Discover the best 2021 economics books

The British newspaper Financial Times last week released the list of required readings for the second half of 2021, selected by its columnist and chief commentator Martin Wolf. Topics such as technological transformations in finance, globalization and behavioral economics are among its recommendations.

Check out the full list below:

The Future of Money: How the Digital Revolution is Transforming Currencies and Finance [O futuro do dinheiro: como a revolução digital está transformando moedas e finanças], de Eswar S. Prasad (Belknap, 28,95 libras, R$ 216; Harvard University Press, US$ 35, R$ 196)

Digital technologies are also transforming the world of finance. Cornell’s Prasad provides a valuable overview of what this might mean: physical money will disappear; central bank money will compete with the new private versions; financial intermediation will be transformed; and new opportunities will open up for the world’s population. But with opportunities come risks. As Prasad sums it up: “A glorious future awaits, perhaps.”

The Resilient Society [A sociedade resiliente], by Markus K. Brunnermeier (Endeavor, US $ 24, R $ 134,45)

In this important book, Princeton’s Brunnermeier states that “resilience can serve as a guiding star for a post-Covid society.” The global financial crisis and pandemic have taught us that we need to be resilient if we are to respond successfully to shocks. Resilience is not the same as “robustness”. It is “being able to weather a storm and recover”. We must do this better.

Cogs and Monsters: What Economics Is, and What It Should Be [Engrenagens e monstros: o que é a economia, e o que deveria ser], de Diane Coyle (Princeton University Press, 20 libras, R$ 149,33; US$ 24, R$ 134,45)

Coyle, now at Cambridge University, is an exceptionally thoughtful economics commentator. In this book, she rejects what she calls the “scarecrow” arguments of many economic critics, while admitting how difficult it is for economists to be objective. Instead, it focuses on two other weaknesses: first, the assumption of rational economic “gear” has become even more unrealistic in the age of digital “monsters” on “snowball”; and secondly, practitioners of economics are totally cut off from the society they study.

An Economist at Home and Abroad: A Personal Journey [Um economista em casa e no exterior: uma jornada pessoal], de Shankar Acharya; (HarperCollins India, US$ 24, R$ 134,45)

Acharya has been my friend since we met in 1971 when we worked together at the World Bank. He later returned to India, where he was the longest-serving chief economic adviser at the Ministry of Finance, serving three reforming finance ministers, notably Manmohan Singh. Since then, he has been the most informed analyst of the performance of the Indian economy. In this adorable autobiography, he recounts his personal and professional life with charm and insight.

Three Days at Camp David: How a Secret Meeting in 1971 Transformed the Global Economy [Três dias em Camp David: como um encontro secreto em 1971 transformou a economia global], de Jeffrey E. Garten (HarperCollins, US$ 29,99, R$ 168/Amberley, 20 libras, R$ 149,33)

At a secret meeting at Camp David over the weekend of August 13-15, 1971, President Richard Nixon and his senior advisers decided to sever the link between the dollar and gold. This was not only the definitive end of the gold standard, it also marked the beginning of a new monetary order. In this remarkable book, Garten explains in detail what happened and draws lessons for today.

Sustainable Futures: An Agenda for Action [Futuros sustentáveis: uma agenda para a ação], de Raphael Kaplinsky (Polity, 18,99 libras, R$ 141,78/Wiley, US$ 21,50, R$ 120,44)

Our era is marked by intellectual turmoil. People are looking for new paradigms. Kaplinsky, an innovation specialist, defines our challenge as the exhaustion of the “Mass Production” paradigm and its replacement by the “Information and Communication Technologies” paradigm. Our task, he argues, is to build a prosperous and environmentally sustainable world in this new context.

The New Economics: A Manifesto [A nova economia: um manifesto], de Steve Keen (Polity, 12,99 libras, R$ 96,98/ Wiley, US$ 14, R$ 78,42)

Keen is one of the world’s leading heterodox economists. This book is a fierce attack on the lack of realism in neoclassical economics that borders on religious belief. He is particularly effective in piercing the complacent assumptions of conventional beliefs in macroeconomics, monetary economics, and environmental economics. Much of what he writes makes sense, especially on the merits of “biophysical” and post-Keynesian economics. The simplifying assumptions of conventional economics are really dangerous.

The Age of Unpeace: How Connectivity Causes Conflict [A era sem paz: como a conectividade causa conflitos], de Mark Leonard (Bantam Press, 18,99 libras, R$ 141,78/US$ 36,95, R$ 206,99)

Leonard, director of the European Council on Foreign Relations, has written a book that has the dual merit of being short and important. We created an interconnected world that brought great benefits. But it also led to a tribal backlash, with “populist leaders promoting national glory over global understanding.” His conclusion, correct, is that “if the connections essential to our well-being are also becoming deadly weapons, we need to find ways to make them less dangerous.”

The Economist’s View of the World: And the Quest for Well-Being [A visão de mundo da The Economist: e a busca pelo bem-estar], de Steven E. Rhoads (Cambridge University Press, 20 libras, R$ 149,33)

This is a 35th anniversary version of a classic. Rhoads, professor emeritus of politics at the University of Virginia, has developed the best explanation I know of how mainstream economists think about choice, markets, externalities, and other concepts. The new edition will be valuable to non-economists and economists: the former will learn how economists think; and the last ones, some of the limits of how they think.

Six Faces of Globalization: Who Wins, Who Loses, and Why It Matters [Seis faces da globalização: quem ganha, quem perde e por que isso é importante], de Anthea Roberts e Nicolas Lamp (Harvard University Press, 28,95 libras, R$ 216,15 /US$ 35, R$ 196)

This is an interesting and original book. His starting point is that people have different “narratives” of globalization. The authors distinguish six of these narratives: the “establishment” narrative; the “left populist” narrative; the “right-wing populist” narrative; the narrative of “corporate power”; the “geoeconomic” narrative; and the narrative of “global threats”. Their conclusion is that the best approach is to synthesize apparent opposites. There is not one truth, but many partial truths.

Nudge: The Final Edition [Nudge: a edição final], de Richard H. Thaler e Cass R. Sunstein (Allen Lane, US$ 18, R$ 100,83)

“Nudge”, originally published in 2008, was an immensely influential and important bestseller on how to influence people to make better decisions, thus improving the trade-offs between bottom-up nonsense, on the one hand, and top-down command. bass on the other. The authors called this “libertarian paternalism”. Here, they substantially revised the previous version in light of new ideas, developments, and research. The title represents a commitment to ensure they don’t write another version. So read it now: this is the definitive edition.

Samuelson Friedman: The Battle Over the Free Market [Samuelson Friedman: a batalha pelo mercado livre], de Nicholas Wapshott (WW Norton, US$ 28,95, R$ 162,18)

This is a sequel to “Keynes x Hayek” by the same author. His focus is on the debate between Paul Samuelson of MIT and Milton Friedman of Chicago, whose contrasting views have graced the pages of Newsweek for 18 years. Samuelson was an economist’s economist: his methodological influence was profound. Friedman had a great influence on the monetary economy. But his political influence was arguably even greater. By focusing on these two men, Wapshott illuminates debates that remain current to this day.

The Magic Money Tree and Other Economic Tales [A árvore mágica do dinheiro e outros contos econômicos], by Lorenzo Forni (Schedule, 14.99 pounds, R$111.92/US$25, R$784.59)

Budget constraints are important. This is true for families and for private companies. It’s also true for governments. Those who forget this simple history lesson will fall into chaos. This is the theme of this little book by Forni, from the University of Padua (Italy). It takes the reader through the basic realities of budget, credit, and money. It is the role of governments and central banks to stabilize economies through fiscal and monetary policy, as Keynes taught us. But long-term growth cannot be created simply by creating large amounts of money. If we forget this truth, we will likely end up looking a bit like contemporary Argentina.