Capital Markets

Foreign Affairs Article

The Real Story Behind Executive Pay

Author: Steven N. Kaplan

Much of the outrage over economic inequality in the United States has centered on the high compensation and lack of accountability that corporate executives supposedly enjoy -- allegedly the result of boards at public companies. The truth, however, is that American CEOs now earn less and get fired more than in the recent past.

See more in Corruption and Bribery, Capital Markets, Corporate Governance

Foreign Affairs Article

Capitalism and Inequality

Author: Jerry Muller

Inequality is rising across the post-industrial capitalist world. The problem is not caused by politics and politics will never be able to eliminate it. But simply ignoring it could generate a populist backlash. Governments must accept that today as ever, inequality and insecurity are the inevitable results of market operations. Their challenge is to find ways of shielding citizens from capitalism's adverse consequences -- even as they preserve the dynamism that produces capitalism's vast economic and cultural benefits in the first place.

See more in Capital Markets, Poverty

Backgrounder

Understanding the Libor Scandal

Author: Christopher Alessi

The manipulation of interbank lending rates by a host of global financial institutions could have significant repercussions for financial markets, consumer loans, and regulatory policy, explains this Backgrounder.

See more in U.K., Capital Markets

Backgrounder Author: Steven J. Markovich

In the face of persistently high unemployment, policymakers and workers look to innovation and entrepreneurship to create new jobs. This Backgrounder discusses how entrepreneurs create and finance the startups that power U.S. job growth, and the ramifications of policies such as the JOBS Act.

See more in United States, Capital Markets, Economic Development, Labor, Technology Transfer

Interview

Brazil's New Protectionist Mood

Bernarndo Wjuniski interviewed by Christopher Alessi

While a new round of U.S. quantitative easing will have a negative impact on emerging markets like Brazil, the country should not blame U.S. monetary policy for the structural flaws in its economy, says expert Bernardo Wjuniski.

See more in Brazil, Capital Markets

Must Read

McKinsey Global Institute: Mapping Global Capital Markets 2011

In its 2011 updated analysis of more than 75 countries on the size of their outstanding equity and debt, cross-border capital flows, and the stocks of foreign investment assets and liabilities, MGI finds that the recovery of financial markets remains uneven across geographies and asset classes and significant risks remain.

See more in Capital Markets

Op-Ed

The Sino-American Decade

Author: A. Michael Spence
Project Syndicate

Michael Spence writes that cooperation between the United States and China on issues surrounding the environment, trade, investment, and financial stability will be critical not only for the continued well-being of the two countries, but also for the successful rebalancing of the world economy.

See more in China, Economics, Capital Markets, Economic Development, Emerging Markets, Geoeconomics, Infrastructure, International Finance, Trade