Self-growth
Business & Career
Success
Communication
Healing
Relationships
Psychology
HappinessYou’ll learn
- How to identify flaws in current economic policies
- Strategies for economic inclusivity
- About building a sustainable future
- The solutions to global economic challenges
Table of contents
first KEY POINT
We are not doing enough
The public disagrees on immigration, trade, growth, inequality, and the environment. The world is becoming more polarized. In the US, for example, eighty-one percent of those who identify with one party have a negative opinion of the others. Sixty-one percent of Democrats view Republicans as racists, sexists, or bigots. Fifty-four percent of Republicans call Democrats spiteful. A third of Americans wouldn’t even endorse marriage across party lines.People are not listening to one another because of the polarization that politicians peddle. Also, there is no consensus on the various social problems and how to fix them.
Modern society rarely tolerates democracy and debate.
It behooves social scientists to offer facts and interpretations of facts that will help mediate these divides, hoping that each side will understand what the other is saying. That way, they can arrive at some reasonable disagreement if a consensus is impossible.The present crisis revolves around economic policy issues. What should be the focus of the West? Should it be growth since we are already affluent? Or should it be on the increasing inequality? Can we blame the present situation on international trade? Should we find another manufacturing hub to replace China? Is migration the problem it is painted to be? Should we be as concerned about AI as we are about low-skilled migration?Virtually all economists have an opinion on these topics. Unfortunately, people hardly trust economists. What undermines trust in economists is that there are plenty of lousy economics around. Academic economists do not have time to explain their conclusions for ordinary people to understand.This summary boldly attempts to provide good economics in plain language, hoping that we will apply these principles to hard times.
second KEY POINT
Misconceptions about migration
Migration is big news. It is arguably the single most influential political issue in the world’s wealthiest countries. Despite facts that prove otherwise, racist alarmism, driven by a fear of the intermingling of races and the myth of purity and political ambition, has been crying wolf about the adverse effects of immigration.Annually, 1.5 million people migrate within the European Union, while 2.5 million people from other parts of the world migrate to the European Union. 2.5 million is a negligible number when the total EU population is considered. These migrants, in large part, are in the EU legitimately. Though there was a spike in the number of refugees in the EU between 2015 and 2016, normalcy returned in 2018. Only 38% of asylum requests received approval; that’s 1 for every 2,500 EU residents.People often favor sentiments over facts when migration issues come up in conversations. First, wage differences between countries have relatively little to do with whether people migrate. Second, no evidence supports the idea that large-scale migration of low-skilled workers reduces the locals’ job opportunities.
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first KEY POINT
Why migration is on the rise
second KEY POINT
Economic motivation is necessary to make people migrate
third KEY POINT
Immigration hardly harms the locals
fourth KEY POINT
Modern economics encourages free trade
fifth KEY POINT
Addressing skepticism about free trade
sixth KEY POINT
Populist leaders are feeding on migrants’ fear
seventh KEY POINT
The tricky American Dream
eighth KEY POINT
Conclusion
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Frequently asked questions
What is Good Economics for Hard Times about?
Good Economics for Hard Times, authored by Abhijit V. Banerjee and Esther Duflo, explores the complex realities of economic policy in the face of global challenges. The authors argue for a nuanced understanding of economics and offer evidence-based solutions to pressing issues like poverty and inequality.
What are the key takeaways from Good Economics for Hard Times?
Key takeaways from Good Economics for Hard Times include the importance of using data to guide policies, the recognition that economic solutions must consider human behavior, and a focus on global cooperation to tackle systemic problems. Banerjee and Duflo advocate for practical measures that address real-world consequences rather than relying solely on theoretical models.
Is Good Economics for Hard Times worth reading?
Yes, Good Economics for Hard Times is definitely worth reading for anyone interested in understanding the intricacies of economic policies today. The book is insightful, engaging, and provides actionable recommendations from Nobel Laureates who bring their extensive research experience to the forefront.
How many pages is Good Economics for Hard Times and when was it published?
Good Economics for Hard Times has approximately 480 pages and was published on November 12, 2019. This comprehensive volume dives into multiple aspects of today's economic challenges and proposes thoughtful ways to address them.
What insights does Good Economics for Hard Times offer on poverty?
Good Economics for Hard Times offers significant insights into poverty by emphasizing the need for specific and context-driven policies that can effectively alleviate suffering. The authors highlight successful case studies and stress the importance of understanding local conditions to implement impactful solutions.