Economics & Global Affairs

80 Items

Report: More Climate Change Recognition, Action Among Major Investors

Free-Photos/Pixabay

Report - Axios

Report: More Climate Change Recognition, Action Among Major Investors

| May 10, 2018

Since the Paris Agreement's adoption in 2015, a majority of the world's largest investors have begun to take action on climate change. According to a new report, the 2016–2017 year showed an average improvement in decarbonization within all major investor categories except pension funds.

Blog Post - Views on the Economy and the World

Seven Reasons China Won’t Yield in Trump’s Trade War

| Apr. 23, 2018

President Trump enacted steel and aluminum tariffs in March, citing national security.  China is the intended target, as most other major suppliers were eventually exempted. On April 2, China retaliated by imposing tariffs on 128 American products (representing about $3 billion of trade), ranging from 15% on fruits to 25% on pork.  Trump April 3 announced 25% tariffs on another 1300 Chinese products [representing some $50 billion of trade], citing forced transfer of US technology and IPR. China on April 4 responded with plans for retaliatory 25% tariffs on 106 US exports -- including soybeans, autos, and airplanes -- to go into effect when the US tariffs do.  On April 5, the White House announced it was considering $100 billion of additional tariffs on China.

If these tariffs go ahead, yes, it is a trade war. How will it end?

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Journal Article - Global Policy

The Case for Economic Development Through Sovereign Investment: A Paradox of Scarcity?

| Apr. 14, 2018

Sovereign wealth funds (SWFs) have traditionally been created to recycle excess reserves from natural resource or non‐commodity revenues. However, in recent years funds are being established under conditions of capital scarcity with objectives to contribute domestic economic development, often through the buildout of national infrastructure programs. Such trends in new fund creation represent a fundamental shift in the sovereign wealth fund paradigm and raise serious questions about how these entities are to be capitalized and also the implications of capitalization models on their sustainability. This study examines the recent evolution of SWF models focused on economic development. Its analytic focus is drawn, in particular, to countries that are neither endowed with oil wealth, nor otherwise enjoy export surpluses to be used to capitalize a development‐oriented SWF. While this study is relevant to and expands the scope of the broad literature on SWFs, its specific contribution is as a focused analysis of how SWF funding sources impact achieving long‐term financial and socio‐economic development objectives.

Tokyo at night

Flickr / Agustin Rafael Reyes

Paper - London School of Economics

Global Review of Finance For Sustainable Urban Infrastructure

    Authors:
  • Graham Floater
  • Dan Dowling
  • Denise Chan
  • Matthew Ulterino
  • Tim McMinn
  • Ehtisham Ahmad
| December 2017

This paper is a background review representing part of the initial phase of the Financing the Urban Transition work program. The review builds on a growing body of research that highlights both the importance of national sustainable infrastructure and the need to develop more effective and efficient financing mechanisms for delivering compact, connected cities that meet the UN’s Sustainable Development Goals. While progress has been made in both these areas over the last five years, there remains a policy gap between the international/national level and the municipal level.

Sample financial portfolio viewed on an iPad.

Pxhere

Analysis & Opinions - VoxEU

Democratizing Finance: The Digital Wealth Management Revolution

| Nov. 11, 2017

Despite specialised press coverage, little is known about the potential wider socioeconomic implications of digital wealth management solutions. This column examines how ‘robo-advisors’ offer an opportunity to democratise finance and decrease wealth inequality. These algorithmic investment advisors stand to disrupt the wealth management sector through their ‘low-cost, accessible to most’ business models. However, the entrance of traditional wealth managers into the robo-advisor market could threaten this disruption.

A man is reflected in a glass as an electronic stock board shows the Hang Seng Index at a bank in Hong Kong, Friday, Sept. 22, 2017. Most Asian stock markets fell Friday as investors turned cautious following new U.S. sanctions targeting North Korea and a China credit rating downgrade.

(AP Photo/Kin Cheung)

Analysis & Opinions - Bulletin of the Atomic Scientists

Can Chinese banks identify North Korean sanctions evaders?

| Oct. 04, 2017

Last week, President Trump signed a new executive order that paves the way to impose sanctions against any foreign bank that conducts business with North Korea, going well beyond current UN financial sanctions. These so-called secondary sanctions, which are penalties applied to third-party foreign banks (i.e., not directly against North Korean entities), are particularly focused on Chinese banks.

The U.S. Federal Reserve Bank Building, home to the Board of Governors of the Federal Reserve System, is seen in Washington, Friday, April 25, 2014. Often referred to as “the Fed,” it is the nation’s central banking system and sets monetary policy for the United States. (AP Photo/J. Scott Applewhite)

AP Photo/J. Scott Applewhite

Analysis & Opinions - The Washington Post

Larry Summers on the future of banking

| May 02, 2017

"I guessed that 10 years from now, the odds that there would be a fintech company with the kind of $250 billion market cap that some big American banks have was about 25 percent. I did not expect that in the foreseeable future fintech would have the kind of existential impact on banks that Netflix has had on Blockbuster."

Trader Daniel Ryan works on the floor of the New York Stock Exchange, Friday, Jan. 27, 2017. Stock indexes are barely budging in early trading on Wall Street as investors look over a large batch of earnings reports from U.S. companies. (AP Photo/Richard Drew)

AP Photo/Richard Drew

Analysis & Opinions - The Washington Post

The stock market has boomed under Trump. What happens next might scare you.

| Jan. 29, 2017

This week the "Trump Rally" continued as the Dow Jones Industrial Average crossed 20,000, and our president issued a celebratory. How much does this mean? To what extent is it a vindication of the economic policy approaches pursued by the new Administration? Will the post-election rally continue?