This article by Joeseph Stiglitz
published in the National Interest,
on a number of
issues that are relevant for the syllabus of the course Applied Macroeconomics and Financial
Change. Stiglitz is a renowned economist and is a former chief economist for the World Bank.
In 2001 he received the Nobel Prize in Economics.
his article Stiglitz discusses the dollars role in the world economy, and the troubles facing
it in the future. The dollar is the world’s reserve currency; Stiglitz explains in the article the
reasons for this and also discusses the consequences if this we
re to change. He argues that a
move to a global reserve currency would be good for the World and good for Americans.
Paul Krugman, the 2008 winner of the Nobel Prize in Economics published this article in the
New York Times. The article is titled “How did economists get it so wrong”, and refers to the
recent financial crisis. Krugman’s artic
le is extremely relevant for macroeconomics, and even
more so for financial change as it discusses both Keynesianism and Monetarism, two of the
greatest doctrines in modern finance. He explains the two opposing views followers of these
theories have and th
e effects it had on financial markets leading up to the recent crisis.
Greg Mankiw is an economics professor at Harvard University and he published this article in
the New York Times. The article discusses whether or not the American economy is heading
for high inflation. The argument for this scenario being the rapid i
ncrease in monetary supply
which central banks have created to rescue the world’s financial systems. Mankiw also
touches on a number of issues that are relevant for the syllabus for Applied Macroeconomics
and Financial Change.