This paper reviews briefly the arguments for capital market liberalization, and identifies their
theoretical and empirical weaknesses. This provides the foundations for the argument for …

The financial system could help achieve the global climate targets by aligning investments to
sustainability. However, investors are largely exposed to carbon-intensive assets that could …

In the standard economic treatment of the principal-agent problem, compen-sation systems
serve the dual function of allocating risks and rewarding pro-ductive work. A tension …

The definitive textbook on public finance—now back in print for the first time in years This
classic introduction to public finance remains the best advanced-level textbook on the …

This article examines how addressing climate-related risks and supporting mitigation and
adaptation policies fit into central bank mandates. We conduct an analysis of mandates and …

The research for which George Akerlof, Michael Spence, and I are being recognized is part
of a larger research program which today embraces a great number of researchers around …

Macroeconomic models often assume that the choices of all the diverse agents in one sector—
consumers for example—can be considered as the choices of one “representative” standard …

This paper provides a critique of the DSGE models that have come to dominate
macroeconomics during the past quarter-century. It argues that at the heart of the failure …

Designing policy for climate change requires analyses which integrate the interrelationship
between the economy and environment, including: the immense risks and impacts on …

This paper uses information on individual loan contracts to study the effects of government
ownership on bank lending behavior. State-owned banks charge lower interest rates than …