Joseph Eugene Stiglitz

Joseph Eugene Stiglitz is a economist American born the February 9th 1943 which accepted the “Nobel Prize” of economy in 2001 (for a common work with George Akerlof and Michael Spence). It is one of the founders and one of the most known representatives of the “Nouveau keynesianism”. It acquired its popular notoriety following its violent criticisms towards the the IMF and the the World Bank, emitted shortly after its departure of the World Bank in 2000, whereas it was chief economist there.

Among the most known searchs for Stiglitz the theory of the screening appears, which aims at obtaining private Information on behalf of a Economic agent: this theory, with the let us lemons of Akerlof and the effect signal of Spence, is at the base of the economy of information and the Nouveau keynesianism. It is also interested in the economy of the development.

Biographical details

Stiglitz was born in 1943 with Gary, Indiana (the United States), of Charlotte and Nathaniel Stiglitz. Of 1960 with 1963, it studied with Amherst College. Its fourth year of university proceeded with the MIT, where he undertook his research tasks. Of 1965 with 1966, it continued its research with Chicago with Hirofumi Uzawa.

It takes down its title of doctor in 1967 (24 years) with the MIT of Boston and a Bourse Fulbright of research to Cambridge. Stiglitz is named professor at 27 years and enters, two years later, at the Company of econometrics, the Pantheon of the profession. Thus starts then an exceptional career, with the Université of Yale (1966-1973) initially where it is promoted ordinary professor whereas it is hardly 27 years old! One then successively finds it with the MIT, Université of Yale, Université of Stanford (1974-1976), Université of Oxford (1976-1979), Université of Princeton (1979-1988) with, meanwhile, of the stays at the Institute of studies of the development of the Université of Nairobi.

Meanwhile, it is essential as being a large theorist and endorses of the subjects as the causes and consequences of the Inégalités, the persistence of the Chômage, the frequency of the Financial crises. However, Joseph Stiglitz especially directs more his attention towards the Asymétrie of information. A topic which will do of him one of the founders of the economy of information and, it is for this reason besides, which it receives the Nobel Prize of economy in 2001.

Stiglitz currently teaches in the Graduate School off Business of the Université of Columbia and is the editor association of the newspaper The Economists' Voice at the sides of Bradford DeLong and Aaron Edlin. He is also member of the Board off Advisers of the Oxford Council one Good Governance . He was in addition named by Jean-Paul II with the pontifical Académie of social sciences.

After two divorces, Stiglitz married in third weddings Anya Schiffrin the October 29th, 2004. This one is professeure of Journalisme in School off International and Public Affairs of the university of Columbia (New York) and directs the think tank Initiative for has founded Policy Dialog in 2000 per Joseph Stiglitz. Anya Schiffrin is also the codirectrice of the program International Media and Communications (IMC) of the Université of Columbia.

Political role

Stiglitz also played of many political roles. It was thus useful in the administration Clinton like person in charge of its economic councils (1995 - 1997). He was thereafter vice-president and chief economist of the the World Bank of 1997 with 2000. He will not criticize less strongly this institution of it thereafter, as well as the Fonds international currency.

He also shows himself very critical towards the president George W. Bush, regarding it as a threat for the good behavior of the worldwide economy; for him “the US president would be more dangerous than the candidates with the elections Brésil iennes of 2002. ”

According to a study which it codirigée with Linda Bilmes (professor in economy with Harvard), the cost of the war in Iraq is underestimated, it could cost between thousand and two thousand billion dollars against an official evaluation ( Research institute of the congress ) of 251 billion since 2005 and six billion dollars per month since.

Its international implication

Joseph Eugene Stiglitz also counts among the founding members of the ethical, political and scientific Collegium international, association who wishes to bring answers intelligent and suitable until the people of the world vis-a-vis the new challenges of our time wait.

Works

At the sides of its academic publications, Stiglitz is also the author of Whither Socialism , a more literary work aiming at explaining the reasons of the failure of the implementation of the Socialisme in Eastern Europe, the role of imperfect information in the markets. Stiglitz also denounces there the false ideas as for the free market theoretical in which the capitalist system in its liberal form operates.

In 2002, Stiglitz published Great Disillusion ( Globalization and its discontents ), where he affirms that the the IMF makes pass the interest of its “main thing Actionnaire”, the the United States, before those of the least favoured nations which he aims to however serve. In addition, by taking as example the Asian crisis and the Russian transition, Stiglitz supports that the policies recommended by the IMF often worsened the problems of which it had to be occupied, involving social consequences devastators and an increase in Pauvreté. This book was however criticized by many economists, like container of the untruths.

In this work, which became a " best seller" world (it was translated in about thirty languages), it also offers some reflections and inspirations to the Altermondialiste S, with criticisms of the protesters of Seattle or Genoa with regard to the current Mondialisation. Thus in 2004, it was one of the principal guests to the Worldwide social forum of Mumbai (India) to expose and discuss its economic vision to it.

In 2003, in When capitalism loses the head (Roaring Nineties) , it is as a former member and a president of the Economic council of president Bill Clinton that it then reconsiders the role of the decisions of Alan Greenspan to the head of the Federal fund in the economic recession of 2000 to the United States. The author concentrates then his reflection on the dysfunctions of the financial sphere by criticizing the uncontrolled deregulation of the financial sector and his consequences the such business Enron.

Alternative proposition for the developing countries

While not being Altermondialiste, Joseph Stiglitz collaborates with the social forums and shares certain analyzes: it is thus in favor of a tax (Tobin or equivalent) on the financial affairs and for a regulation of universalization. In Bolivia, It also approved the nationalization (or the reappropriation) of the hydrocarbons, which it described like a process of “restitution of goods”. In the same way, Stiglitz founded in 2000 the “ Initiative for has Policy Dialog ” at the University of Columbia, initiative which was given for mission of explaining to the developing countries why there are alternatives to the regulations of the IMF. The IPD also organizes a formation for journalists, so that those can decipher and analyze the emanating remarks of the IMF with their own parameters.

IPD works in collaboration with research institutes, of which some of the “Third world” and in particular ONG founded by Martin Khor, Third World Network , accredited at UNO, of the current altermondialist. .

Quotations

“Few people today defend this great hypocrisy: one claims to help the developing countries whereas one forces them to open their markets with the products of the advanced industrialized countries, which themselves continue to protect their own markets. These policies are likely to make the rich person even richer and the poor even poorer - and more furious. ” in Great Disillusion .

“the IMF is a fireman pyromaniac” in Great Disillusion .

Random links: