The Galloway Hoard: Economics of the Early Middle Ages
The Galloway Hoard is more than just buried treasure. Discovered in 2014, this Viking-age deposit offers a glimpse of life during the Early Middle Ages, a century after the first Viking raids across Scotland. The collection contains more than 100 silver, gold, glass, rock crystal, stone, and earthen objects, most of which date to roughly 900AD. Our modern stereotype of the Viking age is framed … Continue reading The Galloway Hoard: Economics of the Early Middle Ages
Real Business Cycle Theory
The real business cycle, also known as the boom-and-bust cycle, is a term that illustrates how an economy evolves over time. The real business cycle shows that macroeconomic fluctuations within an economy can be described by technological shocks and changes in productivity. The change in growth affects the decision making of firms on investment. In RBC theory, business cycles are created by agents responding optimally … Continue reading Real Business Cycle Theory
The Economics of Private Prisons
When it comes to incarcerating criminals, there are two options in the US: state or private. A state prison is entirely owned by the government. The government then needs to oversee almost everything, from hiring the guards to providing the building itself. Although, even with state prisons, much of the work, such as food service and prisoner transportation, is outsourced to private contractors. With a private prison, … Continue reading The Economics of Private Prisons
News Briefing – 08/11/21
We’ve summarised the top stories of the last week into an easily digestible briefing, so that you can stay up to date on what’s happening around the world. You can subscribe to receive the briefing in your inbox each week. Business & Economics The USA has seen strong jobs growth this quarter, with average wages also rising. October alone saw the creation of over half a million … Continue reading News Briefing – 08/11/21
El Salvador and Bitcoin
On the 7th of September 2021, El Salvador accepted Bitcoin as a legal tender, joining the USD as the second official currency of the country. This is the first time a nation has accepted Bitcoin or any other cryptocurrency as a legal tender. Nayib Bukele, the 40-year-old Salvadoran president, was described as a “young president trying to capitalise on a popular image” with the Bitcoin … Continue reading El Salvador and Bitcoin
How Long Will the Semiconductor Shortage Last?
The world’s shortage of semiconductors has had ramifications for the entire globe. Shortages have caused a drastic decrease in the production of electronic parts for renewable energy industries, consumer electronics, and most of all, the automotive industry. If Taiwan’s manufacturing factories experience other lockdowns and closures due to further outbreaks of Covid-19, the effect of the semiconductor shortage could last longer and be more damaging … Continue reading How Long Will the Semiconductor Shortage Last?
Time Preference and Economics of Self-Control
Last year, in the last week of school, I was trapped in a painful dilemma: should I continue revising for that onerous Economics exam or should I flip open the laptop and switch on England’s (not so) dramatic Euro’s Group D decider? Adam Smith back in 1759 would’ve explained my situation as a battle between my passions and my impartial spectator. That is, I found … Continue reading Time Preference and Economics of Self-Control
Chart of the Month – November 2021
UK vacancies are at a record high. November’s Chart of the Month examines the causes behind this unprecedented labour shortage and its implications on the UK’s economic recovery. During pandemic restrictions, domestic aggregate demand for consumer goods and services slumped. Businesses faced sharp falls in revenues and a loss of profitability. Without government support, many firms would have shut their doors forever. To prevent irreversible … Continue reading Chart of the Month – November 2021
Modelling Supply and Demand: An Investigation of Price Volatility
Introduction For those who have lived through a pandemic, price volatility is no new phenomenon. In the early days of lockdown restrictions, dramatic images of empty shelves surfaced across media outlets, prompting fears of widespread shortages and price increases. Economic theory provides a standard explanation: a change in consumer preferences (as the jargon goes) results in a rightwards shift in demand. This leads to shortages, … Continue reading Modelling Supply and Demand: An Investigation of Price Volatility
The Economics of Poaching
A century ago, more than ten million wild elephants roamed the forests and savannahs of Africa. Now there are fewer than 500,000 left. The exorbitant price of ivory, at $1,800 per kilo, makes the grisly economics of poaching extremely valuable, condemning 35,000 elephants each year to an ugly death. Despite its trade being banned since 1989 and a global struggle to enforce an ‘ivory crush’, strong demand from East Asia has seen the market expand by 66% since 2003 and has … Continue reading The Economics of Poaching
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