hjeconomics: The Blog

Countdown for Krugman

Henrik Jensen — Mon, 14 May 2012 19:59:34 +0000

I recently wrote that I thought Paul Krugman wrote slightly too many blog posts, and that too many spent time commenting on them, and commenting on others’ comments and so on and on—a “Krugman multiplier“. Now an explanation for Krugman’s … Continue reading →

When ”failure” in economics is ”success” and vice versa?

Henrik Jensen — Mon, 30 Apr 2012 14:14:58 +0000

This post fully lives op to the mantra of the blog, as it contains a lot of “stochastic ramblings” (a nod to Greg Mankiw’s mantra of “random observations”). “Stochastic” as I wander unplanned around important subjects on the developments of … Continue reading →

US Output Gap: Still negative

Henrik Jensen — Sun, 12 Feb 2012 13:24:21 +0000

John Taylor recently showed how the United States is currently much farther away from returning to “potential output” compared with the recession of the early 1980s, where above-average output growth during the recovery secured a return to the potential output … Continue reading →

That strange feeling of Déjà Vu: EU’s New Fiscal Compact

Henrik Jensen — Wed, 01 Feb 2012 12:36:53 +0000

The new “Fiscal Compact” of the European Union is now ready to be signed. The purpose of the compact is to strengthen fiscal discipline among member countries (at least those who sign). The desire for enhancing discipline is obviously triggered … Continue reading →

Fed “Fan Charts”

Henrik Jensen — Tue, 31 Jan 2012 08:54:42 +0000

I recently wrote that USA had now entered the club of inflation targeting banks. This occurred when the Federal Reserve in April last year officially started mentioning an explicit inflation target, and also introduced press conferences after its policy meetings. … Continue reading →