By Sergio CesarattoA debate has developed in Europe (on Vox.eu and elsewhere) on the fiscal costs related to the interest payments that central banks in the eurozone are bestowing on commercial banks, a result of the way monetary policy is currently conducted. The implementation of monetary policy currently revolves around the ECB’s direct control of the interest rate paid on an abundant excess of bank reserves (relative to mandatory reserve requirements) (see Cesaratto 2020, chapter 7)....
Read More »Neoliberalism Resurgent in Argentina
Extended post with Sergio Cesaratto on the website of Brave New Europe. A comparison of dollarization with some of the effects of the euro, and the similarities and differences between Argentina and Southern European countries.
Read More »A common currency for the Mercosur
Actual proposal by Haddad and Galípolo at Folha de São PauloLula's visit to Argentina, during the Community of Latin American and Caribbean States (CELAC) meeting, brought about a brief discussion of the possibility of a common currency. I have discussed here (as well as many guest bloggers) both currency unions, in particular the euro, and it's consequences. Note that the FT piece linked suggested that the common currency was the first step in a long process. I doubt it, in part because,...
Read More »Contra Euro 2/n
The Eurozone is not an optimum currency area. The Euro as such was a bad idea to begin with. Notably, this was the standard view of US economists. The North American argument (originating in Canada) was that a currency should be used in an area within which people are willing to move to get a job. The original argument was that the US dollar zone and Canadian dollar zone were not optimal areas and that Western Canada should have the same currency as...
Read More »Contra Euro 1/N
I have discovered that there are still people who think that adopting the Euro was a good idea, or at least not a bad idea, or at least not a catastrophe. They seem to have decided that the Greek fiscal tragedy is a minor issue. I will leave it out of the discussion. My view is that the Euro *and* the Stability and Growth Pact have worked together to endanger the project of European integration. There are strange developments of far right,...
Read More »Presentazione Sei lezioni di economia
Presentazione delle Sei lezioni di economia presso il Circolo Dossetti di Milano (tanto per distrarsi coi vecchi problemi). In basso nella pagina è possibile individuare i diversi spezzoni. Il libro tira ancora tanto in libreria a due anni e mezzo dall'uscita (come prodotto di nicchia, per intenderci) https://www.circolidossetti.it/sergio-cesaratto-sei-lezioni-di-economia/
Read More »Il triste anniversario di Maastricht
Da Micromega del 4 febbraio 2022 (versione inglese Brave New Europe) Il triste anniversario di Maastricht Sergio Cesaratto La flessibilità dei mercati e lo scioglimento dei lacci e lacciuoli sono stati gli strumenti giusti per la crescita economica dei Paesi europei? Il bilancio di tre decenni del Trattato di Maastricht e dei suoi precetti liberisti non è commendevole. E dovrebbe far riflettere tutti, specie a sinistra....
Read More »Maastricht: nessun prosecco
Da Brave New Europe, 1 febbraio 2022Sergio Cesaratto – The anniversary of Maastricht: little to celebrate The Maastricht Treaty was signed on 9 February 1992. Thirty years later it is responsible for much suffering, inequality, and poverty within the fragile eurozone. Sergio Cesaratto teaches European monetary and fiscal policies at the University of Siena. He is author of Heterodox Challenges in Economics – Theoretical Issues and the Crisis of...
Read More »Video della presentazione delle Sei lezioni sulla moneta (starring Maurizio Zenezini)
Video presentazione 18 dicembre 2021.oppure copia e incolla https://www.facebook.com/101082411613150/videos/380739933807905
Read More »On a book by ECB’s economists
An ECB’s Staff Narrative of Two Decades of European Central Banking: a critical review Working Paper n.866 Dicembre 2021Sergio Cesaratto DEPS, USiena Abstract Monetary Policy in Times of Crisis (Rostagno et al. 2021) has three relevant features. The first is its criticism of the absence of an adequate European fiscal policy during the financial crisis. This left the ECB on its own. The second feature concerns the...
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