Stack Exchange Network

Stack Exchange network consists of 174 Q&A communities including Stack Overflow, the largest, most trusted online community for developers to learn, share their knowledge, and build their careers.

Visit Stack Exchange

Questions tagged [economy]

Questions relating to economic theory or economic policy of any country or the international community.

101
votes
21answers
21k views

What is the capitalist answer to automation?

While we are not currently at total automation, we are inching closer. An Oxford Study from 2013 indicates by 2033 upwards of 45% of our job force could be automated. This automation, causing a ...
58
votes
10answers
15k views

What will happen if China stops loaning money to the U.S.?

US's external debt to china is a staggering 1.1 trillion US dollars and according to many economists, it's highly unlikely that U.S. will be able to pay back the entire external debt to China in the ...
82
votes
4answers
15k views

Is there any record of Trickle Down Economics improving the economy?

Since the senate passed the tax bill this month that's left me confused. I try to look at both sides of partisan politics rather than joining one team and hating everything about the other. Now to ...
35
votes
9answers
3k views

Why is economic growth considered so essential, even in rich countries?

Whenever economic growth as a percentage of BNP drops close to zero, economists speak of a recession or even a crisis. In political debate, the focus is quite often on economic growth; in most ...
76
votes
16answers
18k views

What ethical (if any) or economical arguments are offered in defense of the inheritance tax?

Although I am normally quite supportive of higher taxation, I've never really felt comfortable with the inheritance tax. I see no reason why the government should tax the money a parent wishes to ...
50
votes
4answers
17k views

Why has Venezuela's economy collapsed when Cuba's has not?

Cuba and Venezuela seem to share a lot in common. Both are effectively Socialist dictatorships. Cuba's government has been Communist for many years, while Venezuela has been socialist for much less. ...
16
votes
3answers
1k views

Why was having a common currency in the EU seen as necessary?

When it was introduced, the € (Euro) was supposed to be the common currency for the entire EU, even if it turned out many countries (such as the UK) would stay in the EU without using the € currency, ...
14
votes
4answers
2k views

How would the trillion-dollar coin save the United States' economy?

Recently I read in a news post that the Treasury Department is able to order the coinage of a coin made of platinum with a value of 1,000,000,000,000 USD, or 1 trillion US dollars. You can read about ...
7
votes
2answers
293 views

Can copyright be interpreted as a liberal economic policy?

Note: This question refers to liberal as in Liberalism, not as in American Liberalism! As copyright is considered a state-guaranteed monopoly for the creators of works, could it be considered a true ...
16
votes
3answers
7k views

Why do some countries forbid working on Sunday rather than strictly regulating it?

According to this source, Poland will gradually forbid commerce on Sundays: Poland’s ruling party approved a law that will gradually impose a ban on Sunday shopping, meeting the demand of its ...
3
votes
1answer
107 views

How is the employment rate defined for OECD countries?

I have a few question about the employment rate. I'm sure there are different definition but maybe there is a general UN or OECD definition which can be used. I'm interested in precisely how it is ...
91
votes
11answers
28k views

Why is Globalisation so disdained?

From what I can tell via the definition of the word on Google, Globalisation seems like a fairly reasonable course of action. Trade makes everyone better off in the long run, and it isn't as if we ...
30
votes
10answers
9k views

Why do farms need subsidies? [duplicate]

The title is slightly misleading, farms need subsidies because it's difficult to make them financially viable, but... Why do farms in developed countries require state subsidies (CAP in Europe, I ...
27
votes
4answers
15k views

Who was the last US President to oversee a reduction in debt?

As of 2012, the United States currently has ~16 trillion in debt. The last five presidents have all added to the overall debt*. Who is the last US president to decrease the total amount of debt ...
8
votes
1answer
394 views

Is there any evidence that public transport splitting, corporatisation or privitisation affects quality?

In Europe in the last 10–30 years, many public transportation companies have been split up in parts, with some parts corporatised and some parts privatised. This has partly been motivated by an ...
8
votes
4answers
2k views

Why couldn't Russia grow its economy as fast as China did?

Russia has a population comparable to Japan. But, the size of its GDP is below South Korea. Why couldn't Russia grow its economy as fast as China did? What factors prevented Russia from becoming an ...
6
votes
3answers
8k views

Does standard of living correlate with higher education?

This question aims at the correlation between a societies standard of living and standard of formal education. For example, over the past century, America has had the fortune of being a place with a ...
2
votes
3answers
3k views

How can a currency be manipulated?

How can a country manipulate its currency? For example: Canada actively purchases US dollars in an effort to control the US/Canadian rate. What are the ways Canada can use purchased USD to benefit ...
12
votes
7answers
811 views

Do new jobs always contribute to the welfare of a country?

In Sweden, where I live, I often hear politicians argue that it's good when new work opportunities are created, mainly because these will generate tax income for the state that in turn can be used to ...
10
votes
4answers
852 views

Is there any better estimate of the cost of a completed US-Mexico border wall?

First, I realize that this question was asked back in Jan 2017, but it was difficult to obtain useful data because the details of construction were not available. This question arises as a spin-off ...
9
votes
6answers
1k views

What major flaws does this particular Universal Basic Income model have, if any?

On Reddit there's currently a news article titled Chinese factory replaces 90% of human workers with robots. Production rises by 250%, defects drop by 80% This of course brought up the discussion of ...
5
votes
2answers
503 views

Why focus on reduction of public debt when private debt is much larger?

According to the OECD, in The Netherlands, public debt is 78% of GDP and private household debt is 277% of GDP. Eurozone rules require a budget deficit of no more than 3% (not sure if this depends on ...
5
votes
3answers
16k views

What does the US produce?

I have heard several times that the USA has the largest GDP in the world and also the largest economy. But I hardly can remember a single thing made in the US that I ever used. My auto is made in ...
4
votes
1answer
263 views

Would companies having to raise minimum wage to $15 mean raising the prices on their goods a great deal?

If minimum wages are raised to $15 an hour then would these companies that are forced to raise wages not increase their prices exponentially in order to maintain their current profit? And, if this ...
4
votes
1answer
419 views

What prevents a large corporation from subdividing itself in order to avoid internet sales taxes? [closed]

I'm afraid I'm not overly familiar with the bill or the minutiae of it, particularly as a foreigner to US politics. From what I understand, though, US businesses trading online and with annual sales ...
3
votes
2answers
978 views

Why is Turkish Lira sliding?

What is the fundamental reason that Turkish Lira is tumbling down during the last few months? Kindly, explain in layman's terms and in short.
1
vote
1answer
185 views

What if campaign money was used to fund government programs?

I was reading that billions of dollars are raised/spent during US political campaigns (president, senate, etc). I'm no expert in how this all works, but it seems to me that this money is used solely ...
1
vote
2answers
5k views

How do governments stop hyperinflation?

After reading this, I wonder "How can a government stop hyperinflation?" What can other governments do to help? And for completeness, How do governments keep currency stability?
16
votes
4answers
824 views

What are the practical effects of having too large a debt load?

My understanding is that Japan has a debt-to-gdp ratio of approximately 200%. It is considered to be one of the worst in the world. The United States is only in the 100% range. What effects would ...
11
votes
2answers
3k views

Is there a correlation between political system and economic growth?

I would like to know whether there are any pieces of scientific research indicating that some political systems are more likely to produce a large economic growth than others. Which systems are they? ...
9
votes
5answers
1k views

Is there a stated goal in the US “Trade War”?

I'll call it a Trade War, because I don't know that there is a more appropriate phrase. Initially I understood the administration's goal was to stimulate US producers to be more productive, so as to ...
8
votes
1answer
309 views

Why does the Hungarian government want to allow delaying payment for overtime for such a long time (up to three years)?

Protests have broken out in Hungary following the government's desire to increase the overtime limit and payment timeframe for this: Protests have broken out in Hungary after the country's ...
8
votes
2answers
421 views

Are Libertarians for or against prohibitions on insider trading?

Now, unless I'm missing something, I'm fairly certain that Libertarians aren't PRO insider trading. That said, are they for or against rules prohibiting it? Or do they view it kinda like hostile ...
6
votes
1answer
254 views

How were farmers affected by demonetization in India?

In 2016, The India government declared ₹500 and ₹1000 banknotes of the Mahatma Gandhi Series invalid. This announcement led to significant economic disruption. It is said that farmers were affected ...
6
votes
1answer
820 views

UK migration: why the focus on EU only, not global?

One of the key issues in the General Election last year, and Brexit now, is around immigration to the UK. All of the focus that I hear in the media is only about migration from inside the EU, and I ...
5
votes
3answers
362 views

Does the U.S. have any remaining economic or diplomatic ties with North Korea?

After North Korea's provocative activities recently, the United States announced they would put further sanctions on North Korea. Does this mean the U.S. still has any sort of economic or diplomatic ...
5
votes
0answers
208 views

Has any government made the unwinding of their US bonds and currency reserves a core public policy plank or a legal requirement?

The betting odds (at time of writing) on a partial US debt default this year were 6/4 - Default and 1/2 - No Default. Considering the odds, this is something of a wake-up call for nations and ...
5
votes
2answers
333 views

Macron's “lead climbers” (vs. trickle down)

Are there more details on Macron's vision of how tax cuts will positively affect (French) society? I found a story from last year his rejection of the well-known “trickle-down” economics narrative, ...
5
votes
5answers
363 views

What steps can be taken to combat unfunded state and federal pension liabilities in the U.S.?

It's the growing problem that no politicians want to talk about: unfunded pension liabilities. Business Insider ran an article last year which focused on the many upcoming challenges facing U.S. ...
4
votes
4answers
560 views

How come no bank chiefs in the US & UK went to prison for the financial crash of 2008?

This story by Forbes points that the only bank chiefs in the financial crisis that engulfed the Western world in 2007/8 were from Iceland: This is where the worlds only bank chiefs imprisoned in ...
4
votes
2answers
640 views

Do sanctions really serve their purpose?

Does economic sanctions on a country serve any purpose at all other than make the ordinary citizens suffer? Most of the times sanctions are placed on a country which is either not democratic or less ...
3
votes
1answer
395 views

Is it possible to create a single global government, economy and currency [closed]

I understand that this might be hard to answer but in a scenario where every action results in a positive outcome and everything needed gets the thumbs up and goes well (spoiler: this never happens) ...
3
votes
1answer
345 views

Under what criteria is a minimum wage law superior to an earned income tax credit based system?

Under what criteria is a minimum wage law superior to an incentive compatible earned income tax credit (EITC) system like the one in the United States? Some of the criteria I think are important for ...
1
vote
2answers
333 views

Where can I find a scatter plot of welfare spending vs. immigrant rate?

Where can I find a scatter plot of welfare spending (per capita, % of spending, or % of GDP) vs. immigrant rate (per capita, or % of population)? By state or by country would be fine. I tried to ...