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The population base in both the United States and Japan is growing older and, as those populations age, they provoke heretofore unexamined economic consequences. This comparative volume, the third in the joint series offered by the National Bureau of Economic Research and the Japan Center for Economic Research, explores those consequences, drawing specific attention to four key areas: incentives for early retirement; savings, wealth, and asset allocation over the life cycle; health care and health care reform; and population projections. Given the undeniable global importance of the Japanese and U.S. economies, these chapters shed light on the complex correlations between aging and economic behavior. This work not only deepens our understanding of the Japanese and American economic landscapes but, through careful examination of the comparative social and economic data, clarifies the complex relation between aging societies, public policies, and economic outcomes.

This book is a history of the role of information in the United States since roughly 1870, when the nation was well on its way to a nearly 150-year period of economic prosperity, technological and scientific transformations often collectively called the Second Industrial Revolution, and to a significant role in global affairs. Citizens and their institutions used information extensively as tools in support of the nation’s evolution during these decades. This book does for information what a general diplomatic or economic history of the country accomplishes when telling the story of America. It goes just as far in arguing that information’s role has been a critical component of the work, play, and culture of this nation. This book is a narrative history, a description, a catalog of the American experience. It also departs from the widely accepted concept of knowledge as important in American life. The introduction lays out the case for embracing the concept of information, instead of the more widely used word, knowledge. Looking at information, and not just knowledge, allows us to reveal crucial daily activities of people and organizations. An introduction describes a model demonstrated chronologically and thematically in the next 11 chapters. The last chapter summarizes key findings and implications. This book is designed so that it can be read cover to cover or in bits and pieces. All the Facts draws upon the research of many others, so it can be read as an introduction to what is a broad, extensive topic. It is the first general history of how Americans used information, and serves as a model for how other national information histories could be written.

American Opinion on Trade: Preferences without Politics explains how American voters form opinions on trade policy and why those preferences can remain at odds with policy choices of political actors and parties who depend on their votes. The book shows that Americans weave together distinct and at times countervailing beliefs about trade’s effect on themselves, their communities, and the country. Initial chapters describe gender, race, and community based sources of protectionist sentiment. Later chapters focus on media and campaign portrayals of trade and their influence on Americans’ continued negative perception of the effect of trade on American jobs even as the United States continues to promote policies sustaining globalization. The final chapter discusses the difficulty faced by politicians and parties navigating these diverse and malleable sources of trade sentiment, particularly when encumbered with voting histories supportive of trade liberalization. It identifies party convergence on trade as a source of the diminished salience in American politics and compares the American experience with that of eight other advanced industrial economies. The book concludes by noting the potential for the reemerging influence of trade policy, particularly in light of the return of trade discourse in the 2016 Presidential campaigns.

This book is about fundamental economic theory, but it maintains that economics is meaningless outside the framework of history.

It therefore analyses the evolution of some leading economies since the Industrial Revolution.

It opens with a critical discussion of some earlier attempts to expound a theory of history, notably, the so‐called ‘new economic history’ or ‘cliometrics’ and then the ideas of two outstanding social scientists—Kondratiev and Schumpeter.

They were both concerned with major qualitative as well as quantitative changes in evolving economic systems, with the explanation of such revolutionary transformations and with their periodization.

Our book too is concerned with exploring these problems, but it offers deep criticism both of Kondratiev's ‘long wave’ theory and of Schumpeter's attempt to reconcile this theory with the equilibrium models of Walras.

Like Keynes, we emphasize some of the limitations of purely econometric models and insist on the great importance of ‘semi‐autonomous’ institutions and subsystems of society, which influence the economy and are influenced by it in a process of mutual interaction and adjustment.

Although in recent times the technology subsystem has been extremely dynamic and influential in the evolution of the economy, it is essential to consider also the political, cultural, and science subsystems, all of which have a vital role in achieving that degree of congruence in the social system necessary for successful economic growth.

This approach is illustrated in those chapters of the book that are devoted to a historical account of five successive technological revolutions, i.e. water‐powered mechanization, steam‐powered mechanization, electrification, motorization, and computerization.

Statistical evidence of the great significance of these technological revolutions for structural change in the economy is found in the changing composition of the leading cohort of the hundred largest firms.

Evidence of the social conflicts and tensions engendered by each structural crisis of adjustment is found in the statistics of days lost in strikes, as well as in political conflicts over the regulatory regime and in international markets.

This book tells the story of an academic department that underwent rapid, wrenching changes at a time and in a place that one would not have expected them to have occurred. The time was the late 1960s through the 1970s and the place was a US public university heavily dependent on state funding. The Cold War was raging, the US public was fearful of communism and the Soviet Union, and politicians were speaking to these fears for political ends. And the Economics Department at the University of Massachusetts at Amherst was in turmoil. In this environment a significant proportion of that department's visible faculty of traditional economists was rapidly created and, in spite of the anti-Marxist political climate and the dependence of the University on state politicians for funding, quickly replaced by a significant visible group of Marxian economists. The story told covers the particulars of the background for these events relating to the University of Massachusetts, the political activism of the period, and the state of the economics profession. It describes the events themselves in considerable detail, the multi-year turmoil within the Economics Department associated with them, the eventual resolution of that turmoil into an intellectually exciting and friendly atmosphere, the significance of the events in terms of academic endeavor, and their legacy for the economics profession.

Following an unprecedented economic boom fed by foreign investment, the Russian Revolution triggered the worst sovereign default in history. This book tells the dramatic story of this boom and bust, chronicling the forgotten experiences of leading financiers of the age. Shedding critical new light on the decision making of the powerful personalities who acted as the gatekeepers of international finance, the book explains how they channeled foreign capital into Russia in the late nineteenth and early twentieth centuries. While economists have long relied on quantitative analysis to grapple with questions relating to the drivers of cross-border capital flows, this book adopts an historical approach, drawing on banking and government archives in four countries. It provides rare insights into the thinking of influential figures in world finance as they sought to navigate one of the most challenging and lucrative markets of the first modern age of globalization. The book reveals how a complex web of factors—from government interventions to competitive dynamics and cultural influences—drove a large inflow of capital during this tumultuous period in world history. The book demonstrates how the realms of finance and politics—of bankers and Bolsheviks—grew increasingly intertwined, and how investing in Russia became a political act with unforeseen repercussions.

This book documents the differential contribution of Hewlett Packard’s successive CEOs in sustaining the company’s integral process of “corporate becoming,” an open-ended ongoing process for which there is no grand ex ante plan possible and which unfolds through a series of transformations in the course of the strategic evolution of long-lived companies. A comprehensive strategic leadership framework is used to explain the role of the CEO: (1) defining and executing the key tasks of strategic leadership; and (2) developing four key elements of the company’s strategic leadership capability. The book reveals the paradox of corporate becoming, the existential situation facing successive CEOs (which justifies the book’s empathic approach), and the importance of the CEO’s ability to harness the company’s past while also driving its future. Building on these novel insights, the book produces a dynamic theory of strategic leadership that animates an evolutionary framework of corporate becoming. This framework will be helpful for further theory development about strategic leadership and also offers practical tools for founders of new companies and CEOs and boards of directors of existing companies who intend to create, run, or oversee companies built for continued relevance, longevity, and greatness.

This is a major comparative study of big business in Britain, France and Germany across the twentieth century. It provides an analysis, based on a wealth of empirical data, of the character and performance of the major companies in each country at five benchmark years: 1907, 1927, 1953, 1972 and 1989. Particular attention is given to size, sectoral distribution, profits and profitability, and survival and growth. It also focuses on business leadership, both at professional and social levels. It considers the competence of top businessmen and major aspects of the decision‐making process, and places business elites within the context of social and political developments. It challenges widely held assumptions about, in particular, entrepreneurial failure in Britain, the power of German big business, France's backwardness and modernity, and sociocultural determinants of business performance. It concludes to a clear British advance well into the 1950s and European convergence thereafter, despite the persistence of strong national characteristics of business organization. The latter, however, are unlikely to have had much impact on the performance of each country's leading business enterprises.

This book provides a history of British financial crises since the Napoleonic wars. Interest in crises lapsed during the generally benign financial conditions which followed the Second World War, but the study of banking markets and financial crises has returned to centre stage following the credit crunch of 2007–8 and the subsequent Eurozone crisis. The first two chapters provide an overview of British financial crises from the bank failures of 1825 to the credit crunch of 2007–8. The causes and consequences of individual crises are explained and recurrent features are identified. Subsequent chapters provide more detailed accounts of the railway boom-and-bust and the subsequent financial crisis of 1847, the crisis following the collapse of Overend Gurney in 1866, the dislocation of London’s money market at the outset of the Great War in 1914 and the crisis in 1931 when sterling left the gold standard. Other chapters consider the role of regulation, banks’ capital structures, and the separation of different types of banking activity. The book examines role of the Bank of England as lender of last resort and the successes and failures of crisis management. The scope for reducing the risk of future systemic crises is assessed.

Manhattan, as the world’s greatest vertical city, is the result of a collective striving; its skyscrapers are the physical manifestation of this mass quest for success. Despite the fact that the skyscraper is inherently an economic phenomenon, there is almost no work that chronicles its economic history. This book aims to fill this void by documenting not only the “what” but also the “why,” regarding this important aspect of New York City’s history; in the process this book debunks several misconceptions about the city’s real estate history. Part I lays out the historical and institutional background that established Manhattan’s trajectory before the Skyscraper Revolution at the end of the nineteenth century. The book begins with Manhattan’s natural and geological history and then moves on to how it influenced early land use and neighborhood formation, and how these early decisions eventually impacted the location of skyscrapers. Part II focuses specifically on the economic history of skyscrapers and the skyline, investigating the reasons for their heights, frequency, locations, and shapes. The book discusses why skyscrapers emerged Downtown and why they appeared 3 miles to the north in Midtown, but not in between. The book debunks the common belief that bedrock depths were important determinants of skyscraper locations. It discusses the cause of the building boom during the Roaring Twenties. The last chapter investigates the value of Manhattan and the relationship between skyscrapers and land prices. Finally, an Epilogue offers policy recommendations for a resilient and robust future skyline.

This book argues that the position of women in late medieval and early modern Europe was relatively strong. This, van Zanden, De Moor, and Carmichael argue, is evident from the fact that marriage was usually based on consensus, implying that women had a clear say in their marriage. The authors analyze the medieval roots of this European Marriage Pattern, demonstrating that it was much stronger in northwestern Europe than in the Mediterranean. That women had considerable agency was one of the factors behind the rise of Europe in the centuries before the Industrial Revolution. This had huge consequences for the average age of marriage (which was very high), fertility (which was restricted by the high age of marriage), human capital formation (resulting in high levels of numeracy and literacy), and labor-force participation by women. However, the authors also explore the negative effects of the European Marriage Pattern, such as the greater vulnerability of these relatively small families, and the large group of single women, subject to external shocks particularly in old age. Special institutions emerged, such as the beguinages, to cope with these pressures. Finally, by comparing these European households with household patterns in the rest of Eurasia, this book puts the European Marriage Pattern into global perspective.

At the end of the nineteenth century, economist Thorstein Veblen wrote The Theory of the Leisure Class. American workers and farmers toiled long hours and often for wages that just exceeded subsistence, while the wealthiest Americans enjoyed conspicuous consumption and leisure. A century later, the economic conditions in America had changed beyond recognition. Improvements in agricultural productivity led to better nutrition and triggered improved productivity and living standards throughout the economy. American workers chose to take the benefits accruing from economic growth in the form of higher wages, shorter workweeks, better working conditions, and increased leisure. Americans spent larger proportions of their disposable incomes on leisure activities and recreational goods and services. Mass commercialized leisure became prevalent, with the rise of the motion picture, radio, and television industries. While many critics bemoaned the bland, homogenous nature (as they perceived it) of commercialized leisure, economists focused on the antitrust aspects of these industries. Much leisure activity depended upon the developing infrastructures of roads and electricity, while the government often set the rules of the economic game and provided leisure services and goods. The rise of leisure was an egalitarian triumph, as even poorer Americans enjoyed most of the available leisure opportunities. By 2000, leisure had become a dominant factor in the economy.

This book offers an interpretation of the Chinese monetary system, charting its evolution by examining key moments in history – from BCE 600 up to the present. It places these moments in international perspective by comparing primary sources in multiple languages and across three millennia. The book begins exploring the trajectory of Chinese currency at the birth of coinage around the world and ends with the implications of the current global financial crisis for China and the rest of the world. Its narrative highlights the way that Chinese money developed in relation to the currencies of other countries, paying special attention to the origins of paper money, the relationship between the West’s ascendancy and its mineral riches, the linkages between pre-modern finance, debasement, and then inflation with the emergence of nation-statehood. The book then looks ahead to the possible globalization of the RMB, the currency of the People’s Republic of China against the backdrop of growing global uncertainties as to America’s federal debt.

This book develops a model of institutional change in European commerce based on urban competition. Cities continuously competed with each other by adapting commercial, legal, and fin ancial institutions to the evolving needs of merchants. The book traces the successive rise of Bruges, Antwerp, and Amsterdam as commercial cities between 1250 and 1650, showing how dominant cities feared being displaced by challengers while lesser ones sought to keep up by cultivating policies favorable to trade. It argues that it was this competitive urban network that promoted open access institutions in the Low Countries, and emphasizes the central role played by the urban magistrates in fostering these inclusive institutional arrangements. The book describes how the city fathers resisted the predatory or reckless actions of their territorial rulers, and how their nonrestrictive approach to commercial life succeeded in attracting merchants from all over Europe. It intervenes in an important debate on the growth of trade in Europe before the Industrial Revolution. Challenging influential theories that attribute this commercial expansion to the political strength of merchants, the book demonstrates how urban competition fostered the creation of inclusive institutions in international trade.

This book studies how color intersected with polity, society and economy in the nineteenth–century South. Although legal historians have explored how early Americans legally defined and contested race, that literature has overlooked or downplayed the middle ground occupied by a sizeable mixed-race population of antebellum free people. These were the “talented tenth” long before W.E.B. Dubois coined the term. Economists and economic historians, too, have overlooked the centrality of color and the mixed-race middle. Each chapter fills this gap and relies on newly collected data to explore how color affected African-American’s lives from cradle to grave. On the plantation, color influenced which slaves were manumitted, which ones ran away, and which were pursued. In freedom, color influenced who married whom, who attended school, the sorts of employment one found, how wealth was accumulated over the life cycle, and how healthy one was. In short, color was manifest in all aspects of African-American life.

From 1940 to 1970, nearly four million black migrants left the American rural South to settle in the industrial cities of the North and West. This book provides a comprehensive account of the long-lasting effects of the influx of black workers on labor markets and urban space in receiving areas. Traditionally, the Great Black Migration has been lauded as a path to general black economic progress. This book challenges this view, arguing instead that the migration produced winners and losers within the black community. The book shows that migrants themselves gained tremendously, more than doubling their earnings by moving North. But these new arrivals competed with existing black workers, limiting black–white wage convergence in Northern labor markets and slowing black economic growth. Furthermore, many white households responded to the black migration by relocating to the suburbs. White flight was motivated not only by neighborhood racial change but also by the desire on the part of white residents to avoid participating in the local public services and fiscal obligations of increasingly diverse cities. Employing historical census data and state-of-the-art econometric methods, this book revises our understanding of the Great Black Migration and its role in the transformation of American society.

Throughout the world, the rule against price fixing is competition law's most important and least controversial prohibition. Yet there is far less consensus than meets the eye on what constitutes price fixing, and prevalent understandings conflict with the teachings of oligopoly theory that supposedly underlie modern competition policy. This book offers a fresh, in-depth exploration of competition law's horizontal agreement requirement, presents a systematic analysis of how best to address the problem of coordinated oligopolistic price elevation, and compares the resulting direct approach to the orthodox prohibition. The book elaborates the relevant benefits and costs of potential solutions, investigates how coordinated price elevation is best detected in light of the error costs associated with different types of proof, and examines appropriate sanctions. Existing literature devotes remarkably little attention to these key subjects and instead concerns itself with limiting penalties to certain sorts of interfirm communications. Challenging conventional wisdom, the book shows how this circumscribed view is less well grounded in the statutes, principles, and precedents of competition law than is a more direct, functional proscription. More important, by comparison to the communications-based prohibition, the book explains how the direct approach targets situations that involve both greater social harm and less risk of chilling desirable behavior—and is also easier to apply.

The Dodd–Frank Act of 2010 was intended to reform financial policies in order to prevent another massive crisis such as the financial meltdown of 2008. Dodd–Frank is largely premised on the diagnosis that connectedness was the major problem in that crisis—that is, that financial institutions were overexposed to one another, resulting in a possible chain reaction of failures. This book argues that it is not connectedness but contagion that is the most significant element of systemic risk facing the financial system. Contagion is an indiscriminate run by short-term creditors of financial institutions that can render otherwise solvent institutions insolvent. It poses a serious risk because, as the book explains, our financial system still depends on approximately $7.4 to $8.2 trillion of runnable and uninsured short-term liabilities, 60 percent of which are held by nonbanks. The book argues that efforts by the Federal Reserve, the FDIC, and the Treasury to stop the contagion that exploded after the bankruptcy of Lehman Brothers lessened the economic damage. And yet Congress, spurred by the public's aversion to bailouts, has dramatically weakened the power of the government to respond to contagion, including limitations on the Federal Reserve's powers as a lender of last resort. Offering uniquely detailed forensic analyses of the Lehman Brothers and AIG failures, and suggesting alternative regulatory approaches, the book makes the case that we need to restore and strengthen our weapons for fighting contagion.