Benn Steil and Emma Smith’s op-ed explains why the ECB should worry Emerging Markets almost as much as the Fed does. A big rise in speculative euro borrowing makes them vulnerable to euro appreciation, which could be dramatic if Draghi disappoints in March.
Authors: Michael A. Levi and Edward Morse Barron's
As climate plays a growing role in energy markets, serious energy analysis can no longer choose to focus only on traditional energy economics and geopolitics, write Michael Levi and Ed Morse. Policymakers, analysts, companies, and investors that deal in traditional energy will need to become much more sophisticated in their understanding of climate policy.
There is no other area of global governance—not climate change, not management of the oceans, not monetary policy, not peacekeeping—in which the nations of the world have agreed to cooperate more closely than on the rules governing international trade. But over the past half-century, each step toward greater trade cooperation has been a bit harder than the last.
To pay for the new federal budget deal, which President Obama recently signed into law, Congress has agreed to sell 58 million of the 695 million barrels of the United States’ strategic petroleum reserve (SPR).
When President Obama welcomes President Joko Widodo of Indonesia on his first White House visit next week, he will have a valuable opportunity to help curb one of the world’s largest sources of carbon emissions.
Even though there is little fundamental linkage between oil prices and the competitiveness of solar or wind power across the developed world, newly risk-averse investors in renewable energy Yieldcos are dumping investments they suddenly consider overvalued.
Elizabeth C. Economy and Michael Levi explore how Chinese demand drive global commodity prices, the broader implications of the Chinese slowdown for the global economy and regional security, and consequences of China’s resource quest for the world’s resource-producing states and industries.
Author: Michael A. Levi Democracy: A Journal of Ideas
Shale gas is no panacea but, with the right policies to protect communities where gas is produced and to harness the fuel as part of a broader climate strategy, it can play a critical role in confronting global warming, argues Michael A. Levi in a Democracy article.
Authors: Varun Sivaram, Henry J. Snaith, and Samuel D. Stranks Scientific American
An upstart material—perovskite—could finally make solar cells that are cheaper and more efficient than the prevailing silicon technology. Varun Sivaram and co-authors delve into the science behind perovskites and assess the technology’s commercial prospects.
Tesla is planning to scale up production of its lithium-ion batteries, which today power electric vehicles but tomorrow could back up the electricity grid, by building a massive “Gigafactory” in Nevada. Varun Sivaram argues that while positive in the short run, Tesla’s mediocre battery could crowd out more promising, advanced battery technologies in the long run, impeding long-term progress on climate change.
For fifty years, Moore’s Law has governed the startling pace of innovation in the computer chip industry. That Moore’s Law is an extraordinary phenomenon, unique to a single industry, is often forgotten by clean energy commentators who misappropriate it for predicting the progress of technologies like solar panels and batteries. Varun Sivaram argues that this sort of analogy is misleading, and that the clean energy sector should aspire to Moore-esque advances.
As supporters of the Trans-Pacific Partnership try to round up backers, they increasingly emphasise the geopolitical case for concluding a deal. But too often they overstate the case—and, in doing so, generate real geopolitical risks of their own, while also jeopardising the agreement they seek.
The new House budget sets a deadline of October 1 to “cut waste, eliminate redundancies and end the abuse or misuse of taxpayer dollars,” and it specifically targets the Department of Defense (DOD) for spending “part of their budget studying climate change.” Varun Sivaram highlights how the military’s broad portfolio of climate change adaptation efforts should not be considered redundant or wasteful because it bolsters American national security interests.
Benn Steil’s new Forbes op-ed examines Paul Krugman's data analysis purporting to document definitively that "austerity," defined by declines in real government purchases, damaged growth between 2010 and 2013. He shows that this finding collapses entirely when he excludes countries without independent monetary policies, such as those in the Eurozone. For countries with independent monetary policies, changes in real government purchases had no effect on growth.
In Market Madness, Blake C. Clayton shows that predictions of dwindling oil supplies and a rise in prices have been empirically proven incorrect. Technological advances and geopolitical shifts have repeatedly prompted sudden, severe drops in oil prices—exactly like the one we are experiencing today.
In By All Means Necessary, Elizabeth C. Economy and Michael Levi explore the unrivaled expansion of the Chinese economy. China is now engaged in a far-flung quest, hunting around the world for resources, and deploying whatever it needs in the economic, political, and military spheres to secure them. More
In Money, Markets, and Sovereignty, the authors present a fascinating intellectual history of monetary nationalism from the ancient world to the present and explore why, in its modern incarnation, it represents the single greatest threat to globalization. More
In The Closing of the American Border, Edward Alden goes behind the scenes to tell the story of the Bush administration's struggle to balance security and openness in the wake of the September 11, 2001, terrorist attacks. More