Peterson Perspectives: Interviews on Current Issues

David J. Stockton says the US economic outlook is strong and full employment is close at hand, which should allow the Fed to gradually raise interest rates—although President-elect Trump introduces new uncertainties.

Nicolas Véron says the results of Italy’s referendum leave the country’s shaky banks in limbo for now but could pave the way for a government that is better positioned to push through painful reforms.

Jacob Funk Kirkegaard breaks down this weekend’s vote in Italy, which, despite its rather technical nature, has financial markets concerned about another flare up in the country’s slow-burning banking crisis.

Monica de Bolle says forecasts for a rebound next year from the deepest recession in decades may be overly optimistic as the country’s political morass takes another turn for the worse.

Joseph E. Gagnon says it’s hard to know what kind of monetary policy Donald Trump will favor as president, given his flip-flopping on the issue of interest rates, but adds he may try to keep the more hawkish elements of his party at bay in order to boost short-term economic growth.

Edwin M. Truman says the sovereign wealth fund scoreboard prepared by him and Sarah Stone shows that these funds have more work to do to achieve full transparency and accountability.

Joseph E. Gagnon says the Federal Open Market Committee meeting on November 2 suggests continued economic growth and a likely small interest rate increase in December.

Jacob Funk Kirkegaard and Jeromin Zettelmeyer discuss the implications of the UK government’s apparent push for a hard break with the European Union, a path they say will weaken the British economy further barring unlikely political shifts that restrain or undo Brexit.

Nicolas R. Lardy says China has made progress in making its economy less reliant on exports but worries about the increasingly dominant role of state-owned enterprises (SOEs).

Olivier Blanchard discusses the need for a greater emphasis on fiscal policy to take some of the burden off central banks in dealing with weak economic growth across rich nations.