How exposed are open economies to global demand shocks? In equilibrium, foreign booms can be absorbed either by domestic consumption (“quantities”) or by real exchange rate appreciation (“prices”). We show that failures of Ricardian equivalence and global financial market imperfections, two frictions popular in much recent work, have opposite effects on the split: while elevated…
Premier League clubs are starting the new season without gambling companies on the front of their matchday shirts, as a league-wide restriction takes effect. The change has forced eight of the league’s 20 clubs to find new front-of-shirt partners for the 2026/27 season, putting some of the most valuable advertising real estate in global sports…
CHINA – 2025/09/05: In this photo illustration, the 100-yuan RMB banknotes, a calculator and a Chinese national flag are placed on the table. Sopa Images | Lightrocket | Getty Images Offshore trusts have long been used by China’s ultra-rich to tuck away hundreds of billions of dollars outside the country. Now, a move by Beijing…
Housing affordability is at a crisis low. You’ve read that headline a hundred times. Either incomes rise or home prices crash to get back to pre-COVID levels. That’s true if you measure a home in dollars earned. It’s not true at all if you measure one in shares owned. Every affordability index compares income to…
Guatemalan President Bernardo Arévalo’s recent selection of an honest successor to a corrupt attorney general represents a decisive victory for the country’s democracy. Arévalo succeeded not because he abandoned institutions to save democracy, but because he trusted institutions enough to work through them.
USA TODAY Network / Reuters It’s hot. You’ve missed bills. And you’re worried about your power being shut off during the days you need it most. California’s major utilities — Pacific Gas & Electric Company, Southern California Edison and San Diego Gas & Electric Company — are barred from disconnecting service because of unpaid bills…