Empty Nest Egg
Roger Lowenstein says America’s pension system is in shambles.
May 4, 2008
Mistrust Funds
The founder of Vanguard lobs an attack at business as usual on Wall Street.
January 29, 2006
Less Government Better for Business? Not if History Provides a Guide
It is hard to square the view that government is always an economic menace with the long history of capitalist development.
January 20, 2005The Bottom Line on Overhauling Social Security
The Bush administration's plans for Social Security will result in significant benefit reductions from the levels promised under the present system.
December 23, 2004It Was the Economy After All
Economics did matter in the presidential election, and some believe a solid economic plan could have lured more voters for Senator John Kerry.
November 25, 2004Where Are the Economists?
In the push for greater regulation after the corporate scandals, economists are notably absent.
October 28, 2004
From White House to Wallet
A fantasy has caught on this presidential election season that presidents do not matter much to the course of the economy.
September 30, 2004Wal-Mart and Productivity
Wal-Mart may be the new model of productivity, but it isn't wowing its workers.
September 2, 2004Economic Scene; If higher education is so important to the economy, why is its financing being cut more than that of other large programs?
Jeff Madrick Economic Scene column on why states are cutting financing for higher education more than that of other large programs; says part of reason is that state budgets have been under pressure since recession, and they are receiving little extra help from Bush administration; graph; photo
August 5, 2004Economic Scene; Some new studies look at what to do about the troubled American health care system.
Jeff Madrick Economic Scene column on new studies on troubled American health care system; cites findings of studies by Uwe E Reinhardt of Princeton and Peter S Hussey and Gerard F Anderson of Johns Hopkins and David M Cutler, health care economist at Harvard, among professional economists in book Your Money or Your Life; photo
July 8, 2004Economic Scene; The earning power of women has really increased, right? Take a closer look.
Jeff Madrick Economic Scene column on research by economists Stephen J Rose and Heidi Hartmann showing that earning pwoer of women has not increased; study shows big reason is that women work far fewer hours than men on average and often drop out of work force for years at time; graph; photo
June 10, 2004Economic Scene; Afghans come up with an aid plan of their own design.
Jeff Madrick Economic Scene column urges developed world to step up financial and military aid to Afghanistan, which, according to one study, is receiving only $67 in aid a year per person, well below what other countries rebuilding after conflict have received; notes also that government in Afghanistan has produced remarkable document that proposed broad-based plan for development; chart
May 13, 2004Economic Scene; Alan Greenspan notwithstanding, a new book insists that government social spending does not stunt growth.
Jeff Madrick Economic Scene column on Peter H Lindert's book Growing Public that disputes Federal Reserve chairman Alan Greenspan's contention that government social spending or higher taxes would deter growth; photo
April 15, 2004Economic Scene; As job exports rise, some economists rethink the mathematics of free trade.
Jeff Madrick Economic Scene column on new research questioning magnitude of benefits American economy derives from free trade when set against unemployment that results as jobs are outsourced abroad; also notes study on policies that efficiently compensate those whose jobs are exported for costs of dislocation; cites work of Michael W Klein, Scott Schuh, Robert K Triest, Carl Davidson and Steven J Matusz; photo
March 18, 2004Economic Scene; Far from a 'curse,' natural resources can form the basis for economic growth.
Jeff Madrick Economic Scene column disputes popular notion in economics that abundannnce of natural resources is 'curse' for developing nations; cites studies by Gavin Wright, economic historian at Stanford University, and colleague Jesse Czelusta and World Bank economist William F Maloney that there is no relationship between abundance of reserves and slow growth; photo *M)
February 19, 2004Economic Scene; The Bush proposal on illegal immigrants is a tentative but important first step.
Jeff Madrick Economic Scene column says Pres Bush's recent proposal to grant temporary legal status to illegal immigrants is encouraging first step that focuses needed attention on issue that will become more urgent in coming years; graph
January 22, 2004Economic Scene; America is paying a significant price for favoring unilateralism over international cooperation. Is the price too high?
Jeff Madrick Economic Scene column on whether America is paying too higher price for favoring unilateralism over international cooperation; says cooperation is economically advantageous, while unilateralism comes at significant price; photo
December 25, 2003Economic Scene; Does Medicare or private insurance do a better job of controlling health care costs?
Jeff Madrick Economic Scene column cites research indicating Medicare may well hold down health care costs better than private industry does; notes that even many advocates of privatization concede private health insurers have shown no significant ability to control costs better than Medicare; notes advocates see privatization offering more choice; graph comparing rise in medical care payments
November 27, 2003Economic Scene; Europe is shooting itself in the foot, but not for the officially accepted reasons.
Jeff Madrick Economic Scene column on reasons for slow economic growth and high unemployment in Europe; says high-interest-rate policy of European Central Bank is major cause of slow growth and unemployment, not inflexible labor and product markets; cites studies by economist Jean-Paul Fitoussi, who runs Paris research center Observatoire Francais des Conjonctures Economique, and Pascal Petit, economist at Centre d'Etudes Prospective d'Economie Mathematique; graph
October 30, 2003Economic Scene; The economic plan for Iraq seems long on ideology, short on common sense.
Jeff Madrick's Economic Scene column holds economic plan for Iraq seems long on ideology, but short on common sense; says plan would immediately make Iraq's economy one of most open to trade and capital flows in world, and put it among lowest taxed in world; questions whether Iraq, racked by war, is ready for such severe experimentation; holds radical laws have been adopted without democratic Iraqi government to discuss or approve them; photo
October 2, 2003Economic Scene; Necessities, not luxuries, are driving Americans into debt, a new book says.
Jeff Madrick Economic Scene column on book The Two-Income Trap by Elizabeth Warren and Amelia Warren Tyagi that contends Americans are being driven into debt by spending on necessities not superficial luxury spending; authors contend many middle two-income families are having trouble making ends meet, despite boom of 1990's, not just poor and working poor; chart
September 4, 2003Economic Scene; Regardless of the progress of a few, many nations still face economic despair.
THE fierce arguments over whether income inequality and poverty rates in the world have risen or fallen somewhat in recent decades dominate international economic policy discussions. But for many poor nations, they are almost beside the point. Even if the optimists are right, a little less inequality and modest poverty reduction hardly matter in a world where 1.2 billion people live on less than what $1 a day will buy in America. And 2.8 billion live on less than $2.
August 7, 2003Economic Scene; It's beginning to look as if the politicians in Washington need to take another look at economic policy.
Jeff Madrick Economic Scene column says itis time for Washington, including Democrats, to start reconsidering economic policy; says just when economists began telling us clouds were lifting, June unemployment rate rose to nine-year high of 6.4 percent; holds some 236,000 jobs have been lost in 2003 and 2.6 million since early 2001 despite modestly rising gross domestic product; says if jobs are not created and wages do not start rising robustly, what little recovery there has been will peter ou...
July 10, 2003Economic Scene; Looking beyond free trade as a solution to helping the developing world.
Jeff Madrick Economic Scene column on looking beyond free trade as solution to helping developing world; says amount Pres Bush plans to devote to nontrade economic reforms for developing nations is peanuts; says index of what developed countries contribute to developing world by Center for Global Development and Foreign Policy magazine shows US second to last out of 21 nations, nosing out Japan; says US gives so little to developing world as percentage of gross domestic product that its score i...
June 12, 2003Economic Scene; The benefits to the economy of a weaker dollar and global coordination.
Jeff Madrick Economic Scene column on benefits to US economy and need for global coordination; says lower dollar can stimulate economy by making America's exports cheaper, which will be helpful to struggling American manufacturers as consumers buy more domestic products; holds main problem is that what is good for American manufacturers is bad for European, Canadian and Asian ones; says European economies will not be able to buy American exports if their economies weaken no matter how cheap; sa...
May 15, 2003Economic Scene; The Congressional Budget Office's updated forecasting methods don't help the White House's argument for tax cuts.
Jeff Madrick Economic Scene column on Congressional Budget Office's updated forecasting methods that do not help Bush administration's argument for tax cuts; Congressional Budget Office in March forecast that with weaker economy than expected and still another tax cut propsoed by Bush, federal government would produce deficit of $1.8 trillion over 10 years; five different basic models of economic growth used by Congressional Budget Office to make its forecasts discussed; photo
April 17, 2003The Iraqi Time Bomb
Jeff Madrick article on concern that huge budget deficits resulting from open-ended costs of war in Iraq and reconstruction will further damage stalled American economy; notes that while Pres Bush has asked Congress for $75 billion to finance war-related costs, many observers think that more realistic estimate of combined costs of war and reconstruction will be closer to $200 billion; illustrations
April 6, 2003Economic Scene; American unilateral bravado regarding the war would be misplaced and could be costly when it comes to the economy.
Jeff Madrick Economic Scene column says American unilateral bravado regarding war in Iraq is misplaced and could be costly when it comes to economy; says US must attract hundreds of billions of dollars of world's savings to support its growth, much of it from Europe; holds there is little room for arrogrance in light of how much US depends on foreign investors; says change in investment attitudes can have significant impact, forcing dollar down, raising import prices and possibly forcing intere...
March 20, 2003Economic Scene; Are corporate scandals just greed, or a predictable result of a theory?
Jeff Madrick Economic Scene column on whether corporate scandals are predictable result of economic theory about how creative incentives govern business; cites beliefs from Harvard Business School Prof Lynn Sharp Paine, in her book Value Shift, and colleague Michael C Jensen that company's stock price will send right signals to reward appropriate managerial behavior
February 20, 2003Economic Scene; Bush wants $670 billion in tax cuts, but where's the bang for the buck?
Jeff Madrick Economic Scene column holds highly unequal distribution of gains from Bush administration's $670 billion in proposed tax cuts would be justifiable if plan offered prospect of significant economic growth; holds economic plan is huge tax cut for rich without commensurate bang for buck for economy; Alan J Auerbach of University of California at Berkeley, American Enterprise Institute economist Kevin A Hassett, R Glenn Hubbard, chairman of Pres Bush's Council of Economic Advisers and W...
January 23, 2003Economic Scene; Working families are often among the first to suffer when a country loses its sense of optimism.
Jeff Madrick Economic Scene column says federal government should do more to foster family-friendly workplace; suggests mandates and perhaps tax credits to encourage flexible hours for workers at all levels, more substantial paid leave for sickness, maternity and other family needs, greater protections for part-time workers and early child care and day care for working parents; graph
December 26, 2002Economic Scene; Some may shrug off 5.7 percent unemployment, but it pinches hard at the bottom of the economic ladder.
Jeff Madrick Economic Scene column on how 5.7 percent unemployment rate affects family incomes of bottom 20 or 30 percent of labor market; Jared Bernstein, senior economist at Economic Policy Institute, compares conditions of labor markets in first nine months of 2002, when unemployment rate averaged 5.7 percent, with first nine months of 2000, when it averaged 4 percent; graph
November 28, 2002Economic Scene; If taxes were lower, the economy would grow faster, right? Economists say not necessarily.
Jeff Madrick Economic Scene column on whether lower taxes will stimulate growth in US; former World Bank economist William Easterly says one can make theoretical case that high taxes impede economic growth, but it is not supported by evidence in US or across countries; study by economists Nancy L Stokey and Sergio Rebelo shows that income tax revenue in US rose to 15 percent of gross domestic product in 1942, from about 2 percent in 1913, but large rise in income tax rates produced no noticeabl...
October 31, 2002Economic Scene; It's time for Bush to acknowledge that the economy is sick and offer a remedy.
Jeff Madrick Economic Scene column says it is time for Pres Bush to acknowledge that economy is sick and offer remedy; says first priority of stimulus package should be to extend unemployment benefits beyond customary period; holds second priority is to compensate for reduced spending of state and local governments, much of which still lies ahead; says Congress should rescind Bush tax cuts for rich and channel portion of them to middle-income and poorer workers; photo
October 3, 2002Economic Scene; Devotion to free-market, laissez-faire dogma makes for ineffectual policy.
Jeff Madrick Economic Scene column George Akerlof's criticism of free-market, laissez-faire economic theories; these theories assume that buyers and sellers are rational and seek to maximize their own incomes and profits, while Akerlof believes people are often not rational, maybe even most of the time; Akerlof therefore argues that stock market bubbles can exist and should be kept under control, that unemployment can often be pushed lower by government without generating inflation, that people...
September 5, 2002Economic Scene; Let's hear from those who feel government has a role in stabilizing the economy.
Jeff Madrick Economic Scene column assesses government's role in stabilizing economy; comments on views of late Hyman Minsky, economic theoretician who argued that because financial markets at some point lead to excessive investment and speculation, economy itself is prone to instability and that government itself is necessary bulwark against recession, particularly through so-called automatic stabilizers like unemployment insurance and welfare; Charles J Whale and Jeffrey B Wenger, economists,...
August 8, 2002Economic Scene; Bush is talking tough on corporate ethics, but where is the regulatory bite?
Jeff Madrick Economic Scene column on Pres Bush's speech on corporate fraud and responsibility says at bottom, spech reflects belief that current scandals are merely handiwork of few bad apples; holds it is hard to believe that Bush's economic advisers to not know that something more systemic than few clever swindlers is staining America; says good economist's first instinct would be to determine whether there are incentives built into financial system that encourage deception and fraud; holds ...
July 11, 2002Economic Scene; There have been significant changes in the welfare system, yet a rise in child poverty rates is now a real risk in the U.S.
Jeff Madrick Economic Scene column on risk of rising child poverty rates in US despite significant changes in welfare system; says overall child poverty rate has fallen to 16 percent, but it is still well above lows of late 1960's and 1970's of around 14 percent, and rate probably moved up in 2001 because of rise in unemployment rate; holds child poverty for blacks and Hispanics, also down, is still unconscionable 30 percent and 28 percent, respectively; says financial state of America's childr...
June 13, 2002Economic Scene; The muscle-bound dollar, a pillar of the strong American expansion during the last decade, may have turned into an Achilles' heel.
Jeff Madrick Economic Scene column on need to lower US dollar's value; says as economic expansion shows signs of weakness, it is time to encourage modest decline in dollar to stoke manufacturing sales, which have been hit hard by high dollars; holds it is also time to recognize serious imbalances strong dollar has created; says US owes trillions of dollars of debt it took on to finance current account deficits; contends high dollar has done longer-term damage to some industries by discouraging ...
May 16, 2002Economic Scene; By some measures, there is still a need for government to prime the pump.
Jeff Madrick Economic Scene column on severity of recent recession that began in March 2001 and possibly ended late this winter; says conventional wisdom seems to suggest that recession was brief and mild but closer look at data shows that it was typical recession by most measures, especially in terms of jobs lost, and that it even laster longer than other recessions; says greatest irony is that it may well have been worse except for government's reaction to events of Sept 11; adds aggressive m...
April 18, 2002Economic Scene; Effective victory in the war against terror hinges on cutting off resources.
Jeff Madrick 'Economic Scene' holds effective victory in war against terror hinges on cutting off resources; says war on terrorism should provide ample means to find and confiscate terrorists' money, and make future financing more difficult; holds it should also be directed at undermining training and recruiting of terrorists, including encouraging nations not to harbor terrorists; says evidence compiled by many researchers suggests that immediate retaliatory military acts do not discourage ter...
March 21, 2002Economic Scene; A bull market and a boom in 401(k)'s must mean fat pensions? Think again.
Jeff Madrick 'Economic Scene' column on whether bull market and boom in 401(k) pension plans resulted in big pensions; cites figures by New York University Prof Edward N Wolff showing that two-thirds of American households have not increased their retirement wealth from pensions at all since 1983; Wolff calculated value of both defined-contribution and defined-benefit plans, based on data from Federal Reserve and Internal Revenue Service; says 65 percent of all American households headed by per...
February 21, 2002Economic Scene; Optimism needs a warning label when it comes to forecasting productivity.
Jeff Madrick's 'Economic Scene' column on whether productivity will rise as rapidly after this recession as it did in late 1990's; says new studies suggest that there is ample reason to be optimistic; cites studies by Federal Reserve economists Stephen D Oliner and Dan E Sichel showing productivity growth is likely to be 2 to 2.75 percent per year in coming years; says Dale W Jorgenson and Mun S Ho of Harvard University and Kevin J Stiroh of Federal Reserve Bank of New York say it could grow 2....
January 24, 2002Economic Scene; A new study questions how much anyone really knows about the real rate of inflation in the U.S.
Jeff Madrick Economic Scene welcomes new study challenging 1997 report by Senate-appointment commission headed by Michael Boskin which concluded that annual Consumer Price Index computed by Bureau of Labor Statistics was probably 1.1 percent too high, and perhaps even more; new study was sponsored by National Academy of Sciences, and partly commissioned by BLS, and was undertaken by panel of 13 economists from wide variety of institutions, led by Charles Schultze; photo
December 27, 2001Economic Scene; In Sept. 11's aftermath, the cure for the economic ills of our democracy is more democracy.
Jeff Madrick column says much of what Americans cherish, like tolerance and free speech, is under challenge after Sept 11 and much that Americans might well be disturbed by, including untrustworthy corporate reports, illiteracy and unequal health care, continues to be swept under the rug; photo
November 29, 2001Economic Scene; Rich nations have been too insensitive to poverty for too long; the situation can no longer be ignored.
Jeff Madrick Economic Scene column says September 11 terrorist attacks against US have raised issue of third-world poverty to level of importance at which it can no longer be ignored; says despite glowing optimism 20 years ago, rich nations' record in raising developing world to minimal level of material well-being has been nothing short of disastrous; says that developing nations' average gross domestic product has barely grown since 1983, when World Bank predicted it would grow at 3.3 percent...
November 1, 2001Economic Scene; In responding to terrorism, the administration is falling short on the economic front.
Jeff Madrick Economic Scene column holds Bush administration has provided minimal economic leadership since terrorist attacks; says what action has been taken, notably aid to airlines, has been more reaction to clear-cut emergency than part of coordinated plan; contends lack of strong public voice on economy has contributed substantially to sense in America that economic center is not holding and is itself feeding recessionary fires; photo
September 27, 2001Economic Scene; A tarnished new economy loses more luster with revised productivity data.
Jeff Madrick 'Economic Scene' column on recent revisions to productivity data reported by Bureau of Labor Statistics that show how thin new-economy thinking has been all along; graph
August 30, 2001Economic Scene; The mainstream can't or won't recognize some basic facts about world poverty.
Jeff Madrick Economic Scene article on economists who are questioning development strategies being forced on third world by International Monetary Fund and financial markets: reduced government spending, privatization, unrestrictive capital flows and completely free trade; notes success of certain countries that flouted those prescriptions and problems encountered by others that adhered to them; says new ideas will not emerge as long as nations remain under thumb of singleminded international i...
August 2, 2001Economic Scene; Living wages are practical and don't let theory get in the way.
Jeff Madrick 'Economic Scene' column on growth of 'living wage' movement, which requires any company doing business with a city, county or school board to pay all its workers on project a high minimum wage, often as high as $10.50 perce hour; says that if legislated wages move too high, they will reduce economic growth and hurt low-wage workers, but that displacement effect should not be exaggerated; photo
July 5, 2001Economic Scene; In America, to the richest go the biggest tax benefits. So what else is new?
Jeff Madrick Economic Scene column on Government's preference for 'tax expenditures,' credits and deductions from federal income taxes that tend to favor wealthy by rewarding some kinds of spending or saving; notes deductions are worth more to those in highest brackets and to those who can spend most on deductible items; puts tax expenditures at some $700 billion to $800 billion a year; holds programs may be inefficient and drain money that could be used for social program; photo
June 7, 2001Economic Scene; Lest we forget: each generation has its own 'new economy.'
Jeff Madrick Economic Scene column on different meanings assigned to term 'new economy' from 1970's to 1990's, when it came to be used by financial journalists to explain economic boom and soaring high-technology stocks; says claims that America had a new economy rested more on need for simple answers and promises of deliverance from difficult times than it did no solid economic analysis; photo
May 10, 2001Economic Scene; A history lesson: Don't count on stocks to lead the way out of a downturn.
Jeff Madrick 'Economic Scene' column says stocks do not always lead the way out of economic downturn; says stock prices over last century were sometimes flat for 10 or 15 years, and occasionally even longer; graph; photo
April 12, 2001Economic Scene; Tax cuts are in the air, and both political parties have their heads in the sand.
Jeff Madrick Economic Scene column says neither Republicans nor Democrats are addressing big changes in Americans life brought about by 'new economy,' including diminished job security, rise of temporary and part-time employment and self-employment, decline in percentage of workers entitled to unemployment insurance, rise in hours worked by families as result of stagnating wages and aging work force; photo
March 15, 2001Economic Scene; Plans to cut taxes may be clever politics, but they're not wise fiscal policy.
Jeff Madrick 'Economic Scene' column holds plans to cut Federal taxes may be clever politics, but they are not wise fiscal policy; photo
February 15, 2001Economic Scene; The nation should know where a Treasury nominee stands on world issues.
Jeff Madrick 'Economic Scene' column on Paul H O'Neill, Pres-elect George W Bush's nominee for Treasury secretary, focuses on some questions he wished senators would have asked O'Neill at confirmation hearings on international trade and US international relations; photo
January 18, 2001Economic Scene; America, don't smirk. The European Union is no joke in any language.
Jeff Madrick 'Economic Scene' column on prospects for economic prosperity in European Union despite weak euro; photo
December 21, 2000Economic Scene; No matter who's the next president, there will be some hard choices to make.
Jeff Madrick's 'Economic Scene' column on economic problems facing next US President and some hard choices he will have to make; graph
November 23, 2000Economic Scene; Are Bush and Gore flip-flopping over how to manage the economy?
Jeff Madrick Economic Scene column on whether Presidential candidates Gov George W Bush and Vice Pres Al Gore are flip-flopping over how to manage economy; says if Gore loses the election, it will be wrong to say he overemphasized social spending; holds, to the contrary, he doggedly tried to prove he was fiscal conservative, and confused his message in the process; photo
October 26, 2000Economic Scene; Don't underestimate the government's role in building the economy.
Jeff Madrick's 'Economic Scene' column says oversimplified fear of 'big government' has been damaging and does not accurately reflect American history; contends government has done many things well, and beyond historical evidence, there is also strong statistical support for idea that government investment has produced substantial returns; cites provocative model of public investment developed by Ishaq Nadiri, New York University economist, and his colleagues; graph
September 28, 2000Economic Scene; Despite years of prosperity, times are tougher for those in the middle and below.
Jeff Madrick column on Census Bureau data showing persistent erosion of income of male workers since early 1970's, which he says helps explain the potency of Vice Pres Al Gore's call at Democratic convention to help working families; says that women have had to fill the breach in family income, with a far higher proporton of them now working, and that although their wages have risen substantially on average, their pay remains roughly 20 percent below what men make; photo
August 31, 2000Economic Scene; Market messes happen. And inefficiencies have consequences.
Jeff Madrick (Economic Scene) examines efficient-market's hypothesis, which in 1970's was article of near-religious faith among economists but is being questioned by many who now say financial markets do not appear all that efficient after all; discusses findings by Harvard Prof Andrei Shleifer in book Inefficient Markets; hypothesis holds financial markets process all new information about securities so efficiently that no one can get consistent advantage over other investors; photo
August 3, 2000Economic Scene; The new economy's 'network society' plays by old-economy rules.
Jeff Madrick (Economic Scene) column on how new economy's 'computer nework society' is playing by old-economy rules to attract business and profits; says advantages of economies of scale were learned well in late 1800's by many companies and in many industries; says Great Atlantic & Pacific Tea Co in late 1800's used positive feedback loops to expand its supermarket chain as well as big steel companies; says same economies of scale that worked in late 1800's and throughout most of 1900's may al...
July 6, 2000Economic Scene; The trade deficit may seem harmless, but it could be what trips up growth.
Jeff Mardick (Economic Scene) column examines burgeoning US trade deficit, which has been growing faster than economy in recent years; says it poses threat to future economic growth, because of corresponding rise in foreign debt faster than rise in income; attributes complacency regarding deficit to misleading half-truths that deficits reflect nation's economic strengths and record low savings rate; chart
June 8, 2000ECONOMIC SCENE; Government's role in the new economy is not a cheap or easy one. But it is crucial, a la Adam Smith.
Jeff Madrick (Economic Scene) column praises address by Treasury Sec Lawrence H Summers that said new economy requires government spending on education and research because it is based not on big factories and distribution systems but on ideas and innovation; says most economists recognize that some investments of crucial benefit to society as whole will not be made by business because no single company, or even industry, will reap all benefits; backs Adam Smith's economic theory supporting rol...
May 11, 2000Economic Scene; Democracy has the edge when it comes to advancing growth.
Jeffrey Madrick (Economic Scene) column on Amartya Sen, author of book Development As Freedom, who argues that economic value of democracy should not be judged on its contribution to economic growth; says Sen believes democracy should be sought as economic end in itself, just like higher incomes; holds Sen argues that freedom is essential to full life; photo
April 13, 2000Economic Scene; When Greenspan speaks and the stock market doesn't listen, the loss of credibility is dangerous.
Jeff Madrick (Economic Scene) column on rise in technology stocks despite repeated warnings from Federal Reserve chairman Alan Greenspan that Fed intends to continue raising interest rates; says Greenspan's loss of credibility is dangerous; says Greenspan should consider raising interest rates no more than quarter point next week, as expected, but he should also do unexpected and raise 50 percent margin requirement on stock purchases to stanch market speculation; holds Fed should also consider ...
March 16, 2000The Worker's Just Reward
Op-Ed article by Jeff Madrick claims full employment has been good for American economy, despite Wall Street's fears about rising interest rates; says that as incomes rise for all American workers, new, more vibrant markets are created for entrepreneurs; holds that willingness of Americans to work long and hard has been one of foundations of economic growth in 1990's
August 1, 1999Get to Work!
Jeff Madrick reviews book The Productive Edge: How U.S. Industries Are Pointing the Way to a New Era of Economic Growth by Richard K Lester
June 28, 1998FORUM; Even B-Schoolers Say It's a Bummer
I had braced for a showdown at my 20th Harvard Business School reunion last month. Asked to speak on a panel about leveraged buyouts -- had they helped or hurt American competitiveness? -- I came prepared to denounce them to an unbelieving, unrepentant audience. After all, when I was at the B-school, critics called it the West Point of Capitalism. I didn't expect more than a few supporters -- maybe Mark Drucker, who still sports a bump on his head from the Columbia University demonstrations of ...
July 7, 1991FORUM; Poland's 'Big Bang': Too Much Too Fast?
LEAD: I have just returned from Poland where I met with many of its leading economists and politicians. From the vantage point of the United States, it may look like that country's commitment to a quick transition to a market economy, which some call the ''big bang,'' is universal. But my discussion with economists and politicans in Warsaw, revealed that some
May 20, 1990Herbert Stein's 'Modest Proposal' to Revise Budgeting
LEAD: It is budget season in Washington and Herbert Stein, one of its veterans, has published a new book about budgeting that should make some of his friends wince. ''Governing the $5 Trillion Economy,'' (a Twentieth Century Fund essay, Oxford University Press) makes the case that the budget deficit is not the primary problem.
February 12, 1989A NEW ECONOMICS ON WALL STREET
LEAD: On Wall Street, data-watching was always a favorite sport among economists, but not as much as it is today. Hand-holding of clients was always important; now, it can dominate an economist's working day. The principal task used to be the quarterly forecast. Now, the horizon can be as short as a few days - and sometimes less.
March 6, 1988