Can government spending meet expectations?

New demands and expectations The latest Fiscal Monitor report warns that more will be expected from fiscal actions in the future: The global economy is undergoing major transformations, including a productivity slowdown, technological change, and global economic integration. This creates new demands for public policies to facilitate these transformations, while…

Getting people to care about news (or not)

Boundaries between news and entertainment have been blurred for a while, so I shouldn't be surprised that even NPR -- a platform that cannot even show the adorable dance of one the children in the viral BBC video -- featured the "story of the interrupted interview" under "…

Interpersonal trust

In OECD countries, about 36% of interviewees expressed interpersonal trust. In Nordic countries over 60% of interviewees trust each other compared to less than 13% in Chile, Mexico and Turkey. Among the key partner economies, levels of trust are usually lower than in OECD countries ranging from 4% of the…

Fiscal arithmetic

I just came across this wonderfully concise explanation of the debt growth formula on Quora: Notation: D = debt, in % of GDP r = real interest rate, in % g = real growth rate of the economy pd = primary deficit of the government budget, in % of GDP. Primary deficit does not include interest expenditures.…

Pubic concern about government debt

The share of people who are very concerned about public debt varies a lot across countries. The magnitude of public concern for selected is show in this chart: Data: Pew Global Attitudes survey, 2014 I posted the spreadsheet with additional countries on Github. Looking at the EU only, the deficit…

Economic situation in Europe: almost back to 2007

In most of Europe, 50 to 90% of people judge the current economic situation as bad. This chart is based on the data collected for the Eurobarometer in November 2016: The picture is mostly unsettling, but the changes since early 2016 are generally encouraging; the EB report states that "…

US economy under Obama

Obama’s Economic Record: An Assessment - The New Yorker Farewell to the Chief: Our Columnists Assess Obama's Presidency - Bloomberg View Martin Wolf: How Barack Obama rescued the US economy Obama’s chief economist talks about his biggest triumphs and biggest regrets - Vox CEA: The Economic Record of…

An unequal recovery

Some time ago, I looked at wage growth in advanced economies since 2007 and saw that falling or stagnant wages were not just a southern-European disease: the mean, inflation-adjusted wage in the U.K. was nearly 6% lower in 2013 compared to 2007: @Frances_Coppola @MervynDinnen Sounds right! My recent…