Technical change that has spread to many countries and is biased toward using more skilled labor and capital is a major source of greater income inequality, but it is also a major source of economic growth. Since economic growth has been a major source of poverty reduction since the Industrial Revolution, it would be prudent to recognize that redistribution policies come at a cost.
Category: Economics
A Grieving Father Pulls a Thread That Unravels BNP’s Illegal Deals
A bus bombing two decades ago — and a New Jersey father’s quest for justice — inadvertently set off a chain of events that led American prosecutors to accuse some of the world’s biggest banks of transferring money for nations like Iran.
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“The fact that our case laid the groundwork for these actions is really a tribute to Alisa who would be 40 this year,” he said.
Greenpeace Statement on Foreign Currency Exchange Losses
The losses are a result of a serious error of judgment by an employee in our International Finance Unit acting beyond the limits of their authority and without following proper procedures. Greenpeace International entered into contracts to buy foreign currency at a fixed exchange rate while the euro was gaining in strength. This resulted in a loss of 3.8 million euros against a range of other currencies.
No Money, No Time
We tend to assume that pressure makes us more efficient. I work fastest when I’m on deadline. I stretch my grocery budget the most when my funds are running low. But in reality, it’s not that you’re working better when you’re stressed. It’s that the opposite situation, overabundance, often makes us less efficient.
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The poor are under a deadline that never lifts, pressure that can’t be relieved. If I am poor, I work or I churn until decisions like buying lottery tickets begin to seem like attractive alternatives. I lack the time to calculate the odds and think of alternative uses for my money.
Who Solved the Capitalist’s Dilemma ?
In particular, they observe that capital is allocated toward the type of innovations which increase efficiency or performance and not toward those which create markets (and hence long term growth and jobs.) This itself is caused by a prioritization and rewarding of performance ratios rather than cash flows and that itself is due to a perversion of the purpose of the firm.
Abnormal Capitalist 