IDEAS home Printed from https://ideas.repec.org/p/mil/wpdepa/2009-10.html
   My bibliography  Save this paper

La crisi americana: appunti di viaggio

Author

Listed:
  • Massimo FLORIO

    ()

Abstract

This paper comments an invited opinion on the American crisis in the New York Times by Professor Casey Mulligan, University of Chicago. Accord-ing to Mulligan, the crisis is no more than a financial fluctuation, banks should not be bailed out, other financial actors can finance business in-vestments, the delay of investment and consumption is non a big problem, public intervention is unhelpful. This paper argues instead that the current crisis is not mainly of a financial nature, but it originates form a sustained shock that affected income distribution. The share of labour declined, while the share of capital increased. To sustain the returns to capital it was neces-sary to force lending to consumers. In the short term both monetary and fis-cal policy are needed, but in the mid-to-long run it is necessary to go back to a more balanced income distribution.

Suggested Citation

  • Massimo FLORIO, 2009. "La crisi americana: appunti di viaggio," Departmental Working Papers 2009-10, Department of Economics, Management and Quantitative Methods at Universit√† degli Studi di Milano.
  • Handle: RePEc:mil:wpdepa:2009-10
    as

    Download full text from publisher

    File URL: http://wp.demm.unimi.it/files/wp/2009/DEMM-2009_010wp.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. Johan Willner & David Parker, 2007. "The Performance of Public and Private Enterprise under Conditions of Active and Passive Ownership and Competition and Monopoly," Journal of Economics, Springer, pages 221-253.
    2. Ambra Poggi & Massimo Florio, 2007. "Utilities deprivation dynamics and energy sector reforms in Europe," LABORatorio R. Revelli Working Papers Series 60, LABORatorio R. Revelli, Centre for Employment Studies.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Financial and economic crisis; Banks bail-out; Income distribution;

    JEL classification:

    • E25 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Aggregate Factor Income Distribution
    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy
    • E65 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Studies of Particular Policy Episodes

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mil:wpdepa:2009-10. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (DEMM Working Papers). General contact details of provider: http://edirc.repec.org/data/damilit.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.