Business Economics

Professional journal of the National Association of Business Economists covering topics such as macro and microeconomics, monetary and fiscal policy, business forecasting, international economics, and deregulation.

Articles from Vol. 45, No. 2, April

Aiming beyond the Box: Bringing out Economists' Transferable Skills
In recent years, I have had the opportunity to teach undergraduate students preparing to enter the professional world on academic internships. For individuals with considerable work background, today's rocky business environment is bringing challenges...
A Tale of Two Crises: One We Missed and One We Can't Afford To
The current economic crisis seems to be waning, largely due to effective federal government and Federal Reserve responses. Economists deserve credit for helping to avoid the abyss, but we failed to predict the crisis and warn policymakers so that the...
Fool's Gold: How the Bold Dream of a Small Tribe at J.P. Morgan Was Corrupted by Wall Street Greed and Unleashed a Catastrophe
All agree that the global financial crisis precipitated the recession of 2007-09. Few agree on what caused that crisis. Some revile villains: regulators and bank managers too lazy to do their jobs, greedy traders, mortgage salesmen, and investment...
From the Editor
If an extra-terrestrial should visit earth, that individual could reasonably infer from the popular and semipopular print and electronic media of the last year or so that all economics is domestic macroeconomics. Most other applied economics topics--international...
Indoor Climate Control: The Global Demand for Heating, Ventilating, and Air-Conditioning Equipment
World demand for heating, ventilating, and air-conditioning (HVAC) equipment is expected to rise in absolute terms during the current five-year period, but the rate of growth is slowing. However, growth is still in excess of that recorded by both global...
Inflexible Wages and Prices? Evidence in the Current Recession
The 2008/9 recession period brought the most massive and quickest response of fiscal and monetary policy in modern economic history. At the same time, small businesses (that produce half of private GDP) exhibited the most rapid adjustments in wages,...
Stress Testing Economic Data
The recent economic crisis has highlighted significant weaknesses in our economic and financial indicators. This paper documents what the crisis has revealed regarding some of the more critical shortcomings of our existing statistical infrastructure,...
The Impact of the Housing Market Boom and Bust on Consumption Spending
While econometric evidence for the United States has consistently shown that increases in real estate wealth induce additional consumption, it does not directly speak to the effect of a substantial decrease in real estate wealth. This paper examines...
The Sellout: How Three Decodes of Wall Street Greed and Government Mismanagement Destroyed the Global Financial System, the Greatest Trade Ever: The Behind-the-Scenes Story of How John Paulson Defied Wall Street and Made Financial History
There have already been a half-dozen or more books published about the global credit crisis of 2007-09, in an age when retrospectives of crises appear at the speed of thought. Of these two, Gasparino's is the far more carefully researched and compiled...
Three Simple Techniques to Analyze a Complex Economic Phenomenon: The Case of Profits
This paper seeks to characterize the behavior of profits over the business cycle as a model for analyzing any economic series by a practicing business economist. It addresses three fundamental questions about profits that are common and critical to...
Victorian Financial Crises and Their Implications for the Future
Banking crises were a relatively common occurrence in 19th century England. Like the Federal Reserve today, the Bank of England struggled to quell panics by acting as the lender of last resort, while at the same time maintaining monetary stability....