According to macroeconomics textbooks, a fall in aggregate demand causes a recession in which output drops below potential output – the normal level of production given the economy’s resources and technology. This effect is temporary, however.
The Great Recession’s long-term damage
Laurence Ball, 1 July 2014
DynEmp: New cross-country evidence on the role of young firms in job creation, growth, and innovation
Chiara Criscuolo, Peter N. Gal, Carlo Menon, 26 May 2014
Since well before the crisis, many OECD economies have been confronted with sluggish productivity growth. In the aftermath of the crisis, job creation has also stalled and has become an important policy issue. Business dynamics are at the core of the creative destruction process.
Economic liberty in the long run: Evidence from OECD countries
Leandro Prados de la Escosura, 7 April 2014
How has freedom evolved over time? A distinction has been made between ‘negative’ freedom – a lack of interference or coercion by others (freedom from) – and ‘positive’ freedom, the guarantee of access to markets that allow people to control their own existence (freedom to) (Berlin 1958). An example of negative freedom is economic liberty.
Public procurement markets: Where are we?
Patrick A Messerlin, Sébastien Miroudot, 7 September 2012
Recently, the EU and US have pushed very hard for opening public procurement markets, as illustrated by the EU and US pressures on Japan and China, respectively. In particular, the EU claims that it is by far the most open market in the world.
Precautionary savings in the Great Recession
Ashoka Mody, Damiano Sandri, Franziska Ohnsorge, 22 February 2012
A key feature of the Great Recession was a striking increase in uncertainty. The volatility of real GDP increased (left chart in Figure 1) and, at the same time, the higher unemployment rate raised the risks of job losses, longer unemployment durations, and, hence, of severe reductions in income (see Carroll 1992 for a similar interpretation of unemployment rates).
Is short-time work a good method to keep unemployment down?
Pierre Cahuc, Stéphane Carcillo, 1 February 2011
Short-time compensation (or short-time work) aims at reducing lay-offs by allowing employers to temporarily reduce hours worked while compensating workers for the induced loss of income. At present, short-time work schemes are widespread among OECD countries, having grown in popularity during the Great Recession.
The impact of class size on the performance of university students
Oriana Bandiera, Valentino Larcinese, Imran Rasul, 11 January 2010
The organisation of university education is increasingly in the spotlight, both in academic and policy circles.
How to spend it: Sovereign wealth funds and the wealth of nations
Helmut Reisen, 5 June 2008
Sovereign wealth funds (SWFs) are government-controlled investment vehicles that are stimulating protectionist sentiments in some OECD countries.
Culture, gender and growth
Denis Drechsler, Johannes P. Jütting, 7 March 2008
“Tradition is a guide and not a jailer”, wrote W. Somerset Maugham. Could it be that some traditions, however rooted in great histories and cultures, are now trapping countries in poverty? This certainly appears to be the case when it comes to the influence of social and cultural norms on the status of women.
Do temporary jobs improve workers long-term labour market performance?
Julia Lane, Harry J. Holzer , Fredrik Andersson, 15 October 2007
What are the long term labour market consequences of temporary help work? As the importance of temporary help work has increased across OECD countries, economists have started paying attention to this question.
- A tale of two depressions: What do the new data tell us? February 2010 updateEichengreen, O’Rourke
- Educated in America: College graduates and high school dropoutsHeckman, LaFontaine
- Eurozone breakup would trigger the mother of all financial crisesEichengreen
- Panic-driven austerity in the Eurozone and its implicationsDe Grauwe, Ji
- Debt, deleveraging, and the liquidity trap: A new modelKrugman
Cadot, de Melo, 16 June 2014
CEPR Policy Research
- The buyer margins of firms' exportsCarballo, Ottaviano, Volpe
- Commodity and Equity Markets: Some Stylized Facts from a Copula ApproachDelatte, Lopez
- Ethnic Unemployment Rates and Frictional MarketsGobillon, Rupert, Wasmer
- Finance and Poverty: Evidence from IndiaAyyagari, Beck, Hoseini
- The Manipulation of Basel Risk-WeightsMariathasan, Merrouche