EconoFact Chats

In his 2012 book, 'A Capitalism for the People,' Luigi Zingales notes the deep economic problems that arise when people are rewarded for who you know, or even, who you pay off, rather than what you know, or your ability to produce and sell better goods and services. What are the broader consequences of this type of corruption that distorts outcomes like who gets a job, what is purchased, and what attributes determine economic success? What impact does corruption have on public trust in institutions? What can one do when norms that had protected market-based outcomes break down or prove insufficient? And what do the answers to these questions tell us about present circumstances? Luigi joins EconoFact Chats to discuss these issues. Luigi is the Robert C. McCormack Distinguished Service Professor of Entrepreneurship and Finance at the Booth School of Business at the University of Chicago. He is also the Director at U. Chicago's Stigler Center.

The United States is an outlier in health insurance coverage. Almost all other high-income countries have near-universal coverage, while almost 10% of the non-elderly US population is uninsured. How did this come to be? And what can policymakers do to improve access to health insurance? Mark Shepard joins EconoFact Chats to discuss these questions. Mark is an associate professor at Harvard Kennedy School of Government, and a faculty research fellow at the National Bureau of Economic Research.

Since the release of ChatGPT in November 2022, improvements in large language models have continued at an impressive clip, driving a surge of investment in new models, developing new products based on them, and in constructing data centres and other infrastructure needed to run AI models. What will the economic landscape look like as artificial intelligence becomes more pervasive? What are the production, technological, and geo-political challenges facing artificial intelligence development? And will the technology live up to its promise of making life better? Chris Miller joins EconoFact Chats to discuss these issues. Chris is an Associate Professor of International History at the Fletcher School at Tufts University. He is also the author of 'Chip War: The Fight for the World’s Most Critical Technology,' which won the Financial Times Book of the Year Award in 2022.

Football and basketball teams at Division I universities generate billions in revenue. But the student-athletes themselves do not receive salaries. Should they? Most have scholarships for their tuitions, but to what degree are they students, as well as athletes? And how does the money raised through these big-ticket sports support other, less high-profile sports, and the academic mission of these colleges and universities, if at all? Andrew Zimbalist joins EconoFact Chats to discuss these issues. Andy is the Robert A. Woods Professor Emeritus of Economics at Smith College. He has consulted in the sports industry for numerous players' associations, cities, companies, teams, and leagues. Note: This podcast was first published on 18th December, 2022.

High intensity flooding events, storms, wildfires, and droughts are becoming more frequent in many parts of the world. Are there measures that can help mitigate the number and severity of these events? What adaptations could make fires, storms, and floods less destructive? And is there a greater role for the government and the private sector when it comes to catastrophic risk insurance? Galina Hale joins EconoFact Chats to discuss these questions. Galina is a Professor of Economics at UC Santa Cruz. She previously served as a Research Advisor at the Federal Reserve Bank of San Francisco.

Much like national economies, countries that economically interact with each other need rules to help ensure markets work well, and that economic outcomes accord with some understanding of fairness and equity. While such rules can constrain what a country does, for much of the post-war era, nations have recognized the benefits of international cooperation and the importance of a stable set of rules. Yet, as populism and disdain towards globalization grows, global governance will likely retreat in scope. Could a more circumscribed understanding of global governance help domestic economies do better than if they faced no constraints from global governance rules? Dani Rodrik joins EconoFact Chats to discuss. Dani is the Ford Foundation Professor of International Political Economy at the John F. Kennedy School of Government at Harvard University.

The basic principles of economics are not only worthwhile reading for students, but for the wider public, and perhaps especially, for those involved in policy. Greg Mankiw, the author of best-selling textbooks for Macroeconomics and Principles of Economics joins EconoFact Chats to highlight how a wider understanding of economic principles such as trade-offs, opportunity costs, how people respond to incentives, the benefits of trade, and others can lead to better policy outcomes. Greg is the Robert M. Beren Professor of Economics at Harvard University.  A leading researcher in macroeconomics, he has held numerous high-level policy positions, most notably serving as the Chair of the Council of Economic Advisors in the George W. Bush administration.

In 1860, the United States had no national currency, no national bank, and no income tax. Lincoln had a vision of advancing the economic fortunes of the country and fostering greater economic equality through, for example, incentivizing railroads and creating land-grant universities. He and his Treasury Secretary Salmon Chase also faced the challenge of financing the hugely expensive Civil War.  This week on EconoFact Chats, Roger Lowenstein describes how Lincoln and Chase revolutionized the role of the federal government, played a crucial part in the Union Army’s victory, and helped forge a national identity – a story that offers a mirror to the current debates over the role of government in building infrastructure and financing higher education as well as the burden of the national debt. Roger reported for The Wall Street Journal for more than a decade. This interview draws from his just-published book 'Ways and Means: Lincoln and His Cabinet and the Financing of the Civil War.' Note: This podcast was first posted on 13th March 2022.

Immigration promises to be a key issue in the U.S. Presidential elections. Candidates from both parties favor limits but differ on the extent of restrictions. Immigration is important for a vibrant economy in a country with a low rate of native population growth. What role has immigration played in U.S. economic and demographic growth in recent decades? What has been the impact, if any, on employment and wages among the native-born? What are the likely impacts of restricting immigration for particular industries and for the economy as a whole? Giovanni Peri, founding director of the Global Migration Center at UC Davis joins EconoFact Chats to discuss these questions. Giovanni is a Professor in the Department of Economics at UC Davis. He is also a Research Associate of the National Bureau of Economic Research. Note: This podcast was first posted on 7th July 2024.

Both presidential candidates have supported tariffs, albeit at very different levels. Can tariffs bring back manufacturing jobs, reduce the trade deficit, and provide substantial revenues? Responding to a recent article in The Atlantic, Maurice Obstfeld and Kim Clausing highlight that steep, across the board tariffs, like those candidate Trump proposes, will prove costly to US consumers and producers, are unlikely to revive manufacturing, will have little effect on the trade deficit, will generate minimal revenues, will raise the prices, and will invite retaliation. Maury joins EconoFact Chats to discuss these points, as well as to suggest other policies to achieve the goals that populists argue tariffs would realize. Maury is a senior fellow at the Peterson Institute for International Economics, and an Emeritus Professor of Economics at UC Berkeley. He served as a member of President Obama's Council of Economic Advisers, and as Chief Economist at the International Monetary Fund. Note: This podcast was first posted on 13th October 2024.