Economics

Writing for The New York Times, Prof. Catherine Wolfram and Columbia Prof. Glenn Hubbard make the case that to help end the war between Russia and Ukraine, the U.S. should “impose sanctions on any company or individual – in any country – involved in a Russian oil and gas sale.” They write: “Ideally, the policy would pressure Russia into negotiations, where its removal could be part of a deal. If not, the United States would still collect billions annually, which could help fund Mr. Trump’s proposed tax cuts.” 

Lee Selwyn PhD '69 speaks with WVCB reporter Ben Simmoneau about how gas companies in Massachusetts promised consumers discounts on their March and April bills, following soaring energy costs this winter. 

Prof. Jonathan Gruber speaks with Marketplace reporter Elizabeth Trovall about looming labor shortages within the caregiving industry and elder care. “We have no plan for credibly meeting that massive change in the long-term care needs of our population,” says Gruber. 

Prof. Jeffrey Harris speaks with Newsweek reporter Jasmine Laws about how a recession could impact Medicare. "A recession could impact many critical decisions of federal lawmakers, private insurers, healthcare providers, and patients,” says Harris. “The U.S. Congress may decide to let stand the Medicare physician payment cut that became effective on January 1 of this year. Reduced physician payments under conventional Medicare may cause doctors, hospitals and other providers to shift their resources toward the care of younger, commercially insured patients."

Prof. David Autor speaks with Financial Times reporter Tom Davis about the impact of dataism – the belief that through gathering increasing amounts of information businesses can make the right decisions and create value - and automation in business management. “You can think of automation as a machine that takes a job’s inputs and does it for the worker,” says Autor. “[And] augmentation as a technology that increases the variety of things that people can do, the quality of things people can do, or their productivity”.

MIT has been named among the top-performing intuitions in the QS World University Rankings by Subject 2024, reports The Economic Times. MIT ranks “first in 12 subjects, maintaining its stronghold in fields like engineering, technology, and computer science,” explains Economic Times. 

Prof. Jonathan Gruber speaks with GBH All Things Considered news anchor Judie Yuill to address recession concerns. “I think the important takeaway I have is that the real risks for our nation are not really short term, they’re long term,” explains Gruber. “We are a knowledge, investment and innovation-based economy. That’s what made America great for 80 years. The base of that innovation — the base of this knowledge economy — is our world-leading universities. If we start cutting them, we’re going to pay a long-run price in terms of our ability to grow as a nation.”

Prof. Jonathan Gruber speaks with WCVB reporter Jackie DeFusco about the role of tariffs on manufacturing jobs in the United States. "Regardless of where the tariffs end up, the fact they're moving around so much is going to lower hiring,” says Gruber. “Whether the tariffs end up raising or lowering hiring once they're locked in, I think it is unclear.” 

Writing for the Financial Times, Prof. Abhijit Banerjee and Prof. Esther Duflo highlight the importance of foreign aid. “Reaffirming the most basic principle of aid would provide clarity,” they write. “The goal should be to invest in projects that will have the largest impact on the quality of life of poor people around the world. Saving lives during environmental catastrophes qualifies, as does financing global public goods such as vaccinations or epidemic control. Helping local actors to learn from each other and adopt the most effective ways to fight poverty can also have enormous benefits, even if this sounds a bit vague. That is because any aid money invested can then be spent in the best way possible.” 

Writing for Project Syndicate, Prof. Daron Acemoglu addresses the potential benefits and risks posed by AI advancements. “AI, properly developed and used, can indeed make us better – not just by providing ‘a bicycle for the mind,’ but by truly expanding our ability to think and act with greater understanding, independent of coercion or manipulation,” explains Acemoglu. “Yet owing to its profound potential, AI also represents one of the gravest threats that humanity has ever faced. The risk is not only (or even mainly) that superintelligent machines will someday rule over us; it is that AI will undermine our ability to learn, experiment, share knowledge, and derive meaning from our activities.”

Prof. Sarah Millholland, Prof. Christian Wolf, Prof. Emil Verner, Prof. Darcy McRose, Prof. Marzyeh Ghassemi, Prof. Mohsen Ghaffari and Prof. Ariel Furst have received the 2025 Sloan Research Fellowship for “being among the most promising scientific researchers currently working in their fields,” reports Michael T. Nietzel for Forbes. “Sloan Research Fellows are chosen in seven scientific and technical fields—chemistry, computer science, Earth system science, economics, mathematics, neuroscience, and physics,” explains Nietzel. 

Prof. David Autor joins Danielle Pletka and Marc Thiessen of the American Enterprise Institute to discuss his research examining the impact of China entering the World Trade Organization, how the U.S. can protect vital industries from unfair trade practices, and the potential impacts of AI. “If you say, we're running a race against China, and certainly we are in many ways, we have two tools at our disposal. One is we can try to trip them up and hobble them. The other is we could bulk up and run faster. And we're going to have to do both,” says Autor. “We have to be willing to do the expensive stuff as well as the cheap stuff. The cheap stuff is like, let's put tariffs on them. The expensive stuff is let's invest in ourselves. And those are complementary activities.”

Prof. Jonathan Gruber speaks with GBH’s Boston Public Radio hosts Jim Braude and Margery Eagan about the CARD Act and the Consumer Financial Protection Bureau. “There is a legitimate role for credit in our society for those who use it appropriately,” explains Gruber. “And you don’t want to shut that down… We need to really be rethinking how we do regulation in the U.S.”

Prof. Christopher Knittel speaks with GBH reporter Robert Goulston about the potential impact of tariffs on imported metals and lumber. “When you place a tariff on an imported good, it’s not just the price of the imports that increase, but it’s also the price of the domestically manufactured products that increase,” explains Knittel. “Obviously the cost of importing steel and aluminum will increase, but domestic manufacturers will also raise their price because they can.”

Prof. David Autor speaks with NPR Planet Money host Greg Rosalsky about his working paper exploring “what happened to American communities after China joined the World Trade Organization in 2001,” also known as the “China Shock." Autor and his colleagues found that while regions impacted by the China Shock did eventually recover, the people hurt by the China Shock did not. “The China Shock research suggests that classic, free market economic theory blinded many to the reality that free trade can destroy the livelihoods of many people and that they have a hard time adjusting," says Rosalsky.