Markets don’t function well if they are ridden with frictions like lack of information or lack of trust. A new working paper finds that cities in the sixteenth century where monopolies of densely networked merchant guilds declined had significantly higher levels of printing, as they were early adopters of printing technology. Additionally, these cities were found on the Atlantic coast, where traders had the greatest incentives to form new connections with unfamiliar traders.
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The first part of a two-part interview with Daniel Goldstein, MD, an oncologist who also studies the influence of business interests on healthcare—from treating patients to conducting drug trials to holding health-related events. In the first part of this interview, we talk about capitalism and healthcare, what motivates physicians, and the effectiveness of healthcare systems in the U.S., the U.K., and Israel.
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The failure of Enron and subsequent demise of Arthur Andersen led to significant changes for public reporting and auditing but not much change in the concentration of audit market power among the remaining Big Four global firms: Deloitte, Ernst & Young, KPMG, and PwC.
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Neoclassical economic theory assumes that firms have no power to influence the rules of the game. A new paper by Luigi Zingales argues: This is true only in competitive product markets. When firms have market power, they will seek and obtain political influence and vice versa.
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The recently-released secret taping of a conversation between Brazil’s president Michel Temer and one of the country’s most prominent businessmen reveals the extent to which big business influences politics and the judiciary in Brazil.
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In the third and final part of our interview with Stanford economist James Hamilton, we discuss the connection between investigative journalism, human interest stories and entertainment value, and the difference between getting the truth right and making an impact.
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The 12-week program, which will take place in Chicago Booth’s Hyde Park Campus, offers a transformative learning experience for working journalists seeking to deepen their understanding of political economy.
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In the second part of our interview with Stanford economist James Hamilton, we discuss the costs of investigative journalism, the link between the degree of coverage and levels of corruption, and why information is a public good.
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New paper finds that political and personal interests have a major impact on politicians’ decisions regarding bank bailouts.
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How much does investigative journalism cost? What are its benefits? Why is it so hard to monetize? Can markets keep on providing this service? In an interview with ProMarket, James Hamilton offers answers to these and other questions related to investigative journalism.
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A new Stigler Center case study chronicling the story of Chile’s first crowdfunding platform and its early regulatory challenges illustrates how financial regulations can be effectively used by incumbents to stifle competition.
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Will governments start using central banks to issue sovereign currency on blockchains? And if so, will that be the end of the fractional reserve banking system? Watch David Yermack’s third and final Stigler Center lecture on the potential implications of blockchain technology.
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