The Economics Of Inaction

In The Economics of Inaction, leading economist Nancy Stokey shows how the tools of stochastic control can be applied to dynamic problems of decision making under uncertainty when fixed costs are present. Stokey provides a self-contained, rigorous, and clear treatment of two types of models, impulse and instantaneous control. She presents the relevant results about Brownian motion and other diffusion processes, develops methods for analyzing each type of problem, and discusses applications to price setting, investment, and durable goods purchases."--Pub. desc.

Bank bailouts in the aftermath of the collapse of Lehman Brothers and the onset of the Great Recession brought into sharp relief the power that the global financial sector holds over national politics, and provoked widespread public outrage. In The Power of Inaction, Cornelia Woll details the varying relationships between financial institutions and national governments by comparing national bank rescue schemes in the United States and Europe. Woll starts with a broad overview of bank bailouts in more than twenty countries. Using extensive interviews conducted with bankers, lawmakers, and other key players, she then examines three pairs of countries where similar outcomes might be expected: the United States and United Kingdom, France and Germany, Ireland and Denmark. She finds, however, substantial variation within these pairs. In some cases the financial sector is intimately involved in the design of bailout packages; elsewhere it chooses to remain at arm’s length.Such differences are often ascribed to one of two conditions: either the state is strong and can impose terms, or the state is weak and corrupted by industry lobbying. Woll presents a third option, where the inaction of the financial sector critically shapes the design of bailout packages in favor of the industry. She demonstrates that financial institutions were most powerful in those settings where they could avoid a joint response and force national policymakers to deal with banks on a piecemeal basis. The power to remain collectively inactive, she argues, has had important consequences for bailout arrangements and ultimately affected how the public and private sectors have shared the cost burden of these massive policy decisions.

Case studies from Rwanda and Angola show how the cost of inaction can be greater than the cost of action. Failure to reduce extreme poverty, for example, often results in malnutrition, preventable morbidity, premature death, and incomplete basic education. Differences between the COI approach and traditional benefit-cost analysis are highlighted.

Why economic insecurity spurs so little collective political action Americans today face no shortage of threats to their financial well-being, such as job and retirement insecurity, health care costs, and spiraling college tuition. While one might expect that these concerns would motivate people to become more politically engaged on the issues, this often doesn't happen, and the resulting inaction carries consequences for political debates and public policy. Moving beyond previously studied barriers to political organization, American Insecurity sheds light on the public's inaction over economic insecurities by showing that the rhetoric surrounding these issues is actually self-undermining. By their nature, the very arguments intended to mobilize individuals—asking them to devote money or time to politics—remind citizens of their economic fears and personal constraints, leading to undermobilization and nonparticipation. Adam Seth Levine explains why the set of people who become politically active on financial insecurity issues is therefore quite narrow. When money is needed, only those who care about the issues but are not personally affected become involved. When time is needed, participation is limited to those not personally affected or those who are personally affected but outside of the labor force with time to spare. The latter explains why it is relatively easy to mobilize retirees on topics that reflect personal financial concerns, such as Social Security and Medicare. In general, however, when political representation requires a large group to make their case, economic insecurity threats are uniquely disadvantaged. Scrutinizing the foundations of political behavior, American Insecurity offers a new perspective on collective participation.

This is the first book on climate change denial and lobbying that combines the ideology of denial and the role of anthropocentrism in the study of interest groups and communication strategy. Climate Change Denial and Public Relations: Strategic Communication and Interest Groups in Climate Inaction is a critical approach to climate change denial from a strategic communication perspective. The book aims to provide an in-depth analysis of how strategic communication by interest groups is contributing to climate change inaction. It does this from a multidisciplinary perspective that expands the usual approach of climate change denialism and introduces a critical reflection on the roots of the problem, including the ethics of the denialist ideology and the rhetoric and role of climate change advocacy. Topics addressed include the power of persuasive narratives and discourses constructed to support climate inaction by lobbies and think tanks, the dominant human supremacist view and the patriarchal roots of denialists and advocates of climate change alike, the knowledge coalitions of the climate think tank networks, the denial strategies related to climate change of the nuclear, oil, and agrifood lobbies, the role of public relations firms, the anthropocentric roots of public relations, taboo topics such as human overpopulation and meat-eating, and the technological myth. This unique volume is recommended reading for students and scholars of communication and public relations.

This book was originally published by Macmillan in 1936. It was voted the top Academic Book that Shaped Modern Britain by Academic Book Week (UK) in 2017, and in 2011 was placed on Time Magazine's top 100 non-fiction books written in English since 1923. Reissued with a fresh Introduction by the Nobel-prize winner Paul Krugman and a new Afterword by Keynes’ biographer Robert Skidelsky, this important work is made available to a new generation. The General Theory of Employment, Interest and Money transformed economics and changed the face of modern macroeconomics. Keynes’ argument is based on the idea that the level of employment is not determined by the price of labour, but by the spending of money. It gave way to an entirely new approach where employment, inflation and the market economy are concerned. Highly provocative at its time of publication, this book and Keynes’ theories continue to remain the subject of much support and praise, criticism and debate. Economists at any stage in their career will enjoy revisiting this treatise and observing the relevance of Keynes’ work in today’s contemporary climate.

Within only a few years, global warming has emerged from scientific speculation into an environmental threat of worldwide concern. Yet the scientific community remains uncertain as to the long-term trends and effects of climate change, and this uncertainty has been seized on as justification for inaction by an international community reluctant to bear the costs of policies to reduce greenhouse gas emissions. Valuing Climate Change presents concrete, economic evidence of the need for action. Fankhauser assesses the costs of a doubling of GHG emissions to be a significant percentage of gross world product; a figure which he then compares to the costs of reducing emissions. In his comparison, he looks at regional as well as global estimates of damage, and takes account of the non-climate change benefits of GHG reductions, such as a switch in the energy sector to cleaner technologies or renewable fuels, and the impacts on transport, with reduced congestion and improved air quality. It is clear that the stakes are high, and Fankhauser believes that tougher targets may be needed than those set out in the Framework Convention on Climate Change. He assesses the optimum policy responses to GHG reduction, the likely instruments for achieving it and the potential for international cooperation in dealing with the problems. This is a major contribution to the rapidly changing debate on global warming.

This book, originally published in 1996, traces the development of US government policy toward the oil industry during the 1920s and 1930s when the domestic syustem of production control was established. It then charts the deveopment and collapse of oil import controls, and the wild scramble for economic rents generated by Government regulation. It discusses the two oil crises and the ‘phantom’ Gulf War crisis, and the importance of public opinion in shaping the policy agenda. It also provides an in-depth study of Congressional oil votes from the 1950s to the 1980s and the formation of oil policy, beginning with theories of economic regulation, the role of interest groups in developing the policy agenda and the role of money in politics.