Economists have long argued that government intervention makes most sense in situations that involve externalities. Externalities are costs or benefits that spill over onto third parties. When individuals bear the full costs and receive the full benefits of their own actions, the justification for government involvement is much weaker. But a new generation of economists contends that paternalis...

Government-linked companies (GLCs) play an important role in the development of the Malaysian economy. However, overall public perception of GLCs in Malaysia has been tainted by the poor performance of key players, namely Malaysia Airline System (MAS) and Proton Holdings Berhad. Results of prior studies on the extent to which government intervention affects a company’s performance are mixed. Th...

This paper explores the classic question regarding the costs and bene ̄ts of limiting exchange rate volatility starting from the premise that asset markets play an important role in aggregating information. I ̄nd that government trading, despite being completely observed, alters the ability of an asset market to reveal information. The main insight of the paper is that managing the exchange rate...

This paper estimates the effect of GSE elimination on the housing market. I solve a model for housing demand with borrowing constraints. GSE activity is modeled as an option for households to obtain low-interest mortgages that are smaller than the conforming limit. Households that benefit most from GSEs have either low life-time incomes or high wealth-to-income ratios. Elimination of GSE’s lead...

The paper examines rationales relevant to the evolving roles of government intervention and private venture capital industry in the commercialization of new technologies. SpeciŽcally, government interventions may aim to mitigate market and systemic failures, eliminate structural rigidities, or respond to anticipatory myopia. Ex ante, constructive, and ex post evaluations are discussed in relati...

Most discussing topic in the year 2020 is nCovid-19, popularly known as Covid-19 which most anticipated debates are going on for concluding justification of lockdown. Present work reveals that India where large population lives very dense localities still struggling improving its healthcare facilities. From beginning government has taken many important steps to protect country from this pandemi...