2019-11-23 08:33:00 Sat ET
technology social safety nets education infrastructure health insurance health care medical care medication vaccine social security pension deposit insurance
MIT financial economist Simon Johnson rethinks capitalism with better key market incentives. Johnson refers to the recent Business Roundtable CEO statement that focuses on better stakeholder value maximization for employees, customers, and suppliers. Johnson proposes 3 primary issues when we reconsider capitalism in response to the neoliberal consensus. First, market incentives are often positive in some contexts. It is not enough for entrepreneurs to raise capital to promote good social causes. Entrepreneurs often need to come up with a sustainable business model that promises steady future profits. Only profitable ventures survive the test of time, so founders and most senior executive managers often tend to fixate on near-term profitability.
Second, powerful policymakers and interest groups can distort sensible economic analysis to bolster the consensus view of business sustainability. It would be better for all parties to strike a delicate balance between public efforts and private motives. However, ulterior motives cannot align well with good causes.
Third, the private sector typically cannot take into account negative externalities. In this light, the public sector may need to play an important role in advancing basic science for better health care, infrastructure, technology, and so on. On balance, this consideration helps enhance macro policy outcomes in light of climate change and economic inequality.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2018-04-20 10:38:00 Friday ET

Allianz chairman Mohamed El-Erian bolsters a new American economic paradigm in lieu of the Washington consensus. The latter dominates the old school of thou
2018-01-13 08:39:00 Saturday ET

The Economist digs deep into the political economy of U.S. government shutdown over 3 days in January 2018. In more than 4 years since 2014, U.S. government
2017-12-19 09:39:00 Tuesday ET

From Oprah Winfrey to Bill Gates, this infographic visualization summarizes the key habits and investment styles of highly successful entrepreneurs:
2019-10-09 16:46:00 Wednesday ET

IMF chief economist Gita Gopinath indicates that competitive currency devaluation may be an ineffective solution to improving export prospects. In the form
2017-08-19 14:43:00 Saturday ET

In a recent tweet, President Donald Trump criticizes Amazon over taxes and jobs. Without providing specific evidence, Trump accuses of the e-commerce retail
2017-05-01 09:45:00 Monday ET

Apple now pursues an early harvest strategy that focuses on extracting healthy profits from a relatively static market for the Mac, iPhone, and iPad, all of