Archive for April 25th, 2012

What does earth say to Ben Bernanke?

April 25, 2012

Paul Krugman’s column differentiating between Prof Bernanke and Chairman Bernanke.

The Bernanke Conundrum — the divergence between what Professor Bernanke advocated and what Chairman Bernanke has actually done — can be reconciled in a few possible ways. Maybe Professor Bernanke was wrong, and there’s nothing more a policy maker in this situation can do. Maybe politics are the impediment, and Chairman Bernanke has been forced to hide his inner professor. Or maybe the onetime academic has been assimilated by the Fed Borg and turned into a conventional central banker. Whichever account you prefer, however, the fact is that the Fed isn’t doing the job many economists expected it to do, and a result is mass suffering for American workers.

A lot has been written over this. It is one of the favorite mon eco topic..

Just another way of putting your thoughts..

Karl Marx and Adam Smith Drop in on Occupy Wall Street..

April 25, 2012

Here is a superb post covering the event.

Last week Karl Marx and Adam Smith, two of the stars of the Pedro Reyes exhibition/video seriesBaby Marx, made an impromptu trip from the Walker Art Center in Minneapolis to Occupy Wall Street in New York’s Financial District. The artist had been tracking the protests and decided the puppets should check them out. Together with the director of photography Vicente Pousso and the Minneapolis-based puppeteers Janaki Ranpura (Smith) and Marc Berg (Marx), Reyes shot several new scenes. Among other activities, Marx interviewed OWS protesters, while Smith set up the first Occupy Wall Street bank.

Occupy Wall Street bank! :-)!

Reading a little of econ history so far, Smith is wrongly framed as free-market person. He was a philosopher interested in general human welfare. He most likely would have been highly disappointed with the banks and may be join the Occupy movement himself! As far as Marx is concerned, he might have been really happy to see all this happening..

The videos of the visit should be ready in the next few weeks. Check the pictures on the post meanwhile…

Influence of social stigma on a person’s self-confidence and development

April 25, 2012

Karla Hoff of World Bank writes this interesting column. The column is based on her work with Joe Stiglitz.

It  points how how gender, race, and caste ideologies crimp self-image management. To correct this, some affirmative action from government is needed:

For economists to ignore the factors that affect how we process information as part of the interpretation of economic change would be as wrong as to ignore the evolution of technology itself. Ideology shapes what we see and how well we perform. Ideology can give rise to “equilibrium fictions.” In our framework, changes in power, technology, and contacts with the outside world matter not just directly but because they can lead to changes in ideology. The results of India’s natural experiment with political affirmative action bear out this prediction.

She points how quota for women in village government improved families outlook towards girl child and erases the gender gap.

In 1993, India adopted gender quotas for village governments, with the quotas assigned to randomly selected villages. In villages with little or no experience of quotas, men evaluate the competence of female leaders compared to male leaders in a biased way, and a higher percentage of boys than girls are in school and are able to read and write. Yet exposure for almost ten years to local women leaders eliminates the bias in men’s perceptions and erases the gender gap in educational outcomes. All the evidence (Beaman et al. 2009, 2012) suggests that the material gains to girls and women as a result of the affirmative action policy are explained by changes in the way females are perceived by others and perceive themselves, rather than by any changes in opportunities.

A nice area to research…Mixes socio, eco, psychology etc..

Obama was never really expected to be like FDR, he was more going to be like Hoover…

April 25, 2012

A superb interview of Michael Lind. God knows how can keep getting such interesting guys to talk.

This interview is on US history and has some amazing things to say. First something on US president Obama. Interestingly, we all expected him to be like FDR who will come out with another New Deal to revive the US econ. He says he was more like Hoover:


From nuclear arms race to financial arms race..

April 25, 2012

Andrew Haldane of BoE once again making a riveting speech and once again on the financial sector.

First some insights from evolution of Elephant Seal:


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