The European Dimension of Regional and Cohesion Policies

Daniel Gros with Roberto Musmeci and Marta Pilati This contribution analyses the state of regional convergence within the European context. It finds that different country groups have had quite different experiences following the financial crisis and that in most cases there   […]

Structural reform waves and economic growth

Pasquale Marco Marrazzo, Alessio Terzi At a time of slow growth in several advanced and emerging countries, calls for more structural reforms are multiplying. However, estimations of the short- and medium-term impact of these reforms on GDP growth remain methodologically   […]

The Rate of Return on Everything, 1870–2015

Òscar Jordà, Katharina Knoll, Dmitry Kuvshinov, Moritz Schularick, Alan M. Taylor. This paper answers fundamental questions that have preoccupied modern economic thought since the 18th century. What is the aggregate real rate of return in the economy? Is it higher than the growth rate   […]

Unequal opportunity, unequal growth

Marrero, Gustavo Alberto, Rodriguez, Juan Gabriel and Van Der Weide, Roy. This paper argues that inequality can be both good and bad for growth, depending on what inequality and whose growth. Unequal societies may be holding back one segment of the   […]

Institutions and Growth in Europe

Klaus Masuch, Edmund Moshammer, Beatrice Pierluigi. This paper provides empirical evidence in support of the view that the quality of institutions is an important determinant of long-term growth of European countries. When also taking into account the initial level of   […]

Recent Declines in Labor’s Share in US Income: A Preliminary Neoclassical Account

Robert Z. Lawrence. Over the past decade, the US economy has been plagued by sluggish wage growth and rising income inequality. The debate over inequality in the 1980s and 1990s focused on the growing disparity between the earnings of skilled   […]

Making Inclusive Growth Happen

Inclusive Growth, which is a new approach to economic growth that aims to improve living standards and share the benefits of increased prosperity more evenly across social groups, has become a major challenge for many countries around the world. This   […]

Fiscal policy and income inequality

IMF. Fiscal policy is the primary tool for governments to affect income distribution. Rising income inequality in advanced and developing economies has coincided with growing public support for income redistribution. This comes at a time when fiscal restraint is an   […]

Will income inequality cause a middle-income trap in Asia?

Egawa, Akio. The Asian economy is expected to realise favourable growth during the first half of this century, but there is no guarantee. There is a discussion about a ‘middle-income trap’, which refers to a country that has realised rapid growth   […]

Political Economy: Success or Failure?

Frey, Bruno. Political Economy and Public Choice have studied the interactions between the economy and the polity for over 60 years now. The present paper endeavours to provide a critical discussion of this literature and its achievements. In particular, it   […]