Boom Bust Season 1 Episode 133 Pippa Malmgren Explains Euro Divide and Mark Thoma On Piketty Data Controversy

Boom Bust season 1, episode 133 focuses on the European economy and the recent controversies surrounding economist Thomas Piketty's data. Hosts Bart Chilton and Christy Ai dive into these important topics with expert guests Pippa Malmgren and Mark Thoma.

Malmgren, a well-respected economist and former White House advisor, discusses the growing divide within the European Union. She notes that the economies of countries like Germany and Greece are vastly different, with Germany enjoying robust growth while Greece struggles with high debt and low productivity. Malmgren explains that this divide is widening due to the euro, which ties the economies of all member states together. She warns that this could lead to a "two-speed Europe," with some countries benefiting from the euro and others being left behind.

Thoma, an economics professor at the University of Oregon, joins the conversation to weigh in on the recent controversies surrounding Piketty's data. Piketty, a noted economist, authored the book "Capital in the Twenty-First Century," which argued that wealth inequality is on the rise and that it will eventually lead to social unrest. However, some economists have challenged Piketty's data, claiming that it is inaccurate or incomplete. Thoma addresses these criticisms, arguing that Piketty's central thesis remains sound even if some of the data is flawed.

Throughout the episode, Chilton and Ai guide the conversation, providing insightful commentary and asking incisive questions. They also touch on other economic issues, such as the impact of the coronavirus on the global economy and the policies of the International Monetary Fund.

Overall, Boom Bust season 1, episode 133 is a must-watch for anyone interested in the current state of the European economy and the controversies surrounding Piketty's work. The episode is packed with valuable insights and thoughtful analysis, making it a valuable resource for students, economists, and policymakers alike.