Minari The Movie

Minari (water dropwort - used in Korean cooking) is a household name now. Have you seen the movie?

Image credit - Yonhap News

Minari - Image credit Maangchi

Report Gini Coefficient Alongside GDP

According to the Byte Size Economics blog, it is the distribution of the GDP that matters, especially during the Covid-19 pandemic.

 https://www.bytesizestory.com/post/it-s-the-distribution-that-matters

Image credit - Dean Yeong

Triple Bottom 'Profit, People and Planet'

Short 3-4 minutes read of current economic issues in the 'Byte Size Economics' blog in the link given below.

Excerpt:

"...Managing the juxtaposition between returns from innovation for an investor, and investment for broad societal benefit is challenging - but a focus on the 'triple bottom line' of profit, people and planet has never been more important."

https://www.bytesizestory.com/post/push-it-to-the-limit

Image credit - Byte Size Economics

More Than One Long Run Equilibrium

From time to time, I visited one of the Top 100 Blogs of Economics. Come across Prof. Wren-Lewis's 'Mainly Macro' blog. He blogs almost everyday. The blog is for both economists and non-economists.

Excerpt:

"...I hope this issue of OXREP, together with the earlier companion volume, will do two things. First to help give ideas to younger academics about going beyond models with a single equilibrium. Second to help economists in policy institutions to see that there are other ways of doing things beyond microfoundations, and that many of the stories they were told about why policy models have to be microfounded are not as true as perhaps they once thought."

https://mainlymacro.blogspot.com

Source: Prof. Simon Wren-Lewis, 2021

Thailand's Floating Hydro-Solar Farm

The pros and cons of the solar farm is worth reading. But you have to search it elsewhere. The link below provides the facts.

Excerpt:

"Thailand is building one of the world’s largest floating hydro-solar farms in Ubon Ratchathani, a province in the country’s northeastern Isan region, on the border with Laos and Cambodia.

The 300-acre, 144,000-solar-panel hybrid project is at Sirindhorn Dam, on a 111-square-mile (288-square-kilometer) reservoir. The state-run Electricity Generation Authority of Thailand (EGAT) will use an Energy Management System to switch between solar and hydropower."

https://electrek.co/2021/04/21/egeb-thailand-builds-a-huge-floating-hydro-solar-farm/

Image credit - electrek.co

Breakeven Inflation

In light of the search for LIBOR replacement, we can revisit the article written by Brian Romanchuk, 2014 on Bond Economics. A good read.

Excerpt:

"The breakeven inflation rate is a market-based measure of expected inflation. It is the difference between the yield of a nominal bond and an inflation-linked bond of the same maturity."

http://www.bondeconomics.com/2014/05/primer-what-is-breakeven-inflation.html

Image credit - Romanchuk, 2014

Beyond LIBOR

Excerpt:

"Key takeaways:

• The new risk-free rates (RFRs) provide for robust and credible overnight reference rates, well suited for many purposes and market needs. In the future, cash and derivatives markets are expected to migrate to the RFRs as the main set of benchmarks. The transition will be most challenging for cash markets because of the bespoke nature of contracts and structurally tighter links to interbank offered rates.
• To manage asset-liability risk, financial intermediaries may continue to need a set of benchmarks that provide a close match to their marginal funding costs - a feature that RFRs or term rates linked to them are unlikely to deliver. This may call for RFRs to be complemented with some form of credit-sensitive benchmark, an approach already undertaken in some jurisdictions.
• It is possible that, ultimately, a number of different benchmark formats will coexist, fulfilling a variety of purposes and market needs. The jury is still out on whether any resulting market segmentation would lead to material inefficiencies or could even be optimal under the new normal."

https://www.bis.org/publ/qtrpdf/r_qt1903e.htm

Image credit - Schrimpf and Sushko, 2019