Reflections and reviews upon rediscovering my love for books in 2020
By: Max Hasan
Tags: Literature, Books, Readinglist, Book Review

Economics & Public Policy

#1 The Third Pillar by Raghuram Rajan

What it’s about: The rise in populist sentiments across many nation-states around the world is driven by the fact that while the Market and the State have reached ascendance, the community has gotten left behind, which leads to all sorts of issues ranging from true democratic political representation to economic inclusion.

Who should read this: If you’ve ever caught yourself wondering, “what explains the rise of populist politicians like Trump, Duterte and Bolsonaro? And what can be done to ‘fix the system’ that has created such demagogues?” then this book is for you. Despite being an academic, Rajan has a very accessible writing style and I found the book surprisingly easy to read.

#2 Good Economics for Hard Times by Abhijit Banerjee & Esther Duflo

What it’s about: As a discipline, Economics has gotten politicized over the past few decades, with economic policy growing increasing polarized across party lines; in their first book since writing their groundbreaking “Poor Economics” text nearly a decade ago (and published the same year that they won the Nobel Prize in Economics), Banerjee & Duflo offer some practical, evidence-based policy recommendations for addressing some of the most pressing contemporary economic challenges that face both developed and developed countries around the world alike.

Who should read this: This is a great companion read to Rajan’s “The Third Pillar” as it offers complementary policy recommendations from an economic and evidence-based lens. If you’ve ever been curious about the economic consequences of trade & migration and/or are interested in Universal Basic Income, then this book is for you.

#3 Why Nations Fail by Daron Acemoglu & James A. Robinson

What it’s about: An academic exploration of Political Economy will typically involve an examination of different national politico-economic structures and a discussion regarding why developed countries are in fact “developed,” while developing countries are in fact “developing” — this book takes that notion a step further by introducing a convincing Institutionalist view on why certain countries are more economically developed than others.

Who should read this: Perhaps you live in a developed country such as the US, Canada or Australia and have traveled to a developing country such as Mexico, Indonesia, or Kenya and wondered to yourself why there are such stark differences in economic development outcomes between those nations… Acemoglu & Robinsons’ convincing Institutionalist lens argument is supported by evidence from their colonialist settler mortality hypothesis, which is one of the most groundbreaking papers in their respective discipline. If you find this fascinating then this book is for you.

#4 Moneyland by Oliver Bullough

What it’s about: Written in a thrilling investigative journalist style, Bullough takes us into the seedy underbelly of the global financial system — which he refers to as “Moneyland” — shedding light on the various opaque tax loopholes and other legal phenomena that enable the existence of a shadow economy consisting of offshore finance, tax evasion and shelf companies.

Who should read this: Perhaps you’ve watched the Netflix film “The Laundromat” and were left wanting to learn even more about the gymnastics that wealthy-yet-morally-bankrupt individuals take advantage of in order to hide assets, evade taxes, and launder money. If so, this book is for you.

#5 Winners Take All by Anand Giridharadas

What it’s about: Philanthropy as we know it today really came to fruition during the “Robber-Baron” and “Gilded Age” era of the late 19th century with the likes of Andrew Carnegie publishing his manifesto “The Gospel of Wealth”, ultimately developing into the modern “Big Philantropy” (i.e. Gates Foundation, Zuckerberg & Chan Initiative, Ford Foundation, etc.) that graces headlines from time-to-time — while at first glance this might seem like a wonderful thing for humanity, Giridharadas explains why this is actually not the case.

Who should read this: Between bouts of laughter while watching Hasan Minhaj’s Patriot Act episode on “Why Billionaires Won’t Save Us”, maybe you had some moments of pensiveness pondering the structure of the economic system that has led to the creation of “Big Philanthropy” and whether or not such a system can at its core be a just and equitable system if a minority elite of wealthy individuals can make decisions that impact the lives of millions (if not billions) of people around the world. If so, this book is for you.

#6 Skin In The Game by Nassim Nicholas Taleb

What it’s about: When assessing the degree to which a system is equitable to all parties (such as in the design of a financial market), one must consider the incentives that all are facing in order to ascertain whether or not each market participant has sufficient “skin in the game;” Taleb — in his signature sardonic style — unpacks this question and takes us on a trip to various scenarios of risk asymmetries.

Who should read this: Economics, finance and risk geeks alike should find this book engaging as it touches upon academic concepts of risk management, financial economics and market design yet applies it to real life in a highly entertaining (and politically incorrect) prose.

#7 Antifragile by Nassim Nicholas Taleb

What it’s about: Typically, when operating in uncertain environments, we strive to manage risk by tending towards robustness, however, Taleb argues that we should in fact strive towards Antifragility, a concept that describes phenomena that actually become stronger as a result of exposure to stressors.

Who should read this: While of course this book will find a happy home amongst Economics, Finance & Risk geeks as “Skin in the Game” would, I’d argue that this book is also relevant for folks in the science & engineering disciplines as well due to the fact that Taleb spends a lot of time discussing system design with Antifragility in mind.