The Economics Show

Natasha Sarin, a Yale professor and former counselor to Treasury Secretary Janet Yellen, dives into the urgent need for tax reform aimed at the ultra-wealthy. She discusses the potential of a wealth tax and the complexities of taxing unrealized capital gains, spotlighting current disparities in the tax system. The conversation also touches on the impact of tax reforms on charitable giving and the staggering $600 billion revenue loss from uncollected taxes. Sarin offers a hopeful perspective on future policies that can enhance transparency and fairness in taxation.

Heidi Williams, a Professor of Economics at Dartmouth College and innovation policy expert, joins to delve into the pivotal role of research and development. Discover the surprising economic benefits of both public and private R&D funding. Williams emphasizes that government investment is crucial for innovation while addressing misconceptions about its value. The discussion also unpacks the rapid impacts of R&D on economic growth and the need for better integration of research insights into policy-making. Tune in for a thought-provoking exploration of the economics of innovation!

In this discussion, James Politi, the Washington Bureau Chief for the Financial Times, shares insights on Kamala Harris's policy platform as the election looms. They dive into her potential industrial and tax reforms, and how she could differ from Biden's approach. Politi highlights the challenges of housing affordability and the implications of current tax policies on different income groups. The conversation also touches on Harris's prospective cabinet and economic strategies, raising questions about her future impact on U.S. governance.

Martin Sandbu, an insightful FT economics editorial writer, dives into the evolution of effective altruism, tracing its transformation from a charitable approach to a complex moral landscape filled with existential risks. He discusses the fallout from Sam Bankman-Fried's scandal and its impact on the movement, questioning the ethics of utilitarianism. The conversation highlights the need for a more nuanced perspective on altruism, addressing the challenges and future of this ideology in a changing world.

Anna Stansbury, an assistant professor at MIT's Sloan School of Management, explores class-based inequalities in the US. She emphasizes how family backgrounds can hinder career progression, regardless of educational achievements like a PhD. The discussion delves into how class disparities persist in academia and the stark differences between private and public sector opportunities. Stansbury advocates for more inclusive practices that consider socioeconomic factors, aiming to illuminate the often-invisible class dynamics affecting professional success.

Robin Wigglesworth, an expert on government debt, discusses Jamaica's remarkable turnaround from a staggering 140% debt-to-GDP ratio to halving its debt in just seven years. He highlights how political cooperation and fiscal discipline were vital in this process, allowing Jamaica to maintain significant primary surpluses. Wigglesworth also explores lessons for larger economies, and the need for growth-oriented solutions that balance debt management with middle-class welfare. The conversation paints a hopeful picture of Jamaica's potential economic future.

Alan Beattie, a senior trade writer at the Financial Times, delves into Donald Trump's stark trade promises for his potential second term. The conversation reveals the possible impacts of higher tariffs on China and other nations, discussing economic fallout and consumer price dynamics. They also address the role of the World Trade Organization and skepticism about U.S. collaboration with it. Finally, the implications of government spending and trade policies on future deals reflect a complex landscape for international relations.

Jared Bernstein, the chair of President Biden’s Council of Economic Advisers, dives deep into the current state of the US economy. He discusses how positive economic indicators clash with public sentiment amid the upcoming elections. Bernstein tackles topics like inflation, the labor market, and ongoing housing issues. The conversation also shifts to innovative policy proposals aimed at economic fairness, including targeted rent controls and a prepayment tax on unrealized capital gains. With humor and insight, he navigates the complexities of the political narrative surrounding economic realities.

Isabella Weber, an associate professor at UMass Amherst, dives into the heated debate over price controls in response to inflation. She discusses the concept of 'shockflation' and critiques traditional monetary policies as insufficient. Weber advocates for government measures like capping prices on essential goods to stabilize markets and support vulnerable populations. The conversation also contrasts U.S. and European approaches to inflation, shedding light on the challenges and complexities of effective economic policy.

Daron Acemoğlu, an MIT economics professor and author of "Power and Progress," dives deep into AI's impact on productivity and the economy. He challenges the overly optimistic views on AI's contributions to growth, urging caution in the pace of technological disruption. The discussion highlights the historical effects of technology on worker prosperity and advocates for regulatory measures to prevent corporate power concentration. Acemoğlu emphasizes the importance of equitable competition and the need for policy reforms that enhance education and support human workers.