Crescita trainata dalle esportazioni in Germania e sue conseguenze in Europa

21/04/2016 § Leave a comment

Perché l’economia tedesca ha bisogno di consistenti afflussi migratori. Crescita delle esportazioni e crescita delle importazioni. L’impoverimento indotto dalle politiche di contenimento della domanda e dalla deregolamentazione del mercato del lavoro hanno spinto molti ad accettare qualsiasi lavoro a qualsiasi condizione. La flessibilità salariale non può sostenere un processo di crescita stabile. pdf


The Encyclopedia of Central Banking

29/02/2016 § Leave a comment

The Glass-Steagall Act, Sovereign Lending, Henry Thornton: three entries in the ‘Encyclopedia of central banking’


Book review: Ricardo on Money and Finance. A Bicentenary Reappraisal

25/06/2014 § Leave a comment

Despite a flurry of statements about the need to rethink monetary theory in the light of the events that started in 2007 with the financial crisis, the mainstream academic program seems to have simply been to ‘lock the door and wait until this storm is over: business as usual’. Seven years since, the storm is not over and the door stays closed. The deepest rethinking the mainstream has granted itself, in fact, is the attempt to show how the
principles that support the autonomy of the central bank and the policy of inflation targeting, can provide—with some minor modifications—a satisfactory explanation for the current state of things. The aim of this book is stated by its editors to be a reappraisal of Ricardo’s monetary and financial thought, also in order ‘to offer some historical clues to understanding the current world-wide financial crisis’. There is no doubt that the reader will find in it interesting insights on both counts.


The rate of interest independent of the rate of profit: a review of Matthew Smith’s Tooke

19/06/2013 § Leave a comment

If a significant monetary theory is a theory in which money can exert a non-transient influence on both the level and the distribution of the social product, the classical theory, unlike marginalism, can make room for a significant theory of money. The extent to which classical authors have exploited, more or less consistently, this opportunity is the constructive content of classical monetary theory, and marks the main differences between the individual authors of that school. pdf

Flawed currency areas and viable currency areas: external imbalances and public finance in the time of the Euro

19/06/2013 § Leave a comment

The main problem discussed in this paper is whether a balance of payments constraint exists within the Euro area. It is argued that the question of a member state’s foreign position is still relevant, at difference from what happens in successful currency areas like the USA, where persistent imbalances in the payments from one district to another are acceptable and are made sustainable by financial transfers revolving around the system of taxes and transfers and the public debt. A currency area is an area where the price of a deposit with the banking system is the same wherever the deposit is held (i.e. there is uniformity in the value of commercial bank money). Persistent imbalances in payments between regions within the area are to be settled in either the common currency or (which is basically the same thing) the public debt. But while this is acceptable in the USA, it is far from acceptable in the Euro area, where creditor countries (Germany being by far the most important) clamour for a settlement in ‘hard assets’, like, e.g. state-owned real estate, if not gold. This means that a balance of payments constraint still binds state members of the Euro area, and is a serious threat to its survival. pdf

Avanzi di bilancio e deficit di democrazia nel nuovo patto fiscale dell’EU

12/03/2013 § Leave a comment

The paper describes and discusses the agreement between the European leaders on the new Treaty on Stability, Coordination and Governance, aimed at strengthening fiscal discipline and introducing more automatic sanctions and stricter surveillance within the Euro area. Moments of steadfast commitment to fiscal discipline are certainly not new, but such a stubborn application of the idea that the public budget should produce surpluses, apart from the recessionary effects thus fed, is undoubtedly an unprecedented fact, which inevitably raises the problem of the democratic legitimacy of the institutions responsible for the conduct of fiscal policy in Europe. After reviewing the overall structure of the new European governance and the main contents of the new Stability Pact, the paper analyzes the significance of the structural budget balance, identifying its fundamental limit in the fact that it conceives growth as independent of demand conditions. The paper then deals with the sus- tainability of public finances, focusing on the relationship between the interest rate and the growth rate. The article concludes on the relationship between public surpluses and deficits of democracy and its resilience in the longer term pdf

Distribution and accumulation in post-1980 advanced capitalism

22/10/2012 § Leave a comment

The paper tries to build a framework of the interconnections between income distribution and accumulation for the years after 1980. On the basis of this framework it is argued that it was primarily the weakening of the inducements to invest that improved the attractiveness of financial investments, rather than the other way round. The overall effect on investment of financial sector enlargement was negative, but for the reason that it contributed to bring about a change in income distribution unfavourable to the expansion of demand, while permitting only a temporary disconnection of demand from the distributive change. The reader’s attention is then drawn to the element of continuity that can be detected between the current European economic policy of austerity and the process of substitution of loans for wages experienced by a large section of advanced capitalism up to the 2007 crisis. The article concludes on the question of long-run social stability within advanced capitalism.pdf