Initiative for Policy Dialogue

Featured Publications


Henry George, land speculation, and economic growth and transformation

11/11/2025

Journal Articles

There has long been a concern that speculation on land (or other non-produced assets) may adversely affect economic performance by diverting scarce savings away from productive investment. The central objective of this paper is to show in the simplest possible model (i) how land speculation resulting from land market reform affects long-term productivity and economic growth rates, and (ii) how government policies and institutional arrangements can mitigate the adverse effects of land speculation and increase growth and overall welfare. We analyse the effects of land taxation in a way that goes beyond the suggestion by Henry George (1879) who argued that the fairest and most efficient tax was a tax on land. Our findings differ from the widely accepted views that looser financial and monetary policies should be good for growth. Instead we argue that, without financial regulations that curb the adverse effects of land speculation, such policies can end up encouraging land speculation financed by borrowing, rather than stimulating productive investment. We conclude that financial liberalization and lower interest rates can be harmful to the long-term economic growth and welfare.


Overlapping generations models, multiplicity of steady states and momentary equilibria, and economic fluctuations

11/10/2025

Journal Articles

This paper examines the simplest OLG models with capital accumulation, demonstrating three results that stand in marked contrast to those of the standard model: first, the possibility of multiple steady states; second, the possibility of multiple momentary equilibria under rational expectations; third, one of the implications of multiple momentary equilibria is that dynamics may be marked by complex fluctuations (lacking even periodicity), but still within well-defined bounds. We provide quite general conditions (with general utility and production functions) under which, in the simplest of OLG models, there can be multiple steady states, multiple momentary equilibria, and complex dynamics.

Tax Policy IPD image from Freepik
Equity Prices, Market Power, and Optimal Corporate Tax Policy

03/04/2025

Working Paper

We study the optimal design of corporate tax policy in a textbook life-cycle model featuring two key deviations: (i) firms are imperfectly competitive and (ii) households save by purchasing equity shares in a stock market.

year of the jubilee Photo Image, from Pexels IPD
Addressing the debt and development crises in countries from the South in the year of the Jubilee

12/10/2024

Policy Brief

A group of academic experts, practitioners, finance ministers, policymakers, authorities from international financial institutions, religious leaders, and experts from civil society organizations met at the Pontifical Academy of Social Sciences (PASS) in the Vatican City on June 5, 2024, to discuss the current debt situation, especially in the Southern Hemisphere.

Capitalism Image from Freepik for IPD website
Growth and Fluctuations: An Overview

12/01/2024

Working Paper

Capitalism since its inception has been marked by large fluctuations. The resulting episodic unemployment has been very costly. This paper provides an overview of alternative theories

IPD Photo Image from Freepik
Reforming the IMF Surcharge Rate Policy to Avoid Procyclical Lending

09/12/2024

Policy Brief

The International Monetary Fund (IMF) levies ‘surcharges’ or extra fees on member countries that either draw “substantial” amounts of IMF credit to mitigate balance of payments constraints, or that maintain their credit exposure with the institution for sufficiently long periods of time.

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IPD broadens dialogue on critical issues in developmental policy. 

Diverse stakeholders with a legitimate interest in policy outcomes often lack access to the process, information, and language necessary to participate effectively. IPD emphasizes diverse participation to enable civic involvement in economic policymaking.

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