Greenberg Center for Geoeconomic Studies Publications Archive

Foreign Affairs Article

America’s Brewing Debt Crisis

Author: Robert E. Litan

“Although short-term debt poses one of the greatest threats to the financial stability of the United States, Dodd-Frank has done little to mitigate it. Fortunately, several experts have proposed ambitious ways of dealing with the problem, including expanding federal insurance of bank deposits, allowing the Federal Reserve to lend money to more firms in the case of a panic, and banning unregulated financial institutions from issuing runnable liabilities,” writes Robert E. Litan.

See more in United States; Budget, Debt, and Deficits

Other Report

Venture Capital and Cleantech: The Wrong Model for Clean Energy Innovation

Author: Varun Sivaram

Venture capital (VC) firms spent over $25 billion funding clean energy technology (cleantech) start-ups from 2006 to 2011 and lost over half their money; as a result, funding has dried up in the cleantech sector. In this report, we present the most comprehensive account to date of the cleantech VC boom and bust, aggregating hundreds of investments to calculate the risk/return profile of cleantech, compared with those of medical and software technology investments. The results are stark—cleantech offered VCs a dismal risk/return profile, dragged down by companies developing new materials, chemistries, or processes that never achieved manufacturing scale. We conclude that the VC model is broken for the cleantech sector, which suffers especially from a dearth of large corporations willing to invest in innovation. Fortunately, new public and private capital may be on the way after announcements made at the 2015 Paris Climate Change Summit. If a new and more diverse set of actors avoids the mistakes of the cleantech VC boom and bust, then they may be able to support a new generation of cleantech companies."

The publisher of the third featured publication should be "Stanford University Steyer-Taylor Center for Energy Policy and Finance

See more in Global; Energy and Environment

Other Report

Global Economics Monthly August 2016

Author: Robert Kahn

Steven A. Tananbaum Senior Fellow for International Economics Robert Kahn argues that markets have absorbed the initial economic shock from Brexit, but navigating the new landscape will remain a challenge. Two months after the vote, the politics of Brexit is producing a lengthy and uncertain renegotiation of Britain’s place in Europe and the world. Such extended uncertainty is likely to produce a long-lasting drag on both UK and European economies, which could ultimately threaten the viability of the European Union (EU).

See more in Europe; Economics

Article

The TPP Debate Has Devolved Into Generalizations. What’s Actually in the Deal?

Author: Edward Alden
World Politics Review

U.S. President Barack Obama has promised to continue his push for Congress to approve the Trans-Pacific Partnership (TPP), despite firm opposition to the free trade agreement from both of the major candidates for president, including his former secretary of state, Hillary Clinton. “Right now, I’m the president and I think I’ve got the better argument,” he told reporters following a meeting Tuesday with Singapore’s prime minister, Lee Hsien Loong.

See more in United States; Trade; Treaties and Agreements

Op-Ed

Among High-Growth Firms, Reason for Optimism on Startups. (Really.)

Author: Robert E. Litan
Wall Street Journal

Think Tank readers know of my pessimism about the 30-year secular decline in the startup rate–the ratio of new U.S. firms with at least one employee as a share of all firms–through 2011. Labor Department data out Wednesday that looked at new firms and jobs created in the last quarter of 2015 showed how the numbers are down since the recession ended compared with pre-recession data.

See more in United States; Financial Markets

Other Report

Global Economics Monthly July 2016

Author: Robert Kahn

Steven A. Tananbaum Senior Fellow for International Economics Robert Kahn argues that summer has seemingly brought a new optimism about the Russian economy. Russia’s economic downturn is coming to an end, and markets have outperformed amidst global turbulence.  But the coming recovery is likely to be tepid, constrained by deficits and poor structural policies, and sanctions will continue to bite. Brexit-related concerns are also likely to weigh on oil prices and demand. All this suggests that Russia’s economy will have a limited capacity to respond to future shocks.

See more in Russia and Central Asia; Economics

Op-Ed

U.S. Needs New South China Sea Strategy To Contain Beijing

Author: Jennifer M. Harris
Newsweek

On Tuesday, the United Nations Permanent Court of Arbitration issued its final ruling in a landmark case between the Philippines and China over disputed maritime claims in the South China Sea. The object of intense global interest, the three-year-old case has come to serve as a bellwether for the kind of rising power China intends to be.

See more in China; United States; Regional Security

Article

Theresa May Must Contain the Brexit Damage — and More

Author: Sebastian Mallaby
Washington Post

Three months ago, before Britain descended into its “Game of Thrones”-esque madness, Theresa May delivered a speech on her country’s place in Europe — on sovereignty, prosperity and the dilemma of a midsize nation in an era of globalization. Unlike those campaigning for Britain to leave the European Union, she wielded real statistics, not fake ones.

See more in United Kingdom; International Organizations and Alliances

Op-Ed

New International Energy Forum Focuses on Innovation

Authors: Varun Sivaram and Graham Pugh
The Hill

Last month, energy ministers from around the world gathered in San Francisco for the annual Clean Energy Ministerial (CEM), which for the past seven years has focused on deploying existing clean energy technologies around the world. But for the first time, clean energy innovation was on the gathering’s agenda as well. In a parallel “Mission Innovation” Ministerial (MIM), twenty countries and the European Union — accounting for over 80 percent of the world’s public energy research and development (R&D) funding — committed to collectively double R&D funding to $30 billion by 2021.

See more in Global; Energy Policy; Climate Change