Central banking and the governance of the price architecture

With the Bank of England signalling an impending interest rate rise, monetary policy has returned to centre stage.  Since 2008 we have lived through a period of extremely unorthodox monetary policy characterised by unprecedentedly low interest rates. This era of ‘cheap money’ may now be about to end and a return to ‘normality’ (interest rates Continue Reading

No. 2014/02: Fix, "Rethinking Profit: How Redistribution Drives Growth"

Working Paper No. 2014/02 Blair Fix, “Rethinking Profit: How Redistribution Drives Growth” Using a combination of heterodox economics and biophysical analysis, this paper investigates the relationship between economic distribution and the growth of material throughput. Empirical results show that the growth of “useful work” correlates with redistribution towards pro fit. Furthermore, increases in energy consumption are correlated Continue Reading

No. 2014/01: McMahon, "Capitalist Power, Distribution and the Order of Cinema"

Working Paper No. 2014/01 James McMahon, “Capitalist Power, Distribution and the Order of Cinema” In this paper, the structure of Hollywood film distribution will be analyzed through the lens of risk. In both its technical and conceptual senses, risk is relevant to the study of Hollywood’s dominant firms. In the interest of lowering risk, the business Continue Reading

Wal-Mart’s Power Trajectory: A Contribution to the Political Economy of the Firm

This article offers a power theory of value analysis of Wal-Mart’s contested expansion in the retail business. More specifically, it draws on, and develops, some aspects of the capital as power framework so as to provide the first clear quantitative explication of the company’s power trajectory to date. After rapid growth in the first four Continue Reading

US Department of Justice Increasingly Resorts to “Private” Negotiations

Since 2012, the U.S Department of Justice has launched a series of private negotiations with Wall Street banks relating to their involvement in the 2008 financial crisis. The DoJ made headlines this November when it struck a record $13b settlement with JP Morgan for allegations of fraud in the sale of mortgage-backed securities. The deal Continue Reading

The President and the Tech Giants

In an interesting piece for the Financial Times, Christopher Caldwell assesses Obama’s declaration to ‘go it alone’ in light of the ‘obstructionist Republican agenda’ in the US Congress. In a recent State of the Union address, Obama pledged a year of action, one that would see the president push for major policy reforms with or without congressional support. The passing of Continue Reading

The Weekly Sabotage: Week 5

The Constitution of the United States of America It is by now fairly clear that the Congress of the United States is a ‘do-nothing’ Congress populated by 268 millionaires (out of 534 lawmakers).   The job approval rating, depending on which poll we consider, hovers around 9-14%.  This is perhaps hardly surprising given that the Republican Party vowed to sabotage Democratic and Continue Reading