26
January
2014
Last week I discussed the economic consequences of inequality. Contrary to a traditional tenet of economics, empirical research has shown that inequality may have adverse economic consequences. Inequality increases the risk of political instability in a country, posing a threat to investments due to the fact that political unrest is highly detrimental to the profits made from any economic activity.
24
January
2014
Economics Nobel Prize winner Joseph Stiglitz, well-known for sharply criticizing the conventional wisdom of development economics, once summed up his views in a rhetorical question: “We have felt the pain, when do we get the gain?”
23
December
2013
Like many, I like having more choices but hate making choices. As a result, many of the most important choices in my life, including the choice among alternative partners, have been made for me by … others.
13
December
2013
For many observers, the Georgian job market is a mystery. Companies are bitterly complaining about a lack of engineers, forcing them to withhold the expansion of production capacities and to cut down investments. Yet Georgian young people, who could make good fortunes by studying technical subjects, prefer to learn the law, business administration and the like, qualifications that are oversupplied in the market and on average do not yield high salaries.
10
December
2013
On December 4, ISET hosted a lecture by Professor Avner Shaked from the University of Bonn – one of the greatest modern game theorists who also delivers courses in game theory and industrial organizations at ISET. The talk was devoted to a serious flaw uncovered concerning famous economic journals the Quarterly Journal of Economics (QJE) and Econometrica.
