breakfast, and/or something…
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Europe’s Economic Struggle

Listener: 22 December, 2011. Keywords: Macroeconomics & Money; It has been another difficult year for the world economy. Longstanding problems that were incrementally addressed include population growth, the depletion of limited resources like oil, the exploitation of free resources that threaten to make fish extinct and warm the planet, and the rebalancing of global power….
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Stopping the Credit Crunch

Listener: 10 December, 2011. Keywords: Macroeconomics & Money; The confidence of those lending their international money is fragile. The tougher standards of security they now demand is one reason many debtors around the world are having their credit ratings downgraded. Nowadays the lenders don’t look at just the state of a government’s books but at…
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What Are Our Economic Priorities?

Fabian Society, Wellington, 20 October, 2011 (Note that this is a revised version of the paper at http://www.eastonbh.ac.nz/?p=1524. Keywords: History of Ideas, Methodology & Philosophy; Macroeconomics & Money; Tonight I want to talk about our economic priorities. I’m going to differ from the conventional wisdom by arguing we should pay less attention to the growth…
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Loose Regulations Sink Economies – and Buildings

Listener: 14 October, 2011. Keywords: Macroeconomics & Money; Regulation & Taxation; I have been preoccupied by leaky building syndrome, which may have damaged up to 110,000 dwellings as well as costing considerable domestic stress and even lives. Commercial and public buildings have suffered, too. There were many causes of the disaster but it illustrates the…
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Households Cause Balance Sheet Problems

Listener: 1 October, 2011. Keywords: Macroeconomics & Money; The world’s economic difficulties arise because so many balance sheets are badly balanced. A balance sheet – of a person, a business, a financial institution, a government or a country – consists of the entity’s assets on the left and its liabilities on the right. (Accountants are…
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What Are Our Economic Priorities?

Spirited Conversations: Nelson 24 August, 2011 A revised version of this column is at http://www.eastonbh.ac.nz/?p=1549. Keywords: History of Ideas, Methodology & Philosophy; Macroeconomics & Money; Tonight I want to talk to talk about our economic priorities. I’m going to differ from the conventional wisdom by arguing we should pay less attention to the growth of…
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Us Debt Default – Where to from Here?

Listener: 22 August, 2011. Keywords: Macroeconomics & Money; How much theatre was involved in the congressional fracas over the raising of the US debt ceiling is hard to tell. Had the ceiling not been lifted, the unthinkable – or, at least, the unpredictable – would have happened, so perhaps the politicians were posturing, expecting a…
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Five Great Stagnations

Paper to Treasury Seminar: 26 July, 2011. Keywords: Growth & Innovation; Macroeconomics & Money; Political Economy & History; Introduction I am writing a history of New Zealand from an economic perspective. Thankyou for the opportunity to present some of its material; it may have a contemporary relevance. I want particularly to thank John Whitehead, who…
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Concluding Comments to the Macroeconomic Imbalances Conference: June 24, Wellington.

Keywords: Macroeconomics & Money; I should like to begin by congratulating the organisers of the conference. There has been an open, vigorous and flowing debate, reminiscent of the New Zealand economics community of the 1960s and 1970s, where a wide range of views were presented as diverse as Wolf Rosenberg on the left through to…
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Sectors and Prices: Exportables and the Real Exchange Rate

Some Preparatory Notes: ultimately not used. Keywords: Globalisation & Trade; Macroeconomics & Money; I am not sure you have asked the right person to be on the panel, since the topic is policy; my interests are research. So I thought I would consult an old friend, Cassandra. Fortunately I dont have to channel her; she…
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Not in Denial

This was a note I wrote – ‘Listener’ style – in response to the critics of the 2011 budget. Keywords: Macroeconomics & Money; Dealing with addiction is confounded by denial: ‘I’m not a drunk’; ‘One more wont hurt’; ‘I need it to get through the day’; ‘He drinks more than me’. ‘I’ve cut back my…
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