Prime, Policy Research in Macroeconomics

What is the Single Market?Last week a cross-party group of MPs tabled an amendment to the Queen’s Speech calling on the government to commit to staying in the EU single market.  As a result of their support for the unsuccessful amendment, three Labour shadow cabinet members were forced to resign.The amendment revealed a possible confusion by its supporters about the nature of the single market and the European Union.  The wording of the amendment, which includes no reference...

The EU’s hugely complex banking resolution framework is generally supposed to have one key goal – to ensure that failing banks are ‘resolved’ without recourse to public bail-outs, thereby breaking the link between private banks and sovereigns…  The reality, we have seen today, is quite different – and, it seems, legal!  The EU can just about argue that technically, the rules have not been broken - but overall, the appearance is of a policy in logical disarray once again.After...

What has the horror at Grenfell Tower to do with economists? And what have the lives lost at Grenfell Tower to do with the government’s budget deficit?  A great deal, I will argue here. When on Twitter a few days ago I raised the issue of the shared responsibility that economists have for this ghastly tragedy, I was attacked....

Labour’s shock success in the “snap” general election left poll takers more than slightly embarrassed (except YouGov and Survation), and political commentators scrambling to cover their backsides.  In their struggle to adjust to a resurgent Labour Party led by the “unelectable” Jeremy Corbyn, the nominal progressives among the...

The agenda of austerity economics is supplemented with the sale of public assets via privatisation programmes. Neoliberal dogma argues that this ‘structural reform’ aims at ‘reducing the government’s deficit and debt’ and to induce ‘competitiveness’. Orwell would have been impressed by this exercise of doublespeak.Classical thinkers such as Adam Smith and John Stuart Mill viewed State assets such as ports, water, electricity, railway companies, the hospitals and the...

This article is co-authored by Ann Pettifor and Jeremy SmithOur “Open Letter” published yesterday has been welcomed widely. In this post, we want to respond to the constructive comments and queries made about the practicality of our proposed strategy, particularly around our ideas for the process of engagement with the EU. First, we want to underline: Brexit negotiations with EU partners are due to begin in a few days. There is great urgency, therefore, for Labour to develop...

This article is co-authored by Ann Pettifor and Jeremy SmithAfter an exhausting and successful national campaign, it is hard for campaign strategists to think of next steps. But we are at a critical historical juncture, and a range of opportunities present themselves. Choosing the right political and economic strategy now is vital. Here’s a proposal. Labour should pursue two major complementary policy goals. The first: to end austerity, and implement a Green New Deal across...

In a recent interview, Theresa May was asked by Andrew Neil how the Conservatives would fund their manifesto commitments on NHS spending. Given that the Conservatives chose not to cost their manifesto pledges, May was unable to answer. Instead she simply repeated that the Conservatives are the only party that can deliver the economic growth and...

The Financial Times’ economics editor, Chris Giles, has had a busy few days. He has written several interesting articles, covering the absence of “the deficit” as a big election issue (as a hawk he’s really not happy about that), the OECD’s new forecast for the UK economy, and the marked similarities between the economies of...

Today's Observer newspaper (4th June), publishes a letter signed by 130 economists, under the heading "Labour’s manifesto proposals could be just what the economy needs".  We felt it important to reproduce the contents of the letter here, together with the full list of signatories (who include PRIME's directors Ann Pettifor and Jeremy Smith, and...