How to Save Social Security Systems
'A mixed system that combines the existing PAYG system with a small investment-based component can achieve a higher expected level of benefits with little risk of lower benefit levels,'...
Expect a Rocky Return to ‘Normal Valuations’
The Fed's ability to fight the next economic downturn with monetary policy and the federal government's ability to fight it with fiscal policy will both be limited, writes our...
Global Aging and Fiscal Solvency
The Harvard economics professor thinks the US should correct Social Security's impending shortfall by gradually raising the age for "full" benefits to 70 from 67, and not by raising...
America’s Exploding Budget Deficit
The U.S. should slow the cost of Social Security by raising the age threshold for receiving full benefits to 70 from 67, recommends Harvard's deficit hawk.
The Risks to America’s Booming Economy
'The danger is that overpriced assets and high-risk loans could lose value and cause an economic downturn,' writes our guest columnist, the well-known Harvard economist.
The Inherent Risk of High-Priced Assets
'Within the US, the greatest risk is a sharp decline in asset prices, which would lead to a collapse of aggregate demand... Conditions are becoming more dangerous as...
The Chinese Economy and Fed Policy
"Unless there are surprising changes in the US economy, we can expect the Fed to start raising interest rates later this year, as Janet Yellen has proposed, and to...
America’s Risky Recovery
'My own best guess is that will start to raise rates in September, and that the federal funds rate will reach 3% by some point in 2017,'...
America’s Move to Faster Growth
During 2013, the personal wealth of Americans increased by $10 trillion: $2 billion from a rise in home values and $8 trillion from the rise in equity prices, according...
What Happens When Rates Rise?
The low interest rate on long-term Treasury bonds has also boosted demand for equities, farm land, high-yield corporate bonds, gold, and real estate. When interest rates rise, the prices...
What Happens When Rates Rise?
The low interest rate on long-term Treasury bonds has also boosted demand for equities, farm land, high-yield corporate bonds, gold, and real estate. When interest rates rise, the prices...
Two Dollar Fallacies
If progress is not made in reducing the projected fiscal imbalances and limiting the growth of bank reserves, reduced demand for dollar assets could cause the dollar to fall...
