A Theoretical Look at Quantitative Easing Using Stock-Flow Consistent Modeling
In most economics courses, students are taught models that are built in dynamic stochastic form…
In most economics courses, students are taught models that are built in dynamic stochastic form…
“Instead of judging the market price by established standards of value, the new era based its standards of value upon the market price…”
The second part of a two part series on the macroeconomic implications of the Fed’s regime change.
The Federal Reserve’s new philosophy towards its inflation targeting policy came as no surprise to investors…
As the Coronavirus becomes an ever increasing threat to the world, many countries are preparing for the worse by shutting down their nations’ economies. The cutoff between human life and a strong economy shows just how important money really is.
Morgan Stanley has bought out E*Trade, a move that places them in a (somewhat) different field than they are used to. This deal is more than just buying new clients; it’s a way to take control of the future.
By: Aidan Levi-Minzi With Britain finally leaving the EU, economic and political policy will no doubt be at the forefront of the discussion between Boris Johnson and the European Commission. London-based firms are preparing for the worst, while other European cities are bulking up. The United Kingdom has left the European Union. At 11:00 PM GMT, on January 31st, 2020, the UK entered a transition period: an 11-month timeframe that gives both sides a chance to figure out what their future relationship will look like. Meanwhile, the UK will continue to follow EU rules and trading regulations. This new trade agreement is big for London, as it is the world’s largest international financial center, generating over £120B ($152B) annually in output. Historically, international firms have been able to freely conduct their business in the global epicenter that is London. The possibility of moving forward with a no-trade deal may lead to increased tariffs and quotas, among other trade barriers. A Brexit without an EU trade deal would lead to major ramifications, including major international corporations downsizing …
November 9th marked the 30 year anniversary of the fall of the Berlin Wall: a representation of the political and economic reunification of Germany. The fall of the Berlin Wall was considered a critical point of the Cold War: a victory for democracy. For the East, however, this would mark the beginning of their chase to catch the West with their wealth and economic power.
Nearly seven months after the scheduled departure of the UK from the EU in March of 2019, leaders still struggle to come to an agreement over Brexit, and as a “no-deal” exit seems more and more likely, London-based firms are preparing for the worst.
By: Aidan Levi-Minzi The US-China Trade War to blame for purchasing managers’ poor outlook on future economic growth, specifically in the manufacturing sector of the economic indicator. Although there is no one definitive way of accurately determining the economic future of the United States, tools such as the Purchasing Managers Index (PMI), a gauge for economic trends in certain sectors, allows us to get an idea of what could potentially unfold in the oncoming years. The PMI is considered a critical decision-making tool for managers and investors alike. PMI is determined through the monthly surveying of Purchasing Managers spanning over 400 companies. By analyzing factors such as new orders, inventory levels, production, supplier deliveries, and employment, they project the direction their prospective sector is headed. Taking these factors into consideration, these managers are then asked to decide whether they believe the market is expected to improve, deteriorate, or have no changes. The percentage of each answer is multiplied by a score of 0 (deteriorating), 0.5 (no change), or 1 (improvement), giving it a score between …