Instability Hub: Workshop Summary

Rebuilding Macroeconomics held its first workshop for the Instability Hub on the 8th March 2018. Following the fruitful discussion of our discovery meeting on July 5th 2017, we agreed to establish the Instability Hub. As part of our process of incorporating different perspectives in macroeconomics, we hosted this workshop to refine our research focus for the next two years. We are now in a position to make a first call for research that highlights areas where we think there is potential for some genuinely new, policy-relevant and interdisciplinary ideas. This will be released shortly.

The overarching theme that emerged from the workshop was that of ergodicity, see Roger Farmer’s blog for a summary. The Hub introduction blog framed the discussion for the workshop and highlighted the goals of the Hub, along with the summary note and background note.

The workshop looked at four areas, with presentations given by key speakers. Links to the pdf files of the presentations and names of speakers are given below.

(1) Policies to Alleviate Financial Crises

Justin van de Ven: Risks Posed by the 1%

John Muelbauer: Macroeconomic Feedbacks and financial Stability: Better Macro Models

Engelbert Stockhammer: Endogenous Finacial Cycles, Hysteresis, and Wage-led Growth

Geoff Tily: The Evolution to Multilateral Clearing and a Global Money Money-of-account

(2) Rational Expectations: Beliefs and Narratives

Sayantan Ghosal: Rational Expectations and Belief Narratives: A Tentative Research Proposal

Leaza McSorley and Ekkehard Ernst: Can Dreams Come True? What it will Take for Beliefs in Inclusiveness to Foster Growth

(3) Equilibrium Concepts in Physics and Economics

Reimer Kuhn: Interactions and Risks

David Orrell: Quantum Economics

Jean-Philippe Bouchaud: Equilibrium: Some Remarks (From a Physicist View Point)

(4) Agent Based Modelling

Mauro Napoletano: Agent-Based Models and Their Consequences for Macroeconomic Analysis

Rama Cont: No slides, see video once released

We are now in the position to make a first call for research, which will soon be announced.

We thank all those who attended the workshop, making it a thoroughly thoughtful meeting. And also look forward to the innovative ideas we will undoubtedly receive in the coming weeks.

Videos from the event will be uploaded soon, each covering the approximate 45-minute discussion of each section. A full list of our guests at the meeting is available here.

visit our instability hub

22 March 2018