Economics

By Kerim Derhalli, CEO and Founder of invstr  Seven years after the onset of the financial crisis not much has changed structurally in the financial system. Regulators, central banks, politicians, shareholders and the public at large remain dissatisfied with the performance of the banks. Heavy fines and attempts to regulate compensation have done little to assuage the resentment felt against the sector. This is a cause for concern. Historically, the efficient recycling of savings into investment has been fundamental to economic growth....

By Valentina Magri Ten million people will live in London by 2036 according to a forecast by the business advocacy group London First, but the big question is what does that mean for the future of London and how can the city prepare to the forthcoming boom in its population? The risks of a more populated London Population growth places places significant pressure on any metropolis, particularly those that are long-standing. To start with, London will suffer from a historical problem of houses paucity,...

By Marina Schlotzhauer Gone are the good old days where the major risks for businesses were costs running out of control or the threat of imminent local competition. Globalization has introduced a whole new array of challenges that vary from foreign financial economic ripples to cyber security and beyond. Just in time production and the outsourcing of unskilled labour seems very good from a microeconomics level; However, when applied at a global scale, it increases the chances of sudden demand...

By Peter Munro & Nigel Andrade Success can have two common bedfellows – hubris and apathy. Hubris - that everything unfolded solely on account of our individual enterprise and unique capability. Apathy - that nothing will really ever change for the worse. How did Australia find itself with one of the highest GDP per capita amongst OECD nations produced by an economy that has not seen a significant r recession in decades? One of the initial drivers of Australia’s prosperity...

By Jack Peat, Editor of The London Economic Last night I attended a small theatre production in Chiswick based on the life of Marie Curie. I won't bore you with the details, but Curie’s first husband Pierre was a played by a typically refined character  who sported a mustard yellow jacket, waistcoat and chinos in true Ted Baker fashion. In fact, his bearded face and flat cap would look downright ordinary in certain London boroughs, I remember thinking, if not for...

By David Willbe, Director in the Technology team at law firm DWF  Equity crowdfunding is experiencing a boom in publicity and popularity, but investors and startups alike must be aware of the risks when equity is involved. Prominent advertising by the likes of CrowdCube in recent months is a clear sign that crowdfunding has moved beyond being an advance payment for consumer products and become a mainstream investment model. But for all the hype, crowdfunding is not new. As long...

By Professor Christopher H. Bovis, Professor of International and European Business Law, University of Hull Inevitably, the question of UK membership of the European Union will be centred on two issues: The need for reform of EU institutions and the way the EU is governed The ability of the UK to influence EU decisions Reform is badly needed The European Union is malfunctioning. It has lost the zest of the “common market”,becoming instead a self-fulfilling prophesy of political union with disproportionally...

By Brett Scott  Money pervades our everyday economic interactions. But, despite its importance, it is also pervasively misunderstood. Here are three common monetary myths – frequently perpetuated by economists – that need challenging. Myth 1: Money emerges from barter Economists often tell a tale about how old communities first used barter to exchange goods and services. Bartering throws up tricky situations. Take as an example a farmer trying to exchange a cow for bread from a baker, a clumsy and...

By Darragh Roche The term 'job creator' has crept into the political lexicon on both sides of the Atlantic. It sounds harmless, but don't be fooled - it is the quiet vanguard of a political and economic nightmare. Calling Ayn Rand a novelist is generous, calling her a philosopher borders on the ludicrous. But her corpus of regressive ideas has ignited the hard right in the United States. The coming Republican presidential primaries will give deficit hawks and would-be economic...