If constrained by EU rules, fiscal policymakers will cut or postpone public investment. This seemingly obvious point came up regularly in the policy debate around the latest reform of the EU fiscal framework. This column argues that the reality is more complex. Governments lamenting a stifling effect of fiscal rules on public investment are often […]
The urban wage premium – the positive wage differential between more and less dense geographic areas – is rarely estimated separately for men and women. This column shows that, in Brazil, agglomeration economies benefit men and women differently in dense areas: the urban wage premiums for men and women change across the wage distribution and […]
Many governments have limited welfare benefits for refugee immigrants to encourage workforce participation. This column examines the effects of a large reduction in the cash transfers that non-employed refugee immigrants Denmark were eligible for. While triggering notable initial employment responses, the reform failed to sustain employment and self-sufficiency, particularly in areas where low-skilled work is […]
Following the release of the Panama Papers and the Pardise Papers, there has been renewed research into profit shifting by multinational firms. This column utilises a novel dataset to show that well-managed subsidiaries, independently of their headquarters, allow a company to be more responsive to tax changes, shifting more profits from high-tax to low-tax jurisdictions. […]
Macroprudential policies have been part of the standard toolkit for central banks since the Global Financial Crisis. This column estimates the effect of macroprudential policies on real growth of 23 manufacturing industries across 89 countries. Macroprudential tightening measures negatively impact manufacturing growth, but only for industries with high external finance dependence. This effect is stronger […]
Traffic accidents are the leading cause of death among teenagers in most countries. This column examines the impact of a policy in Australia banning first-year drivers from carrying two or more passengers under the age of 21 at night. The authors estimate that the policy reduced reported nighttime multi-passenger crashes by 57%, casualties by 50%, […]
Wage insurance that compensates those directly negatively affected by trade can cost-effectively help workers who most need assistance and allow them to move with less pain to new jobs. This column examines the wage insurance components of US Trade Adjustment Assistance, which offers wage subsidies to workers who find reemployment at a lower wage. The […]
Blockchain Life 2024 in Dubai Unveils First Speakers, Featuring Industry Leaders from Tether, Ledger, TON, Animoca Brands and More Blockchain Life 2024, one of the world’s leading events in web3, cryptocurrencies and mining sphere, today announced the first wave of its esteemed speaker lineup for the 13th edition of the event. Bringing together over the […]
Political incentives often push leaders toward policies that prioritise short-term gains over long-term benefits. This column argues that the decision to raise public debt plays a key role in shaping political incentives around implementing reforms. Beneficial reforms are more likely if sufficient debt can be raised and if enough of the future gains are of […]
The cost-of-living-crisis has been a major concern for households across the world. This column examines the impact of the crisis on household wealth across various demographic and income groups in six euro area countries, focusing on the role of households’ mortgage status. The findings indicate that working-age mortgage holders have experienced wealth gains despite higher […]
