By Abhinav Arumilli First a few notes on the previous economic quarter… This quarter was insulated from most of the economic damage due to the COVID crash as it includes great months in January and February Stocks remained volatile, and year to date returns are still heavily negative even with the recent market rebound As … More Review of Q1 Economic Data
By Abhinav Arumilli As its most basic, behavioral economics exists to explain the importance of human behavior in economic systems and how individuals and institutions decisions deviate from the role classical and current mainstream economics set for them as rational actors basing behavior off maximum utility. Trends have been found throughout history that can be … More Robert Shiller, Behavioral Economics
By Abhinav Arumilli Imperialism from the 16th century to the early 20th century was justified through a multitude of reasons. Most predicated on social reasons, from considering outsiders as uncivilized barbarians to Kipling’s idea that the Western Civilization had an obligation to “civilize” other peoples (White Man’s Burden). However, the most widely accepted theory of … More J.A Hobson, Imperialism
Before countries adopted the laissez–faire economic system of Adam Smith, the economy was controlled by a select few. Generally, these were Kings or other rulers who were able to control the three factors of production: Land, Capital, and Labor. The transition from an economic system where Kings and rulers controlled the economy to a merchant … More Economics Before Adam Smith
By Abhinav Arumilli Monetary policy in economics is defined as any action taken by the central bank generally used to maintain stability in the economy. The tools used by central banks have varied throughout the history of America, as the central bank modified its policies to the main economic sentiment of that time. The main … More Dealing with Economic Instability
By Abhinav Arumilli The Modern Monetary Theory (MMT) in short is predicated on the idea that government debt is unlike household debt. In other words, households are limited by the amount that they can or is reasonable to borrow (they have an acceptable ceiling amount of debt) whereas governments are also constrained by inflation (especially … More MMT, our take on debt pt.1
An earthquake, especially of the magnitude of the recent California one, damages vital infrastructure and causes various damages. As the number of earthquakes increase so does the increase in the economic impacts countries near fault lines have. In America alone, earthquakes cause large damages. On September 20, the Federal Emergency Management Agency (FEMA) reported that … More Economics of Earthquakes
Econ Ramblings 