Pablo Pardo (Washington) | In March, Maryland-based pharmaceutical company Novavax was trading at 36 dollar cents (32 euro cents). It was a “penny stock”. On July 8th, Novavax closed at $104.56 (92.76 euros). Later they will say that the coronavirus is bad for the economy. What will happen to the price of the pharmaceutical companies on the day when a vaccine against the coronavirus arrives? And what will happen to the excess income arising from the help to the unemployed? And what about the much-trumpeted transformation of supply chains?
Articles by Pablo Pardo
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Pablo Pardo (Washington) | One of the most exciting stories of the world economy in 2002 is the oil price collapse. David Fyfe, chief economist of one of the world’s largest suppliers of raw materials’ prices, Argus, is aware that the oil market is not going to be the same after this collapse in demand. It will take years for prices to recover – if they do – and US production will be lower.
Pablo Pardo (Washington) | The decision to restart the economic activity will lead to a further increase in deaths, although health authorities around the world hope that it will not lead anywhere near the collapse of health systems, as happened in March and April. But when you say, “lives for money”, you are, relatively speaking, right. Maintaining a daily life that looks even slightly normal will make the death toll rise. It is the price to pay for avoiding an economic depression.
Pablo Pardo (Washington) | We don’t know yet what will happen but, for the moment, it is clear that the fact that China has apparently been able to contain the pandemic better than the US or much of the EU will considerably strengthen that country’s political appeal and capacity for influence. The loser, for the moment, is the West. The economic damage was inevitable. But the political damage, for example in the US, due to the lack of preparation and the scant attention paid to experts, could have been much less…
Pablo Pardo (Washington) | Joseph Stiglitz is undoubtedly the most famous Nobel Laureate in Economics in the world… after Paul Krugman. Also the most controversial and the one who has entered more directly into the public debate. However, he does not want to assess the Spanish political situation, despite the fact he has been an informal collaborator of Podemos since he received Pablo Iglesias in his office at Columbia University five years ago.
Pablo Pardo (Washington) | Now, Covid-19 could be a great opportunity for the United States and, also, for the world economy. With interest rates nearing zero, this could be a good opportunity to use fiscal policy to revive the economy… Also, at least in the United States, this could be an opportunity to undertake a reform of which absolutely nobody talks, but which makes this country have, by far, the most expensive, dysfunctional and inefficient social protection system in the industrialized world. Take health care, for example:
Pablo Pardo (Washington) | Ken Fisher is a curious multi-millionaire, who talks in plain language and loves the media. At 69, he is retired from the day-to-day management of his fund, Fisher Investments, which holds more than 100 billion dollars in management, and seems to be enjoying himself as a columnist in, among other media, the dailies Financial Times and USA Today and the weekly Forbes, where he sets out his ideas about markets in a plain language easily understood by everyone. And he does not hesitate to runs against the current when, for example, he says “I am not a fan of philanthropy”, although, it also has to be pointed out that he has donated millions to protect woods in the US, especially the redwoods, a species of sequoia which reach more than 100m high and are one of the largest trees in the world.
Pablo Pardo (Washington) | The last two decades have not been too good for the idea that companies should list in the stock market. Above all since 2008, the overabundance of practically free capital has allowed many companies to ignore equity markets. Until 2019 arrived and things changed.
Pablo Pardo (Washington) | Dean of the Blatavnik School of Government, Ngaire Woods is one of the people closest to Robert Keohane, of Princeton University, one of the most influential international relations theorists in the world. Woods, whose doctoral thesis was on European monetary union, has specialised in global governance and the role of multilateral institutions, two questions which have been the centre of debate following the victory of Donald Trump and Brexit.
Pablo Pardo (Washington) | Ángel Ubide, who was advisor to Spanish PM Pedro Sánchez between 2015 and 2016, has an enormous experience in financial markets. He has worked in the IMF, Goldman Sachs and three of the largest and best known hedge funds on Wall Street, Tudor, DE Shaw and now Citadel, where he is director of fixed income studies. He has also been a senior fellow of the Peterson Institute for International Economics, the most important think-tank specialising in economics in the US.