Leading academics in economics, management, and behavioural science, and leaders in major London businesses took part in a roundtable discussion in which they shared insights and ideas on how businesses can meet and adapt to the profound challenges presented by the COVID-19 pandemic. The event, hosted jointly by LSE and the Confederation of Business Industry (CBI), took place on […]
The rise of China to the status of economic superpower has been the dominant narrative of the last three decades. China’s rise as the main feature of globalisation, in conjunction with a beneficial sweet spot in demography, drove output up and inflation down in the advanced economies. But these trends are now reversing. China’s economic success depended on many […]
You have almost certainly heard of monopoly, but less likely to have heard of monopsony. The literal definition of monopoly is a situation where there is only one seller of a product; though the term is used more loosely to refer to the case where there are a few sellers and not much competition between them. They have what […]
The Covid-19 pandemic has already proven to be a worse negative shock to the economy than most of us anticipated when lockdown commenced.
The chancellor’s furlough scheme and summer package of support for jobs were well-timed and have saved many jobs. But these packages do not amount to a macroeconomic response and have not stopped unemployment rising rapidly. A sharp […]
With Boris Johnson’s launch of his “New Deal” and Michael Gove’s speech on “the privilege of public service”, the government has made clear its intention to press ahead with the domestic agenda of “levelling-up” and reform of government on which it was elected. There was little surprise in either announcement, with all of the elements to be found previously […]
The writing on the wall from the Covid-19 pandemic is the critical role that detecting, tracing, and containing contagion for infectious diseases can play in saving lives across the globe. Yet, the World Health Organization’s hobbled and weak handling of the crisis has left a lot to be desired. The W.H.O. has arguably failed to weather this crisis, but […]
When the pandemic has passed into history, what will be its implications for the role of the state in our economy? Some think it will (or should be) the replacement of one -ism with another. But to see the issues we face next through the prisms of an -ism could prove more of a prison than a roadmap. Ours […]
The Covid-19 crisis is already inflicting serious damage on both the UK and the global economy. This raises questions on the appropriate policies for a strong and sustainable recovery, contributing to global efforts to avoid a depression, and delivering on overarching governmental objectives, including reaching net-zero emissions and reducing inequalities across and within regions. On 14 May 2020, the […]
The UK and the world have been transformed by the Covid crisis. Beyond its tragic human costs and loss of life, the pandemic and the necessary lockdowns have resulted in a sharp contraction of aggregate demand, supply disruptions, loss of revenues for many service sector businesses and unprecedented increases in unemployment.
The demand, output and employment impacts are expected to […]
The Covid-19 pandemic and lockdown have highlighted the need for real-time data to understand the spread of the disease, identify vulnerable groups and design policies to mitigate the health and economic fallout of the crisis. While several new efforts to collect individual data are being made (Adams et al., 2020), data on businesses is more limited.
A relatively under-utilised source […]
The current Covid-19 outbreak is raising a number of growing concerns about the UK economy and its capacity to cope with the current situation and recover in the near future. One particular area of concern, in the UK and elsewhere, is related to international trade, i.e., trade of goods and services across countries. More specifically, the World Trade Organisation […]
Social distancing measures during the coronavirus pandemic has given a new meaning to the problem of low social mobility. But make no mistake: the long term reverberations of the crisis will likely exacerbate the divide in life chances between the poor and privileged. Covid-19 has the scope to increase the toxic mix of rising economic and education inequality that […]
The coronavirus (Covid-19) pandemic is first and foremost one of the gravest health crises of the past hundred years, threatening to generate millions of premature deaths worldwide. But it also represents a major – and unusual – challenge for economic policymakers.
In most economic downturns, the appropriate policy response is qualitatively straightforward, if sometimes difficult to calibrate or implement. For […]
We are in a very difficult situation. But I do believe that if we handle it right we can come out of this better than we went into it. We can come out of it with a society in which people are caring more for each other and in which they are taking better care of themselves.
So, let me […]
Thomas Jefferson said that ‘The care of human life and happiness… is the first and only legitimate object of good government.’ We agree with him, as did the LSE’s main architects – the Webbs and William Beveridge. So too do an increasing number of policymakers worldwide: only last October, the European Union’s Council of Ministers requested that all of […]
The UK has seen slow rates of productivity growth over the past decade, with output per hour and real wages no higher today than they were prior to the global financial crisis. The February 2020 Centre for Macroeconomics (CFM) survey asked its panel of top UK economists about the causes of and possible policy responses to slow growth in UK […]
Increased levels of global trade integration, especially driven by the rise of China, have led to a fierce public debate about the winners and losers from international trade. Recently, calls for protectionism have become louder in many countries, leading to a backlash against globalisation (OECD 2017).
When it comes to firms, the increase in import competition has led researchers to […]
Technical change is disrupting many labour markets and is re-shaping the world of work. A widespread fear is that new technologies generate winner-take-all labour markets that benefit a small group of superstars, at the expense of the majority of the workforce. These so-called “superstar effects” arise when technologies open up bigger markets and make it possible to reach consumers […]
Britain has left the European Union (EU). The loss I feel is almost as much as when my father died, almost a quarter of a century ago. He was 16 when he came to Britain with my grandfather, who was a South African political refugee. After completing his UK national service, he married the daughter of a Merseyside dockworker. […]
UK’s labour market continues to show resilience – but all is not as rosy as it seems. A recent analysis of labour market trends by The Institute for the Future of Work reveals strengths and weaknesses that should help plans to ‘level up’ the regions. The analysis supports the case for increased devolution; ‘mega-city’ networks connecting cities with surrounding […]