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Real-World Economics Review Blog

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Real-World Economics Review Blog: Real-World Economics Review Blog | Posts are by authors of papers published in the RWER. Anyone may comment.

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The Grand Illusion: The US – Europe Growth Gap
from Dean Baker There is a widely told story among elite pundit types that the US economy is soaring ahead, and Europe’s economy is mired in stagnation. As is the case most of the time when there is an elite consensus, it is wrong. A new post by Seth Ackerman shows that the differences in growth, and […]

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Populism is primarily caused by relative deprivation and downward social mobility
from J Komlos and  RWER issue 112 Komlos (2024b) notes that technological disruption, hyper-globalization, neoclassical economic policies, and the financial crisis set the stage for populism. He argues that populism is rooted in grievances based on inequality and defines it as an exclusionary anti-elitist political ideology. Populism undermines democracy by weakening countervail...

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Why are CEOs paid so much?
from Lars Syll While the United States often symbolises extreme wealth concentration, the perception of Sweden as an egalitarian utopia requires re-examination. In recent decades, economic inequality in Sweden has grown at a rate that, in some respects, rivals that of the US. Although Sweden maintains a robust social safety net, the underlying income inequality […]

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Beyond Homo Economicus
from Constantinos Alexiou and RWER issue 112 In finance and the investment banking industry, the determinism versus free will debate is becoming sharper with the growing application of artificial intelligence (AI), algorithmic trading, and automation (Lo 2017). While previous investing was extensively marked by individual human choices, contemporary financial markets are increas...

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Cataclysmic Superfecta
from Constantine Passaris and RWER issue 112 The first three decades of the 21st century have unleashed a cataclysmic superfecta. Starting with the global financial crisis of 2008 which adversely affected financial institutions worldwide. This was followed by the protracted Great Recession which triggered a sharp decline in economic growth accompanied by high levels of […]

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