Prof. Jonathan Gruber speaks with Margery Eagan and Jared Bowen on Boston Public Radio about the ethics of offering vaccine booster shots in the U.S. when many nations are struggling with vaccine scarcity. “This is really a moment where, going forward, the world has to figure out a more effective strategy,” said Gruber. “We need to think about how we’re going to set up institutions to deal with these kinds of tradeoffs in the future.”
New York Times columnist Peter Coy spotlights a new working paper by Prof. Daron Acemoglu examining democracies. “Democracies breed their own support only when they are successful: all of the effects we estimate work through exposure to democracies that are successful in providing economic growth, peace and political stability, and public goods,” Acemoglu and his co-authors write.
Institute Prof. Daron Acemoglu writes for Project Syndicate about why the U.S. and its allies never reconsidered a top-down state-building strategy in Afghanistan. “In viewing nation-building as a top-down, ‘state-first’ process, US policymakers were following a venerable tradition in political science,” writes Acemoglu. “The assumption is that if you can establish overwhelming military dominance over a territory and subdue all other sources of power, you can then impose your will. Yet in most places, this theory is only half right, at best; and in Afghanistan, it was dead wrong.”
Writing for The New York Times, Prof. Amy Finkelstein explores the need to reign in prices of drugs administered by physicians. “Economists tend to favor letting the private sector set prices, but this requires a well-functioning market,” writes Finkelstein. “In trying to base its payments on what other customers pay, Medicare has distorted the market for physician-administered drugs beyond reason.”
In a segment for Planet Money, Greg Rosalsky spotlights a paper co-authored by Prof. Lawrence Schmidt that examines investor performance and finds that elite financiers often excel at buying stocks but perform poorly when it comes to selling stocks. "My big takeaway from this paper is even when we look at a sample of extremely talented, highly incentivized expert investors, they are still people," says Schmidt.
A new study by MIT economists finds that sleeping more may not improve performance or well-being, especially if night-time sleeping is often interrupted, reports Arianne Cohen for Fast Company. “The researchers say their findings suggest that sleep quality may be essential,” writes Cohen. “Participants experienced many nightly sleep interruptions, a saga familiar to anyone who lives with children.”
Profs. Esther Duflo and Abhijit Banerjee speak with Axios reporter Dave Lawler about how the failure of rich countries to share Covid-19 vaccines and financial assistance will exacerbate global poverty and lead to increased resentment. "Nobody is talking of expanding aid,” says Banerjee. “I think the psychology, unfortunately, in rich countries somehow — even though the U.S. is going to grow faster in this year than it has in modern memory — is that we are in dire straits and we need to keep resources.”
Prof. Daron Acemoglu makes the case in a piece for The Washington Post that there should be oversight of how AI is applied, arguing that current AI technologies are already having tangible impacts on the labor market, the criminal justice system and on democratic discourse and politics. “Will AI be allowed to work increasingly to displace and monitor humans, or steered toward complementing and augmenting human capabilities,” Acemoglu writes, “creating new opportunities for workers?”
New York Times reporter Sarah Kliff and Margot Sanger-Katz spotlights a study by Prof. Amy Finkelstein that demonstrated how Medicaid coverage could improve Americans’ financial health. “It’s a misnomer — it’s not just to insure your health,” says Finkelstein. “It’s actually to protect you economically in the event of poor health.”
Prof. Esther Duflo speaks with Mikaela Cohen of CNBC about how gender inequality, access to childcare and vaccine access are among the issues impacting the return to work in the U.S. and the global economic recovery. “We realized the current system is just not very workable. It just barely works,” says Duflo. “Women sustain themselves by pulling on their own boot straps.”
New York Times reporter Ben Casselman spotlights a study by Prof. Daron Acemoglu that finds many technological advances have replaced human labor without increasing productivity. “If we automated less, we would not actually have generated that much less output but we would have had a very different trajectory for inequality,” says Acemoglu.
Prof. Jonathan Gruber speaks with Boston Public Radio about the economics behind the music industry. “Music is an incredibly good deal, but part of the reason it’s an incredibly good deal is because musicians don’t make anything,” says Gruber. “Basically the music economy today is exactly where the rest of the economy is today. It’s a superstar economy.”
In a letter to the Financial Times, graduate student Daniel Aronoff makes the case that banks should not serve as the gatekeepers of digital currencies. Aronoff writes that anointing “banks as the gatekeepers would keep the current oligopoly in place and jeopardise many of the possible benefits of digital currency.”
Provost Marty Schmidt speaks with TopUniversities.com reporter Chloe Lane about how MIT has maintained its position as the top university in the world on the QS World University Rankings for 10 consecutive years. “I am honored to have been a part of the MIT community for almost 40 years,” says Schmidt. “It’s a truly interdisciplinary, collaborative, thought-provoking place that encourages experimentation and pushes you to expand your mind. I think it’s a wonderful place to call home.”
Prof. David Autor speaks with New York Times columnist Thomas Edsall about education and income inequality. “If the citizens of a democracy think that ‘progress’ simply means more inequality and stratification, and rising economic insecurity stemming from technology and globalization, they’re eventually going to ‘cancel’ that plan and demand something else,” says Autor.