June 21 Cryptocurrency Competition and the U.S. Monetary System
Advocates of cryptocurrencies such as Bitcoin believe that having currency competition will help achieve the economic objective of price stability. This Issue Brief summarizes research that explores whether competition among privately issued fiat currencies can actually produce price stability. The research finds that in most cases, a system of private monies does not deliver price stability. And even when it does, it always is subject to self-fulfilling inflationary episodes, and it supplies a suboptimal amount of money. Although there is no economic reason to curb the use of cryptocurrencies at the moment, it is important to review key regulatory issues that policymakers need to consider now, before the use of cryptocurrencies becomes even more widespread.
June 21 White House proposes the merging of Education and Labor Departments
The White House proposes to combine the departments of Education and Labor in order to reduce the federal workforce; The Supreme Court overturns rule that barred states from requiring businesses with no physical presence in the state to collect their sales tax; A federal district judge ruled that the structure of the Consumer Financial Protection Bureau was unconstitutional; U.S. Jobless claims fall in May.
June 20 Powell indicates solid economic progress supports case for rate hikes
EU panel approves controversial copyright legislation that would affect companies such as Facebook; President Trump reversed the administration’s position on separating families at the border; Robust economic growth and record-low unemployment numbers have painted a picture of strong economic fundamentals; US home sales are decelerating.
June 20 Why Protectionism Won’t Bring Back Jobs
In light of the disputed actions of President Trump at the recent G7 summit, Faculty Affiliate Mauro Guillen discusses the pitfalls of protectionism and challenges popular critiques of free trade.
June 19 The end of net neutrality is here; here’s what that means for you
Faculty Affiliate Kevin Werbach provides insight on the current trajectory of the net neutrality. Professor Werbach claims that “nothing will change the next day, companies are not going to take any major action to change their policies until its [the controversial repeal of Obama-era net neutrality protections] resolved.”
June 17 Betting on Disaster: Why Risk Management Is a Leadership Issue
Recently on Knowledge@Wharton show on SiriusXM channel 111, faculty affiliates Howard Kunreuther and Michael Useem discuss the contents of their new book Mastering Catastrophic Risk: How Companies Are Coping with Disruption. By reexamining the field of risk management, once an afterthought for many companies, the authors provides ways for business leaders think more deeply about worst-case scenarios in corporate settings.