Articles By: Edward Hugh

Edward is a macro economist based in Barcelona, who specializes in growth and productivity theory, demographic processes and their impact on macro performance, and the underlying dynamics of migration flows. He is currently working on a book "Population, The Ultimate Non-renewable Resource?" Edward’s analysis can be found on his “Don’t Shoot the Messenger” blog on www.economonitor.com. He is also a regular contributor to a number of economics weblogs, including India Economy Blog, A Fistful of Euros, Global Economy Matters and Demography Matters. He was, in fact, a founding member of all these weblogs.

Here are my most recent posts

Does The Secular Stagnation Theory Have Any Sort of Validity?

Does The Secular Stagnation Theory Have Any Sort of Validity?

By Edward Hugh In a number of blog-posts (Paul Krugman’s Bicycling Problem, On Bubble Business Bound, The Expectations Fairy) I have examined some of the implications of the theory of secular stagnation. But I haven’t up to now argued why I think the hypothesis that Japan and some parts of Europe are suffering from some kind of secular stagnation could […]

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Eurocrisis Round Two, Blame the Germans Edition

Eurocrisis Round Two, Blame the Germans Edition

What southern Europe needs is a revolution in the mindset and more “better quality” stuff, and no amount of blaming Germany for the situation can get over that. The extractive networks who hold back growth need reforming out of existence. At the same time the under-investment over-saving phenomenon that characterizes Germany bears a remarkable similarity to what has been happening in Japan, with the strange difference that these days Japan is normally sympathized with and not blamed for all the world’s ills.

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Is Japan Back In Recession?

Is Japan Back In Recession?

“People should seriously consider that Japan’s economy may have fallen into recession despite the weaker yen and a stock rally from the BOJ’s easing and the flexible fiscal policy by Abe’s administration,” said Maiko Noguchi, senior economist at Daiwa Securities. “Initial expectations that the economy could withstand the negative effects of a sales tax hike through a virtuous circle seem to be collapsing.”

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The Japanisation Of Europe

The Japanisation Of Europe

By Edward Hugh By now it should be clear that the monetary experiment currently being carried out in Japan (known as “Abenomics”) is fundamentally different from the kind of quantitative easing which was implemented  in the United States and the United Kingdom during the global financial crisis. In the US and the UK QE was implemented in order to stabilize […]

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The Catalan Vote: Why It’s Time To Start Getting Worried About Complacency In Madrid

The Catalan Vote: Why It’s Time To Start Getting Worried About Complacency In Madrid

There is now a provisional date for that woeful collision to occur: the 9 November this year, the date chosen by the Catalan parliament for the holding a popular (non binding, not a referendum) consultation under a new law which will receive parliamentary approval on 19 September. The original intention of the Catalan parliament was to hold a referendum on the region’s future authorized by Madrid. With that intent parliamentary representatives took a proposal last spring to the Spanish parliament. The reply was a polite but near unanimous “no” since Spain’s parliamentarians took the view any such vote could be considered “unconstitutional”.

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The Italian Runaway Train

The Italian Runaway Train

By Edward Hugh There has been lot’s of debate in the press and in academic circles over the last week or so about whether Italy’s latest contraction constitutes a triple dip recession or simply a continuation of what’s been going on over many many years. This is an interesting theoretical nicety, but in fact what is happening in Italy at […]

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Abenomics – What Could Possibly Go Wrong?

Abenomics – What Could Possibly Go Wrong?

Japan needs deep seated cultural changes, especially ones directed to greater female empowerment and more openness towards immigration. Japan needs a series of structural reforms – like those under discussion around the third arrow – but these would be to soften the blow of workforce and population decline, not an attempt to run away from it. Monetary policy has its limits. As Martin Wolf so aptly put it, “you can’t print babies”.

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The growing mess which will be left behind by the Abenomics experiment

The growing mess which will be left behind by the Abenomics experiment

Japan’s deflation problem is overdetermined – there are multiple causes at work, any one of which could account for the observed phenomenon. Those who have been following the debate can simply choose their favourite – balance sheet recession, liquidity trap, fertility trap – each one, taken alone, could be sufficient as a cause. But I would here like to use the term “overdetermination” in another, less technical, sense, since it seems to me Japan’s problem set is overdetermined in that we always seem to be facing at least one more problem than we have remedies at hand.

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Could Mario Draghi’s implementing QE help Matteo Renzi raise the Italian deficit?

Could Mario Draghi’s implementing QE help Matteo Renzi raise the Italian deficit?

The aim of the above header is to link two names in people’s minds, both of them Italian: Mario Draghi and Matteo Renzi. Naturally the idea is not original, the FT’s Peter Spiegel recently published an entire blog post (Does Renzi owe his job to Draghi?) trying to establish some sort of connection between the arrival in office of Italy’s Matteo Renzi and the recent German Constitutional Court ruling. But this post is not about rumour, it is about coincidences.

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Spain: Some thoughts on Catalonia and secession

Spain: Some thoughts on Catalonia and secession

Against a backdrop which offers an eerie parallel with events which took place somewhat to the North more than 30 years ago, Catalonia is now threatening to separate from Spain. In so doing the region seems to be putting at risk both the future of the host country and beyond that the outlook for the Euro currency and the process of European unification.

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In Spain, simply doing nothing is not an option!

In Spain, simply doing nothing is not an option!

The recent IMF proposals to help stimulate growth and job creation in Spain at least deserve serious consideration. What the IMF are saying is that if you leave the situation as it is then growth will not be sufficient to make any significant change in the unemployment rate. Thus they estimate that on the basis of present policies the rate will still be 25% in 2018.

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Spain: The recession may be ending but the crisis continues

Spain: The recession may be ending but the crisis continues

What follows is an interview I did over the summer with the Madrid based publication The Local.

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