FT-Booth US Macroeconomists Survey

The IGM and FT Launch New Economics Survey

The Initiative on Global Markets in collaboration with the Financial Times has launched a new survey of US academic macroeconomists.  Professors Allan Timmermann (UC San Diego) and Jonathan Wright (Johns Hopkins) will coordinate with FT writer Colby Smith to develop questions that will provide insight to pressing macroeconomic issues and topics. The summary results of […] 
Europe

Global Corporate Taxes

Question A:

A global minimum corporate tax rate would limit the benefits to companies of shifting profits to low-tax jurisdictions without biasing where they invest.

Question B:

An international tax system in which the major advanced economies set a minimum rate on corporate income is achievable.

Question C:

A global corporate tax system that is based on the location of final consumers would be more efficient than one based on the location of corporate headquarters and production facilities.

 
US

Global Corporate Taxes

Leaders of the advanced economies of the G7 recently made what they described as a ‘historic commitment’ on taxation of multinational corporations. We invited both our European and US panels to express their views on some of the issues surrounding the global deal on corporate taxes: the impact of a global minimum rate on investment, profit-shifting and low-tax jurisdictions; whether a stable international tax system that includes a global minimum rate can be achieved; and a potential move from levying taxes based on where firms’ headquarters and production are located to where they make their sales.

 
US

Overheating

Amid fierce public debates about the size of the Biden administration’s coronavirus protection and stimulus package, we invited our US panel to express their views on the likelihood of the economy ‘overheating’ as a result of the current stance of fiscal and monetary policy. We asked the experts whether they agreed or disagreed with the following statement, and, if so, how strongly and with what degree of confidence:

 
Europe

International Macroeconomics

This week's European Economic Experts Panel statements:

A) Under a fixed exchange rate and fully liberalized capital flows, a country loses domestic control of monetary policy.

B) For emerging and developing economies open to the world capital market, a flexible exchange rate confers little advantage over a pegged exchange rate in terms of economic stability.

C) The key feature making the US a more natural optimum currency area than the euro area is higher labor mobility. 
US

Unemployment Benefits

This week's US Economic Experts Panel statements:

A) The $300 supplement to weekly unemployment benefits available from now through September 6 constitutes a major disincentive to work for lower-wage workers.

B) The $300 supplement to weekly unemployment benefits available from now through September 6 is likely to lead to re-employment wages for currently unemployed workers that are higher by an economically meaningful amount. 
Europe

Central Bank Digital Currency

This week's European Economic Experts Panel statements:

The Bank for International Settlements defines a central bank digital currency as follows: ‘In simple terms, a central bank digital currency (CBDC) would be a digital banknote. It could be used by individuals to pay businesses, shops or each other (a 'retail CBDC'), or between financial institutions to settle trades in financial markets (a ‘wholesale CBDC').’

A) For developed countries, a central bank digital currency that is available to the public at large would offer social benefits that exceed the associated costs or risks.

B) Central banks that do not introduce their own digital money risk losing the ability to conduct effective monetary policy.

C) The introduction of a central bank digital currency is unlikely to have major effects on the economy.