Greg Mankiw

Nicholas Gregory " Greg" Mankiw ( born February 3, 1958 in Trenton, New Jersey) is an American economist and professor of economics at Harvard University. Under President George W. Bush, he was from 2003 to 2005 Chairman of the Council of Economic Advisers.

Overview

Mankiw is one of the most influential macroeconomists of the United States. His research interests include issues of price adjustment, consumer behavior, financial markets, monetary and fiscal policy and economic growth.

Mankiw published in 1992 along with David Romer and David N. Weil an extension of the Solow model by a factor of human capital. Their growth model provides an explanation that economic growth has stagnated in some developing countries. Mankiw's popular textbooks Macroeconomics and Principles of Economics have been sold a total of one million copies.

Gregory Mankiw describes himself as a New Keynesian. The representatives of the New Keynesian Economics in Anglo-Saxon economics work with similar models such as neoclassical and Keynesian critics represented in long -term perspective, the dogmas of economic classics. The appeal to Keynes just means that short-term rigidities in prices and wages are given. Mankiw openly declared that the New Keynesian economics does not represent the theories of Keynes, and refuses to deal with the writings of Keynes at all:

" One might also suppose did reading Keynes is an important part of Keynesian theorizing. In fact quite the opposite is the fact. [ ... ] If new Keynesian economics is not a true representation of Keynes ' views, then so much the worse for Keynes. The General Theory is an obscure book. [ ... ] [It ] is an outdated book. [ ... ] We are in a much better position than Keynes to figure out how the economy works. [ ... ] Classical theory is right in the long run. More over, economists today are more interested in the long -run equilibrium. The long run is not so far away. "

In stark contrast to the findings of Keynes that the savings of an economy is identical to the net investment and created by this, Mankiw discusses a range of loanable funds in the credit market (market for loanable funds). The interest rate would adjust to the supply of and demand for loanable funds, as Mankiw, without being able to explain how should arise an offer of credit funds by saving the private or public sector. Mankiw refers to the banks as intermediaries, of which the savings to borrowers will be redirected. However, the lending is in Keynesian understanding no forwarding incurred by saving loanable funds, but an increase in total assets of the banking system, in which the bank deposits are generated by the debt. In a restrictive credit policy or declining public debt it is reverse to a reduction in total assets and declining financial assets through loss of income, usually in a recession or depression. Recession or depression are further exacerbated by the Keynesian paradox of thrift by saving by households. Mankiw's presentation of the model of Markets of loanable funds equals the vorkeynesianischen classical and neoclassical view, in principle scarce in the state deficits, a theoretical model of imaginary supply of loanable funds, which can increase the interest rates and a crowding out effect, the reduced consumption of private households allegedly cut while interest rates would.

Writings (selection )

• N. Gregory Mankiw, Mark P. Taylor: Principles of Economics 5th edition. Poeschel, Stuttgart 2012, ISBN 978-3-7910-3098-2.
• Macroeconomics 6th edition. Poeschel, Stuttgart 2011, ISBN 978-3-7910-3100-2.