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Bangladesh's Stagflation -- High Inflation, Low Growth, and the Policy Trap
Economics

Bangladesh's Stagflation -- High Inflation, Low Growth, and the Policy Trap

Bangladesh entered a rare and dangerous economic state during 2022-2026 — high inflation (10%+), low GDP growth and taka depreciation all together. This condition is called stagflation — the same condition that brought the US economy down in the 1970s. Normal monetary policy does not work against it, because raising rates to tame inflation further chokes growth. This article explains where Bangladesh's stagflation came from, why it is so dangerous, and how a country can escape it.

May 11, 2026116
How to Recognize a Good Budget?
Economics

Most Important. How to Recognize a Good Budget?

The size of a budget is not the right measure of a good budget. The real measures are five. Where is income coming from (Tax-to-GDP)? Is spending building the future or servicing debt? How is the deficit being financed? Are the government and central bank aligned? And who gets the bulk of subsidies? FY27 fails on all five. Compared to Singapore, Norway, Vietnam, and South Korea, Bangladesh lags far behind. Budget discipline, compounded over 30 years, changes the fate of a generation.

Jun 10, 202671
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Economics

Invisible Hand vs Impartial Spectator -- Why Capitalism Adopted Adam Smith's Minor Metaphor and Abandoned His Central Philosophy

Adam Smith is celebrated as the 'Father of Capitalism' for his 'Invisible Hand' concept -- the idea that self-interest automatically benefits society. But a startling fact emerges from his actual writings: Smith used the phrase 'Invisible Hand' only 3 times in his entire body of work (once each in The Theory of Moral Sentiments, The Wealth of Nations, and History of Astronomy -- per Emma Rothschild, Harvard University Press, 2001). Meanwhile, his concept of the 'Impartial Spectator' -- an internal moral conscience based on empathy, justice, and social responsibility -- is the central theme of The Theory of Moral Sentiments (1759), mentioned hundreds of times. Smith himself considered TMS his greatest work, not Wealth of Nations. So why did capitalism adopt the minor metaphor and abandon the central philosophy? This article traces how the Industrial Revolution, the 'Adam Smith Problem,' the Chicago School, Cold War politics, and the mathematization of economics collectively cherry-picked one idea and discarded the rest.

Invisible Hand vs Impartial Spectator -- Why Capitalism Adopted Adam Smith's Minor Metaphor and Abandoned His Central Philosophy
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