Economics

‘What is a Minsky moment, anyway?’ asks Gerry Stembridge, an Irish satirist. ‘I’ve been reading about them in the papers and have often wondered’. Stembridge is putting the question to Paul McCulley, chief economist at Pimco, the world’s largest bond fund with over $200 billion under management, one of the ten most influential economists on earth. McCulley is sporting a T-shirt and jeans. The two men, Celtic comic and American financial whiz, are on stage in a theatre in Kilkenny, a bijou provincial city in south-east Ireland. It’s Saturday night and they’re facing a sell-out crowd — all of whom have paid to watch a debate on global economics and

Spectator Money is out, with ideas on how to make it, spend it and even how to be seen spending it. Freddy Gray looks at the ‘social economy’ – think tax loopholes for financiers of politically favoured endeavours; while Camilla Swift peruses credit cards such as Kanye West’s ‘African American Express’ and the Dubai First Royale, ‘studded with diamonds. Bring it on, Sheikh Sugardaddy.’ Spare a thought, though, for the inconspicuous consumers – or at least, the wannabes. This segment took a hit last week in a joint operation dubbed ‘Onymous’, in which the FBI, Europol and friends arrested 17 alleged web-administrators and vendors and shuttered dozens of sites peddling child pornography, weapons, fake Danish passports, hacking services and so on. ‘Cash, drugs, gold and silver

There was much glee about yesterday’s publication of a report into the economic impact of immigration, which concluded eastern Europeans had provided a net benefit of £4.4 billion to the UK economy. There was far less mention of the fact that immigrants from outside Europe in the same period cost the taxpayers £118 billion. But as Christopher Caldwell observed in Reflections on the Revolution in Europe, the immigration debate is not about economics, for ‘the social, spiritual, and political effects of immigration are huge and enduring, while the economic effects are puny and transitory. If, like certain Europeans, you are infuriated by polyglot markets and street signs written in Polish,

The UK Land Registry today released its latest report on house prises, showing the ticket-cost of an average home in England and Wales down 2.2 per cent to £177,299 in September from a peak of £181,324 in November 2007. No, that still doesn’t mean that underpaid Westminster interns can afford to buy a home in central London. Per the Land Registry, average house prices in the capital rose 18.4 per cent since this time last year. Cue the New York Times with an opinion article composed by a young writer, cavilling about the matter: ‘Without capital, those of us who do not own property resign ourselves to running in an

How do you sound clever and au courant in 2014? Easy. You talk knowingly about Capital in the 21st Century, the seminal, magisterial, definitive, landmark, pick-your-coverblurb-adjective book by French academic Thomas Piketty. It’s all about the growing gap between rich and poor, you see, and inequality is all the rage. No wonder: it’s fun to get all hot under the collar about the ‘mega-rich’ — especially if you’re secretly cushioned by the knowledge that you’ve got a bit tucked away yourself. Piketty (who must himself be making a mint) even topped the Amazon.com bestseller list last week, not bad for a such a big book on such a heavy subject. But

In his blog earlier today, Fraser Nelson argues: ‘The UK jobs miracle is happening mainly due to radical welfare reform – the type Labour ducked in office..Under Labour, record numbers of people in work were celebrate as an end in itself – but most of the increase was accounted for by immigration. So more jobs did not mean less poverty – not if a quarter of Glasgow and Liverpool were still languishing on the dole at the peak of a boom. This time, it’s different. The welfare reforms are restoring the see saw link between jobs and dole queues.’ I suppose I should by now get over the fact that