Guest post. The French version is here.
The generalisation of unemployment insurance to all entrepreneurs is a break with ordo-liberalism and a practical and paradigmatic entry into the universal knowledge-based economy. Work recognized as such by labour law is no longer defined as a subordination to an employer who is the sole owner of the surplus value, but as an investment by the individual entrepreneur in a production of potential surplus value for society as a whole. … Read the rest
Euractiv.com, Paul Jorion : ‘Jean-Claude Juncker’s moral authority has been damaged’, 14th November 2014
Does the LuxLeaks scandal represent a risk for the Commission?
Paul Jorion: Jean-Claude Juncker’s moral authority has been damaged. Of course, he hopes his investment plan will bring confidence, and it is a good idea. Especially if it can create employment and give purchasing power to European citizens. But his credibility has been tainted by the revelations about Luxembourg’s fiscal practices.
The current head of the Commission is the man who led the implementation of austerity policies within the Eurogroup, at the same time as organising tax evasion for big … Read the rest
Paul Jorion, Ph.D., holder of the “Stewardship of Finance” Chair at the Vrije Universiteit Brussel, will resume his lecturing on Monday September 29 at 4 p.m.
The course is taking place every Monday afternoon at that time in lecture hall D0.03 of building D (central building) of the university, Pleinlaan 2, 1050 Brussels. The course is held in English and it is open to the public.… Read the rest
Exorcising animal spirits out of Keynes
Paul Jorion, Stewardship of finance chair, Vrije Universiteit Brussel
To be published in a forthcoming issue of the European Journal of Social Theory: special issue on “Rethinking Capitalism”, 2014
Might be referred to as “European Journal of Social Theory (forthcoming): http://www.pauljorion.com/blog_en/?p=1229″
Torn between the duties associated with the capacities of academic, banker and statesman, Maynard Keynes was in a constant hurry. He glossed over the missing parts of the economic theories he devised by referring to various unfathomable ‘psychological mechanisms’. It is claimed here that interest rates set at the … Read the rest
“The future of the Eurozone from an interest rate standpoint”, European Parliament, November 5, 2013
Here my contribution to European Parliament, Committee on Economic and Monetary Affairs, November 5, 2013, 3:30 to 6:30 p.m.
The future of the Eurozone can be approached as a logical problem. If not solved, it can at least be significantly clarified when the issue is examined from the single standpoint of the sovereign debt’s coupon for the nations belonging to the zone.
Within the economic zone where a currency applies, a single coupon level only should be in existence for each obligatory maturity. The founding fathers of the Eurozone assumed no doubt that such would be the case also … Read the rest
A mail exchange about JP Morgan’s “The Euro area adjustment: about halfway there”, Europe Economic Research, 28 May 2013
From : Paul Jorion
Object : The Euro area adjustment: about halfway there
Date : 21 June 2013 21:33:20 UTC+02:00
To : Malcolm Barr, David Mackie
Good day MM. Barr and Mackie,
I’m writing to you as I receive several mails drawing my attention to the following paragraph of your recent May report:
“The political systems in the periphery were established in the aftermath of dictatorship, and were defined by that experience. Constitutions tend to show a strong socialist influence, reflecting the political strength that left wing parties gained after the defeat of fascism. Political systems around the periphery
The fourteenth lecture of the course about on speculation. Pro (LoL) and contra.
The author whose name I unfortunately don’t remember during the lecture: Donald MacKenzie, An Engine, Not a Camera. How Financial Models Shape Markets, Cambridge (Mass.) : MIT Press 2006… Read the rest
« Dédicace too big to … »
Have you heard of “too big to fail !”?
Now they say “too big to jail !”
They know they have the whole power
Because they finance the lawyer!
They don’t care about Justice
Nor about the State Police
They have put the money somewhere
But no one can really know where!
They only want to be The Boss
And let the others share the loss
They will be away if the war
Starts at the corner or next door!
They act as the worst parasites
Because they have more than … Read the rest
Wednesday, 27 February, 2013 – 19:30 to 21:30
Monica Mächler served since January 2009 until the end of September 2012 as Vice Chair of the Board of Directors of the Swiss Financial Market Supervisory Authority FINMA, after having served as CEO of the Swiss Federal Office of Private Insurance from 2007 to 2008. In the International Association of Insurance Supervisors she was a member of the Executive Committee and Chair of the Technical Committee.
Hugues Pirotte is professor at the Solvay Brussels School of Economics and Management, ULB. He … Read the rest
The panel discussion topic was the same as that of the lecture of the day by myself: “Law, Ethics and the business world”. The participants from left to right were: Geert Noels (Econopolis), Ivan Van de Cloot (Itinera), Marc Beaujean (P&V) and Benoît Frydman (ULB). The moderator was Steven Rombaut (vrt).
Unfortunately due to the camera angle, Benoît Frydman was hardly visible when he spoke and me… not at all!
VUB, “Stewardship of Finance” Chair, inaugural lecture : Why Stewardship of Finance?, October 4 2012
The inaugural lecture of the chair “Stewardship of Finance”, delivered by me at the Vrije Universiteit Brussel, on the 4th of October 2012.
Why Stewardship of Finance?
When in the Autumn of 2011 I was first approached by Michel Flamée on behalf of the Vrije Universiteit Brussel about the chair I’m privileged to speak from today, the question of how it would ultimately be called was still undecided. The Flemish phrase used in the early discussions was “ethisch financieren”: financing in an ethical manner.
“Ethical finance”, “responsible finance”, “sustainable finance”, so many different phrases have been used to name … Read the rest
1. Historians of finance
The Bankers, New York: Weybright & Talley, 1974
Markets, New York: Norton, 1988
Peter L. Bernstein:
Capital Ideas, New York: Free Press, 1992
Against the Gods. The Remarkable Story of Risk, Hoboken: John Wiley & Sons, 1996
Every Man a Speculator. A History of Wall Street in American Life, New York: Harper Collins, 2005
… Read the rest
Guest post. Translated from the French by Tim Gupwell
In Spain, nearly 220 billion Euros have vanished into thin air during the first quarter. According to the Bank of Spain, foreign investors, but also Spanish ones, are responsible for this massive exodus of capital which concerns loans and deposits, but also share portfolios and sovereign debt securities. The capital outflows are accelerating: during the month of June alone, 56.6 billion Euros were registered. For the first six months, this outpour was triple the figure that had been recorded in 2011. The Madrid Stock Exchange lost 15% of its value during … Read the rest
4 September 2012
An interview with Dominique Berns which appeared today in the economy pages of the daily newspaper, LE SOIR.
“To save the Euro, we must mutually pool the debts”
Q : The president of the ECB, Mario Draghi, has pledged to do “everything within his power to save the Euro”. Numerous observers expect the ECB to start buying up sovereign securities once again, only this time in a far more pro-active manner, in order to reduce the interest rates for the countries in difficulty, in particular for Spain and Italy. … Read the rest
In the Wall Street Journal today:
Since the beginning of the crisis in 2007, one thing has become clear in European politics: the outgoing parties are not voted back in. Confronted by the incapacity of the governments and the majorities in place to resolve the problems of the moment, the electors – at least, those increasingly few and far between who still go to the trouble of travelling to the urns – vote for the opposition, whoever it may be.
In these conditions, the merry go-round can only make a restricted number of … Read the rest
In the Wall Street Journal today:
A new American law requires US-listed companies to mention on products containing certain minerals that their extraction fuels conflict in Central Africa.
Too expensive for businesses, said the lobbyists! Get rid of it!
The Securities and Exchange Commission (SEC), the financial regulator in the US, has developed a host of measures designed to prevent a repetition of the collapse in short-term money markets, which cost American taxpayers more than six hundred billion dollars, plus a few hundred billion Euros for European taxpayers.
Too expensive for the … Read the rest