Logical Analysis Report

Key Focus

But now policymakers need to take a step back and consider which forms of stimulus are really needed, and which risk doing more harm than good.
NEW YORK - Governments around the world are responding forcefully to the COVID-19 crisis with a combined fiscal and monetary response that has already reached 10% of global GDP. Yet according to the latest global assessment from the United Nations Department of Economic and Social Affairs, these stimulus measures may not boost consumption and investment by as much as policymakers are hoping.
While many recent proposals for reforming capitalism would substantially change the way our economies operate, they do not fundamentally alter the narrative about how market economies should work; nor do they represent a radical departure for economic policy
Clearly, bank credit alone is not going to lead us out of the current economic stalemate.
Making matters worse, today's excess liquidity may carry a high social cost. Beyond the usual fears about debt and inflation, there is also good reason to worry that the excess cash in banks will be funneled toward financial speculation

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Complex Event Analysis(Read more)

High Level Topics

LIQUIDITY

GOVERNMENTS

ECONOMIC

High Level Abstractions

LIQUIDITY(3, 0 Order)

( LIQUIDITY )(3, 0 Order) top

( LIQUIDITY, ECONOMIC )(2, 1st Order) top

( LIQUIDITY, BANKS )(3, 1st Order) top

( LIQUIDITY, BANKS, ECONOMIC )(2, 2nd Order) top

( LIQUIDITY, BANKS, SIT )(1, 2nd Order) top

( LIQUIDITY, BANKS, GOVERNMENTS )(1, 2nd Order) top

( LIQUIDITY, BANKS, GLOBAL )(1, 2nd Order) top

( LIQUIDITY, BANKS, ECONOMIES )(1, 2nd Order) top

( LIQUIDITY, BANKS, COVID-19 )(1, 2nd Order) top

( LIQUIDITY, BANKS, UNITED_NATIONS_DEPARTMENT )(1, 2nd Order) top

( LIQUIDITY, SIT )(1, 1st Order) top

( LIQUIDITY, GOVERNMENTS )(1, 1st Order) top

( LIQUIDITY, GLOBAL )(1, 1st Order) top

( LIQUIDITY, ECONOMIES )(1, 1st Order) top

( LIQUIDITY, COVID-19 )(1, 1st Order) top

( LIQUIDITY, UNITED_NATIONS_DEPARTMENT )(1, 1st Order) top

GOVERNMENTS(3, 0 Order)

( GOVERNMENTS )(3, 0 Order) top

( GOVERNMENTS, GLOBAL )(1, 1st Order) top

( GOVERNMENTS, ECONOMIES )(1, 1st Order) top

( GOVERNMENTS, ECONOMIC )(1, 1st Order) top

( GOVERNMENTS, COVID-19 )(1, 1st Order) top

( GOVERNMENTS, VOUCHERS )(1, 1st Order) top

( GOVERNMENTS, VARIOUS )(1, 1st Order) top

( GOVERNMENTS, UNITED_NATIONS_DEPARTMENT )(1, 1st Order) top

( GOVERNMENTS, SPENDING )(1, 1st Order) top

ECONOMIC(2, 0 Order)

( ECONOMIC )(2, 0 Order) top

References

( LIQUIDITY ) top
( LIQUIDITY, ECONOMIC ) top
(Read more) top... Governments around the world are responding forcefully to the COVID-19 crisis with a combined fiscal and monetary response that has already reached 10% of global GDP. Yet according to the latest global assessment from the United Nations Department of Economic and Social Affairs, these stimulus measures may not boost consumption and investment by as much as policymakers are hoping.
While many recent proposals for reforming capitalism would substantially change the way our economies operate, they do...
(Read more) topClearly, bank credit alone is not going to lead us out of the current economic stalemate.
Making matters worse, today's excess liquidity may carry a high social cost. Beyond the usual fears about debt and inflation, there is also good reason to worry that the excess cash in banks will be funneled toward financial speculation
( LIQUIDITY, BANKS ) top
( LIQUIDITY, BANKS, ECONOMIC ) top
(Read more) top See ( LIQUIDITY , ECONOMIC )
( LIQUIDITY, BANKS, SIT ) top
(Read more) topMuch of the money that households and businesses receive in the form of stimulus checks will probably sit idle in their bank accounts, owing to anxieties about the future and a broader reduction in spending opportunities. At the same time, banks will likely have to sit on the excess liquidity, for lack of credit-worthy borrowers willing to take out fresh...
( LIQUIDITY, BANKS, GOVERNMENTS ) top
(Read more) top
During the initial shock from COVID-19, it was understandable that governments and central banks would respond with massive injections of liquidity. But now policymakers need to take a step back and consider which forms of stimulus are really needed, and which risk doing more harm than good.
NEW YORK - Governments around...
( LIQUIDITY, BANKS, GLOBAL ) top
(Read more) top
NEW YORK - Governments around the world are responding forcefully to the COVID-19 crisis with a combined fiscal and monetary response that has already reached 10% of global GDP. Yet according to the latest global assessment from the United Nations Department of Economic and Social Affairs, these stimulus measures may not boost consumption and investment by as much as policymakers are hoping.
While many recent...
( LIQUIDITY, BANKS, ECONOMIES ) top
(Read more) top
While many recent proposals for reforming capitalism would substantially change the way our economies operate, they do not fundamentally alter the narrative about how market economies should work; nor do they represent a radical departure for economic policy
( LIQUIDITY, BANKS, COVID-19 ) top
(Read more) top
During the initial shock from COVID-19, it was understandable that governments and central banks would respond with massive injections of liquidity. But now policymakers need to take a step back and consider which forms of stimulus are really needed, and which risk doing more harm than good.
NEW...
( LIQUIDITY, BANKS, UNITED_NATIONS_DEPARTMENT ) top
(Read more) top
NEW YORK - Governments around the world are responding forcefully to the COVID-19 crisis with a combined fiscal and monetary response that has already reached 10% of global GDP. Yet according to the latest global assessment from the United Nations Department of Economic and Social Affairs, these stimulus measures may not boost consumption and investment by as much as policymakers are hoping.
While many recent proposals for reforming capitalism would substantially change the way our economies operate,...
( LIQUIDITY, SIT ) top
(Read more) top See ( LIQUIDITY , BANKS , SIT )
( LIQUIDITY, GOVERNMENTS ) top
(Read more) top See ( LIQUIDITY , BANKS , GOVERNMENTS )
( LIQUIDITY, GLOBAL ) top
(Read more) top See ( LIQUIDITY , BANKS , GLOBAL )
( LIQUIDITY, ECONOMIES ) top
(Read more) top See ( LIQUIDITY , BANKS , ECONOMIES )
( LIQUIDITY, COVID-19 ) top
(Read more) top See ( LIQUIDITY , BANKS , COVID-19 )
( LIQUIDITY, UNITED_NATIONS_DEPARTMENT ) top
(Read more) top See ( LIQUIDITY , BANKS , UNITED_NATIONS_DEPARTMENT )
( GOVERNMENTS ) top
( GOVERNMENTS, GLOBAL ) top
(Read more) top See ( LIQUIDITY , BANKS , GLOBAL )
( GOVERNMENTS, ECONOMIES ) top
(Read more) top See ( LIQUIDITY , BANKS , ECONOMIES )
( GOVERNMENTS, ECONOMIC ) top
(Read more) top See ( LIQUIDITY , ECONOMIC )
( GOVERNMENTS, COVID-19 ) top
(Read more) top See ( LIQUIDITY , BANKS , COVID-19 )
( GOVERNMENTS, VOUCHERS ) top
(Read more) top
Governments also should consider issuing spending vouchers to stimulate household consumption. This is already happening in China, where local governments across 50 cities are issuing digital coupons that can be used to buy various goods and services within a certain timeframe
( GOVERNMENTS, VARIOUS ) top
(Read more) topThis is already happening in China, where local governments across 50 cities are issuing digital coupons that can be used to buy various goods and services within a certain timeframe.
( GOVERNMENTS, UNITED_NATIONS_DEPARTMENT ) top
(Read more) top See ( LIQUIDITY , BANKS , UNITED_NATIONS_DEPARTMENT )
( GOVERNMENTS, SPENDING ) top
(Read more) top
Governments also should consider issuing spending vouchers to stimulate household consumption. This is already happening in China, where local governments across 50 cities are issuing digital coupons that can be used to buy various goods and services within a certain timeframe
( ECONOMIC ) top
(Read more) top... Governments around the world are responding forcefully to the COVID-19 crisis with a combined fiscal and monetary response that has already reached 10% of global GDP. Yet according to the latest global assessment from the United Nations Department of Economic and Social Affairs, these stimulus measures may not boost consumption and investment by as much as policymakers are hoping. While many recent proposals for reforming capitalism would substantially change the way our economies operate, they...
(Read more) topThis massive increase in bank reserves suggests that the stimulus policies implemented so far have had a low multiplier effect. Clearly, bank credit alone is not going to lead us out of the current economic stalemate. Making matters worse, today's excess liquidity may carry a high social cost. Beyond the usual fears about debt and inflation, there is also good reason to worry that the excess cash in banks will be funneled toward financial...