Sabine Lautenschläger discusses Eurozone conditions and the European Central Bank's economic tools, as well as the effects of U.S. trade policy on the global economy.
The C. Peter McColough Series on International Economics brings the world's foremost economic policymakers and scholars to address members on current topics in international economics and U.S. monetary policy. This meeting series is presented by the Maurice R. Greenberg Center for Geoeconomic Studies.
Audio snippets subject to human review; Huawei employees help African governments’ spying; major vulnerabilities revealed in U.S. fighter jets; China’s central bank close to releasing digital currency; and a new ransomware used to attack companies.
Manufacturing exports are about three times more important to the euro area than to the U.S. economy.
That's largely because the U.S. now exports very few manuactures.
And China's imports of manufactures, once you net out imports for re-export (processing) really are quite small.
The “law of one price” holds that identical goods should trade for the same price in an efficient market. But how well does it actually hold internationally? The Economist magazine’s Big Mac Index uses the price of McDonald’s Big Macs around the world, expressed in a common currency (U.S. dollars), to measure the extent to which various currencies are over- or under-valued. The Big Mac is a global product, identical across borders, which makes it an interesting one for this purpose.