The recent U.S. election exposed two major intersecting fault lines in America that, if left unchecked, could soon produce an era of social and economic upheaval unlike any in our history.
First, it revealed deep divisions across racial, ethnic and gender lines that led to a surge in hate crimes last year, particularly against Muslims. Addressing this will require a sustained effort to heal these growing divisions and will be very difficult to resolve without strong leadership and a renewed willingness to listen to each other’s concerns.
Andrew McAfee, Co-Director of the Initiative on the Digital Economy
How are digital and mobile platforms changing the way that the global economy and labor market are structured?
Join our MIT Sloan Experts (@mitsloanexperts) Twitter chat with Andrew McAfee (@amcafee), principal research scientist at the MIT Center for Digital Business, as he discusses the on-demand economy and the way that digital and mobile-oriented platforms are helping to connect consumers to the goods they seek.
The chat will take place on Thursday, March 3, from 7 p.m. to 8 p.m. MIT Sloan Experts will host the chat.
How do you get involved? It’s simple! If you have a question or a response to one of MIT Sloan Experts’ questions, just include “#OnDemandMIT” in your tweet.
The #OnDemandMIT Twitter chat is a precursor to the On-Demand Economy Conference on March 15 at the MIT Media Lab in Cambridge, Mass. The conference gathers the leading thinkers at the intersection of technology and labor from academia, business, and policy with the goal of proactively answering questions about the impact of the on-demand economy on workers, companies and the labor market as a whole.
Stock markets continue to respond strongly to China’s economic woes, fearing a crippling slowdown since China suddenly devalued its currency two weeks ago — a move widely interpreted as a desperate attempt to support growth.
But Chinese growth in the future will be limited until the government makes fairly substantive structural reforms.
China’s growth model is one in which the role of the state in the economy has become more intrusive. For years, many US observers hailed China’s government-led and investment-heavy model as a pillar of strength. Their favorite comparison is between the spunky new airports in Beijing and Shanghai and the supposedly dilapidated New York JFK and Los Angeles airports. While comparison has an element of convenience to it — you have to depart from a US airport and arrive at a Chinese airport when you visit China — the “airportology’’ is flawed, because it doesn’t take into account that China has clearly overbuilt, and at a considerable cost to its middle class.
MIT Sloan alumna Aliza Blachman O’Keeffe, SM ’90, and chair of the alumni board, sits down with Dave Vellante and Stu Miniman from theCube for the live post-show to the MIT Conference on the Digital Economy: The Second Machine Age. O’Keeffe discusses the purpose of the MIT Sloan Alumni Board and how its members are using technology and innovation to reach a global alumni base.
On April 10, 2015, the MIT Digital Economy Conference: The Second Machine Age, led by Erik Brynjolfsson, director of the Initiative on the Digital Economy, and Andrew McAfee, co-director of the Initiative on the Digital Economy, featured a series of discussions that highlight MIT’s role in both understanding and shaping our increasingly digital world.
Aliza Blachman O’Keeffe, MBA ’90, is chair of the alumni board.
Next week is a big week for those keeping track of the success of Japanese economic policies. New interest rate numbers will be released on October 29 and these numbers represent the most current report card on Abenomics, as the policies of Japan’s Prime Minister Shinzo Abe are called.
Abenomics was presented just weeks after Abe took office in 2012 as the ultimate solution to almost two decades of stagnation in the country. The program has three pillars: monetary easing, structural reforms and renewed fiscal stimulus. One of the most important goals of Abenomics is increasing inflation, and ultimately changing inflation expectations—hoping to reverse a decade of deflation. To do so, the government began printing Yens in abundance.
Initial signs of success showed in the exchange rate, asset prices, and inflation rate. In fact, the official CPI for July 2014 shows a large annual inflation rate by Japanese standards: 3.4 percent. And from that perspective, it seems as if Abe’s policies have been effective and the job has been accomplished.
More recently, however, the economy has once again shown signs of weakness: Inflation expectations remain surprisingly low at around 1 percent, asset prices and bond markets seem to be unconvinced by the achievements, and the real economy is starting to slow.