Naked Economics
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8. Ibid., p. 23.
9. Roger Lowenstein, “The Inequality Conundrum,” New York Times Sunday Magazine, June 10, 2007.
10. Dora Costa, “The Wage and the Length of the Work Day: From the 1890s to 1991,” Journal of Labor Economics, January 2000.
11. All of the income inequality information, including the H. L. Mencken quotations, comes from Robert H. Frank, “Why Living in a Rich Society Makes Us Feel Poor,” New York Times Magazine, October 15, 2000.
12. Philippe Aghion, Eve Caroli, and Cecilia Garcia-Penalosa, “Inequality and Economic Growth: The Perspective of the New Growth Theories,” Journal of Economic Literature, vol. 37 (December 1999), pp. 1615–60.
13. Marvin Zonis, Remarks Presented at the University of Chicago Business Forecast Luncheon, December 6, 2000.
CHAPTER 7. FINANCIAL MARKETS
1. Johanna Berkman, “Harvard’s Hoard,” New York Times Magazine, June 24, 2001.
2. Richard Bradley, “Drew Gilpin Faust and the Incredible Shrinking Harvard,” Boston Magazine, June 18, 2009.
3. “For Those in Peril,” The Economist, April 22, 2006.
4. Darren Rovell, Sports Biz, CNBC, September 15, 2009.
5. Joseph Treaster, “Even Nature Can Be Turned into a Security; High Yield and Big Risk with Catastrophe Bonds,” New York Times, August 6, 1997.
6. Simon Johnson, “The Quiet Coup,” The Atlantic, May 2009.
7. Jane Spencer, “Lessons from the Brain-Damaged Investor,” Wall Street Journal, July 21, 2005.
8. Peter Coy, “Can You Really Beat the Market?” Business Week, May 31, 1999.
9. Burton G. Malkiel, “The Price Is (Usually) Right,” Wall Street Journal, June 10, 2009.
10. Jon E. Hilsenrath, “As Two Economists Debate Markets, the Tide Shifts,” Wall Street Journal, October 18, 2004.
11. Ruth Simon, “Bonds Let You Sleep at Night but at a Price,” Wall Street Journal, September 8, 1998.
12. Matthew Kaminski, “The Age of Diminishing Endowments,” Wall Street Journal, June 6–7, 2009.
CHAPTER 8. THE POWER OF ORGANIZED INTERESTS
1. Robert Davis, “Museum Garage Is a Fine Cut; It May Be Pork, but City Hungry,” Chicago Tribune, May 5, 1994.
2. Jason Hill, Erik Nelson, David Tilman, Stephen Polasky, and Douglas Tiffany, “Environmental, Economic, and Energetic Costs and Benefits of Biodiesel and Ethanol Biofuels,” Proceedings of the National Academy of Sciences, vol. 103, no. 30 (July 25, 2006).
3. Nicholas Kristof, “Ethanol, for All Its Critics, Fuels Farmer Support and Iowa’s Role in Presidential Races,” New York Times, January 21, 2000.
4. Robert Gordon, Thomas Kane, and Douglas O. Staiger, “Identifying Effective Teachers Using Performance on the Job,” The Hamilton Project Policy Brief No. 2006–01, April 2006.
5. Roger Ferguson, Jr., “Economic Policy for Our Era: The Ohio Experience,” Economic Commentary, Federal Reserve Bank of Cleveland, May 15, 2000.
6. Joe Klein, “Eight Years: Bill Clinton Looks Back on His Presidency,” The New Yorker, October 16, 2000, p. 201.
7. Elizabeth Kolbert, “Back to School,” The New Yorker, March 5, 2001.
CHAPTER 9. KEEPING SCORE
1. Michael Cox and Richard Alm, Time Well Spent: The Declining Real Cost of Living in America, Federal Reserve Bank of Dallas, 1997 Annual Report.
2. Oded Galor and David N. Weil, “Population, Technology, and Growth: From Malthusian Stagnation to the Demographic Transition and Beyond,” American Economic Review, vol. 20, no. 4 (September 2000).
3. Miriam Jordan, “Leprosy Remains a Foe in Country Winning the Fight Against AIDS,” Wall Street Journal, August 20, 2001.
4. Jane Spencer, “Why Beijing Is Trying to Tally the Hidden Costs of Pollution as China’s Economy Booms,” Wall Street Journal, October 2, 2006.
5. David Leonhardt, “If Richer Isn’t Happier, What Is?” New York Times, May 19, 2001.
6. Daniel Kahneman, Alan B. Krueger, David Schkade, Norbert Schwarz, and Arthur Stone, “Toward National Well-Being Accounts,” American Economic Review, vol. 94, no. 2 (May 2004).
7. “Economics Discovers Its Feelings,” The Economist, December 23, 2006.
8. Alexander Stille, “A Happiness Index with a Long Reach: Beyond GNP to Subtler Measures,” New York Times, May 20, 2000, p. A17.
9. Edward Hadas and Richard Beales, “Sarkozy Imagines: No GDP,” Wall Street Journal, January 10, 2008; David Jolly, “G.D.P. Seen as Inadequate Measure of Economic Health,” New York Times, September 15, 2009.
10. David Gonzalez, “A Coffee Crisis’ Devastating Domino Effect in Nicaragua,” New York Times, August 29, 2001.
11. Christina D. Romer, “Back from the Brink,” speech delivered at the Federal Reserve Bank of Chicago, September 24, 2009.
12. James B. Stewart, “Eight Days: The Battle to Save the American Financial System,” The New Yorker, September 21, 2009.
13. Rebecca Kern, “Girl Scout Cookie Sales Crumble,” USA Today, February 20, 2009.
14. “Hard Times,” The Economist, September 10, 2009.
15. Christina D. Romer, “The Economic Crisis: Causes, Policies, and Outlook,” testimony before the Joint Economic Committee, April 30, 2009.
16. Bruce Bartlett, “What Tax Cuts Can’t Do,” New York Times, December 20, 2000.
17. Romer, Chicago Federal Reserve speech.
18. Jagadeesh Gokhale, “Are We Saving Enough?” Economic Commentary, Federal Reserve Bank of Cleveland, July 2000.
19. “What a Peculiar Cycle,” The Economist, March 10, 2001.
20. James W. Paulsen, Economic and Market Perspective, Wells Capital Management, October 1999.
CHAPTER 10. THE FEDERAL RESERVE
1. R. A. Mundell, “A Reconsideration of the Twentieth Century,” American Economic Review, vol. 90, no. 3 (June 2000), pp. 327–40.
2. Justin Scheck, “Mackerel Economics in Prison Leads to Appreciation for Oily Filets,” Wall Street Journal, October 2, 2008.
3. David Berreby, “All About Currency Printers: The Companies That Make Money from Making Money,” New York Times, August 23, 1992.
4. Paul Krugman, “Fear Itself,” New York Times Magazine, September 30, 2001.
5. Stephanie Strom, “Deflation Shackles Japan, Blocking Hope of Recovery,” New York Times, March 12, 2001.
6. N. Gregory Mankiw, Principles of Economics (Fort Worth, Tex.: Dryden Press, 1998), p. 606.
7. Stephen G. Cecchetti, “Crisis and Responses: The Federal Reserve in the Early Stages of the Financial Crisis,” Journal of Economic Perspectives, vol. 23, no. 1 (Winter 2009).
8. “The Very Model of a Central Banker,” The Economist, August 27, 2009.
CHAPTER 11. INTERNATIONAL ECONOMICS
1. Thomas Jaffe and Dyan Machan, “How the Market Overwhelmed the Central Banks,” Forbes, November 9, 1992.
2. Anatole Kaletsky, “How Mr. Soros Made a Billion by Betting Against the Pound,” The Times of London, October 26, 1992
3. “Big Mac Currencies,” The Economist, April 25, 2002.
4. Sylvia Nasar, “Weak Dollar Makes U.S. World’s Bargain Bazaar,” New York Times, September 28, 1992.
5. Ian Rowley, “Why Japan Hasn’t Stopped the Yen’s Rise,” Business Week (online), January 15, 2009.
6. Paul Krugman, “Misguided Monetary Mentalities,” New York Times, October 12, 2009.
7. Maurice Obstfeld and Kenneth Rogoff, “The Mirage of Fixed Exchange Rates,” National Bureau of Economic Research Working Paper W5191, July 1995.
8. Anthony Ramirez, “Pepsi Will Be Bartered for Ships and Vodka in Deal With Soviets,” New York Times, April 9, 1990.
9. Peter Gumble, “Iceland: The Country That Became a Hedge Fund,” CNN Money.com, December 4, 2008.
10. “Cracks in the Crust,” The Economist, December 11, 2008.
11. Associated Press, as reported by Yahoo! Finance. “Iceland Says Goodbye to the Big Mac,” October 26, 2009.
12. “No Pain, No Gain,” The E
conomist, December 13, 2003.
13. James Fallows, “The $1.4 Trillion Question,” The Atlantic, January/February 2008.
14. Ibid.
15. “Reforming the Sisters,” The Economist, February 17, 2001.
16. Ibid.
CHAPTER 12. TRADE AND GLOBALIZATION
1. Paul Krugman, “The Magic Mountain,” New York Times, January 23, 2001.
2. Charles Wheelan, “Fast Food, Balinese Style,” Valley News, January 25, 1989, p. 18.
3. “The Battle in Seattle,” The Economist, November 27, 1999.
4. “Economic Nationalism: Bashing Foreigners in Iowa,” The Economist, September 21, 1991.
5. Mary E. Burfisher, Sherman Robinson, and Karen Thierfelder, “The Impact of NAFTA on the United States,” Journal of Economic Perspectives, vol. 15, no. 1 (Winter 2001).
6. Dan Barry, “A Mill Closes, and a Hamlet Fades to Black,” New York Times, February 16, 2001.
7. Marvin Zonis, “Globalization,” National Strategy Forum Review: Strategic Outlook 2001, National Strategy Forum, Spring 2001.
8. Kenneth F. Scheve and Matthew J. Slaughter, “A New Deal for Globalization,” Foreign Affairs, July/August 2007.
9. David Cortright and George A. Lopez, eds., The Sanctions Decade: Assessing UN Strategies in the 1990s (Boulder, Colo.: Lynne Rienner, 2000).
10. Anthony DePalma and Simon Romero, “Orange Juice Tariff Hinders Trade Pact for U.S. and Brazil,” New York Times, April 24, 2000, p. A1.
11. “UN Chief Blames Rich Nations for Failure of Trade Talks,” New York Times, February 13, 2000, p. 12.
12. Thomas Friedman, “Protesting for Whom?” New York Times, April 24, 2001.
13. Nicholas D. Kristof and Sheryl WuDunn, “Two Cheers for Sweatshops,” New York Times Magazine, September 24, 2000, pp. 70–71.
14. Thomas Friedman, “Parsing the Protests,” New York Times, April 14, 2000, p. 31.
15. Zonis, “Globalization.”
16. “Web Sites Provide Opportunity for Artisans Around the World to Sell Their Wares Thus Increasing Living Standards,” National Public Radio, September 11, 2000.
17. Kristof and WuDunn, “Two Cheers for Sweatshops.”
18. “A Survey of Globalization,” The Economist, September 29, 2001.
19. Kristof and WuDunn, “Two Cheers for Sweatshops.”
20. Paul Krugman, “Hearts and Heads,” New York Times, April 22, 2001.
21. “Economic Man, Cleaner Planet,” The Economist, September 29, 2001.
22. Krugman, “Hearts and Heads.”
23. John Micklethwait and Adrian Wooldridge, “Why the Globalization Backlash Is Stupid,” Foreign Policy, September/October 2001.
CHAPTER 13. DEVELOPMENT ECONOMICS
1. “No Title,” The Economist, March 31, 2001.
2. World Development Report 2008, World Bank (New York: Oxford University Press, 2000).
3. William Easterly, The Elusive Quest for Growth (Cambridge, Mass.: MIT Press, 2001), p. 285.
4. World Development Report 2002: Building Institutions for Markets, World Bank, Oxford University Press, p. 3.
5. Thomas L. Friedman, “I Love D.C.,” New York Times, November 7, 2000, p. A29.
6. Daron Acemoglu, Simon Johnson, and James Robinson, The Colonial Origins of Comparative Development: An Empirical Investigation, NBER Working Paper No. W7771 (National Bureau of Economic Research, June 2000).
7. Daniel Kaufmann, Aart Kraay, and Pablo Zoido-Lobatón, Governance Matters (Washington, D.C.: World Bank, October 1999).
8. “No Title,” The Economist, March 31, 2001.
9. Erica Field, “Entitled to Work: Urban Property Rights and Labor Supply in Peru,” undated manuscript.
10. “A Coke and a Frown,” The Economist, October 7, 2000, p. 73.
11. “No Title,” The Economist, March 31, 2001.
12. Gary S. Becker, Human Capital, p. 24.
13. Easterly, The Elusive Quest for Growth, p. 160.
14. “Fare Thee Well, Iowa,” The Economist, August 18, 2001.
15. Jeffrey Sachs, Tropical Underdevelopment, NBER Working Paper No. W8119 (National Bureau of Economic Research, February 2001).
16. Donald G. McNeil, “Drug Companies and Third World: A Case Study in Neglect,” New York Times, May 21, 2000.
17. Rachel Glennerster and Michael Kremer, “A Better Way to Spur Medical Research and Development,” Regulation, vol. 23, no. 2.
18. Jeffrey Sachs, “Nature, Nurture, and Growth,” The Economist, June 14, 1997.
19. Jeffrey Sachs, “Growth in Africa: It Can Be Done,” The Economist, June 29, 1996.
20. Jeffrey A. Frankel and David Romer, “Does Trade Cause Growth?” American Economic Review, vol. 89, no. 3 (June 1999), pp. 379–99.
21. Sachs, “Growth in Africa.”
22. Jeffrey D. Sachs and Andrew M. Warner, “The Big Push: Natural Resource Booms and Growth,” Journal of Development Economics, June 1999, as cited in Economic Intuition, Montreal, Fall 1999.
23. “Tracking Angola’s Oil Money,” The Economist, January 15, 2000, p. 48.
24. Blaine Harden, “Angolan Paradox: Oil Wealth Only Adds to Misery,” New York Times, April 9, 2000.
25. “Open to the Winds: A Nation of Traders,” The Economist, September 12, 1987.
26. Norimitsu Onishi and Neela Banerjee, “Chad’s Wait for Its Oil Riches May Be Long,” New York Times, May 16, 2001.
27. Amartya Sen, Development as Freedom (New York: Alfred A. Knopf, 1999), p. 152.
28. Paul Collier, The Bottom Billion: Why the Poorest Countries Are Failing and What Can Be Done About It (New York: Oxford University Press), 2007.
29. “Coka and Al-Qaeda,” The Economist, April 3, 2004.
30. Nicholas D. Kristof and Sheryl WuDunn, “The Women’s Crusade,” New York Times Magazine, August 23, 2009.
31. “Self-Doomed to Failure,” The Economist, July 6, 2002.
32. Kristof and WuDunn, “The Women’s Crusade.”
33. Jeffrey Sachs, “The Best Possible Investment in Africa,” New York Times, February 10, 2001.
34. “What’s Good for the Poor Is Good for America,” The Economist, July 14, 2001.
35. Jeffrey Sachs, “Growth in Africa: It Can Be Done,” The Economist, June 29, 1996.
36. William Easterly, The White Man’s Burden (New York: Penguin, 2007).
37. William Easterly, “Was Development Assistance a Mistake,” American Economic Review, vol. 97, no. 2 (May 2007).
38. Craig Burnside and David Dollar, “Aid, Policies, and Growth,” American Economic Review, vol. 90, no. 4 (September 2000), pp. 847–68.
39. Dani Rodrik, “Goodbye Washington Consensus, Hello Washington Confusion? A Review of the World Bank’s Economic Growth in the 1990s: Learning from a Decade of Reform,” Journal of Economic Literature, vol. XLIV (December 2006).
EPILOGUE. LIFE IN 2050
1. “Out of Sight, Out of Mind,” The Economist, May 18, 2001.
2. Denise Grady, “In Quest to Cure Rare Diseases, Some Get Left Out,” New York Times, November 16, 1999.
3. Anthony Lewis, “A Civilized Society,” New York Times, September 8, 2001.
4. Phred Dvorak, “A Puzzle for Japan: Rock-Bottom Rates, but Few Borrowers,” Wall Street Journal, October 25, 2001.
5. Simon Johnson, “The Quiet Coup,” The Atlantic, May 2009.
* When our Ford Explorer rolled over at 65 mph on an interstate three years later, we bought a Volvo.
* I cannot fully explain why the pharmaceutical companies were so resistant to providing low-cost HIV/AIDS drugs to Africa. These countries will never be able to pay the high prices charged in the developed world, so the companies would not be forgoing profits by selling the drugs cheaply. In places like South Africa, it’s either cheap drugs or no drugs. This would appear to be a perfect opportunity for price discrimination: Make the drugs cheap in Cape Town and expensive in New York. True, price discrimination could create an opportunity for a black market; drugs sold che
aply in Africa could be resold illegally at high prices in New York. But that seems a manageable problem relative to the huge public relations cost of denying important drugs to large swathes of the world’s population.