Economic History Commons^™

Struggling Recovery And Economic Policy Uncertainty: Testimony Before The Joint Revenue Hearing, House And Senate Ways And Means Committees, Massachusetts State House, Boston, Ma, Christian Weller

Public Policy and Public Affairs Faculty Publication Series

The U.S. economy is in the fourth year of a recovery that started in June 2009. The fact that the economy is in recovery, even modestly, is something of a miracle given how stacked the deck is against it.

This is absolutely unique in American economic history: There has never been a recovery without the housing market expanding substantially as well; There has never been a recovery with state and local governments shrinking for three years in a row; There has never been a recovery with households owing, on average, well more than 100 percent of their after-tax income in …

A Matter Of Scale: Assessing The Great Recession Against The Great Depression, Steven L. Danver

Walden Faculty and Staff Publications

The Great Depression of the 1930s and the Great Recession of the late 2000s are compared using economic, social, and political measures to determine if the later economic downturn was as much of a bellwether event as its predecessor.

The Coevolution Of Economic And Political Development From Monarchy To Democracy, Fali Huang

Research Collection School Of Economics

This paper establishes a simple model of long run economic and political development, which is driven by the inherent technical features of different factors in production, and political conflicts among factor owners on how to divide the outputs. The main capital form in economy evolves from land to physical capital and then to human capital, which enables the respective factor owners (landlords, capitalists, and workers) to gain political powers in the same sequence, shaping the political development path from monarchy to elite ruling and finally to full suffrage. When it is too costly for any group of factor owners to …

From Financing Social Insurance To Insuring Financial Markets: The Socialisation Of Risk And The Privatisation Of Profit In An Age Of Irresponsibility, Simon Lee, Richard Woodward

Books/Book Chapters

Commentaries on the financial meltdown that began with Lehman Brothers’ collapse in September 2008 trace its origins to greedy bankers exploiting lax regulatory practices to take excessive risks through exotic and arcane financial instruments. While not wishing to demur from this analysis this chapter takes issue with the frequent failure to acknowledge that this has come about as a consequence of the (mis)application of state power over the past 50 years (see Helleiner 1994). Starting with the tacit support for the development of the Euromarkets in the 1960s and culminating with the responses to the turmoil of 2008-2010 the chapter …

The Role Of Inflation In Soviet History: Prices, Living Standards, And Political Change, Steven M. Efremov

Electronic Theses and Dissertations

This thesis discusses the interaction between inflation, living standards, and political change in Soviet/Russian history. It traces the establishment and evolution of the Soviet monetary system, inflationary episodes, and their consequences. The goal of this study is to show how inflation affects the lives of ordinary people and how it has contributed to larger changes in Soviet history. Sources include economic statistics and analysis from articles and monographs, as well as first-hand accounts from interviews and newspapers. The results show that inflation was a factor in both the rise and the fall of the Soviet Union. Russia's first hyperinflation (1917-1923) …

A Story Of Four Revolutions: Mechanisms Of Change In India, Aseema Sinha

CMC Faculty Publications and Research

Sumit Ganguly and Rahul Mukherji’s India Since 1980 presents a bold and ambitious argument about change across and within India. Its unique contribution lies in its description of four distinct revolutions: social-political, economic, foreign policy, and religious. While many recent books have noted changes in India’s economy and foreign policy, India Since 1980 will be known for its juxtaposition of four different themes in one short, pithy volume. Even if one may disagree with the authors’ choice of the four dimensions of change, the book’s dominant message is that India is changing across a whole range of policies and arenas.

The 1999 Repeal Of Glass-Steagall: The Effect On U.S. Commercial Banks, Ryan Michael Daddi

Renée Crown University Honors Thesis Projects - All

The Great Recession of 2008-2009 was one of the most devastating financial crises of our history. The extent with which the recession plagued our financial system and affected everyday citizens created an immediate search for answers as to what had happened. Many experts pointed at the 1999 repeal of the Banking Act of 1933 (commonly referred to as Glass-Steagall) as a possible cause of increased risk-taking in the financial system. After the Great Depression, Glass-Steagall was enacted to separate commercial banking from investment banking, the combination being seen as a cause for the worst financial crises in history.

With the …

Willy Brandt’S Ostpolitik: The Changing Role In United States-West German Relations, An Analysis Of United States Government Internal Documents, Sara A. Popovich

Scripps Senior Theses

This thesis analyzes a crucial period in the relations between the Federal Republic of Germany and the United States of America, through the use of US government internal documents. Willy Brandt brought forth a new vision of Ostpolitik that was starkly different from policies that the US had dealt with before, subsequently leaving the Nixon Administration largely unsure of how to react. The change in FRG economic positioning vis-à-vis the United States, and catalyst political events in the 1960’s, created the impetus for Brandt’s vision of OStpolitik, which culminated in the interim West German control of the Western Alliance’s Eastern …

Capitalism And The Science Of History: Appleby, Marx, And Postmodernism, Patrick D. Anderson

Grand Valley Journal of History

Joyce Appleby has written an extensive amount on the origins and development of capitalism, but her work is influenced by her belief that history is a science with at least some objectivity. She rejects Marxism as a relic of past historians with naïve beliefs about finding the laws of nature, but she also rejects postmodern criticisms of history because they undermine any chance for objectivity. Appleby believes the historian can be objective even if politics necessarily colors his or her work. For Appleby, her support of capitalism leads her to make policy recommendations with her historiography, recommendations that change with …

What Determines Public Pension Investment Risk-Taking Policy, Nancy Mohan, Ting Zhang

Economics and Finance Faculty Publications

State public pension plans, mostly defined benefit plans, cover pension benefits for 12.8 million active public employees and 5.9 million retirees and other annuitants. However, by the end of 2009, public pension plans had accumulated a total funding deficit of $697 billion (measured by the difference between actuarial pension assets and liabilities). On average, public pension funds cover 75 percent of their liabilities, but individual state results vary greatly.

The 2008 stock market crash strongly affected pension asset value in that equity allocation on average accounted for 56 percent of invested assets. The average 2009 pension asset beta of 0.63 …

Fair Value Accounting: How Bad Decisions Bring Blame To Beneficial Accounting Procedures, Thomas John Ciulla

Senior Honors Theses

The Great Recession has sparked a debate amongst accounting professionals and economic analysts. There has been a concerted effort to blame fair value accounting and FAS 157 as the recession’s root cause and an attempt to challenge FASB to return to the historic cost principle. This paper examines the guidelines and procedures for mark to market as established by FASB, observes the events leading up to the recession, conditions that materialized at the start of the recession, evaluates the role fair value played in the financial crisis, and considers how fair value should be used in the future.

Antitrust Energy, D. Daniel Sokol, Barak Orbach

UF Law Faculty Publications

Marking the centennial anniversary of Standard Oil Co. v. United States, we argue that much of the critique of antitrust enforcement and the skepticism about its social significance suffer from “Nirvana fallacy” — comparing existing and feasible policies to ideal normative policies, and concluding that the existing and feasible ones are inherently inefficient because of their imperfections. Antitrust law and policy have always been and will always be imperfect. However, they are alive and kicking. The antitrust discipline is vibrant, evolving, and global. This essay introduces a number of important innovations in scholarship related to Standard Oil and its modern …

The Upside Of Government Default, Jeffrey Rogers Hummel

Faculty Publications

No abstract provided.

Upjohn Institute Policy Paper: Public Pension Crisis And Investment Risk Taking: Underfunding, Fiscal Constraints, Public Accounting, And Policy Implications, Nancy Mohan, Ting Zhang

Economics and Finance Faculty Publications

Public pension funds that cover retirement benefits for almost 20 million active or retired employees have been significantly underfunded. An important, though largely overlooked, issue related to pension underfunding is the excessive investment risk levels assumed by public plans. Our analysis suggests government accounting standards strongly affect public fund investment risk, as higher return assumptions (used to discount pension liabilities) are associated with higher investment risk.

Public funds undertake more risk if they are underfunded and have lower investment returns in previous years, consistent with the risk transfer hypothesis. Furthermore, pension funds in states facing fiscal constraints allocate more assets …

A Contract For The Advance Sale Of Wine, Scott Gallimore

Archaeology and Heritage Studies Faculty Publications

Edition of a sale of wine in advance from Byzantine Egypt (P.Vindob. inv. G 40267). Notable features include the guarantee clause and the supply of jars by the seller, both of which are put in a wider context.

The Gettysburg Economic Review, Volume 6, Spring 2012

Gettysburg Economic Review

No abstract provided.

The Rise Of American Industrial And Financial Corporations, Elizabeth A. Laughlin

Gettysburg Economic Review

This paper identifies and analyzes the steps the United States took in its progression to an industrial nation. Launched by the merger movement in the late nineteenth century, vertical and horizontal integration lead to trusts and monopolies in a number of industries. Simultaneously, the labor market was undergoing a number of reforms with the deskilling of workers. The rise of big business was made possible through the growth of the financial sectors and companies such as J.P Morgan. The case study of The Standard Oil Co. highlights the wealth and power that robber barons such as J.D. Rockefeller held during …

Japan As A Clean Energy Leader, Stefan N. Norbom

Gettysburg Economic Review

Over the past several decades, Japan’s energy strategy had positioned it as the world’s leader in clean and efficient electricity production and usage. This strategy, heavily dependent on nuclear energy, was essentially destroyed by one of history’s largest earthquakes, followed by a tsunami which overwhelmed five nuclear reactors on March 11, 2011. As of April 2012, all of Japan’s 54 nuclear reactors have been shut down and it is uncertain when and how many may be restarted. This paper examines Japan’s options for crafting a new way forward with an energy policy to power the world’s third largest economy while …

Finanzkapital And Consumers: How Financialization Shaped Twentieth Century Marketing, Nikhilesh Dholakia

College of Business Faculty Publications

Purpose – By tracing the history of the links of financialization to consumer behaviors and marketer actions in the twentieth century, this paper aims to show that consumer market phenomena are often shaped by the imperatives of finance.

Design/methodology/approach – The paper employs selective historical overviews, mainly focusing on the USA, of four tranches of the past century: the run up to the Great Depression; from post-Depression to the Second World War; the post-Second World War Bretton Woods system and its collapse in the 1970s; and the increasingly risk-charged last three post-Bretton Woods decades of the twentieth century.

Findings – …

Some Possible Consequences Of A U.S. Government Default, Jeffrey Rogers Hummel

Faculty Publications

The U.S. government faces a looming fiscal crisis. A default on Treasury securities appears inevitable. The short-run consequences for the economy will be painful. But the long-run consequences, both economic and political, could be beneficial. The most important long-run political benefit would be the imposition of fiscal discipline. The long-run economic benefit would be the alleviation of the future tax liabilities required to service the national debt, irrespective of whether those liabilities are correctly anticipated or not. A historical examination of the state government defaults of the 1840s provides one case study where the long-run consequences were indeed salutary.

An Attempt To Reshape Capitalism’S Image, Ross A. Nichols

Gettysburg Economic Review

John Stuart Mill claimed to be a disciple of both Jeremy Bentham and David Ricardo. This was a strange proclamation because each man advocated a competing theory of value; Bentham’s utilitarianism laid the foundation for the utility theory of value and Ricardo developed the labor theory of value. Mill’s goal in attempting to unify these theories of value was to provide a solution for the growing class conflict that plagued capitalism. Class conflict arose as feudalism was phased out and industrial capitalism replaced merchant capitalism as the dominant economic system. The Corn Laws symbolized this competition between classes. Capitalists were …

The Impact Of Institutional Arrangements On Educational Efficiency, Trevor Collier

Economics and Finance Faculty Publications

Per-pupil expenditures on education in the United States have grown immensely in recent decades, yet student achievement has been stagnant. An abundance of research has sought to solve this enigma, much of it centered on the incentive structure facing administrators. Some recent papers use TIMSS data to analyze the relationship between institutional arrangements—that typically do not vary within a single country—and student achievement. Similarly, we utilize TIMSS 1999 to determine if there is an indirect relationship between institutional arrangements and student achievement, via a relationship with school efficiency. Our results show that the specified link between institutional arrangements and student …

The Herodotus Paradox, Michael R. Baye, Dan Kovenock, Casper G. De Vries

Economics Faculty Articles and Research

The Babylonian bridal auction, described by Herodotus, is regarded as one of the earliest uses of an auction in history. Yet, to our knowledge, the literature lacks a formal equilibrium analysis of this auction. We provide such an analysis for the two-player case with complete and incomplete information, and in so doing identify what we call the 'Herodotus paradox.'

An Attempt To Reshape Capitalism’S Image, Ross A. Nichols

Student Publications

John Stuart Mill is an extremely interesting figure in the history of economics. He was known for his eclecticism and his views on economic theory can best be described as self-contradictory. In this vein was his attempt to formulate a theory of value. Claiming to be a disciple of both Bentham (utility theory of value) and Ricardo (labor theory of value), he sought to combine two rivalry theories of value. While Mill’s attempt ultimately proved futile, it was not because he could not make up his mind. Mill wanted to reshape capitalism’s image. He wanted to reform capitalism, to show …

The Private Business Of Porfirio Dí­Az And The Early Modernization Of Mexico, 1876-1911, Jorge H. Jimenez

Open Access Theses & Dissertations

Porfirio Dí­az came to power in 1876 and ruled Mexico for over three decades. This period has been known as the Porfiriato. Mexico's economy became part of the modern global market and the country experienced a process of industrialization, the rise of foreign trade, the expansion of communications, and the emergence of new social classes. These series of economic and social transformations have been linked with the country's early modernization.

My dissertation contributes new insights into Mexico's process of modernization and shows how this transformation brought the rise of an entrepreneurial class under Porfirio Dí­az guidance and leadership. My dissertation …

Yankee Whaling In The Caribbean Basin: Its Impact In A Historical Context, Aldemaro Romero Jr.

Publications and Research

No abstract provided.

Internal Communication In Ireland Before And During The Economic Recession From The Perspective Of Communication Practice, Technology, And Ethics, Laoise O'Murchú

Doctoral

Internal communication in Ireland from the ‘celtic tiger’ era through to the economic
recession from the perspective of: communication practice, technology and ethics.
This thesis examines the practice of internal communication in Irish public and
private sector organisations during 2007/8 and 2010. This period spans the end of
Ireland’s ‘celtic tiger’ economy and the development of a major recession. All the
case study organisations have been affected by the credit crunch and are experiencing
economic, financial and ethical challenges.
The practices of internal communication in Ireland has evaded in depth academic
examination in communications literature. Therefore, the contribution to knowledge …

Argentinians Have Learned That An Active State Is Needed To Regulate Markets: Interview With Anwar Shaikh (Article In Spanish), Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Torino, Manuel. 2012. Los argentinos han aprendido que es necesario un estado activo que regule los mercados: Interview with Anwar Shaikh. El Cronista, Ortodoxos vs. Heterodoxos section. Buenos Aires: El Cronista.
• Simonde de Sismondi, J.-C.-L. 1991. New principles of political economy: Of wealth in its relation to population, translated by Richard Hyse, excerpt from second book, chapter five, "Division of the national income between different classes of citizens," with translator's notes by Richard Hyse. New Brunswick, New Jersey: Transaction Publishers.

The Potential Application Of Weather Derivatives To Hedge Harvest Value Risk In The Champagne Region Of France, Andrew W. Yandell

CMC Senior Theses

In Champagne, France grape growers and and winemakers work together to make the world's most iconic sparkling wine. Part of what makes Champagne so celebrated is its reputation for constant quality: only the best grapes are used to make wine. In poor vintage years, grape growers sell less grapes to winemakers; poor vintages are the result of bad weather. This presents the opportunity for grape growers to hedge the risk of poor weather and resulting lower harvest values with weather derivatives. This study explores the potential for grape growers to trade them to effectively hedge against low harvest values by …

"Sell Or Slaughter": The Economic And Social Policies Of German Reunification, Saraid L. Donnelly

CMC Senior Theses

This paper looks at the struggles faced by German policymakers in the years following reunification. East Germany struggled with an immediate transformation from a planned economy to a social market economy, while West Germany sent billions of Deutsche Marks to its eastern states. Because of the unequal nature of these two countries, policymakers had to decide on what they would place more emphasis: social benefits for the East or economic protection for the West. The West German state-level, Federal Government and the East German governments struggled in finding multilaterally beneficial policies. This paper looks at the four key issues of …