Bizcast: Professor Joseph Stiglitz and The Road to Freedom
Nobel laureate Joseph Stiglitz joins Dean Emeritus Glenn Hubbard for a compelling discussion on economic policy, inequality, and the future of global markets.
Nobel laureate Joseph Stiglitz joins Dean Emeritus Glenn Hubbard for a compelling discussion on economic policy, inequality, and the future of global markets.
Explore how President Trump’s flurry of executive orders on his first day in office could reshape the economy, with expert insights from Columbia Business School.
The new president's proposed policies are poised to reshape the business landscape. Columbia Business School experts break down what leaders need to know to navigate the challenges and opportunities ahead.
Research by Professors Kairong Xiao and Suresh Sundaresan paint a picture of how post-crisis reforms are affecting the banking sector, often in unanticipated ways.
New research by Columbia Business School faculty shows how increasing the number of high-skilled immigrants can spur regional entrepreneurship and economic growth without the cost of other economy-boosting strategies.
A new paper co-authored by Professor Pierre Yared shows how geopolitical strength and financial privilege reinforce each other, with implications ranging from interest rates to national security.
A CBS study uses large-scale data to better estimate where money in Europe comes from — and where it goes.
Preservation of our financial stability and military dominance is on the line, and it depends on getting our debt problem under control, says Professor Pierre Yared.
Data is the new oil. It is the fuel for AI, a firm asset, a strategic advantage, information for prediction, a productivity booster, a privacy concern, a by-product of transactions, and a means of payment. How can we update traditional economic and finance frameworks to include a role for data and use these updated frameworks to measures it economic impact?
We propose one route to a more inclusive society. Our context is the prevailing one of high wealth inequality where stockholders alone supply the stochastic discount factor governing the allocation of capital. A large and pervasive pecuniary externality is thus imposed on non-stockholder workers, something we view as antithetical to the notion of an inclusive society.
Many state and local governments incentivize new business creation. I analyze local growth policy in a setting where firm entry and expansion choices exhibit local complementarities, creating dynamic misallocation at the aggregate level. Optimal entry subsidies would speed the transition of Rust-belt workers to the South and Mountain West by an extra 10 million people by 2035, raising real incomes by 4%. Actual subsidies substantially worsen misallocation, lowering welfare by 3%, 6 times the size of the subsidies themselves.
In nance and macro models, increased capital risk results in higher risk free asset prices often attributed to precautionary saving. However at the demand level, even assuming the same preferences as in the equilibrium analysis, precautionary saving need not always hold. Assuming CES time and CRRA risk preferences, we derive conditions such that the consumer exhibits precautionary savng. Absent these conditions, a concrete example demonstrates that the consumer fails to exhibit precautionary saving.
The government budget constraint ties the market value of government debt to the expected present discounted value of fiscal surpluses. We find evidence that U.S. Treasury investors fail to impose this no‐arbitrage restriction in the United States. Both cyclical and long‐run dynamics of tax revenues and government spending make the surplus claim risky. In a realistic asset pricing model, this risk in surpluses creates a large gap between the market value of debt and its fundamental value, the PDV of surpluses, suggesting that U.S. Treasuries may be overpriced.
While the broader Inflation Reduction Act will substantially cut carbon emissions, the new tariffs on Chinese EVs will have the opposite effect. They risk derailing the transition to EVs, and they pit U.S. middle-class consumers against auto workers and shareholders.
We develop a financial-economic model for carbon pricing with an explicit representation of decision making under risk and uncertainty that is consistent with the Intergovernmental Panel on Climate Change’s sixth assessment report. We show that risk associated with high damages in the long term leads to stringent mitigation of carbon dioxide emissions in the near term, and find that this approach provides economic support for stringent warming targets across a variety of specifications.
Improving energy efficiency is not enough for advocates of degrowth, who espouse energy sufficiency as the best way to fight climate change. But their argument is absurd: using limited inputs more efficiently is the definition of economic productivity – which, in turn, boosts growth.
Christian is the Sidney Taurel Associate Professor within the Finance and Economics Division at Columbia Business School. His research focuses on macroeconomics and labor economics, with additional interests in public economics. The common theme behind his research is to understand the determinants of earnings inequality and the role redistributive policies. Before joining Columbia, Christian received a Ph.D. in Economics from Princeton University where he was named a Fellow of Woodrow Wilson Scholars and was awarded the Towbes Prize for Outstanding Teaching.
Pierre Yared is the MUTB Professor of International Business, Senior Vice Dean for Faculty Affairs, and Vice Dean for Executive Education at Columbia Business School. His research, which has been published in leading academic journals, focuses on macroeconomic policy and political economy. He is a research associate of the National Bureau of Economic Research. Yared teaches Global Economic Environment, a Core MBA course in macroeconomics for which he received the Dean’s Award for Teaching Excellence.
Xavier Giroud is the Stefan H. Robock Professor of Finance and Economics at Columbia Business School. He is also a Research Associate at the National Bureau of Economic Research (NBER) and a Research Fellow at the Centre for Economic Policy Research (CEPR).
Abby Joseph Cohen is Professor of Business in the Columbia University Graduate School of Business in New York City. She was previously a longstanding partner and chief U.S. investment strategist at Goldman Sachs. She was also president of the Global Markets Institute at Goldman Sachs, which provides research on the intersection of economics, public policy, and financial markets. Abby served on the firm’s Partnership Committee, which oversees the development of future leaders.
David E. Weinstein is the Carl S. Shoup Professor of the Japanese Economy at Columbia University. He is also the director of the Center on Japanese Economy and Business (CJEB), co-director of Columbia’s APEC Study Center, co-director of the Japan Project at the National Bureau of Economic Research (NBER), a member of the Center for Economic Policy Research (CEPR), and he was appointed Global Advisor to Global Financial City Tokyo by Yuriko Koike, Governor of Tokyo Metropolitan Government.
Dr. Shang-Jin Wei is N.T. Wang Professor of Chinese Business and Economy and Professor of Finance and Economics at Columbia University’s Graduate School of Business and School of International and Public Affairs.
Paola Valenti is a Professor of Professional Practice in the Faculty of Business, Economics Division at Columbia Business School. She is an economist with expertise in applied microeconomics, applied econometrics, and economics of antitrust and intellectual property. She has expertise in industries such as electronics, pharmaceuticals, medical devices, industrial chemicals, consumer products, food, and computer hardware and software. Valenti previously served as a consultant at NERA Economic Consulting, developing economic research and quantitative analysis.
Frank R. Lichtenberg is Cain Brothers & Company Professor of Healthcare Management in the Faculty of Business Economics at the Columbia University Graduate School of Business; a Research Associate of the National Bureau of Economic Research; and a member of the CESifo Research Network. He received a BA with Honors in History from the University of Chicago and an MA and PhD in Economics from the University of Pennsylvania.