Unconventional monetary policy—characterized by “zero interest rate policy” (ZIRP) and “quantitative easing” (QE), along with macro-prudential regulation—has increased the power of central banks in the United States, Japan, and Europe. In the new issue of Cato Journal, contributors revisit the thinking behind unconventional monetary policy and the “new monetary framework,” make the case for transparent monetary rules versus foggy discretion, and point to the distortions generated by ultra-low interest rates and preferential credit allocation.
When the Danish newspaper Jyllands-Posten published the cartoons of the prophet Muhammad in 2005, Denmark found itself at the center of a global battle about the freedom of speech. The paper’s culture editor, Flemming Rose, defended the decision to print the 12 drawings, and he quickly came to play a central part in the debate about the limitations to freedom of speech in the 21st century. In The Tyranny of Silence, Flemming Rose provides a personal account of an event that has shaped the debate about what it means to be a citizen in a democracy and how to coexist in a world that is increasingly multicultural, multireligious, and multiethnic.
The Cato Institute has released its 2014 Annual Report, which documents a dynamic year of growth and productivity. “Libertarianism is the philosophy of freedom,” Cato’s David Boaz writes in his book, The Libertarian Mind. “It is the indispensable framework for the future.” And as the new report demonstrates, the Cato Institute, thanks largely to the generosity of our Sponsors, is leading the charge to apply this framework across the policy spectrum.
Featuring the authors Ronald Coase (by video), Nobel Laureate, University of Chicago; Ning Wang, Assistant Professor of Global Studies, Arizona State University; with comments by Albert Keidel, Senior Fellow, Atlantic Council, Asia Program ; moderated by James A. Dorn, Editor, Cato Journal, and Vice President for Academic Affairs, Cato Institute.
China has taken an extraordinary, and often unanticipated, journey in transforming itself from a closed agrarian socialist economy to a powerful economic force in the international arena. Coase and Wang persuasively argue that the reforms implemented by China’s leaders during the past 35 years did not represent a concerted attempt to create a capitalist economy, and it was “marginal revolutions” that introduced the market and entrepreneurship back to China. Lessons from the West were guided by the traditional Chinese principle of “seeking truth from facts.” How China Became Capitalist challenges received wisdom about the future of the Chinese economy, warning that while China has enormous potential for further growth, the future is clouded by the government’s monopoly of ideas and power. The authors argue that the development of a market for ideas — which has a long and revered tradition in China — would be integral to bringing about the Chinese dream of social harmony.