The Peking University HSBC Business School (PHBS) and the International Economic Review (IER) jointly inaugurated their first conference, held from December 22 to 23 in Shenzhen, China. Focused on the theme “Financial Frictions for Firms and Households: Implications for Economic Development and Government Policies,” the event marked a significant milestone in the academic collaboration between PHBS and IER, drawing over 130 eminent scholars from prestigious universities worldwide. Live-streamed sessions attracted more than 8,600 viewers, showcasing the conference’s broad reach and impact.
This landmark event brought together a global network of economists to exchange groundbreaking research and ideas. Participating institutions included Princeton University, University of Pennsylvania, Boston University, University College London, Peking University, and Tsinghua University, among others. The conference aimed to deepen the dialogue on critical economic issues, fostering connections across borders and disciplines.
A Platform for Academic Excellence
Professor Wang, a leading figure at PHBS, expressed his gratitude to contributors, including the IER editorial board and student volunteers, for their dedication to organizing the conference. He emphasized the ambition to make the conference a premier global academic platform, enhancing Shenzhen’s, China’s, and the world’s engagement with cutting-edge economic research.
Professor Dirk Krueger also highlighted the intellectual legacy of Professor Thomas Sargent, who delivered the keynote address. Professor Sargent’s presentation, “Fiscal Consequences of the US War on COVID,” explored the historical trajectory of U.S. fiscal and monetary policies. By incorporating insights from game theory and emphasizing the importance of budget constraints and policy coordination, he offered a nuanced perspective on the fiscal challenges shaping modern economies.
Cutting-Edge Research Highlights
The conference showcased eight selected papers addressing diverse economic themes, several of which are featured in a special issue of IER. Highlights included:
- FDI and China’s Technology: PHBS Assistant Professor Ma Xiao examined the influence of foreign direct investment on China’s technological development, analyzing the trade-offs associated with the “Quid Pro Quo” policy.
- Capital Allocation and Growth: Professor Wang Neng of Cheung Kong Graduate School of Business introduced a model that connects sectoral heterogeneity and capital mobility with economic growth and asset pricing.
- Inflation and Fiscal Policy: Boston University’s Professor Miao Jianjun discussed the implications of fiscal deficits under low interest rates, unveiling the nuanced dynamics of inflation and debt sustainability.
- Monetary Policy Innovation: Professor Fang Hanming of the University of Pennsylvania explored collateral-based monetary policy in China, offering insights into its effects on asset prices and corporate financing costs.
Insights and Future Directions
The conference served as a launchpad for innovative dialogue on pressing economic challenges. From examining the structural nuances of monetary policy to investigating the interplay between fiscal deficits and long-term economic stability, the discussions resonated with global audiences. Topics such as credit expansions, resource allocation, and housing dynamics further highlighted the depth and breadth of research presented.
Beyond its academic contributions, the conference underscored PHBS’s and IER’s commitment to fostering research vitality and advancing economic thought in Asia and globally. As Professor Wang noted, the collaboration aims to build an enduring platform for annual exchanges, propelling high-level research and providing actionable insights for policymakers.
A Vision for the Future
The inaugural PHBS-IER Conference was not only a testament to the strength of global academic collaboration but also a harbinger of new opportunities for economic research and policy innovation. By uniting thought leaders and young scholars, the event has set the stage for transformative ideas that will shape the future of economics in Asia and beyond. With its success, the conference has established itself as a cornerstone for academic excellence, promising to grow in influence and significance in the years to come.
