|Filed Under:||Business & Finance / Economics|
|Posts on Regator:||3321|
|Posts / Week:||6.7|
|Archived Since:||August 14, 2008|
Investment is shifting from tangible physical assets to intangible goods like software, data, and R&D. This column analyses the impact of this shift on the structure of firm financing. The financial system’s shift from public to private equity is, on the whole, an encouraging reflection of its response to the changing needs of the economy.
Europe’s new framework for resolving banks includes a ‘bail-in’ mechanism which aims to ensure that banks’ shareholders and creditors pay their share of costs, and which was first used to resolve the 2013 banking crisis in Cyprus. This...Show More Summary
Since 1973, there has been divergence between labour productivity and the typical worker’s pay in the US as productivity has continued to grow strongly and growth in average compensation has slowed substantially. This column explores the causes and implications of this trend. Show More Summary
While there is consensus that structural reforms can increase growth, there is also a fear that certain reforms can exacerbate inequality. This column argues – based on a dataset covering financial, institutional, and real sector reforms – that certain reforms do indeed increase inequality but despite this, the net effect on growth remains positive.
Measuring the returns to search engine marketing accurately is difficult, but one study suggested that if eBay were to suspend its branded search ads, the volume of traffic to the site would remain virtually unchanged. Based on a field...Show More Summary
Researchers often pick a random or a directed search model based on convenience and theoretical implications, but distinguishing between the two is important as many labour market regulations may be welfare-improving under random search, but not under directed search. Show More Summary
Large multilateral organisations like WHO and the UN rely heavily on average income data in determining eligibility for, and the allocation of, development assistance for health. This column tests this paradigm by analysing the determinants of health outcomes for 99 countries. Show More Summary
Current stress testing of banks is focused on the resiliency of individual banks to exogenous shocks. This column describes how the next generation of macroprudential stress tests aim to capture the endogenous nature of systemic risk caused by the interaction of all the institutions and markets making up the financial system. Show More Summary
Urban concentration is typically deemed to lead to greater national economic growth. This column challenges this view, using an original dataset covering 68 countries over the past three decades. Urban concentration levels have decreased or remained stable on average, though these averages hide widely diverging trends across countries. Show More Summary
Cryptocurrencies are supposedly a new and superior form of money and investments – the way of the future. The author of this column, however, does not see the point of cryptocurrencies, finding them no better than existing fiat money or good investments.
For regional firms to survive, they need to find export markets using wholesalers as intermediaries. This column uses a dataset of export activity in Japan to show that this type of indirect export activity occurs predominantly fromShow More Summary
The role of the monetary policy decisions in influencing markets and economies has increased sharply over the past 30 years. This new eBook presents the state of art of the economics and politics of modern monetary policy governanceShow More Summary
The role of the monetary policy decisions in influencing markets and economies has increased sharply over the past 30 years. A new VoxEU eBook presents the state of art of the economics and politics of modern monetary policy governance...Show More Summary
The availability of fiscal space has been at the centre of recent debates on the effective use of fiscal policy. This column introduces a new cross-country database of fiscal space indicators and applies it to the analysis of the evolution of fiscal space over the past quarter century and during oil price plunges. Show More Summary
In international macroeconomics, it is typically assumed that the exchange rate between two trading partners matters most for trade prices, quantities, and terms of trade. This column presents evidence supporting an alternate view – that a country’s exchange rate relative to the US dollar is most important. Show More Summary
Firms develop inter-firm networks throughout their lifecycles, continually adding and dropping trading partners. This column examines the role that the dynamics of these networks play in firm growth. The findings point to the importance of searching for potential trading partners and learning match-specific productivity for younger firms. Show More Summary
Chinese banks have continued to expand rapidly both domestically and abroad. Together, they constitute the largest banking sector in the world by far. This column places the Chinese banking system in a global context. Although very small...Show More Summary
Long-run trends in house prices are inextricably linked to growing inequality and other macroeconomic policy challenges. In this special edition of Vox Talks, Tim Phillips speaks to participants of the CEPR-Imperial College Business School conference, 'Housing – Learning from the past and looking to the future', which took place at Imperial College on 19th January 2018.
The availability of large datasets has sparked interest in predictive models with many possible predictors. Using six examples of data from macroeconomics, microeconomics, and finance, this column argues that it is not usually possible to identify sparse models by selecting a handful of predictors from these larger pools. Show More Summary
The outlook for the euro area economy depends to a large extent on whether the impact of the crisis will turn out to be permanent or transitory. This column attempts to chart out the path ahead, starting from what different narratives of the 'atypical recovery' imply about the further trajectory of GDP and inflation. Show More Summary