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Centre for Economic Performance (CEP)

CEP in the News 2012


Centre for Economic Performance Press Release
Immigration and the UK Labour Market

In the forthcoming Winter 2012 issue of CentrePiece magazine chair of the Migration Advisory Committee, Professor David Metcalf, outlines recent changes in the regulatory framework for immigrant workers.

Details of the article by Professor Metcalf were released on December 12, 2012.


Related links
David Metcalf webpage
Labour Markets Programme webpage

The Metro
Earning a bigger salary doesn't buy happiness

Size of salary has only a small effecton our overall wellbeing, according to a report which claims to offer the first complete snapshot of the nation's happiness. "Income matters but it's not the only thing that matters", said Lord Richard Layard, of the London School of Economics.

The article was published in The Metro on November 21, 2012
Link to article


See also
The Times
When it comes to a happy life, close family and good health give economy a run for its money
[No link availabe]
Daily Mail
How Britons were happiest at height of the recession
[No link availabe]

Related links
Richard Layard webpage
Wellbeing Programme webpage
Happiness and Public Policy Research webpage

guardian.co.uk (web)
Unhappiest people in Britain not always the most deprived, says report

Many prominent academics are concerned that government policy is heading in the wrong direction. Lord Layard of the London School of Economics criticised education reforms that singularly chase "intellectual achievement and behaviour". Layard said: "In fact, a person's happiness is much more strongly related to their emotional health as a child."

This article was published by guardian.co.uk on November 20, 2012
Link to article


See also
The Press Association
Job is key to wellbeing, says study
[No link available]

Related links
Richard Layard webpage
Wellbeing Programme webpage
Happiness and Public Policy Research webpage

guardian.co.uk
Happy teenagers earn more as adults

Jan-Emmanuel De Neve of University College London and the Centre for Economic Performance at the London School of Economics, said: "Everybody feels intuitively that the individuals who have a sunny disposition have a larger network and more opportunities seem to come their way, they are more likely to rise in an organisation and become a leader in the group. All these things have indirect ways of ending up in higher earnings and there is a direct effect that goes direct to income."

This article published on guardian.co.uk on November 19, 2012
Link to article

Related publications
'Estimating the influence of life satisfaction and positive affect on later income using sibling fixed effects', Jan-Emmanel De Neve and Andrew J. Oswald, Centre for Economic Performance Discussion Paper No.1176, November 2012.
Estimating the influence of life satisfaction and positive affect on later income using sibling fixed effects, Jan-Emmanel De Neve and Andrew J. Oswald. PNAS (Proceedings of the National Academy of Sciences of the United States of America), November 2012.

Related links
Jan-Emmanuel De Neve webpage
Wellbeing Programme webpage

The Nottingham Post
Author says treat others as we would like to be treated ourselves'

Richard Layard has been a driving force in pushing governments to measure the wellbeing of the population and welcomed David Cameron's announcement that wellbeing would be regularly measured in the national statistics. Mr Layard's concern with how to promote a happier society led him to co-found a new movement called Action for Happiness, which was launched in Spring 2011.

This article appeared in The Nottingham Post on 8 November 2012 link to article

Related publications
World Happiness Report John Helliwell, Richard Layard and Jeffrey Sachs, published by the Earth Institute, April 2012 link to article

Related links
Richard Layard webpage
Wellbeing Programme webpage

The Economist
The living wage: Wage flaws

In October it rose to £6.19. The wage floor seems not to have cost jobs. A 2010 paper by researchers at the Centre for Economic Performance at the London School of Economics found the long-run effect was either negligible or positive (ie, jobs increased). That finding is echoed in studies of minimum wages in America.

This article appeared in The Economist on 8 November 2012 link to article

Related publications
The Contribution of the Minimum Wage to U.S. Wage Inequality over Three Decades: A Reassessment David H. Autor, Alan Manning and Christopher L. Smith, Centre for Economic Performance Discussion Paper No.1025, November 2010

Related links
Alan Manning webpage
Labour Markets Programme webpage

wtnh.com News 8
Implementing health care reform

Women, who are traditionally the decision maker when it comes to their family's health care, played a big role in re-electing President Barack Obama. "I actually don't think that health care was the dominant issue, it was really the economy", Zack Cooper said... "But I think it did reflect at some level, values. I think that's where it probably swayed them", Cooper said.

This article was broadcast on wtnh.com News 8 on November 7, 2012
Link to the article

Related publications
Healthcare Reform: The US Policy Debate, by Zack Cooper. CEP US Election Analysis No.3, October 2012
Does Hospital Competition Improve Efficiency? An Analysis of the Recent Market-Based Reforms to the English NHS, by Zack Cooper, Steve Gibbons, Simon Jones and Alistair McGuire, Centre for Economic Performance Discussion Paper No.988, June 2010

Related links
Zack Cooper webpage
Productivity and Innovation Programme webpage

CFO.com magazine
The election will not remove uncertainty

As long as the macroeconomy is uncertain, the common wisdom says, business won't invest. And as long as business refrains from investing, "the economy contracts, generating a recession", according to a June article by Scott Baker and Nicholas Bloom of the [sic] Stanford Center for Economic Performance, and Steven Davis of Chicago Business School.

This article appeared in CFO.com magazine on November 6, 2012
Link to article

Related publications
'Economic Recovery and Policy Uncertainty', CEP US Election Analysis No.2 by Nicholas Bloom and John Van Reenen, October 2012
Policy uncertainty: a new indicator, by Scott R. Baker, Nicholas Bloom and Steven J. Davis. Article in CentrePiece Volume 16, Issue 3, Winter 2011/2012

Related links
Nicholas Bloom webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

The Sunday Express
Labour leader Ed Miliband calls for investment in mental health

Labour leader Ed Miliband has called for the constitution of the NHS to be rewritten so mental health is treated as seriously as physical health. He said mental illness costs the NHS £10billion a year in extra physical healthcare, according to the London School of Economics.


This article was published in The Sunday Express on November 4, 2012
Link to article

Related publications
In brief: Mental illness and the NHS by Richard Layard. Article in CentrePiece 17 (2) Autumn 2012
How Mental Illness Loses Out in the NHS, a report by CEP's Mental Health Policy Group, convened by Richard Layard, published June 2012.

Richard Layard webpage
Wellbeing Programme webpage

RSI.ch (Swiss TV)
Olimpiadi salva economia

John Van Reenen interviewed on Swiss national television about growth.

The interview was broadcast on November 2, 2012
Link to broadcast

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage

BBC TV - Newsnight
Can the gap between living costs and wages be fixed?

A report from the Resolution Foundation says people on low to middle incomes face the prospect of being poorer in 2020 than they are now. In the past, benign employers raised pay to keep pace with the cost of living, and if they did not, trade unions organised strikes to meet the need. But now things are different - the promise of Western capitalism, of ever rising rates of pay, has turned out to be false.

This article appeared on the BBC TV Newsnight programme on October 31, 2012
Link to article

Related publications
What a drag: the chilling impact of unemployment on real wages, Paul Gregg and Stephen Machin, Resolution Foundation Paper, September 2012

Related links
Stephen Machin webpage
Labour Markets Programme webpage

The New York Times
The conscience of a liberal: Asymmetrical ''Uncertainty''

Article by Paul Krugman
Ever since it came out, Obama-bashers have loved to cite a paper by Baker, [Nicholas] Bloom, and Davis claiming that policy uncertainty is holding back the recovery. See, they say, it's Obama and his socialist plans! The paper never deserved this much weight - like the Alesina/Ardagna work on expansionary austerity, or, yes, the unfortunate and uncharacteristically sloppy Reinhart/Rogoff paper on the burden of debt, it's preliminary academic research that has been seized on for political gain. Furthermore, as many of us noted, the actual sources of spikes uncertainty as Baker et al measure it were the euro crisis and the debt ceiling confrontation, not the Obama agenda. And to the extent that it was the latter, this is really about Republican extremism, not Obama socialism.

The article was published in The New York Times on October 31, 2012
Link to article

Related publications
'Economic Recovery and Policy Uncertainty', CEP US Election Analysis No.2 by Nicholas Bloom and John Van Reenen, October 2012

Related links
Nicholas Bloom webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Bloomberg
Pissarides says troika should soften austerity push

For the currency union to work members are going to need a flexible labor market, said [Christopher] Pissarides, a professor at the London School of Economics. The problem is that the needed reforms may take about four or five years to have an impact on the economy, ...

The article was published in Bloomberg news on October 31, 2012
Link to article

Related links
Christopher Pissarides webpage
Macro Programme webpage

The Washington Post
Pissarides says Troika should soften insistence on austerity

Nobel economics laureate Christopher Pissarides said officials weighing international assistance to indebted European nations should tame their demands for governments to shore up their finances. "The troika should be softer on fiscal austerity", he said in a speech at the British Academy in London today. "More time should be given for structural reforms to work."

This article was published in The Washington Post on October 31, 2012
Link to article

Also in
Die Welt
Troika sollte weniger auf Sparmaßnahmen beharren - Pissarides

Related links
Christopher Pissarides webpage
Macro Programme webpage

The Financial Times
Heseltine's report is a return to an unsuccessful past

In a review of the work "No Stone Unturned", Michael Hesetline's report on economic growth, Henry Overman remarks that it is an important and puzzling document. The UK economy, out of recession but still vulnerable, could do with some new ideas. Companies are demanding a clear plan from the coalition. However, from its Boy's Own introduction title ('One man's vision') to its 89 recommendations, Mr Heseltine's report is a plan that is more nostalgic than strategic.

The article was published in the Financial Times on October 31, 2012
Link to article

Related links
Henry Overman webpage
SERC webpage
Globalisation Programme webpage

Politics.co.uk
Ed Miliband mental health speech in full

The extra physical healthcare necessitated by mental illness costs the NHS a further 10 billion a year, according to the London School of Economics. The criminal justice system also picks up the bill. Seventy percent of those in our prisons have a mental illness.

The article was published online by Politics.co.uk on October 29, 2012
Link to article

Article also in:
The New Statesman
Ed Miliband's speech on mental health: full text
Link to article



Related publication
The report by The Centre for Economic Performance's Mental Health Policy Group titled 'How Mental Illness Loses Out in the NHS' was published on Monday 18 June 2012
Download the report

Related links
Richard Layard webpage
Wellbeing Programme webpage
Mental Health Policy Group webpage

The Wall Street Journal
Secondary Sources: Disappointing GDP, uncertainty, education and growth

A roundup of economics news from around the web

Uncertainty: Scott Baker, Nicholas Bloom, Steven J. Davis and John Van Reenen
The authors examine the role of uncertainty. "The US recovery is painfully slow and monetary policy is at its limits. Pervasive economic uncertainty appears to be holding the US back. But what is the root cause of this uncertainty? This column argues that a polarised political system is to blame. Without a political mechanism that incentivises the election of moderate politicians, the authors predict further political divergence between Republicans and Democrats over the coming years and a consequent intensification of policy uncertainty."

The article was published in The Wall Street Journal on October 29, 2012
Link to article

Related publications
'Economic Recovery and Policy Uncertainty', CEP US Election Analysis No.2 by Nicholas Bloom and John Van Reenen, October 2012

Related links
Nicholas Bloom webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Harvard Business Review - blog
The radical beauty of three simple management practices

Nicholas Bloom, Raffaella Sadun and John Van Reenen written blog:
In our research into more than 8,000 companies in 20 countries, 79% of organizations reported that their management practices were above average. That should have been very good news. But we also conducted our own analysis and found that only 15% of U.S. companies, and fewer than 5% elsewhere, scored above a 4 on a five-point management-practices scale we created. There was no correlation at all between our scores and the self-assessments we had gathered.

The column was published in The Harvard Business Review on October 29, 2012
Link to the article

Related publications
Does Management Really Work?, Nicholas Bloom, Raffaella Sadun and John Van Reenen. Harvard Business Review magazine, November 2012.

Related links
Nicholas Bloom webpage
Raffaella Sadun webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

The Sunday Times
Britain on low rung of social mobility ladder

Dominic Lawson misses the most important point that arose from the research the Sutton Trust commissioned the London School of Economics (LSE) to undertake in 2005 on social mobility ("It's a myth that there is less social mobility", Comment, last week.) The significant issue the LSE study identified was that social mobility is lower in Britain than in most other developed countries.

This comment was published in The Sunday Times on October 28, 2012
Link to a copy of the article here.

Related publications
Sutton Trust: Summary Report - Recent Changes in Intergenerational Mobility in the UK: A Summary of Findings
Main Report - Recent Changes in Intergenerational Mobility in Britain by Jo Blanden and Stephen Machin, December 2007
Report for the Sutton Trust: Intergenerational Mobility in Europe and North America by Jo Blanden, Paul Gregg and Stephen Machin
Social Mobility in Britain: Low and Falling by Jo Blanden, Paul Gregg and Stephen Machin. Article appeared in CentrePiece, Vol.10, Issue 1 Spring 2005

Related Links
Jo Blanden webpage
Stephen Machin webpage
Education and Skills Programme webpage

The Financial Times
CEOs speak up as US heads for fiscal cliff

As Republicans and Democrats in the US Congress race towards the "fiscal cliff" like James Dean and Corey Allen in Rebel Without a Cause - daring each other to chicken out first - the country's chief executives are trying to stamp on the brake... If the cliff is not avoided, the lower spending and higher taxes would have an immediate impact on government borrowing, cutting it by 3.7 per cent of gross domestic product, according to the London School of Economics. This would also almost certainly tip the country back into recession.

The article was published in The Financial Times on October 28, 2012
Link to article


Related publications
Recession and Recovery: The US Policy Debate on Taxes, Spending and Public Debt, CEP US Election Analysis No.1 by Ethan Ilzetzki and Jonathan Pinder, October 2012

Related links
Ethan Ilzetzki webpage
Macro Programme webpage

Harvard Law School Corporate Governance Forum - blog
Innovation and institutional ownership

Blog posted by R. Christopher Small, Co-editor, HLS Forum on Corporate Governance and Financial Regulation
The following post comes to us from Philippe Aghion, Professor of Economics at Harvard University; John Michael Van Reenen, Professor of Economics at the London School of Economics; and Luigi Zingales, Professor of Entrepreneurship and Finance at the University of Chicago.

In our forthcoming American Economic Review paper, Innovation and Institutional Ownership, we examine the incentives to innovate at the firm level by studying the relationship between innovation and institutional ownership. Innovation is the main engine of growth. But what determines a firm's ability to innovate?

This article was published on the Harvard Law School Corporate Governance Forum blog on October 23, 2012
Link to article

Related publications
Innovation and Institutional Ownership, Philippe Aghion, John Van Reenen and Luigi Zingales, Centre for Economic Performance Discussion Paper No.911, February 2009

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage

Wall Street Journal
UK productivity conundrum becomes even more puzzling

John Van Reenen of the Centre for Economic Performance at the London School of Economics put together a fascinating set of data in a presentation titled "UK Growth Performance" that offers mixed evidence, some of which supports the overheating story and some of which doesn't.

This article was published in The Wall Street Journal on October 23, 2012
Link to article

Related publications
UK Growth Performance, presentation at Department for Communities & Local Government, London, 1 October 2012

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage

The Observer
We need growth, but austerity keeps the economy in chains

By contrast, Krugman and Portes argue that it is the depression that keeps interest rates low. Krugman and another ally, Professor Richard Layard of the London School of Economics, wrote in an accompanying paper: "Despite exceptionally high deficits, interest rates today are unprecedentedly low in all major countries where there is a normally functioning central bank".

This article was published in The Observer on October 21, 2012
Link to article

Related links
'A Manifesto for Economic Sense', Paul Krugman and Richard Layard, June 28, 2012. Details
Richard Layard webpage
Wellbeing Programme webpage

ESRC Shaping Society
CEP analysis: neither Obama nor Romney will tackle US deficit

As the US election is drawing close, the ESRC Centre for Economic Performance (CEP) is launching a series of US Election Analyses. Much of the sparring between presidential candidates Mitt Romney and Barack Obama is revolving around taxes, spending and public debt. The CEP report Recession and Recovery: The US Policy Debate on Taxes, Spending and Public Debt provides an insight into the reasons why the US is still suffering from its most severe recession in seven decades.

This article was published by ESRC 'Shaping Society' on October 19, 2012
Link to article

Related publications
Recession and Recovery: The US Policy Debate on Taxes, Spending and Public Debt, Ethan Ilzetzki and Jonathan Pinder, CEP US Election Analysis No.1, October 2012

Related links
Ethan Ilzetzki webpage
Macro Programme webpage
CEP US Election Analyses series webpage

The Daily Telegraph
A chain reaction that would fix failing schools

So what can this Government do about it? The first piece of good news is that the academy programme is working. According to both the National Audit Office and the London School of Economics, failing schools that have been turned into academies under new sponsors are performing better than those that did not.

This article was published in the Daily Telegraph on Wednesday 17 October, 2012
Link to article here

Related publications
'Changing School Autonomy: Academy Schools and their Introduction to England's Education', by Stephen Machin and James Vernoit, CEE Discussion Paper No.123, April 2011

Related links
Stephen Machin webpage
James Vernoit webpage
Education and Skills Programme webpage
Centre for the Economics of Education webpage

Vox
Apprenticeship policy in England: Increasing skills versus boosting young people's job prospects

In her article, Hilary Steedman writes:
As in every downturn, youth unemployment is a serious concern. This column looks at apprenticeship policy in England. It argues that England is a long way off the apprentice numbers of countries like Germany but with a clear strategy, some nudging, and flexibility, England could realistically aim for the prize that has so far eluded it – higher skills and high youth participation in the workforce.

The article was published by Vox on October 6, 2012
Link to article

Related links
Hilary Steedman webpage
Education and Skills Programme webpage
Hilary Steedman CEP Publications webpage

Yahoo! News
Analysis - tough rules and tight credit may thwart housing hopes

The 10 billion pounds of loan guarantees, which will not come into effect before early next year, aim to reduce the cost of finance for builders and help institutional investors who want to buy portfolios of homes to rent out. Rough calculations suggest they would add something in the region of 0.2 percent to GDP. "I would think tens of thousands of new homes - low tens of thousands", said Henry Overman, a professor of economic geography at the London School of Economics.

This article was published online on Yahoo! News on October 5, 2012
Link to article

Related links
Henry Overman webpage
Globalisation Programme webpage
SERC website
Henry Overman CEP publications webpage

The Evening Standard
Sort out the apprentice system

Letter by Ruth Stivey
Miliband's suggestion of getting employers to 'own' the system by delegating budgets to them is a radical and attractive idea since lack of employer interest in apprenticeships is a major problem. If the 'Tech Bacc' raises the prestige of technical skills I am all for it. John Van Reenen, director of the Centre for Economic Performance, LSE YOU report that Goldman Sachs is taking 10 apprentices and RBS 14. What about small businesses, like my building company, which have taken on apprentices for many years?

The article was published in The Evening Standard on October 5, 2012
Link to article

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage
John Van Reenen CEP publications webpage

The Raconteur
Yes-no debate over the best business model

DEBATE Leading experts Joachim Schwass, professor of family business at IMD and director of the IMD Global Family Business Center, and John Van Reenen, professor of economics at the London School of Economics and director of the Centre of Economic Performance, debate the value of family business.

This article was published by The Raconteur on October 4, 2012
All articles in The Raconteur originally published in The Times or The Sunday Times
Link to article

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage
John Van Reenen CEP publications webpage

In audit
KPMG and Linklaters lead the way on mental health initiative

Business leaders are meeting to discuss the mental wellbeing of their employees on Tuesday 9 October, the day before World Mental Health Day. The event will be chaired by Professor Lord Patel of Bradford OBE, patron of Mental Health First Aid England, and will include contributions from Lord Layard, founder director of the Centre for Economic Performance at the London School of Economics,…

The article was published in In audit online on October 3, 2012
Link to article

Related links
Richard Layard webpage
Wellbeing Programme webpage
Mental Health Policy Group webpage
Richard Layard CEP publications webpage

Huffington Post
Grand illusion: mobility, inequality, and the American Dream

Studies of social mobility as far back as the 1950s and 1960s showed that rates of movement in the United States were generally comparable to other developed countries. This finding itself challenged the longstanding image of America as exceptionally open, but it is a far cry from today, when the United States rates at or near the bottom in comparative studies of social mobility. To take just two examples, a study by Jo Blanden and colleagues at the London School of Economics found that a father's income was a better predictor of a son's income in the United States than in seven other countries, including Germany, Canada, and the United Kingdom.

This article was published in the Huffington Post on October 2, 2012

Related publications

Related Links
Jo Blanden webpage
Stephen Machin webpage
Paul Gregg webpage


Marketplace
Eurozone members wary of buying other countries' bonds

Today, many French and German banks have cut the amount of debt they hold from troubled euro zone countries by half. And practically the only buyers of Spanish debt are Spanish banks. Ditto for Italy. Not only does that make borrowing more expensive, the fear is that -- like any relationship -- a separation of the eurozone's finances could make it easier for the euro to break up completely...

Related links
Francesco Caselli webpage
Macro Programme webpage


Irish Daily Mail
Whether daring or just clueless, Rajoy could end the Troika's lies

As the international economists Peter Boone and Simon Johnson recently wrote in the Baseline Scenario blog, 'Both Portugal and Ireland have made progress implementing their austerity programmes, but they are not growing and their debts remain very large… If tough austerity programmes do not wrest nations free from high unemployment and over-indebtedness, then how are they to get back on the path to growth?' If Spain keeps control of its own finances long enough to defy EU demands and demonstrate how deadly the Troika programmes are, it will expose the fundamental lie of the bailout, that a country caught in a currency union can deflate itself into growth. If Spain finally breaks away from its almost-bailout, and takes up policies that allow growth, the poisonous nature of the Troika programmes will be beyond dispute.

This article was published in The Irish Daily Mail on October 1, 2012
No link available.

Related links
Peter Boone webpage
Effective Intervention Programme webpage
Peter Boone CEP publications webpage

Guardian
Public sector pay stays neck and neck with private sector for the long race

Over a whole career, men in the public sector will earn the same as their commercial peers - and women will do better.

It is essential that any proposed reforms of the total remuneration package available to current and future public sector employees are evaluated carefully...

Related publications
Are public sector employees overcompensated? by Alexander Danzer, Peter Dolton. Article in CentrePieceVolume 17, Issue 2, Autumn 2012
This article summarises 'Total Reward and Pensions in the UK in the Public and Private Sectors' by Alexander Danzer and Peter Dolton, Labour Economics 19(4): 584-594, August 2012

Related links
Peter Dolton webpage
Education and Skills Programme webpage


The Atlantic
Here's one tax break all Americans can support

The future of the American worker depends on research and innovation.

This matters not just for Apple's profits, but for the future of the American economy. Although patents in theory protect intellectual property, in practice, innovative companies that invest in research appropriate just some of the benefits of their efforts. This is an unavoidable feature of the way innovation is created today and the speed at which new ideas and new knowledge spread in the tech industry. The magnitude of these knowledge spillovers is substantial. In two of the most rigorous studies to date, economists Nick Bloom of Stanford and John Van Reenen of the London School of Economics followed thousands of firms and found that the spillovers were so large that R&D investments of one firm raised not only the stock price of that firm but also the stock price of other firms in the same industry.

Related publications
Trade Induced Technical Change? The Impact of Chinese Imports on Innovation, Diffusion IT and Productivity, Nicholas Bloom, Mirko Draca and John Van Reenen, Centre for Economic Performance Discussion Paper No.1000, January 2011
Identifying Technology Spillovers and Product Market Rivalry, Nicholas Bloom, Mark Schankerman and John Van Reenen, Centre for Economic Performance Discussion Paper No.675, updated September 2010

Related links
Nick Bloom webpage
Mirko Draca webpage 
John Van Reenen webpage
Productivity and Innovation Programme webpage


SERC / Grantham Research Project Launched
An investigation of the Carbon Footprint of the Retail Sector

New SERC/Grantham project launched: an investigation of the Carbon Footprint of the Retail Sector

LSE's Spatial Economics Research Centre and Grantham Research Institute have begun a new collaborative project exploring the environmental effects of town centre first planning, and its impact on retail sector carbon footprints.

Land use regulation policies shape the location and the size of retail sites in the UK. The justification for Town Centre First Policies (TCFP) when they were imposed in England in 1996 rested strongly on their supposed ability to facilitate ‘linked trips’ and a desire to retain access to shopping for poorer households without cars. The main supposed benefit, therefore was that TCFP was worthwhile because of environmental and distributional gains, i.e. town centre sites were the most “sustainable”. Based on the premise that town centres are the most accessible location for alternative (non-car) means of transport and reduce the need to travel, imposing TCFP was expected to reduce the carbon footprint of the retail sector and help make the distribution of real incomes fairer.

In on-going work, Professor Paul Cheshire SERC and LSE Geography and Dr Christian Hilber (SERC and LSE Geography) are researching the implications of TCFP on the cost side, specifically, on the productivity of the retail sector The findings of this research suggest that both TCFP and more restrictive local application of planning policies impose substantial costs in terms of foregone output on the retail sector. This new SERC/Grantham project with Dr Rosa Sanchis-Guarner (SERC and Grantham) follows up by focusing on the claimed benefits of TCFP and rigorously evaluating them. The project aims to test if TCFP does in fact reduce the overall carbon footprint of retail. While TCFPs may facilitate ‘linked trips’ and make shopping trips without cars easier (the claimed benefits), there are a number of reasons to suspect that the overall carbon footprint effect of TCFP may be negative – the claimed benefits may be, in other words, another cost.

First, even if TCFP has encouraged some substitution towards public transport, most consumers still use private cars to go shopping (according to the National Travel Survey, in 2010 around 65% of shopping trips in GB were done by car/van, 22% by foot and only 10% of shopping trips were done by local bus or rail). Second, given that population has continued to decentralise, shopping patterns could have been adversely affected if retail is forced to locate in town centres while consumers increasingly live out of town. Average shopping trips might have been made longer and almost certainly diverted to more congested conditions. More frequent and longer trips by car to congested town centres can have potential adverse effects on carbon emissions associated with shopping trips. Carbon emissions and other toxic gases can also have harmful effects on population health outcomes. Third, on the logistics side, while there are no potential offsetting gains from the increased use of public transport, access for deliveries will almost certainly have been made more congested, lorry sizes reduced and distances from distribution depots on the outskirts of towns accessible to the motorway network, increased. Moreover, more expensive space and smaller shop sizes reduces storage space within shops, increasing the frequency of deliveries. Finally, previous research has shown that one impact of TCFP was to reduce the rate of retail development and this is reflected in an aging retail estate. Older buildings are less energy efficient.

Overall, therefore, the likely effects of TCFP on sustainability are unclear. The research of this project, using various datasets on shopping patterns, gas emissions and store energy use, aims to evaluate the effect of land use planning policies on the carbon footprint, emissions and energy use in the retail sector. Additionally, it also aims to analyse the effect of carbon emissions stemming from the retail sector on air pollution and population health outcomes. Finally, the carbon footprint effects of the emergence of internet shopping and how this affects traditional shopping trips (and their carbon footprint) would also be explored.

The methodology aims to estimate causal effects, including the precise role of different land use policies on the carbon footprint of the retail sector. Subject to data availability we also aim to explore the related distributional effects of TCFP as well as potential substitution effects: consumers may choose to shop online to avoid congested and inconvenient shopping trips by public transport or foot to town centre retailers.

For more details contact Dr Rosa Sanchis-Guarner.

The Daily Telegraph
Forget private fees, live near state schools

Parents could save around 26,000 by avoiding independent schools in favour of state primaries ranked among the top 10 per cent, researchers from the London School of Economics claim.

This article was published in The Daily Telegraph on September 20, 2012
Link to article

Related publications
Big ideas: valuing schooling through house prices by Steve Gibbons. Article in CentrePiece Volume 17, Issue 2, Autumn 2012

Related links
Steve Gibbons webpage
Education and Skills Programme webpage

Centre for Economic Performance Press Release
Education, earnings and economic crisis

New research findings from the Centre for Economic Performance are highlighted in the Autumn 2012 issue of CentrePiece magazine.

Details of content in the latest issue were released on September 20, 2012.

CentrePiece Volume 17, Issue 2, Autumn 2012 is now available to download

ETSG 2012 Leuven Fourteenth Conference Chair Jacquemin Prize
Swati Dhingra and John Morrow recipients of the Chair Jacquemin Prize

Congratulations to Swati Dhingra and John Morrow for yet another prize - Prize Jacquemin - for their paper 'The Impact of Integration on Productivity and Welfare Distortions under Monopolistic Competition'. The Chaire Jacquemin of the Universite Catholique de Louvain in collaboration with the LICOS Research Centre of KULeuven (Belgium) awarded the prize at the ETSG Conference 2012 in Leuven.

More information on the history and the mission of the Chaire Jacquemin can be found here

Related publications
'The Impact of Integration on Productivity and Welfare Distortions Under Monopolistic Competition', Swati Dhingra and John Morrow, Centre for Economic Performance Discussion Paper No.1130, February 2012

Related links
Swati Dhingra webpage
John Morrow webpage
Globalisation Programme webpage

The Guardian
How happy is local government?

With the release in recent years of books such as Richard Layard's Happiness and The Spirit Level by Richard Wilkinson and Kate Pickett, we should have seen a fundamental shift in how mainstream politics and government views happiness metrics.

This article was published in the Guardian on September 14, 2012
Link to article

Related publications
Happiness: Lessons from a New Science, 2nd Edition
Richard Layard, Penguin, 2011
Details

Related links
Richard Layard webpage
Happiness Research webpage
Wellbeing Programme webpage

Washington Post
France said to press Spain to seek aid over German concerns

"The situation in Spain is not improving, there is really absolutely no benefit in waiting", Nobel laureate Christopher Pissarides, an economics professor at the London School of Economics, said in an interview with Bloomberg Television yesterday. "There isn't anything in the pipeline that will ease the situation".

The article was published in the Washington Post on September 13, 2012
Link to article

Related links
Christopher Pissarides webpage
Macro Programme webpage
Christopher Pissarides CEP publications webpage

The Business
A tangible Olympic economic boost?

Several of our essayists are likewise sceptical about the existence of clear economic and business benefits to Olympic host cities and countries. Max Nathan, research fellow with the Spatial Economics Research Centre, London School of Economics, writes that hoped-for impacts from job creation, transport improvement and inducements to healthier living usually turn out to be small. He also warns that it will take years for any lasting benefits to become clear.

This article was published in The Business on September 13, 2012
Link to article

Related links
Max Nathan webpage
SERC website

New York Times Economix blog
Introducing the Latin Euro

In an article with Simon Johnson, Peter Boone says that the fact that the European Central Bank is willing to purchase unlimited debt from highly indebted nations should not make anyone jump for joy: this is not the end of the crisis but rather the next stage.

The article was published in the New York Times blog 'Economix' on September 13, 2012
Link to article

Related links
Peter Boone webpage
Effective Intervention Programme webpage
Peter Boone CEP publications webpage

Bloomberg TV
Pissarides sees Spain requesting bailout very soon

Nobel economics laureate Christopher Pissarides discusses Spain's funding needs and the outlook for Italy's economy. He speaks with Francine Lacqua and Guy Johnson on Bloomberg Television's "City Central".

The interview was broadcast on September 12, 2012
Link to interview

Related links
Christopher Pissarides webpage
Macro Programme webpage
Christopher Pissarides CEP publications webpage

The Financial Times
We need a new mindset on mental health

Article by CEP's Richard Layard, who co-chaired the report 'How Mental Illness loses out in the NHS'.

This article was published in the Financial Times on September 11, 2012
Link to article

Related publications
How Mental Health loses out in the NHS. A Report by the Centre for Economic Performance's Mental Health Policy Group.

Related links
Richard Layard webpage
Wellbeing Programme webpage
Mental Health Policy Group webpage

The Economist
Planning and greenery - Belt too tight

Max Nathan, of the London School of Economics, notes that councils have few incentives to encourage development. If planning permission is granted, profits flow to developers and to central government, which collects most taxes. The costs - of extra infrastructure and so on - are mostly borne by the council. Existing residents, whose houses may lose value, are not compensated.

This article appeared in the Economist on 7 September 2012 link to article

Related Links
Max Nathan webpage
SERC website webpage

New York Times
Economix Blog: Why the minimum wage doesn't explain stagnant wages

Over all, about 5 percent of all hours worked in 2009 were paid the minimum wage or less (some businesses, like restaurants, are exempt). That was down from 8 percent of hours in 1979, according to research by David Autor of the Massachusetts Institute of Technology, Alan Manning of the London School of Economics and Christopher L. Smith of the Federal Reserve.

This article appeared in the New York Times on 5 September 2012 link to article

Related publications
The Contribution of the Minimum Wage to U.S. Wage Inequality over Three Decades: A Reassessment, David Autor, Alan Manning and Christopher L. Smith, Finance and Economics Discussion Series, The Federal Reserve Board, 2010-60 link

Related links
Alan Manning webpage
Labour Markets Programme webpage

SERC News
Henry Overman appointed to help transform London's West End

Professor Henry Overman Director of SERC has been appointed as one of the commissioners of the newly-formed West End Commission (WEC), set up to establish a blueprint for the future success of London's busiest area.

Created in January 2012 by Westminster City Council's cabinet, the WEC aims to guide the future success of the West End and consider the challenges it faces. It will look into issues including transport, infrastructure, city management, safety and the promotion of business and visitor needs. It will also look at lessons from other cities both in the UK and abroad. The Commission will be holding regular evidence sessions, starting in October.

Professor Overman joins a team of 12 experts from business, entertainment, transport and academia. The commission is headed by Manchester City Council chief executive Sir Howard Bernstein, and includes Professor Yvonne Rydin (UCL), Jim Steer (Steer Davis Gleave), David Partridge (Argent) and Greg Clark (OECD).

More information is available at www.westendcommission.com. The public evidence sessions will also be webcast on the site.

Related Links

Professor Henry Overman's webpage
Spatial Economics Research Centre (SERC) website


FinChannel
Low-cost information campaign promotes positive attitudes to university

A 'light-touch' information campaign about the value and affordability of going to university can have a big positive effect on the attitudes of pre-GCSE school students towards staying in education. That is the central finding of new research by Professor Sandra McNally and colleagues at the Centre for Economic Performance (CEP) which has surveyed more than 12,000 students aged between 14 and 15 in 54 London secondary schools.

This article appeared in FinChannel on 25 August 2012 link to article

Related publications
Student Awareness of Costs and Benefits of Educational Decisions: Effects of an Information Campaign, Martin McGuigan, Sandra McNally and Gill Wyness, Centre for the Economics of Education Discussion Paper No.139, August 2012 link to article

Related links
Sandra McNally webpage
Gill Wyness webpage
Education and Skills Programme webpage
Centre for the Economics of Education (CEE) website

The Economist
Arrested development

These knowledge spillovers are good for the economy as a whole, but may be bad for the firm that made the original discovery. In a 2010 paper that looked at data from American firms, Nicholas Bloom of Stanford University and Mark Schankerman and John Van Reenen of the London School of Economics found that the public benefits of R&D were roughly double the private benefits. The data also suggested that the optimal rate of R&D would be twice as high as the actual rate, and possibly higher.

This article appeared in The Economist on 25 August 2012 link to artilce

Related publications
Identifying Technology Spillovers and Product Market Rivalry Nicholas Bloom, Mark Schankerman and John Van Reenen, Centre for Economic Performance Discussion Paper No.675, June 2006

Related links
Nick Bloom webpage
Mark Schankerman webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

The Guardian
Bad advice turns poor students off university

Professor Sandra McNally says myths surrounding tuition fees need to be debunked before inequalities in university access worsen.

This article appeared in the Guardian on 25 August 2012 link to article

Related publications
Student Awareness of Costs and Benefits of Educational Decisions: Effects of an Information Campaign, Martin McGuigan, Sandra McNally and Gill Wyness, Centre for the Economics of Education Discussion Paper No.139, August 2012 link to article

Related links
Sandra McNally webpage
Gill Wyness webpage
Education and Skills Programme webpage
Centre for the Economics of Education (CEE) website

CEP Press Release
School students' views on going to university

Low-cost information campaign promotes positive attitudes
New research by Professor Sandra McNally, Gill Wyness and Martin McGuigan at the Centre for Economic Performance reveals substantial gaps in school students' knowledge of very basic facts about the costs and benefits of staying in education. What's more, the trebling of university fees announced in late 2010 - and the negative media coverage around at that time about the potential impact - significantly increased students' perceptions that going to university is 'too expensive'.

A summary of the research can be read in the press release [PDF]

Download the full discussion paper

Related links
Sandra McNally webpage
Gill Wyness webpage
Education and Skills Programme webpage


Huffington Post (UK)
Words are not enough: the government needs to match its promises on mental health with real investment

News that NHS spending on mental health has dropped by £150m over the past year, will sadly not come as a surprise to anyone affected by mental illness. The whole country urgently needs the NHS to get to grips with its responsibilities on mental health. As documented in a recent report by the Centre for Economic Performance there is already a 'massive unmet need' in mental health and a lack of investment in services.

This article appeared in the Huffington Post on 15 August 2012 link to article

Related publications
How Mental Illness Loses Out in the NHS: a Report by the Centre for Economic Performance's Mental Health Policy Group, June 2012 link to report

Related links
Richard Layard webpage
Wellbeing Programme webpage
Mental Health Policy Group webpage

Vox
The impact of alternative paths of fiscal consolidation on output and employment in the UK

Column by Nitika Bagaria, Dawn Holland, Jonathan Portes and John Van Reenen.
While most economists agree that the UK and other countries need to cut back to ensure the sustainability of their public finances, the debate rages over when and by how much. This column argues that the timing matters - starting too early, before the economy has recovered, will have substantial economic costs.

This article appeared on Vox.com on 14 August 2012 link to artilce

Related links
Nitika Bagaria webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Individual.com
Manufacturing managers 'share blame'

Consulting firm McKinsey & Company claims managers at Australia's manufacturing firms are partially responsible for the country's sluggish productivity. McKinsey notes that a London School of Economics survey of 21 nations reported Australia has more low-performing firms than more innovative countries.

This article appeared in Individual.com on 13 August 2012 link to article

Related publications
Related publications 'Measuring and Explaining Management Practices Across Firms and Countries', Nick Bloom and John Van Reenen, CEP Discussion Paper No.716, March 2006

Related links
Nick Bloom webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage
World Management Survey (WMS) webpage

Financial Times
Questions at the heart of UK economic policy

Many economists are arguing that monetary policy is running out of options, and that the one remaining hope is to delay the path for fiscal tightening. A really interesting piece of econometric work by Nitika Bagaria, Dawn Holland, and John Van Reenen concludes that the accelerated fiscal tightening has reduced real GDP in 2012 by about 2 per cent, and added about 1.5 percentage points to unemployment, compared to a delayed fiscal retrenchment.

This article was published in the Financial Times on August 12, 2012
Link to article

Related publications
'Fiscal Consolidation During a Depression', Nitika Bagaria, Dawn Holland and John Van Reenen, Centre for Economic Performance Special Paper No.27, August 2012

Related links
Nitika Bagaria webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Forbes
Differing views on rents, efficiency, and redistribution

There are many different ways to view economic rents, and I want to pass along three views in particular that I've read lately. One is from Enrico Moretti, who in his new book praises the rents from successful innovation which he argues benefit workers, and not just CEO and shareholders. He cites a study by John Van Reenen which shows that workers capture around 20 to 30% of economic rents: As we saw in the case of the iPhone, there is little value in making standard products that can be produced anywhere in the world. But when the traded sector in a country makes products that are innovative and unique, it creates more and better jobs.

This article appeared on the 9th August 2012 on Forbes.com link to article

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage

Times Higher Education
Something rotten in the state of Spain, say whistleblowers

Report on the turmoil in Spanish Higher Education and the government panel investigating its future which includes Luis Garicano.

This article appeared in Times Higher Education on August 9, 2012
Link to article

Related links
Luis Garicano webpage
Productivity and Innovation Programme webpage

QFinance
End of US hegemony brings need for fresh economic thinking

Yet stimulus junkies like Professor Paul Krugman persist with their calls for further injections of debt-fuelled government spending. He said that a June 27 Financial Times op-ed by Krugman and Richard Layard illustrated the "the sterility of the current debate", adding that developed nations freedom of manoeuvre where further stimulus is concerned is much more limited than some have claimed.

This article appeared in Q Finance.org on 8 August 2012 link to article

Related links
A Manifesto for Economic Sense, Paul Krugman and Richard Layard, June 28, 2012 link
Richard Layard webpage
Wellbeing Programme webpage

The Atlantic.com
It's the economy, not the uncertainty, stupid

Exhibit A in their case is a paper by Steven Davis of the University of Chicago and Nicholas Bloom and Scott Davis of Stanford that claims uncertainty hurt GDP by 1.4 percentage points in 2011. That sounds bad, but if you actually read the paper you'll see that the biggest effects came from the debt ceiling showdown and the euro crisis, not tax or regulatory uncertainty.

This article appeared on Atlantic.com on 8 August 2012 link to article

Related publications
Policy uncertainty: a new indicator Steven Davis, Nicholas Bloom and Scott Davis. Article in CentrePiece Volume 16, Issue 3, Winter 2011/2012
Measuring economic policy uncertainty Steven Davis, Nicholas Bloom and Scott Davis, June 2012

Related links
Nick Bloom webpage
Productivity and Innovation Programme webpage

Washington Post
How do we know if we have a policy uncertainty problem?

One study that the Romney camp has been leaning on heavily lately is a paper by Stanford professor Nicholas Bloom University of Chicago professor Steven Davis, and Stanford grad student Scott Baker called Measuring Economic Policy Uncertainty. As the title implies, the paper is about how economists can try to quantify how uncertain businesses and consumers are about the future of economic policy.

This article appeared in the Washington Post on 8 August 2012 link to article

Related publications
Policy uncertainty: a new indicator Steven Davis, Nicholas Bloom and Scott Davis. Article in CentrePiece Volume 16, Issue 3, Winter 2011/2012
Measuring economic policy uncertainty Steven Davis, Nicholas Bloom and Scott Davis, June 2012

Related links
Nick Bloom webpage
Productivity and Innovation Programme webpage

Rumeli Online (Turkey)
Turkiye Avrupa'yand#305; yakaladand#305;

Turkey caught Europe (translation)
London School of Economics and Political Science (LSE), Prof. Director of the Centre of Economic Performance. Dr. John Van Reenen, credit rating agencies'' unnecessary'' and said,'' Turkey's rapid economic growth caught up with Europe, the gap has closed. It should be taken to the European Union,'' he said.

This article was published in Rumeli online on 8 August 2012
Link to article


Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage

Trainingzone.co.uk
Insight: Shortage of skilled managers a major issue for UK plc

With a proven direct link between best management and leadership practice and business performance 1, UK plc is in real danger of falling far behind its global competitors.

Referring to research by Bloom et al from the Centre for Economic Performance

Related publications
Constraints on Developing UK Management Practices Nicholas Bloom, Renata Lemos, Mingxuan Qi, Raffaella Sadun and John Van Reenen (Centre for Economic Performance, LSE), BIS Research Paper 58, November 2011
link to report

Related links
Nick Bloom webpage
Renata Lamos webpage
Raffaella Sadun webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

US News
Bad news pushes stocks higher?

Uncertainty can be very damaging to long-term growth, says economist Nick Bloom of Stanford University, who helped develop an "uncertainty index" that measures the impact of unpredictable events on the economy. "My guess is we may have the election and a recovery in 2013, only to have it collapse again by next summer.

This article appeared in US News on 7 August 2012 link to article

Related publications
Policy uncertainty: a new indicator Steven Davis, Nicholas Bloom and Scott Davis.
Measuring economic policy uncertainty Steven Davis, Nicholas Bloom and Scott Davis, June 2012

Related links
Nick Bloom webpage
Productivity and Innovation Programme webpage

Washington Post
Romney has a new economic white paper. Here's what he left out.

The Romney campaign is out with a new white paper, co-authored by Harvard's Greg Mankiw, Columbia's Glenn Hubbard, Stanford's John Taylor and AEI's Kevin Hassett, defending his economic plan, and in particular his tax plan, in the wake of the damning Tax Policy Center study on it. Like most such documents, the white paper references a lot of outside research. But does it take all the relevant studies into account?... Here's what the authors have to say about regulatory uncertainty: Uncertainty over policy – particularly over tax and regulatory policy – limited both the recovery and job creation. One recent study by Scott Baker and Nicholas Bloom of Stanford University and Steven Davis of the University of Chicago found that this uncertainty reduced GDP by 1.4 percent in 2011 alone, and that restoring pre-crisis levels of uncertainty would add 2.3 million jobs in 18 months.

This article appeared in the Washington Post on 7 August 2012 link to article

Related publications
Policy uncertainty: a new indicator Steven Davis, Nicholas Bloom and Scott Davis. Article in CentrePiece Volume 16, Issue 3, Winter 2011/2012
Measuring economic policy uncertainty Steven Davis, Nicholas Bloom and Scott Davis, June 2012

Related links
Nick Bloom webpage
Productivity and Innovation Programme webpage

Al Jazeera
Men: Suffering secretly and silently

The scale of mental illness in Britain is horrific, with the NHS doing "little about it". That's the finding of a new study published by the London School of Economics. The report, How Mental Illness Loses Out In The NHS compiled by psychologists, doctors, economists and NHS managers, describes mental illness as more disabling than most chronic physical diseases. The research also found only a quarter of those who need treatment are actually receiving it.

This article appeared in Al Jazeera on August 7, 2012
Link to article

Related publications
How Mental Illness Loses Out in the NHS, a report by The Centre for Economic Performances Mental Health Policy Group June 2012

Related links
Richard Layard webpage
Mental Health Policy Group webpage
Wellbeing Programme webpage

Economonitor
Lessons from Sweden in assembling a recovery

What about fiscal policy? Going into the crisis with a budget deficit was an error. Is trying to fix too quickly the bigger deficit that resulted from the crisis also an error?
The National Institute of Economic and Social Research examines this in its quarterly review. Nitika Bagaria, Dawn Holland and John Van Reenen sensibly acknowledge that fiscal consolidation - deficit-cutting - is essential for debt sustainability.

This article appeared in the Economonitor on 6 August 2012 link to article

Related publications
Fiscal Consolidation During a Depression Nitika Bagaria, Dawn Holland and John Van Reenen Centre for Economic Performance Special Paper No.27, August 2012
Fiscal Consolidation During a Depression Nitika Bagaria, Dawn Holland and John Van Reenen
National Institute Economic Review, July 2012; vol. 221, 1: pp. F42-F54.

Related links
Nitika Bagaria webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Genes Matter for Happiness
Seven Days of Social Science Research, ESRC

About one third of the variation in individuals' baseline levels of happiness is explained by genes, say researchers from the Centre for Economic Performance CEP).

This article appeared in Seven Days of Social Science Research on 6 August 2012 link to article

Related publications
Genes, Economics, and Happiness, Jan-Emmanuel De Neve, Nicholas A. Christakis, James H. Fowler and Bruno S. Frey, Centre for Economic Performance Discussion Paper No.1127, February 2012 link to article

Related Links
Jan-Emmanuel De Neve webpage
Wellbeing Programme webpage

Seven Days of Social Science Research, ESRC
Wellbeing of Employees'

Modern management practices can improve employee wellbeing, according to research from the Centre for Economic Performance. We find high involvement management is positively associated with various aspects of employees' wellbeing, says Alex Bryson.

This article appeared in Seven Days of Social Science Research on 6 August 2012 link to article

Related publications
Does High Involvement Management Improve Worker Wellbeing? Petri Bockerman, Alex Bryson and Pekka Ilmakunnas (2011) Centre for Economic Performance Discussion Paper No. 1095, November 2011
Wellbeing in the Workplace: the Impact of Modern Management Alex Bryson. Article in CentrePiece 16(3) Winter 2012 link

Related links
Alex Bryson webpage
Labour Markets Programme webpage

Family Times New Zealand
Let's not hurry children through childhood

Ironically, when parents release the pressure and focus on developing children's general wellbeing, they perform better in the long run. The London School of Economics Centre for Economic Performance followed the fortunes of all babies born in the first week of April 1970 in Britain. There was clear evidence that children with a higher self-esteem at the age of 10 got as much kick to their earning power as those with higher math, reading and other academic abilities. They had less chance of being unemployed later in life and if they were, they would soon be back in the workforce.

This article appeared in Family Times New Zealand on 4 August 2012 link to article

Related publications
Changes in Intergenerational Mobility in Britain Jo Blanden, Alissa Goodman, Paul Gregg and Stephen Machin, Centre for Economic Performance Discussion Paper No.517, January 2002
Changes in intergenerational mobility in Britain J. Blanden, A. Goodman, P. Gregg and S. Machin. In M. Corak (ed.), Generational Income Mobility in North America and Europe, November 2004, Cambridge University Press.

Related Links
Steve Machin website
Jo Blanden website
Education and Skills website

Taipei Times online
UK to miss deficit target, report says

The National Institute of Economic and Social Research published research carried out with the London School of Economics and Political Science that estimates output would be £239 billion higher by 2021 if Osborne's austerity plan had been delayed by three years.

This article appeared in the Tapai Times on 3 August 2012 link to article

See also
INO.com
U.K. growth to be restrained by weak Global demand, NIESR says
link to article

Fiscal Consolidation During a Depression Nitika Bagaria, Dawn Holland and John Van Reenen National Institute Economic Review, July 2012; vol. 221, 1: pp. F42-F54.

Related links
Nitika Bagaria webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Public Finance
Premature spending cuts 'pushed UK back into recession'

The impact of cuts would also 'have been substantially less, and less long-lasting', according to the analysis, carried out with the London School of Economics and published in the institute's quarterly Economic Review, published today.

This article was published in Public Finance on August 3, 2012
Link to article

Related publications
Fiscal Consolidation During a Depression, Nitika Bagaria, Dawn Holland and John Van Reenen, Centre for Economic Performance Special Paper No.27, August 2012
Fiscal Consolidation During a Depression, Nitika Bagaria, Dawn Holland and John Van Reenen. Article in the National Institute Economic Review, July 2012; vol. 221, 1: pp. F42-F54.

Related links
Nitika Bagaria webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Not the treasury view blog spot
The impact of alternative paths of fiscal consolidation on output and employment

In a blog, Jonathan Portes writes, NIESR has just published research estimating the economic impact of immediate versus delayed fiscal consolidation in the UK. The research was undertaken by Dawn Holland (NIESR), John Van Reenen, Professor of Economics at the London School of Economics and Director of the Centre for Economic Performance, and Nitika Bagaria, a Phd student also at LSE and CEP.

This article appeared in Not the Treasury View blog on Friday 3 August, 2012
Link to article

Related publications
Fiscal Consolidation During a Depression, Nitika Bagaria, Dawn Holland and John Van Reenen, Centre for Economic Performance Special Paper No.27, August 2012
Fiscal Consolidation During a Depression, Nitika Bagaria, Dawn Holland and John Van Reenen. Article in the National Institute Economic Review, July 2012; vol. 221, 1: pp. F42-F54.

Related links
Nitika Bagaria webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Forbes
To fix the US economy, let's first kill all the uncertainty

For example, Scott Baker, Nicholas Bloom and Steven Davis recently constructed an uncertainty index for the years 1985 to 2011 and found that uncertainty was the highest on record last year, likely reducing Gross Domestic Product by an incredible 1.4 percentage points. Without the heightened uncertainty, the U.S. economy would have grown at more than 3%, with hundreds of thousands of additional jobs created.

This article appeared on 1 August 2012 link to article

Related publications
Policy uncertainty: a new indicator Steven Davis, Nicholas Bloom and Scott Davis. Article in CentrePiece Volume 16, Issue 3, Winter 2011/2012
Measuring economic policy uncertainty Steven Davis, Nicholas Bloom and Scott Davis, June 2012

Milliyet (Turkey)
''Turkey has caught up with Europe and should be taken into the EU'' (translation)

Translation: Turkey is Europe, caught, taken to the EU
London School of Economics and Political Science (LSE), Prof. John Van Reenen, Director of the Centre of Economic Performance said credit rating agencies are "unnecessary" and said, "Turkey's rapid economic growth caught up with Europe, the gap has closed. It should be taken to the European Union".

This article appeared in Milliyet (Turkey) on July 31, 2012
Link to article

See also
Ekonomi Haberleri
Artık Turkiye A-B'ye girmeli
Link to article

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage

The Independent
Index of wellbeing: our duty to be perpetually happy

The government has recently published the Index of Wellbeing, or rather the 'happiness index'. It was an attempt to measure the general happiness of the population and tailoring government policies to promote wellbeing and happiness. According to Professor Richard Layard, director of the Wellbeing programme at the LSE, this new index is a great step towards creating 'policy-making with wellbeing as a priority'. In other words, we all have a 'duty to be happy', and the government will enact policies to ensure this duty is realized.

The article was published in The Independent on Friday 27 July, 2012
Link to article

Related links
Richard Layard webpage
Wellbeing Programme webpage

HRreview
Why are we obsessed by growth?

"If the economy is growing at less than about 2% a year then unemployment rises because output is just not rising fast enough", says Prof John Van Reenen from the London School of Economics. "With a growing population and rising wages, the economy has to grow to create jobs."

This article appeared in the HRreview on Thursday 26 July, 2012
Link to article

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage

FSN
US better at exploiting software than UK

US multinational firms are on average 8.5 per cent more productive than UK domestic-owned firms, and almost all of this difference is due to the higher productivity impact of their use of IT. This was one of the stand-out comments in the recent Technology Insights 2012 report from e-skills, the sector skills body for business and IT, a finding based on research from both the London School of Economics and the UK Office for National Statistics.

This article was published in FSN on Thursday 26 July, 2012
Link to article

Related publications
It ain't what you do it's the way that you do I.T. Testing explanations of productivity growth using US affiliates, Nick Bloom, Raffaella Sadun and John Van Reenen, EDS Discussion Paper No.2, July 2005
It Ain't what You Do, It's the Way that You Do IT, Nick Bloom, Raffaella Sadun and John Van Reenen. Article in CentrePiece, Volume 10, Issue 3, Winter 2005
See also Nick Bloom, Raffaella Sadun and John Van Reenen (2005), It Ain't What You Do, It's the Way that You Do I.T.:Testing Explanations of Productivity Growth using US Affiliates, Office for National Statistics Report

Related links
Nick Bloom webpage
Raffaella Sadun webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Noticias de Alava
Los expertos piden mutualizar la deuda y la intervencin del BCE

…el punto muerto: la senda hacia la salida de la crisis. Entre los españoles figuran Luis Garicano, del London School of Economics, o Guillermo de la Dehesa. También suscriben el documento los alemanes Lars...
Experts call to mutualise debt and for the intervention of the ECB
Seventeen prestigious European economists demand a collective response to the harassment of the euro
Economists, grouped at the Institute for New Economic Thinking, have the document entitled Breaking the deadlock: the path to ending the crisis. Among the listed Spanish, Luis Garicano of the London School of Economics, and Guillermo de la Dehesa.

The article was published in Noticias de Alava on Wednesday 25 July, 2012
Link to article

Related links
Luis Garicano webpage
Productivity and Innovation Programme webpage

Also published:
Tuesday 24 July
Capital Madrid
Tormenta política en Australia por comparar a Queensland con la Espana 'en quiebra'

El Mundo
17 grandes economistas exigen que intervenga el BCE y mutualizar la deuda

Economia Digital
Los economistas llaman a Draghi

Economia Digital
Economistes europeus exigeixen al BCE que actuï immediatament per salvar a Espanya

El Mundo
17 grandes economistas exigen mutualizar la deuda y que intervenga el Banco Central Europeo

UGT
Expertos proponen medidas para evitar un desastre incalculable

Daily Mail
Spain edges closer to disaster as the euro crisis apreads

Euro doomed, say experts
The euro has broken down and faces collapse with 'incalculable economic losses and human suffering', according to an extraordinary warning from a group of leading economists. The experts include two members of Germany's Council of Economic Experts and leading euro specialists at the London School of Economics [Luis Garicano and Guillermo de la Dehesa], all of whom support the single currency.

This article appeared in The Daily Mail on Wednesday 25 July, 2012
Link to article

Related links
Luis Garicano webpage
Productivity and Innovation Programme webpage

BBC Radio 5 Live
5 Live Drive

Professor Albrecht Ritschl was interviewed about the Eurozone crisis.

The interview was broadcast on BBC Radio 5 Live on Wednesday 25 July, 2012

Related links
Albrecht Ritschl webpage
Macro Programme webpage

BBC News
Business: Why are we obsessed by growth?

Wednesday's gross domestic product (GDP) figures will be unveiled amid great excitement, befitting one of the year's most eagerly anticipated numbers
"If the economy is growing at less than about 2% a year then unemployment rises because output is just not rising fast enough," says Prof John Van Reenen from the London School of Economics. "With a growing population and rising wages, the economy has to grow to create jobs."

This article appeared on BBC News online on Wednesday 25 July, 2012
Link to article

Related links John Van Reenen webpage
Productivity and Innovation Programme webpage

Also in
Manchester Wired
Business: Why are we so obsessed with growth?

Health Service Journal
Wellbeing measure 'will boost health investment'

Lord Richard Layard hailed the publication of the UK's first national wellbeing report (by the ONS) this week as a "move in the right direction".

The article appeared in the Health Service Journal on Tuesday 24 July, 2012
Link to article [Subscription needed to download]

Related links
Richard Layard webpage
Wellbeing Programme webpage

Forbes
Shut Down the World Bank: Jin Yong Kim Should Be Its Last President

Yet no amount of aid could overcome the impact of bad economic policies. To the contrary, aid discouraged reform of growth-defeating policies since it minimized the pain of failure and enabled governments to protect their most important political constituencies. For instance, Peter Boone of the London School of Economics surveyed developing economies, reporting that "Poverty is not caused by capital shortage, and it is not optimal for politicians to adjust distortionary policies when they receive aid flows."

This article was published in Forbes.com on Monday 23 July, 2012
Link to article

Related links
Peter Boone webpage
Effective Intervention Programme webpage

See also
Tuesday 24 July
Cato Institute
Shut Down the World Bank: Jin Yong Kim Should Be Its Last President

The Guardian
Can happiness be measured?

Can we measure wellbeing scientifically? Economist Richard Layard, supporter of the new national happiness index, believes we can; philosopher Julian Baggini is having none of it.

This article appeared in The Guardian on Friday 20 July, 2012
Link to article

Related publications
Happiness: Lessons from a New Science, 2nd Edition
Richard Layard, Penguin, 2011
Details

Related links
Richard Layard webpage
Wellbeing Programme webpage
Happiness research webpage

The Daily Telegraph
My first free school has passed the test - now for the next one

Research carried out at the LSE recently suggests that increased competition really does raise standards. Stephen Machin and James Vernoit looked at the academies opened under Labour and found that their impact on the neighbouring schools had been positive, with exam results improving.

This article appeared in the Daily Telegraph on 18 June 2012 link to article

Related publications
Changing School Autonomy: Academy Schools and their Introduction to England's Education Stephen Machin and James Vernoit, Centre for the Economics of Education Discussion Paper No. 123, April 2011
Academy schools: who benefits? Stephen Machin and James Vernoit. Article in CentrePiece Volume 15, Issue 2, Autumn 2010
A Note on Academy School Policy Stephen Machin and James Vernoit, Centre for Economic Performance Policy Paper No. 11, July 2010


Related links
Stephen Machin webpage
James Vernoit webpage
Education and Skills Programme webpage
Centre for the Economics of Education website

campden fb
Chief (non-) family officer

The reason family-run companies perform badly, says Nicolas Bloom, an associate professor at the Stanford Department of Economics, is simple - family members often do not have the right experience and ability. "Being a CEO of a large firm is hard and highly selective - CEOs are often literally selected from hundreds of employees - and often such a talented and experienced person may not exist amongst the sons and daughters of the current CEO," he says.

This article was published in campden fb on July 17, 2012
Link to article

Related publications
Measuring and Explaining Management Practices Across Firms and Countries by Nicholas Bloom and John Van Reenen, Centre for Economic Performance Discussion Paper No.716, March 2006

Related links
Nicholas Bloom webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Washington Post
The offshoring squabble

If economists are agreed on anything, it is the net benefits to society, both in the U.S. and abroad, of free trade. The same goes for free movement of investment capital, and the jobs it creates. Recent empirical studies support the theory. In a May 2012 paper, researchers at the London School of Economics Center for Economic Performance examined 58 U.S. manufacturing industries from 2000 to 2007, and found that the cost savings and productivity increases from shifting some work overseas enabled enough new domestic hiring to offset the jobs lost abroad.

This article appeared in the Washington Post on 17 July 2012 link to article

See also
Monday 16 July
Hit and Run: Reason.com (blog)
Does it matter when Mitt Romney left Bain?
Offshoring has no effect on native employment in the aggregate, according to a recent paper published by the London School of Economics Center for Economic Performance link to article

Related publications
Immigration, Offshoring and American Jobs Gianmarco I. P. Ottaviano, Giovanni Peri and Greg C. Wright, Centre for Economic Performance Discussion Paper No.1147, May 2012

Related links
Gianmarco I. P. Ottaviano webpage
Globalisation Programme webpage

OECD Observer
Why measure subjective well-being?

Article by Richard Layard

The search for measures of progress that might replace GDP is a timely and necessary one, but only a single metric will do the trick. What an achievement! Only eight years ago the OECD first asked What is progress? Since then we have had three major OECD conferences on the subject and now a major OECD initiative on the international measurement of subjective well-being. Last year Britain became the first advanced country to take its own measurements, and there is worldwide demand for an alternative to GDP as a way of assessing how we are doing.

This article appeared in the OECD Observer on 16 July 2012 link to article

Related publications
How Mental Illness Loses Out in the NHS A report by The Centre for Economic Performance's Mental Health Policy Group. Published 18 June 2012
Download the report here

Related links
Richard Layard webpage
Mental Health Policy Group webpage
Wellbeing Programme webpage

Independent Nurse
Roll-out of therapy programme stalling

An 'urgent rethink' of mental health care is needed to complete the national rollout of the Improved Access to Psychological Therapy programme, a report has found. How mental illness loses out in the NHS, published by the London School of Economics, claims that many local commissioners are not using their IAPT budgets appropriately.

This article appeared in Independent Nurse on 16 July 2012 link to article

Related publications
How Mental Illness Loses Out in the NHS A report by The Centre for Economic Performance's Mental Health Policy Group. Published 18 June 2012 details
Download the report here

Politics.co.uk (Web)
The week in Westminster: July 16th - 20th

On Tuesday the London School of Economics publishes a report entitled 'how mental illness loses out in the NHS'.

This article appeared in Politics.co.uk (Web) link to article

Related publications
How Mental Illness Loses Out in the NHS A report by The Centre for Economic Performance's Mental Health Policy Group. Published 18 June 2012 Details
Download the report here

Related links
Richard Layard webpage
Mental Health Policy Group webpage
Wellbeing Programme webpage

BBC
Could debt relief ease Euro woes?

Albrecht Ritschl Professor of Economic History at the London School of Economics explains how Germany received debt relief: "Every recipient country of the Marshall Plan had to sign a waiver which said that all Marshall aid would amount to what was known as a first charge to Germany - it meant that unless this debt was repaid by the Germans, no other charges could be brought against Germany."

This article appeared on the BBC Website on 16 June 2012

See also
London Wired
Could debt relief solve Europe's problems
Despite measures and initiatives being proposed by political leaders, history suggests that the path leading Europe back to prosperity will not be smooth. Apart from debt relief in African countries, there has been a precedent in Europe. In the effort to promote recovery after World War II, part of the Marshall Plan - America's huge aid programme - was a strategy for dealing with the vast debts that the vanquished nations of Europe had run up - most notably, those of Germany. Albrecht Ritschl Professor of Economic History at the London School of Economics, explains how Germany received debt relief.
Link to article

UKwirednews
Could debt relief solve Europe's problems link to article

Related links
Albrecht Ritschl webpage
Macro Programme webpage

Bloomberg TV
Stanford's Bloom interview on stocks

Nicholas Bloom, a professor of economics at Stanford University, talks with Bloomberg's Julie Hyman about the outlook for U.S. stocks and the global economy.

The interview was broadcast on July 14, 2012
Link to interview

Related links
Nicholas Bloom webpage
Productivity and Innovation Programme webpage
Nicholas Bloom CEP publications webpage

The Economist
Scourge of slums

Good housing is obviously better than bad housing, but bad housing is better than none, and when the state gets into the business of licensing goods supply tends to fall. As Henry Overman, professor of economic geography at the London School of Economics, puts it, "schemes that restrict the ways in which we can use housing tend not to be beneficial to the poor. "

The article was published in The Economist on July 14, 2012
Link to article

Related links
Henry Overman webpage
Spatial Economics Research Centre (SERC) website
Globalisation Programme webpage

CAGE/CEP Workshop on
Trade Policy in a Globalised World

The CAGE/CEP Workshop on Trade Policy in a Globalised World was held in Venice, Italy June 8-9, 2012.
The conference was organised by Dennis Novey (University of Warwick) and Emanuel Ornelas (Globalisation Programme Director at the Centre for Economic Performance, London School of Economics).

For a full summary of the Venice Workshop, please visit the Globalisation Programme website.

The Sunday Times
Don't get mad, get help

A report by the mental-health policy group at the London School of Economics (LSE) estimates that these disorders now account for nearly half of all ill health suffered by people in Britain. But does the deluge of celebrity sufferers mean that while awareness is raised, there is a risk that mentalhealth problems become so commonplace, we are being conditioned into thinking they are the norm?

This article appeared in the Sunday Times on the 8 July 2012 link to article

Related publications
How Mental Illness Loses Out in the NHS A report by The Centre for Economic Performance's Mental Health Policy Group. Published 18 June 2012
Download the report here

Related links
Richard Layard webpage
Mental Health Policy Group webpage
Wellbeing Programme webpage

Financial Times
Letters: Lower growth is the sad truth

Sir, By continuing to stoke the fallacy that the growth debate is between the fiscal fundamentalists and the sane and rational, much disservice is done by very eminent academics such as Paul Krugman, Richard Layard Marcus Miller and Robert Skidelsky (Letters, July 2).

This article appeared in the Financial Times on the 8 July 2012 link to article

Related links
'A Manifesto for Economic Sense' Paul Krugman and Richard Layard, June 28, 2012. Richard Layard webpage
Wellbeing Programme webpage

Bloomberg TV
Budget confidence argument not working, Layard says

Richard Layard, a professor at the London School of Economics, talks about the impact of austerity measures on global economies. He speaks with Erik Schatzker and Scarlet Fu on Bloomberg Television's "Market Makers."

The interview was broadcast on July 6, 2012
Link to interview

Related links
Richard Layard webpage
A Manifesto for Economic Sense Details
Wellbeing Programme webpage

The Independent
Yet more nails in Osborne's economic coffin

Last week the Nobel laureate Paul Krugman and Lord Richard Layard launched a Manifesto for Economic Sense*. This sets out realistic and sensible alternatives to Osborne-style austerity. Within two days over 4,000 people, mainly economists, had signed up, including a number of distinguished names such as the Nobel laureate Chris Pissarides, John Van Reenen and Lord Skidelsky. The argument is that Osborne, along with other European leaders, are relying on the same ideas that governed policy in the 1930s. These ideas, the manifesto argues, are "long since disproved, involve profound errors both about the causes of the crisis, its nature, and the appropriate response". Amen to that. The usual response from right-wing academics and business folk to such calls in the past has not appeared. I wonder why not? It's time to get the economy moving again. And for that to happen, Osborne must go.

This article appeared in the Independent on 2 July 2012 link to article

Related links
'A Manifesto for Economic Sense' Paul Krugman and Richard Layard, June 28, 2012.

Richard Layard webpage
Wellbeing Programme webpage

The Financial Times Letters
Case for monetary and fiscal expansion is robust

Sir, Paul Krugman and Richard Layard (Time to speak up: a manifesto for economic sense, June 28) offer a robust case for monetary and fiscal expansion to offset the decline in private sector demand, combined with a cogent critique of the current British and European reliance on public austerity to produce recovery. We believe their case is even stronger if one takes into account the long-term effects of mass unemployment in reducing the potential growth of the economy.

This article appeared in The Financial Times on 2 July link to article

Related links
'A Manifesto for Economic Sense' Paul Krugman and Richard Layard, June 28, 2012.
Richard Layard webpage
Wellbeing Programme webpage

The Sunday Times
No, sir a 75% ''tax rate'' won't hurt'

It probably is not the weather luring them here but Britain is attracting some of America's bestknown economists. They are lining up to offer advice and observations about this country's plight. Paul Krugman in London recently, put his name to an anti-austerity "manifesto for economic sense" in partnership with Richard Layard the British economist.

This article appeared in The Sunday Times on 1 July 2012 link to article

Related links
'A Manifesto for Economic Sense' Paul Krugman and Richard Layard, June 28, 2012.

Richard Layard webpage
Wellbeing Programme webpage

The Observer
The central bankers' bank cannot forget what the others never learned

As Paul Krugman of Princeton and Richard Layard of the LSE reminded us in the Financial Times last week: "Today's government deficits are a consequence of the crisis, not a cause" (my italics). Unfortunately George Osborne's obsession with deficits rather than output and employment is shared by centre-right governments around Europe, and not exactly helping efforts to resolve the eurozone crisis. My fear is the onset of a deflationary spiral.

This article appeared in The Observer on 1 July 2012 link to article

Related links
'A Manifesto for Economic Sense' Paul Krugman and Richard Layard, June 28, 2012
Richard Layard webpage
Wellbeing Programme webpage

The Economist
Immigrants: Hello, world

Max Nathan, a researcher at the LSE who has surveyed 7,400 companies in London, has found that firms set up or managed by migrants are more innovative. "There is a small but significant 'diversity bonus' for London", he says.

This article was published in The Economist on June 29, 2012
Link to article

Related links
Max Nathan webpage
SERC website

CEP Press Release
Economists' manifesto challenges wisdom of austerity

Richard Layard with Paul Krugman have today published online 'A Manifesto for Economic Sense'.

A full copy of the press release can be read here.

The manifesto is available on the website www.manifestoforeconomicsense.org.

Related links
Richard Layard webpage
Wellbeing Programme webpage

salesdirector.com
Immigrants in the UK 'better skilled and better educated'

The number of immigrants in the UK who are skilled and well educated is continuing to rise, according to the latest data from the Centre for Economic Performance at London School of Economics. Research into immigration and the UK labour market carried out by the centre found that 14 per cent of the working age population were born abroad, which equates to 5.9 million adults.

The article was published online on salesdirector.com on June 27, 2012
Link to article

Related publications
Immigration and the UK Labour Market: The latest evidence from economic research, Jonathan Wadsworth, Centre for Economic Performance Policy Analysis No.14, June 2012

Related links
Jonathan Wadsworth webpage
Labour Markets Programme webpage

Pulse
GP trainees need better mental health training'

The report from The Centre for Economic Performance's Mental Health Policy Group called for GPs to receive mental health training which includes hands on experience in areas where mental health services are provided.

This article was published in Pulse on June 27, 2012
Link to article

Related publications
How Mental Illness Loses Out in the NHS. A report by The Centre for Economic Performances Mental Health Policy Group. Published 18 June 2012
Details
Download the report

Related links
Richard Layard webpage
Wellbeing Programme webpage
Mental Health Policy Group webpage

HR Magazine
Numbers of 'better skilled', 'better educated' immigrants in the UK are rising, finds Centre for Economic Performance

The Centre for Economic Performance (London School of Economics) has published research into immigration and the UK labour market, finding more than 14 per cent of the working age population, were born abroad.

This article was published online in HR Magazine on June 27, 2012
Link to article

Related publications
'Immigration and the UK Labour Market: The latest evidence from economic research', Centre for Economic Performance Policy Analysis No.14, Jonathan Wadsworth, June 2012
'Immigration and the UK Labour Market: The Evidence from Economic Research', Centre for Economic Performance Election Analysis No.6, Jonathan Wadsworth, April 2010

Related links
Jonathan Wadsworth webpage
Labour Markets Programme webpage
Jonathan Wadsworth CEP publications webpage

The Financial Times
A manifesto for economic sense

In their article, Paul Krugman and Richard Layard call on all economists to join on the Manifesto's website in condemning excessive fiscal austerity.
More than four years after the financial crisis began, the world's major advanced economies remain deeply depressed, in a scene all too reminiscent of the 1930s. The reason is simple: we are relying on the same ideas that governed policy during that decade. These ideas, long since disproved, involve profound errors both about the causes of the crisis, its nature and the appropriate response. These ideas have taken root in the public consciousness, providing support for the excessive austerity of fiscal policies in many countries. So the time is ripe for a manifesto in which mainstream economists offer the public a more evidence-based analysis of our problems.

'A Manifesto for Economic Sense' by Paul Krugman and Richard Layard was published in all editions of the Financial Times today - Thursday 28 June, 2012.
Link to article

Related links
A Manifesto for Economic Sense, Paul Krugman and Richard Layard, June 28, 2012.
Richard Layard webpage
Wellbeing Programme webpage

LSE Public Debate
Ending the Housing Crisis: Should we ever build on the Green Belt?

Organised by British Governement@ LSE and LSE London, this event forms part of the LSE Hot Topics series. House prices in Britain remain exceptionally high. We urgently need more housing, but where should we build it? Can we meet our needs by redeveloping existing built up areas? Or does the problem call for more radical solutions.

On Wednesday 27 June 2012, Professor Henry Overman, Alex Morton, Professor Anne Power and Tony Burton will debate the issue.

For more information including time, venue and registration details, please visit the SERC website http://www.spatialeconomics.ac.uk/SERC/events/special.asp#greenbelt

Visit Henry Overman's webpage
Visit British Government@LSE website
Visit LSE London website

 


Channel 4 News
Cameron benefits change can end welfare gap

Jonathan Wadsworth, a senior research fellow in the London School of Economics' centre for economic performance questioned the idea of taking forward regional benefits at a time when a housing benefit cap is being implemented. ''You have to take the whole thing together'', he explained.

This item was published on Channel 4 News website on June 25, 2012
Link to article here

Related links
Jonathan Wadsworth webpage
Labour Markets Programme webpage

CEP Press release
Immigration and the UK Labour Market: the Latest Evidence from Economic Research

The Centre for Economic Performance (London School of Economics) has today published online an update of the CEP Election Analysis, 'Immigration and the UK Labour Market: The Evidence from Economic Research'.

A summary of the updated analysis by Professor Jonathan Wadsworth can be read in the press release. See

The full Policy Analysis - 'Immigration and the UK Labour Market: The Latest Evidence from Economic Research' is available to download from the CEP website.

Related links
Jonathan Wadsworth webpage
Labour Markets Programme webpage

The Gleaner (Jamaica)
Jamaicans Among World's Happiest -UN

Jamaica ranks 40 out of 156 nations in the first United Nations-commissioned World Happiness Report, edited by renowned economists Jeffrey Sachs, John Helliwell and Richard Layard, and released recently.

This article appeared in the The Gleaner on 20 June 2012 link to article

Related publications
The World Happiness Report John Helliwell, Richard Layard and Jeffrey Sachs (eds), The Earth Institute Report, April 2012. The Report was commissioned for the April 2nd United Nations Conference on Happiness (mandated by the UN General Assembly) which took place at the UN Headquarters in New York on 2 April 2012.

Related links
Richard Layard webpage
Wellbeing Programme webpage

The Daily Telegraph
Regional pay plans scuppered by politics

Such distortions are economically destructive. They make it harder for businesses in the regions to recruit workers at competitive wage rates and as a consequence they stifle enterprise. A study by academics at the London School of Economics has found that over time this "crowds out private sector employment overall".

The article was published in The Daily Telegraph on June 20, 2012
Link to article

Related publications
The Effect of Public Sector Employment on Local Labour Markets, Giulia Faggio and Henry Overman, SERC Discussioin Paper No.111, June 2012

Related links
Giulia Faggio webpage
Henry Overman webpage
Henry Overmanblog
SERC website

BBC Radio 4
You and Yours

Coverage of the report on mental health provision in the NHS.

Related publications
How Mental Illness Loses Out in the NHS A report by The Centre for Economic Performance's Mental Health Policy Group. Published 18 June 2012
Download the report here

Related links
Richard Layard webpage
Mental Health Policy Group webpage
Wellbeing Programme webpage

NHS Online
Mental health scandal' as 75% go untreated

75% with a mental illness in Great Britain are not getting any treatment for their condition, a scathing report by researchers at the London School of Economics has revealed.

This article appeared on NHS online on 19 June 2012 link to article

Related publications
How Mental Illness Loses Out in the NHS. A report by The Centre for Economic Performance's Mental Health Policy Group. Published 18 June 2012 Details Download the report here

The Daily Telegraph
Mental health 'shockingly' under-treated, claims report

The group was convened by Lord Layard, of LSE's Centre for Economic Performance. He said: "If local NHS Commissioners want to improve their budgets, they should all be expanding their provision of psychological therapy."

This article was published in The Daily Telegraph on June 18, 2012
Link to article

Related publications
'How Mental Illness Loses Out in the NHS'. A report by the Centre for Economic Performance's Mental Health Policy Group. Published June 18, 2012.
Details
Download the report here

Related links
Richard Layard webpage
Mental Health Policy Group webpage
Wellbeing Programme webpage

Metro
NHS 'failing millions of people with mental health issues'

The NHS is failing millions of people who have depression, behavioural problems or anxiety because it spends just 13 per cent of its budget on mental health says the London School of Economics.

The article appeared in Metro on June 18, 2012
Link to article


Related publications
'How Mental Illness Loses Out in the NHS'. A report by the Centre for Economic Performance's Mental Health Policy Group. Published June 18, 2012.
Details
Download the report here

Related links
Richard Layard webpage
Mental Health Policy Group webpage
Wellbeing Programme webpage

The Sun
Breakdown SOS

MENTAL health is such an important issue it deserves its own Government minister, says a top professor.The call by Lord Layard follows an explosion in mental illness. It now accounts for almost half of all sickness in the UK - including 700,000 child victims. His team of experts at the respected London School of Economics found three-quarters of sufferers get no treatment. Professor Lord Layard said of the epidemic: "It needs its own Cabinet minister."

This article appeared in The Sun on June 18, 2012
[No link available]

Related publications
'How Mental Illness Loses Out in the NHS'. A report by the Centre for Economic Performance's Mental Health Policy Group. Published June 18, 2012.
Details
Download the report here

Related links
Richard Layard webpage
Mental Health Policy Group webpage
Wellbeing Programme webpage

The Daily Telegraph
Mental illness accounts for nearly half of all ill health, as report claims NHS 'fails' to meet needs of sufferers

Despite its prevalence, three-quarters of people suffering from mental illness are not getting treatment as the NHS fails to meet their needs, according to a report. The authors, from the Mental Health Policy Group at the London School of Economics (LSE), claim the under-treatment of people suffering from mental illnesses is the most "glaring case of health inequality" in Britain.

The article was published in The Daily Telegraph on June 18, 2012
Link to article

Related publications
'How Mental Illness Loses Out in the NHS'. A report by the Centre for Economic Performance's Mental Health Policy Group. Published June 18, 2012.
Details
Download the report here

Related links
Richard Layard webpage
Mental Health Policy Group webpage
Wellbeing Programme webpage

The Guardian
Look at the evidence

Mental health problems account for nearly 40% of all illness but only 13% of NHS funds are devoted to their treatment, according to a major report published today by the London School of Economics.

The article appeared in The Guardian on June 18, 2012
Link to article

Related publications
'How Mental Illness Loses Out in the NHS'. A report by the Centre for Economic Performance's Mental Health Policy Group. Published June 18, 2012.
Details
Download the report here

Related links
Richard Layard webpage
Mental Health Policy Group webpage
Wellbeing Programme webpage

The Guardian
Scandal of mental illness: only 25% of people in need get help

Talking therapies such as cognitive behaviour therapy relieves anxiety and depression in 40% of those treated, says the Mental Health Policy Group led by Lord Layard. But despite government funding to train more therapists, availability is patchy with some NHS commissioners not spending the money as intended, and services for children being cut in some areas. "It is a real scandal that we have 6 million people with depression or crippling anxiety conditions and 700,000 children with problem behaviours, anxiety or depression," says the report. "Yet three quarters of each group get no treatment."

The article appeared in The Guardian on June 18, 2012
Link to article


Related publications
'How Mental Illness Loses Out in the NHS'. A report by the Centre for Economic Performance's Mental Health Policy Group. Published June 18, 2012.
Details
Download the report here

Related links
Richard Layard webpage
Mental Health Policy Group webpage
Wellbeing Programme webpage

The Times
Ignoring mental illness is pure discrimination

Comment: Professor Lord Layard, at the London School of Economics' Centre for Economic Performance, discussing an LSE report published today, says that "Mental illness is the great hidden problem in our society. But cost-effective treatments exist. The tragedy is that so many people cannot get them, and less than a third of those who need help are in any form of treatment."

The article appeared in The Times on June 18, 2012
Link to a copy of the article

Related publications
'How Mental Illness Loses Out in the NHS'. A report by the Centre for Economic Performance's Mental Health Policy Group. Published June 18, 2012.
Details
Download the report here

Related links
Richard Layard webpage
Mental Health Policy Group webpage
Wellbeing Programme webpage


See also
The Times
NHS 'failing to deal with big rise in mentally ill'
[No link available]

Bloomberg TV
Economic Edge: Spanish targets and Greek elections

Linda Yueh speaks with Director of ReDefine Sony Kapoor, LSE professor John Van Reenen, Greece's former Foreign Minister Dora Bakoyiannis, and Philippe Aghion, advisor to French President Francois Hollande.

The interview was broadcast on June 15, 2012
Link to interview

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage
John Van Reenen CEP publications webpage

Linda Yueh is an Associate of the Globalisation Programme at the Centre for Economic Performance.
Linda Yueh webpage
Globalisation Programme webpage

The Financial Times
Heads or tails? Just don't bet on it

A recent working paper, written by two behavioural economists, Nattavudh Powdthavee and Yohanes Riyanto, makes me wonder whether such classic scams are overkill. They conducted a laboratory experiment (actually, two: one in Thailand and one in Singapore, both with undergraduate students as subjects), which duplicated the old fraud. The twist was that the mechanics of the trick were entirely transparent. The tips were given in sealed, numbered envelopes – each set of envelopes unique to each student. Instead of horse-racing, the students were shown coin-flips and given a number of good reasons to believe that the coin-flips were random: the coins came from the participants, not the experimenters; the coins were changed every couple of flips; participants, rather than the experimenters, would perform the actual flips. The students were told that each numbered envelope contained a forecast of the next coin flip.

The article appeared in The Financial Times on June 15, 2012
Link to article

Related publications
"Why do People Pay for Useless Advice? Implications of Gambler’s and Hot-Hand Fallacies in False-Expert Setting", Nattavudh Powdthavee and Yohanes Riyanto, Institute for the Study of Labour, May 2012.

Related links
Nick Powdthavee webpage
Wellbeing Programme webpage

The Spectator
How not to create jobs

A fascinating study has been released today by the Spatial Economics Research Centre at the LSE showing the damage done by public sector employment to the real economy. Drawing on a huge amount of local-level data over an eight-year period, it’s a serious piece of research that is worth looking into and deserves to impact our economic debate.

The article was published in The Spectator on June 15, 2012
Link to article

Related publications
The Effect of Public Sector Employment on Local Labour Markets, Giulia Faggio and Henry Overman, SERC Discussion Paper No.111, June 2012

Related links
Giulia Faggio webpage
Henry Overman webpage
Henry Overman blog
SERC website
Globalisation Programme webpage

The Daily Telegraph
Big government is bad for manufacturing in Britain

There is a really important report out today from academics at the LSE, looking at whether high levels of public sector unemployment in some parts of the country might be crowding out private sector jobs.

The article was published in The Daily Telegraph on June 15, 2012
Link to article

Related publications
The Effect of Public Sector Employment on Local Labour Markets, Giulia Faggio and Henry Overman, SERC Discussion Paper No.111, June 2012

Related links
Giulia Faggio webpage
Henry Overman webpage
Henry Overman blog
SERC website
Globalisation Programme webpage

The Economist
Going to extra time

Many cajas were operated by regional barons as development banks that could further their political purposes, says Luis Garicano of the London School of Economics.

The article appeared in the Economist on June 15, 2012
Link to article

Related links
Luis Garicano webpage
Productivity and Innovation webpage

The Economist
Dithering in the dark

Quantifying uncertainty is a more recent sport. To measure it, Nick Bloom and Scott Baker of Stanford University and Steve Davis of the University of Chicago constructed an index. It counts how often uncertainty related to policy is mentioned in newspapers, the number of temporary provisions in the tax code and the degree to which forecasts of inflation and federal spending differ from each other.

The article appeared in The Economist on June 15, 2012
Link to article

Related publications
Policy uncertainty: a new indicator, Scott R. Baker, Nicholas Bloom and Steven J. Davis. Article in CentrePiece Volume 16, Issue 3, Winter 2011/2012

Related links
Nick Bloom webpage
Productivity and Innovation Programme webpage

Centre for Economic Performance Press Release
Shocking Discrimination Against Mental Illness Within the NHS

A report from the London School of Economics reveals the horrific scale of mental illness in Britain and how little the NHS does about it. Mental illness is now nearly a half of all ill health suffered by people under 65 and it is more disabling than most chronic physical disease. Yet only a quarter of those involved are in any form of treatment. The report by the Mental Health Policy Group, a distinguished team of economists, psychologists, doctors and NHS managers convened by Professor Lord Layard of the Centre for Economic Performance (LSE) say that though psychological treatments exist they are not widely enough available. They conclude that the cost of providing therapy could be fully covered by savings on incapacity benefits and lost taxes and that the Improving Access to Psychological Therapy (IAPT) programme begun in 2008 should be completed as the government planned - and even expanded.

Read the full press release here

The report by The Centre for Economic Performance's Mental Health Policy Group titled How Mental Illness Loses Out in the NHS was published on Monday 18 June 2012
Download the report

Related links
Richard Layard webpage
Wellbeing Programme webpage
Mental Health Policy Group webpage

Press Release
Flawed design of Europe's flagship climate policy costs taxpayers billions of euros

CEP Press Release

Flawed design of Europe's flagship climate policy costs taxpayers billions of euros

In a recently published research paper authors Ralf Martin, Mirabelle Muuls, Laure de Preux and Ulrich Wagner say:
A redesign of the European Union's 'emissions trading system' (EU ETS) would save 6.7 billion euros of taxpayers' money each year and be much more effective in protecting jobs.

Download the full press release here

Related publications
'Industry Compensation under Relocation Risk: A Firm-Level Analysis of the EU Emissions Trading Scheme', Ralf Martin, Mirabelle Muuls, Laure de Preux and Ulrich Wagner, Centre for Economic Performance Discussion Paper No.1150, June 2012

Related links
Ralf Martin webpage
Mirabelle Muuls webpage
Laure de Preux webpage
Ulrich Wagner webpage
Productivity and Innovation Programme webpage

Politics.co.uk
Carbon policies 'cost jobs'

Europe's distribution of carbon permits may hurt the economy, a report has claimed. Analysis from the Centre for Economic Performance (CEP) found that some firms receive an excess of free permits under the European Union's emissions trading system (EU ETS), while other firms do not receive enough.

The article appeared in Politics.co.uk on June 14, 2012
Link to article

Related publications
'Industry Compensation Under Relocation Risk: A Firm-Level Analysis of the EU Emissions Trading Scheme', Ralf Martin, Mirabelle Muuls, Laure B. de Preux and Ulrich J. Wagner, Centre for Economic Performance Discussion Paper No.1150, June 2012

Related links
Ralf Martin webpage
Mirabelle Muuls webpage
Laure B. de Preux webpage
Ulrich J. Wagner webpage
Productivity and Innovation Programme webpage

Utility Week
EU climate policy 'costs billions and risks jobs'

In a stark message to the European Commission, around a quarter of 761 firms questioned on this by researchers at the London School of Economics (LSE) warned that relocating some activities by 2020 was a likely possibility. The academics at the LSE's Centre for Economic Performance say their findings show that current measures to mitigate relocation risk are poorly targeted.

The article appeared in Utility Week on June 14, 2012
Link to article

Related publications
'Industry Compensation Under Relocation Risk: A Firm-Level Analysis of the EU Emissions Trading Scheme', Ralf Martin, Mirabelle Muûls, Laure B. de Preux and Ulrich J. Wagner, Centre for Economic Performance Discussion Paper No.1150, June 2012

Related links
Ralf Martin webpage
Mirabelle Muuls webpage
Laure B. de Preux webpage
Ulrich J. Wagner webpage
Productivity and Innovation Programme webpage

The Guardian
Are tuition fees really to blame for a drop in student numbers?

Article by Gill Wyness
New figures from UCAS show that 46,413 fewer English students have applied to go to university in September 2012 than had applied by this time last year. So far this year, student demand in England has dropped by 10 per cent in total. It seems enough to conclude that tuition fees have had a severe impact on university anticipation. However, there are a few problems with drawing this conclusion.

Article appeared in the Guardian on June 13, 2012
Link to article

Related links
Gill Wyness webpage
Education and Skills Programme webpage
Gill Wyness CEP publications webpage

Folha online
Jubileu da rainha d nimo a britnicos mas deprime economia

[In translation] Party gives real encouragement to the British economy but depresses
The expectation of the Bank of England (the British Central Bank) is that the extended holiday has a negative impact on growth of GDP of 0.5% in the second quarter of this year. Last year, the marriage of Prince William would have had a cost of 0.4 percentage points of GDP, the bank said. "The impact is explained by the fact that these are real events, above all, national celebrations for the British," says John Van Reenen, director of the Centre for Economic Performance, London School of Economics.

Article appeared in Folha online on June 5, 2012
Link to article

See also
BBC Brasil
Festa real da animo a britanicos mas deprime economia (translate)
Link to article

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage

Liberal Democrat Voice
Chief executive pay: is it tied to performance?

The LSE's Centre for Economic Performance has been looking at the evidence on Chief Executive pay in the UK. Their conclusion? It is tied to performance - and is more tied to performance than it used to be. But it is a lopsided link with smaller cuts when things go badly than the increases when things go well. What's more, when things go well Chief Executive pay rises much more than pay for others.

The article appeared in the Liberal Democratic Voice on June 5, 2012
Link to article

Related publications
In brief: UK chief executives: paid for performance?, Brian Bell and John Van Reenen. Article in CentrePiece Volume 17, Issue 1, Spring 2012
'Firm Performance and Wages: Evidence from across the Corporate Hierarchy', Brian Bell and John Van Reenen, Centre for Economic Performance Discussion Paper No. 1088, revised May 2012

Related links
Brian Bell webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Department for Business Innovation and Skills
Responses to Government Consultations and Reports

The Centre for Economic Performance(CEP)responds to Government call for evidence on unfair dismissal and Beecroft more generally.

Department for Business Innovation & Skills Consultations

Responses to Government Consultations and Reports
BIS - Executive Remuneration Discussion Paper
Link to consultation | Link to CEP response

BIS - Trade White Paper: Call for Evidence
Link to consultation | Link to CEP response

Department for Work and Pensions - 21st Century Welfare
Link to consultation | Link to CEP response

BIS - Financing the Private Sector Recovery
Link to consultation | Link to CEP response

National Science Foundation (NSF/SBE) - Future Research in the Social, Behavioral & Economic Sciences
Link to consultation | Link to CEP response

The Times
These maternity-leave myths are costing us dear

Comment: For the sake of women, families and business, we have to bust the myths about maternity leave. Research from the LSE Centre for Economic Performance found strong evidence that family-friendly policies are associated with better performance overall.

This article appeared in The Times on June 1, 2012
[Access only by subscription]

Related publications
Work Life Balance, Management Practices and Productivity, Nicholas Bloom, Tobias Kretschmer and John Van Reenen. Joint CEP, Anglo-German Foundation, ESRC and Advanced Institute of Management Report, 2006
Work Life Balance, Management Practices and Productivity, Nicholas Bloom, Tobias Kretschmer and John Van Reenen. Chapter in International Differences in the Business Practices & Productivity of Firms, Richard B. Freeman and Kathryn L. Shaw (eds.), NBER, The University of Chicago Press: Chicago, 2009. Details.

Related links
Nicholas Bloom webpage
Tobias Kretschmer webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

The Economist
Free exchange - Silicon Sally: Growth through digitisation requires more than faster broadband connections

A new study by Nicholas Bloom of Stanford University, Raffaella Sadun of Harvard Business School and John Van Reenen of the London School of Economics supports the idea that digitisation alone is not enough to drive growth. Their data show that American firms tend to have more information technology than comparable European ones, and are better at squeezing productivity out of it.

This article appeared in The Economist on June 1, 2012
Link to article

Related publications
'Americans Do I.T. Better: US Multinationals and the Productivity Miracle', Nick Bloom, Raffaella Sadun, John Van Reenen, Centre for Economic Performance Discussion Paper No.788, April 2007
It Ain't what You Do, It's the Way that You Do I.T. by Nick Bloom, Raffaella Sadun, John Van Reenen. Article in CentrePiece Volume 10, Issue 3, Winter 2005/2006

Related links
Nicholas Bloom webpage
Raffaella Sadun webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

The Wall Street Journal (Europe)
Ebbing confidence saps Spain

"It's extreme crunch time" for Spain, said Luis Garicano, professor of economics and strategy at the London School of Economics.

This article appeared in The Wall Street Journal (Europe) on May 31, 2012
Link to article

Related links
Luis Garicano webpage
Productivity and Innovation Programme webpage

Lusitnia Express
Ingratido e falta de memria

...de por um comissario europeu a fiscalizar permanentemente as contas gregas em Atenas. O historiador Albrecht Ritschl, da London School of Economics, recordou recentemente a Spiegel que a Alemanha foi o pior...
Translation: Ingratitude and lack of memory
The historian Albrecht Ritschl, London School of Economics, recently recalled in the Spiegel that Germany was the worst debtor nation in the twentieth century. The Economist points out that the insolvency of the 30 German Greek debt does seem insignificant today.

This article appared in the Lusitania Express on May 30, 2012
Link to article

Related links
Albrecht Ritschl webpage
Macro Programme webpage

BusinessWeek
A Nobel economist fears for the poorest Greeks

Christopher Pissarides won a Nobel Prize in economics in 2010, but he has not forgotten his roots in a modest, Greek-speaking village on the island nation of Cyprus. That sensitivity to the lives of the poor shines through in an interview that Pissarides gave today to Jennifer Ryan of Bloomberg News. He is talking about capital flight - the movement of euros out of Greece into bank accounts abroad.

This article appeared in BusinessWeek on May 30, 2012
Link to article

Related links
Christopher Pissarides webpage
Macro Programme webpage

The Daily Telegraph
Markets tumble as Spain faces 'total emergency'

"It is dangerous to play chicken when you are driving a Seat and the ECB is driving a tank," said professor Luis Garicano from the London School of Economics.

This article appeared in The Daily Telegraph on May 30, 2012
Link to article

Related links
Luis Garicano webpage
Productivity and Innovation Programme webpage

Department of Geography and Environment Public Lecture
Professor Diane Coyle on ''Enough: policies for a sustainable economy''

Public Lecture - Enough: Policies for a sustainable economy

On Thursday 14 June, the LSE Department of Geography and the Environment will host a public lecture by Professor Diane Coyle on "Enough: policies for a sustainable economy".

The world's leading economies are facing many crises. What these crises have in common is a reckless disregard for the future. This lecture examines the policy changes necessary to run the economy for tomorrow as well as today.

Diane Coyle runs Enlightenment Economics. She is vice chair of the BBC Trust, and a visiting professor at the University of Manchester.

The lecture runs from 6.30 - 8.00pm and will take place in the New Theatre, LSE East Building, Houghton Street, London WC2A 2AE. Professor Henry Overman will chair this event. Full details can be found on the LSE Events website at the following link: http://www2.lse.ac.uk/publicEvents/events/2012/06/20120614t1830vNT.aspx.

Go to SERC website
Henry Overman's webpage


Financial Times
Curb cuts in social capital to deliver the boost we need

Article by Lord [Richard] Layard, London School of Economics.
Fewer cuts in social spending would provide a quicker boost to employment than extra physical spending, which always takes time.

Article in the Financial Times on 25 May, 2012. Link to article.

Related links
Richard Layard webpage
Wellbeing Programme webpage

Policy Review TV
The impact of non-native English speakers on classmates

In England, 12 per cent of primary school children do not speak English as a first language, Dr Sandra McNally told the Can't Speak, Can't Learn conference this week. The event looked at the impact of non-native speakers on their classmates. The number of those whose mother-tongue is not English has increased by one-third from 2003 to 2009. Dr Sandra McNally, Director of Education and Skills, Centre for Economic Performance, The London School of Economics and Political Science, presented research findings in a talk entitled: Pupil Performance on the Changing Geography of Ethnic Minority Pupils in Secondary Schools.

The interview was broadcast on Policy Review TV on May 24, 2012
Link to interview here

Related publications
In brief: Language barriers? The impact of non-native English speakers in the classroom, Charlotte Geay, Sandra McNally and Shqiponja Telhaj. Article in CentrePiece Volume 17, Issue 1, Spring 2012
'Non-native Speakers of English in the Classroom: What are the Effects on Pupil Performance?', Charlotte Geay, Sandra McNally and Shqiponja Telhaj, Centre for the Economics of Education Discussion Paper No.137, March 2012

Related links
Sandra McNally webpage
Shqiponja Telhaj webpage
Education and Skills Programme webpage

Forbes
'Can't believe it' (we deny research findings that defy our beliefs)

I have noticed in the past that people seem inclined to dismiss academic evidence if they do not like the results. If the results are in line with their own beliefs and preconceptions, its methods and validity are much less likely to be called stupid. Family-friendly workplace practices do not improve firm performance is another finding that is not welcomed by all. This large and competent study, by professors Nick Bloom, Toby Kretschmer and John Van Reenen, was actually read by some, be it clearly without a proper understanding of its methodology (which, indeed, it being an academic paper, is hard to fully appreciate without proper research methodology training).

This article appeared in Forbes magazine on May 24, 2012. Link to article.

Related publications
Are family-friendly workplace practices a valuable firm resource?, Nick Bloom, Tobias Kretschmer and John Van Reenen, Strategic Management Journal, Volume 32, Issue 4, July 2010

Related links
Nick Bloom webpage
Tobias Kretschmer webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

TVP - Telewizja Polska Wspolpracownik (Polish National TV Station)
Polania 24

Prof Sandra McNally interviewed, speaking about study she co-authored that suggests that far from holding native speakers back, that non-native English speakers may actually be spurring their colleagues on to greater academic achievements.

The interview was broadcast on VP. Telewizja Polska Wspolpracownik (Polish National TV Station) on May 23, 2012
No link available.

Related publications
In brief: Language barriers? The impact of non-native English speakers in the classroom, Charlotte Geay, Sandra McNally, Shqiponja Telhaj, May 2012. Article in CentrePiece Volume 17, Issue 1, Spring 2012
Non-native Speakers of English in the Classroom: What are the Effects on Pupil Performance?, Charlotte Geay, Sandra McNally and Shqiponja Telhaj, Centre for the Economics of Education Discussion Paper No.137, March 2012

Related links
Sandra McNally webpage
Shqiponja Telhaj webpage
Education and Skills Programme webpage

Daily Mail
Influx of Polish children into schools has helped improve British pupils' grades

The proportion of non-native pupils in primary schools in England has increased by a third to around 12% over the past 10 years - leading to fears they would take up too much of teachers' time. But research by the Centre for Economic Performance at the London School of Economics shows they actually appear to have a positive effect on English children. Prof Sandra McNally, who led the research, looked at data from 2005 to 2009 taken from the National Pupil database, a census of all children in English schools.

This article appeared in The Daily Mail on May 22, 2012
Link to article

Related publications
In brief: Language barriers? The impact of non-native English speakers in the classroom, Charlotte Geay, Sandra McNally and Shqiponja Telhaj. Article in CentrePiece Volume 17, Issue 1, Spring 2012
'Non-native Speakers of English in the Classroom: What are the Effects on Pupil Performance?', Charlotte Geay, Sandra McNally and Shqiponja Telhaj, Centre for the Economics of Education Discussion Paper No.137, March 2012

Related links
Sandra McNally webpage
Shqiponja Telhaj webpage
Education and Skills Programme webpage

The Daily Telegraph
Polish children boosting standards among English pupils, study suggests

The influx of Polish children into schools in the UK has helped lift their British-born classmates' grades despite language difficulties, an economic study suggests. The findings come in a study on the impact of non-native speakers on the results of children in English primary schools published by the Centre for Economic Performance (CEP) today. Researchers led by Prof Sandra McNally, a professor of economics at Surrey University, who is also director of the CEP's research programme on education, looked at data from the English schools census for the years 2005 to 2009.

This article was published in The Daily Telegraph on May 22, 2012
Link to article

Related publications
In brief: Language barriers? The impact of non-native English speakers in the classroom, Charlotte Geay, Sandra McNally and Shqiponja Telhaj. Article in CentrePiece Volume 17, Issue 1, Spring 2012
'Non-native Speakers of English in the Classroom: What are the Effects on Pupil Performance?', Charlotte Geay, Sandra McNally and Shqiponja Telhaj, Centre for the Economics of Education Discussion Paper No.137, March 2012

Related links
Sandra McNally webpage
Shqiponja Telhaj webpage
Education and Skills Programme webpage

The Economist
Idle hands: The puzzle of why unemployment is not higher

Unemployment as a share of all young adults is still below the levels reached in earlier recessions; so is the share of young adults who are not in education, employment or training (so-called NEETs), says Jonathan Wadsworth of Royal Holloway College. The young suffer more in recessions: they have fewer skills and so are first to be laid off. But joblessness among young adults has not deviated from that of other age groups any more than in past downturns, says Mr Wadsworth.

This article appeared in The Economist on May 12, 2012 Link to article

Related publications
'The Role of Worker Flows in the Dynamics and Distribution of UK Unemployment', Michael W. L. Elsby, Jennifer C. Smith and Jonathan Wadsworth, Centre for Economic Performance Discussion Paper No. 1058, July 2011
'The UK Labour Market and the 2008 - 2009 Recession’, Paul Gregg and Jonathan Wadsworth, Centre for Economic Performance Occasional Paper No. 25, June 2010
Jobs in the Recession, Paul Gregg and Jonathan Wadsworth. Article in CentrePiece Volume 15, Issue 1, Summer 2010

Related links
Jonathan Wadsworth webpage
Labour Markets Programme webpage

CEP Press Release
Executive Pay: share ownership by institutional investors improves the link to corporate performance

Executive Pay:

Share ownership by institutional investors improves the link to corporate performance

Publicly quoted UK firms with higher levels of institutional ownership of their shares have a stronger and more symmetric link between corporate performance and executive pay.

That is one of the findings of new research by Dr Brian Bell and Professor John Van Reenen of the Centre for Economic Performance (CEP).

Download full press release here

Related links:
Brian Bell webpage
John Van Reenen Webpage webpage
Productivity Programme webpage


The Independent
Leading article: Genuinely happy to help

What should ministers do? They could take seriously the work of Professor Richard Layard and others, who have thought about how public policy can help make people happy, and how government can get out of the way of people pursuing their own happiness.

This article appeared in the Independent on 24 April 2012 link to article

Related publications
The World Happiness Report John Helliwell, Richard Layard and Jeffrey Sachs (eds), The Earth Institute Report, April 2012. The Report was commissioned for the April 2nd United Nations Conference on Happiness (mandated by the UN General Assembly) which took place at the UN Headquarters in New York on 2 April 2012 Link to report

Related links
Richard Layard webpage
Wellbeing Programme webpage

The Washington Post
England Student Debt Unprecedented as Government Shifts Funding

U.S. education debt can't be discharged through bankruptcy and almost 2 million Americans with student debt are over 60, according to the New York Federal Reserve. About $85 billion in student debt was delinquent in the third quarter of 2011. In March, the Consumer Financial Protection Bureau said U.S. student-loan debt had reached $1 trillion, based on preliminary findings. "The American system is brutal" said Tim Leunig who teaches economic history at the London School of Economics.

This article appeared in the The Washington Post on 23 April 2012 link to article

Related links
Tim Leunig webpage
Globalisation Programme webpage

Left Foot Forward
The left and right of happiness

The left and right of happiness
Labour doesn't really know how to respond. Just as with the Hilton-esque 'nudge' and 'big society' ideas, the party toyed with the happiness agenda in government, without any real conviction, when it co-opted Richard Layard, editor of the World Happiness Report published earlier this month, as 'happiness tsar'.

This article appeared on Left Foot Forward on 22 April 2012 link to article

Related links
Richard Layard webpage
Wellbeing Programme webpage

The Daily Telegraph
Public school to create chain of happy academies'

The network of state-funded academies will have "well being" at the heart of the curriculum, with lessons in positive psychology for all pupils based on classes pioneered at Wellington College in Berkshire, where fees for boarders are £30,000 a year. The lessons, designed by Professor Richard Layard of the London School of Economics, are aimed at developing pupils' mindfulness, optimism, emotional resilience and self-confidence.

This article appeared in the Daily Telegraph on 22 April 2012 link to article

Related links
Richard Layard webpage
Wellbeing Programme webpage

SERC Annual Conference
17-18 May 2012

4th Annual SERC Conference

The fourth SERC Annual Conference will take place at the London School of Economics on Thursday 17 and Friday 18 May 2011. The conference is held over two days, with the first half of the programme devoted to presentations based on current / recent PhD research, and the second to papers by SERC staff and affiliates, relating to the Centre's own research.

For more information, including the conference programme, please visit the SERC Events webpage: http://www.spatialeconomics.ac.uk/SERC/events/special.asp


The Independent
Minimum wage now worth less

The national minimum wage is now worth less than it was in 2004 and a higher rate should be introduced for workers aged 25 and over, according to a report by Professor Alan Manning published today. Professor Manning says that the caution about raising it in recent years was justified but finds the impact of the wage floor has now stalled.

This article appeared in the Independnet on 17 April 2012 link to article

See also
Financial Times
Value of minimum wage falls below 2004 level

The Daily Mirror
Lowest paid now poorer

Related publications
Big ideas: The UK's National Minimum Wage, Alan Manning. Article in CentrePiece Volume 14, Issue 2 Autumn 2009
The Contribution of the Minimum Wage to U.S. Wage Inequality over Three Decades: A Reassessment David H. Autor, Alan Manning and Christopher L. Smith, Centre for Economic Performance Discussion Paper No.1025 November 2010

Related links
Alan Manning webpage
Communities Programme webpage
Labour Markets Programme webpage

The Times
Growth Must be the Goal

In a 'Viewpoint' article in today's Times newspaper, John Van Reenen says that it is hard to be cheerful when the OECD predicts a UK recession this year and when our national output is still 4 per cent below pre-recession levels. He goes on to ask what can be done to restore growth?

This article was published in The Times on April 16, 2012. Link to a copy of the article

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage
Take part in the discussion regarding this topic on CEP Twitter

Evening Standard
The Old Lady is for Turner

Lord Turner, chairman of the Financial Services Authority, remains the favoured choice to become the next Governor of the Bank of England. Turner's book, 'Economics after the Crisis' has just been published, with an introduction by Richard Layard of the London School of Economics.

This article appeared in the Evening Standard on 11 April 2012 [No link available]

Adair Turner CEP publications: Growth, Productivity and Employment Adair Turner, Centre for Economic Performance Occasional Paper No. 14, December 2000
In brief: What's Wrong with Europe's Economy? Adair Turner. Article in CentrePiece Volume 10, Issue 1, Spring 2005
See also: Adair Turner, Chapter 1: What's Wrong with Europe's Economy? in Hugh Stephenson (ed.), Challenges for Europe, Palgrave, 2004 - a collection of the eight public lectures delivered at LSE to celebrate CEP's award of the Queen's Anniversary Prize in 2002.
In brief: The future of finance Peter Boone, C Goodhart, Andrew Haldane, Simon Johnson, John Kay, Andrew Large, Richard Layard, Andrew Smithers, A Turner, S Wadhwani, Martin Wolf, Paul Woolley. Article in CentrePiece Volume 15, Issue 2, Autumn 2010 The Future of Finance: The LSE Report 2010

Related links
Richard Layard webpage
Wellbeing Programme webpage

The Guardian
Academies: old research is being wrongly used to validate them

Article by Stephen Machin
The coalition's academy programme is not the same as Labour's, so why is our old research being used to support them, asks Stephen Machin.
University researchers are under increasing pressure to make their findings policy-relevant. At the same time, research evidence is increasingly quoted either to support or subvert government policies across a wide range of areas and this has featured heavily in policy debates about education. On the whole, this is a good thing, especially for evaluating the success or otherwise of initiatives like Sure Start, the education maintenance allowance and the literacy hour. One education policy that has been discussed extensively is the introduction of academy schools. This is an initiative on which James Vernoit and I published some research in late 2010, not long after the coalition government came to power and the new education secretary, Michael Gove, started pushing for a rapid expansion of the academies programme.

This article appeared in The Guardian on 9 April 2012 link to article

Related publications
Changing School Autonomy: Academy Schools and their Introduction to England's Education Stephen Machin and James Vernoit, Centre for the Economics of Education Discussion Paper No. 123, April 2011
Academy schools: who benefits? Stephen Machin and James Vernoit. Article in CentrePiece Volume 15, Issue 2, Autumn 2010
A Note on Academy School Policy Stephen Machin and James Vernoit, Centre for Economic Performance Policy Paper No. 11, July 2010

Related links
Stephen Machin webpage
James Vernoit webpage
Education and Skills Programme webpage
Centre for the Economics of Education website

BBC World Service - Business Daily
Economics: The imperial science?

Justin Rowlatt reported on the annual conference of the Royal Economics Society held in Cambridge. He discussed modern economics with three leading economists, Kenneth Rogoff, John Van Reenan and Francesco Caselli. Can economics really be considered to be a science? Can there ever be concensus amongst its practitioners?

The BBC World Service 'Business Daily' broadcast was heard on April 6, 2012
Link to broadcast

Related links
Francesco Caselli webpage
Macro Programme webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Radio Netherlands
'The Dutch are a happy people'

The Netherlands ranks fourth on a list of the world’s most contented nations. The list, drawn up by three economists, was published on the eve of a UN conference on happiness. Economists John Helliwell, Richard Layard and Jeffrey Sachs analysed a series of studies and surveys conducted in the past few years. The three researchers used a number of parameters including income, freedom, trust in the government and life expectancy.

The programme was broadcast on Radio Netherlands on April 3, 2012
Link to article

Related publications
World Happiness Report, John Helliwell, Richard Layard and Jeffrey Sachs (eds), Columbia University's Earth Institute, April 2012
Details

Related links
Richard Layard webpage
Wellbeing Programme webpage

Cantv.net
El Rajoy manos de tijera lleva cien das recortando

Translates: Is that many experts fear that the cure is likely to accentuate the recession, this year the Spanish GDP should fall by 1.7 percent-in a country that already has a record unemployment rate.Quoted in The Financial Times, Professor Luis Garicano, London School of Economics said that it remains to be seen - what the reaction of the regions will be. He expressed concern on Saturday regarding an economic note of Credit Suisse. "The question remains in place on how the regions will adapt to fit".

The article appeared online on Cantv.net on April 3, 2012
Link to article


Related links
Luis Garicano webpage
Productivity and Innovation Programme webpage

Personnel Today
Minister required for mental health, says Labour peer

The Government should appoint a Cabinet-level minister for mental health, an influential economist and former government adviser has said. Labour peer Lord Richard Layard told an audience at the London School of Economics in March that mental health is a "sixth pillar" of the welfare state, yet is commonly overlooked by policy makers.

This article was published in Personnel Today on April 3, 2012
Link to article

Related links
Richard Layard webpage
Wellbeing Programme webpage

Business Insider
People with post graduate degrees are happier than anyone else

The first ever World Happiness Report was published last week by Columbia University's Earth Institute. Its editors included John Helliwell, Richard Layard and Jeffrey Sachs. One chart we found interesting was this one on the average level of happiness by education level. The happiest were those who had post-graduate degrees, while the least happy were those with no formal education

This article was printed in Business Insider on April 2, 2012
Link to article

Related publications
World Happiness Report, John Helliwell, Richard Layard and Jeffrey Sachs (eds), Columbia University's Earth Institute, April 2012
Details

Related links
Richard Layard webpage
Wellbeing Programme webpage

The Guardian
Local economies: an opportunity for councils or risking stagnation?

Giving councils more financial freedom could be a double-edged sword if they don't have the proper resources
There is a feeling that any initiative intended to incentivise growth is bound to create winners and losers. "If you want to incentivise councils to do things that impact growth, there has to be some inequality", says Henry Overman, professor of economic geography at the London School of Economics.

This article was published in the Guardian on March 30, 2012
Link to article

Related links
Henry Overman webpage
Spatial Economics Research Centre (SERC) website

LSE blog British politics and policy at LSE
The growing proportion of non-native English speakers in the classroom is not damaging for the educational outcomes of native English speakers

The number of primary school pupils in England who do not speak English as a first language has been growing in recent years. Sandra McNally examines whether this is damaging the educational outcomes of native English speakers, concluding that this should not in fact be a cause for concern.

This article appeared in the LSE blog on 23 March 2012 link to article

Related publications
Non-Native Speakers of English in the Classroom: What are the Effects on Pupil Performance? by Charlotte Geay, Sandra McNally and Shqiponja Telhaj, Centre for the Economics of Education Discussion Paper No.137, March 2012

Related links
Sandra McNally webpage
Education and Skills Programme webpage
Centre for the Economics of Education website

LSE blog
This was a Tory budget from a Tory Chancellor

Tim Leunig analyses today’s budget and argues that this was a case of the Tories looking after their own, particularly with regards to the 50p tax rate. The budget also saw an end to claims to be a tax reforming government, although there were positive moves on pensions and income taxes for those on minimum wage.

This article appeared on LSE blog on 23 March 2012 link to article

Related links
Tim Leunig webpage
Globalisation Programme webpage

Mindful Money
Budget 2012: As it happened

Tim Leunig on the LSE blog analysed the budget on the day it was announced.

This article appeared in Mindful Money on 23 March 2012 link to article

Related links
Tim Leunig webpage
Globalisation Programme webpage

Daily Mail
Retreat from cogent policy

The author cites the Budget analysis of LSE's Centre for Economic Performance.

This article appeared in the Daily Mail on 23 March 2012 link to article

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage
Commentary on Budget 2012 Wanted - A Real Budget for Growth John Van Reenen.

Financial Times
Spanish economy: gathering gloom

Professor Luis Garicano of the London School of Economics is mentioned: "The LTRO has given us oxygen for three years," says Professor Luis Garicano of the London School of Economics.

This article appeared in the Financial Times on 23 March 2012 link to article

Related links
Luis Garicano webpage
Productivity and Innovation Programme webpage

LSE blog British politics and policy at LSE
Budget 2012: Ideology 1, Evidence 0

The Chancellor delivered his third budget yesterday. CEP Director Professor John Van Reenen gives his initial reaction. There were some positive steps such as the extension of personal allowances, but the Budget had an empty core. There is a missed opportunity for coherent tax reform, no retreat from a failing macro-economic policy, insufficient attention to policy evaluations and most damagingly, no credible plan for long-term growth.

This article appeared in the LSE blog – British politics and policy at LSE on 23 March 2012 link to article

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage
Commentary on Budget 2012 Wanted – A Real Budget for Growth John Van Reenen

BBC Radio Oxford
'Phil Gayle' programme

Linda Yueh gave an interview on the UK Budget.

This interview was broadcast on 22 March 2012 on BBC Radio Oxford link

Related links
Linda Yueh webpage
Globalisation Programme webpage

Commentary on Budget 2012
Wanted - A real budget for Growth

The Chancellor delivered his third budget yesterday. CEP Director Professor John Van Reenen gives his initial reaction. There were some positive steps such as the extension of personal allowances, but the Budget had an empty core. There is a missed opportunity for coherent tax reform, no retreat from a failing macro-economic policy, insufficient attention to policy evaluations and most damagingly, no credible plan for long-term growth.

Link to full article

Related links
John Van Reenen webpage
LSE Growth Commission webpage

BBC Radio 4
The World at One

John Van Reenen discussed predictions for the 2012 Budget.

This interview was broadcast on 20 March 2012 (no link avaliable)

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage

All Voices
Study dispels myth that immigrants have bad effect on standards of primary schools in UK

Immigrants coming to the UK don't have a bad effect on the standards of British primary schools. This has been proved by findings of a latest research undertaken by London School of Economics. The research shows that immigrants who are non-native English speakers do not, in any way, lower the educational standards of British primary schools.

This article appeared in All Voices on 20 March 2012 link to article

Canada updates (Canadian Immigration site)
Immigrants don’t affect UK school standards
United Kingdom, 19th March: Contrary to common claims, immigrants from non-native English speaking nations don't have any significant impact on British school standards. Increasing percentage of non-native English speakers in British primary schools is not affecting educational performance levels of native English speakers in any way, states one of the authors of the research, Sandra McNally link to article

See also
Related publications
Non-Native Speakers Of English In The Classroom: What Are The Effects On Pupil Performance? Charlotte Geay, Sandra McNally and Shqiponja Telhaj, Centre for the Economics of Education Discussion Paper No.137, March 2012

Related links
Sandra McNally webpage
Education and Skills Programme webpage

The Financial Times
Immigrants have little effect on school standards

A study by the London School of Economics examining the impact of east European immigrants has concluded there is no reason to be worried about the increase in the number of non-native speakers of English in primary schools. According to the researchers, based at the Centre for Economic Performance at the LSE, the proportion of non-native English speakers in primary schools increased by a third to about 12 per cent over the past 10 years.

This article appeared in The Financial Times on 16 March 2012 link to article

Related publications
Non-Native Speakers of English in the Classroom: What are the Effects on Pupil Performance? by Charlotte Geay, Sandra McNally and Shqiponja Telhaj, Centre for the Economics of Education Discussion Paper No.137, March 2012

Related links
Sandra McNally webpage
Education and Skills Programme webpage
Centre for the Economics of Education website

Guardian.co.uk/blogposts
Mental health and higher education: 'I won't let depression hold back my academic career'

In 2006 the London School of Economics and Political Science published The depression report: a new deal for depression and anxiety disorders. It's worth quoting from at length: "Crippling depression and chronic anxiety are the biggest causes of misery in Britain today.....

This article appeared on Guardian.co.uk on 16 March 2012 link to article

Related publications
The Depression Report: A New Deal for Depression and Anxiety Disorders. Report from the Centre for Economic Performance's Mental Health Policy Group, 2006 link to report

Related links
Richard Layard webpage
Wellbeing Programme webpage

The Sun Daily (Thailand)
If it ain't broke, don't fix it

Lord Richard Layard the current programme director at the Centre for Economic Performance at the London School of Economics, who was the advisor to the last British prime minister Gordon Brown, believes that "the best society is that where people are happiest, the best policy is the one that produces the greatest happiness".

This article appeared in The Sun (Thailand) on 14 March 2012 link to article

Related links
Richard Layard webpage
Wellbeing Programme webpage

BBC Radio 4
The World At One

Dr Tim Leunig was interviewed about the selling of bonds.

This interview was boradcast on 14 March 2012 (no link avaliable)

Related links
Tim Leunig webpage
Globalisation Programme webpage

The Financial Times
QE has also benefitted pension funds

Sir, Pension funds are right that quantitative easing has reduced gilt yields, to the detriment of pension funds ("QE blamed for rise in pensions shortfall", March 8). But QE has also underpinned strong performances by stock markets to the benefit of pension funds.

This article appeared in the Financial Times on 13 March 2012 link to article

Related links
Tim Leunig webpage
Globalisation Programme webpage

The Independent
David Blanchflower: Osborne should invest in jobs to beat depression not cut the 50p tax rate

The now abolished regional development agencies would have been perfect to loan money to small firms as part of the credit easing programme. Recent work by John van Reenen and co-authors at the LSE suggest that government investment grants to smaller manufacturing firms in economically disadvantaged areas of Great Britain can increase employment, but that grants to big firms have no effect.

This article appeared in the Independent on 12 March 2012 link to article

Related publications
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, SERC Discussion Paper No. 98 available here
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, Centre for Economic Performance Discussion Paper No. 1113 available here

Related links
Chiara Criscuolo webpage
Ralf Martin webpage
Henry Overman webpage
John Van Reenen webpage
SERC website webpage
Productivity and Innovation Programme webpage

This is Money
Reed Elsevier in U-turn as boycott bites

Leunig publicly criticised the group's reaction to the boycott. Leunig, a reader in economic history at the London School of Economics, had lashed out after Reed Elsevier chief executive Erik Engstrom described the objections of his company's critics as being based on 'misunderstandings'. Leunig hit back, saying: 'He should be honest and state that in many cases his journals have an element of monopoly power.'

This article appeared in This is Money on 11 March 2012 link to article

Related links
Tim Leunig webpage
Globalisation Programme webpage

Voice of America
Understanding happiness

Why is studying happiness important? There are many answers to this question. One has to do with understanding happiness in order to create better public policies. Richard Layard is a British economist and lawmaker who studies this subject. His research is influenced by the eighteenth century thinker Jeremy Bentham.

This article appeared in Voice of America on 9 March 2012 link to article

Related publications
Happiness: Lessons from a New Science, Richard Layard. Penguin books, 2011 (second edition) Details

Related links
Richard Layard webpage
Wellbeing Programme webpage
Happiness Research webpage

New Hampshire Public Radio
The European Central Bank, as seen from a bar on the coast of Spain

Economist Luis Garicano remembers what happened next.
Dr Luis Garicano: People said, what about the state? Oh, my goodness, the state is going to have to rescue these banks and these banks are big and bad.

This interview was broadcast on 8 March 2012 link to article

Related links
Luis Garicano webpage
Produtivity and Innovation Programme webpage

BBC R2
Jeremy Vine

Tim Leunig interviewed, speaking about Brazil overtaking the UK.

This interview was broadcast on BBC 2 on 7 March 2012 (no link avaliable)

Related links
Tim Leunig webpage
Globalisation Programme webpage

Guardian
Taxing the rich: 50p rate or mansion tax?

I've been speaking with Tim Leunig the chief economist at Centre Forum, who makes the following arguments for a council tax: 'At a populist level it's good...for what they enjoy here.'

This article appeared in The Guardian on 6 March 2012 link to article

Related links
Tim Leunig webpage
Globalisation Programme webpage

Guardian Higher Education Network
Creating extra university places will cost nothing

The Government should expand higher education now. Current economic conditions mean that it will cost nothing to increase university places this year, says Tim Leunig.

This article appeared in Guardian Higher Education Network on 3 March 2012 link to article

Related links
Tim Leunig webpage
Globalisation Programme webpage

The Economist
Decline and small

A study by Luis Garicano, Claire LeLarge and John Van Reenen of the London School of Economics (LSE) uses this boundary to test whether French ...
Establishing a direct link between regulation and firm size is tricky, as different rules apply at different-sized thresholds. In France, however, lots of rules kick in once firms employ 50 workers.

This article appeared in The Economist on 2 March 2012 link to article

Related publications
Firm Size Distortions and the Productivity Distribution: Evidence from France Luis Garicano, Claire Lelarge and John Van Reenen, Centre for Economic Performance Discussion Paper No.1128, February 2012

Related links
Luis Garicano webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

The Financial Times
Value of NHS competition assessed

Contentious moves to stimulate competition in the health service have been bolstered by a groundbreaking study of 2m patients that shows forcing NHS hospitals to compete with one another saves money and improves efficiency. The London School of Economics research, obtained by the Financial Times, will be released this morning, as David Cameron holds a Downing Street summit with members of the medical profession.

This article appeared in the Financial Times on 20 February 2012 link to article

Related publications
Does Competition Improve Public Hospitals' Efficiency? Evidence from a Quasi-Experiment in the English National Health Service Zack Cooper, Stephen Gibbons, Simon Jones and Alistair McGuire, Centre for Economic Performance Discussion Paper No.1125, February 2012 This paper is an extension of CEP DP No.988, February 2011 link

Related links
Zack Cooper webpage
Stephen Gibbons webpage
Productivity and Innovation Programme webpage
Public Sector Productivity webpage

The Financial Times
Limit private hospital cherry-picking, say researchers

From 2006, patients were allowed a choice of where they were treated. Crucially, the money for their treatment would follow them to their chosen provider. Two years later, the choice was extended to private hospitals. It is this period that has been examined by the LSE. In previous research the same team, led by Zack Cooper whose findings have influenced both the last Labour government and the coalition, discovered that competition raises the quality of healthcare. But the group, which includes Stephen Gibbons Alistair McGuire and Simon Jones, have extended their earlier analysis to examine whether it also makes hospitals more efficient.

This article appeared in the Financial Times on 20 February 2012 link to article

Related publications
Does Competition Improve Public Hospitals' Efficiency? Evidence from a Quasi-Experiment in the English National Health Service Zack Cooper, Stephen Gibbons, Simon Jones and Alistair McGuire, Centre for Economic Performance Discussion Paper No.1125, February 2012
This paper is an extension of CEP DP No.988, February 2011 link

Related links
Zack Cooper webpage
Stephen Gibbons webpage
Productivity and Innovation Programme webpage
Public Sector Productivity webpage

SERC Job Vacancy
Research Economist - Spatial Economics Research Centre

The Spatial Economics Research Centre has an opening for a Research Economist.

For full details about the post and information on how to apply, please visit the SERC website Jobs page.

The closing date for applications is Friday 16th March 2012.


International Herald Tribune
For youths in Britain, few jobs and rising anger

Youngsters in Britain are becoming increasingly desperate, as youth unemployment has soared to 22.3 per cent. Increases in apprenticeships are proposed as one possible solution. LSE economist, Hilary Steedman comments.

This article was published in the International Herald Tribune (The New York Times) on February 15, 2012 Link to article

Also in
Thursday 16 February
Pittsburgh Post-Gazette
Britain's youth face sense of down and out

Related publications
Apprenticeship Policy in England: Increasing Skills versus Boosting Young People's Job Prospects, Hilary Steedman, Centre for Economic Performance Policy Analysis, December 2011
The State of Apprenticeship in 2010. International Comparisons: Australia, Austria, England, France, Germany, Ireland, Sweden, Switzerland. Centre for Economic Performance Special Report for the Apprenticeship Ambassadors Network by Hilary Steedman, September 2010

Related links
Hilary Steedman webpage
Education and Skills Programme webpage

The Times
The guardian angels of the NHS are killing it

Zack Cooper of the LSE is mentioned in a comment piece discussing the health service.

This article appeared in the Times on 10 February 2012 (no link avaliable).

Related links
Zack Cooper webpage
Productivity and Innovation Programme webpage
Management in the Healthcare Sector Research webpage

SERC Fourth Annual Conference 17-18 May 2012
Call for Papers from Postgraduate Research

The Centre's annual conference in May is held over two days, with the first half of the programme devoted to presentations based on current / recent PhD research, and the second to papers by SERC staff and affiliates, relating to the Centre's own research.

Submissions are invited now for papers to be presented in the PhD / young researcher sessions
Download more information here

The Times Higher Education
Grant winners

Francesco Caselli of the LSE has been awarded a grant worth GBP£30,092.

This article appeared in The Times Higher Education on 9 February 2012 link to article

Related links
Francesco Caselli webpage
Macro Programme webpage

The Guardian
Should UK universities consider modularised courses?

Last week, in a blog post that proved deeply divisive, LSE education policy researcher, Gill Wyness suggested that making it easier for university students to switch degrees would be of benefit to both students and the sector. The idea of modularised courses in the UK was first put forward on the network by professor Cary Cooper who predicted that the rising costs of higher education would mandate a discussion about modularised courses in the UK. The Guardian inspired to set an opinion poll.

This article appeared in the Guardian on 8 February 2012 link to article

Related links
Gill Wyness webpage
Education and Skills Programme webpage
Gill Wyness CEP publications webpage

Financial Times
The cost of expanding higher education is - zero

Letter: Tim Leunig of the LSE and Neil Shephard argue that the price of the expansion of higher education is "at 0 per cent in real terms". The government should increase the number of students at English universities as a matter of urgency.

This article appeared in Financial Times on 8 February 2012 link to article

Related links
Tim Leunig webpage
Globalisation Programme webpage

The Independent
It's not just the start-ups that are in need of a helping hand

Comment. When the government talks about 'small' businesses it appears to be focusing on start-ups rather than small but evolving businesses that have a far better chance of creating employment. Recently an LSE report concluded that abolition of the Grants for Business Investment Scheme was a mistake and that its partial replacement, a programme offering funding to bigger organisations, did not offer such good value.

This article appeared in The Independent on 6 February 2012 link to article

Related publications
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, SERC Discussion Paper No. 98 available here
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, Centre for Economic Performance Discussion Paper No. 1113 available here

Related links
Chiara Criscuolo webpage
Ralf Martin webpage
Henry Overman webpage
John Van Reenen webpage
SERC website webpage
Productivity and Innovation Programme webpage

The Economist
Can we ever trust instinct?

Another hotly debated issue that arises indirectly from psychological research is the use of measures of well-being to help guide policy. In the UK the intellectual leader of the movement is my friend Richard Layard and he and I don’t quite agree on the direction this should take. He is much more of an optimist than I am, and he would favour measures that would improve the happiness of the population, whereas I am more of a pessimist and believe that it should be the objective of policy to reduce suffering, which is not the same thing.

This article appeared in The Economist on 5 February 2012 link to article

Related publications
Happiness: Lessons from a New Science Richard Layard Penguin books, 2005
Measuring Subjective Wellbeing for Public Policy Paul Dolan, Richard Layard, and Robert Metcalfe (2011), Office of National Statistics, February

Related links
Richard Layard webpage
Wellbeing Programme webpage
Happiness Research webpage

Digital Journal
Greek MP's raise the issue of German war reparations

In an article in German paper Der Spiegel in June 2011, eminent historian Albrecht Ritschl a professor at the London School of Economics, criticized Germany for their hostility towards Greece in the current...

This article appeared in Digital Journal on 5 February 2012 link to article

Also in:
El Mundo link to article

Related links
Albrecht Ritschl webpage
Macro Programme webpage

RSM Tenon
Report slams grants for larger firms

...have wasted grants issued to them to breathe new life into deprived areas. A team based at the London School of Economics made the call about firms which employ more than 150 people, after conducting a study...

This article appeared in RSM Tenon on 3 February 2012 link to article

Related publications
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, SERC Discussion Paper No. 98
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, Centre for Economic Performance Discussion Paper No. 1113

The Financial Times
Back job creators, government urged

Separate research by the Centre for Economic Performance and the Spatial Economics Research Centre concluded that government grants should focus on small businesses in poor areas, as these have the potential to create most jobs.

This article appeared in The Financial Times on 3 February 2012 link to article

Related publications
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, SERC Discussion Paper No. 98 here
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, Centre for Economic Performance Discussion Paper No. 1113 is available here

Related links
Chiara Criscuolo webpage
Ralf Martin webpage
Henry Overman webpage
John Van Reenen webpage
SERC website webpage
Productivity and Innovation Programme webpage

The House Magazine
Coalition review

Section by Hilary Steedman invited to comment on the progress the coalition government has made with its election pledge regarding apprenticeships.

This article appeared in House Magazine on 2 February 2012 (no link avaliable)

Related publications
Apprenticeship Policy in England: Increasing Skills versus Boosting Young People's Job Prospects', Hilary Steedman, CEP Policy Analysis PA013, November 2011 link
'Young People Without Qualifications: How 'Headline Numbers' Shape Policy and Aspiration', Hilary Steedman, article in CentrePiece Volume 16, Issue 2, October 2011 link

Related Links
Hilary Steedman webpage

BBC World Service
The World Today

Linda Yueh interviewed on Angela Merkel's visit to China

This interview was broadcast on BBC World Service on 2 February 2012 link

Related links
Linda Yueh webpage
Globalisation Programme webpage

The Times Online
Davos Day 3: Europe not out of the woods yet

Eric Schmidt, executive chairman of Google, will discuss the changes wrought by technology upon the global economy with Professor Christopher Pissarides of the LSE.

This article appeared on the Times Online on 2 February 2012 (no link avaliable)

Related links
Christopher Pissarides webpage
Macro Programme webpage

The Sales Director.com
Small businesses creating many new jobs'

The Centre for Economic Performance at the London School of Economics study revealed that businesses which received grants worth up to ten per cent of the cost of a business project, or around £5,000, created seven per cent more local jobs than if the grant had not been made.

This article appeared in The Sales Director.com on 2 February 2012 link to article

Related publications
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, SERC Discussion Paper No. 98 is available here
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, Centre for Economic Performance Discussion Paper No. 1113 is available here

Related links
Chiara Criscuolo webpage
Ralf Martin webpage
Henry Overman webpage
John Van Reenen webpage
SERC website webpage
Productivity and Innovation Programme webpage

MSN UK (Web)
Large firm grants 'waste of money'

Asked why smaller businesses were the only ones taking advantage of the subsidies, Professor John Van Reenen said: "It may be that larger firms are manipulating the system and just pocketing the subsidy or it may simply be that grants have a bigger effect on small firms as they are much more cash-strapped." The authors of the study, called The Causal Effects of an Industrial Policy, also warned the Government that subsidies could put a dent in productivity figures because they "probably" help less efficient businesses grow. Their work at LSE's Centre for Economic Performance and Spatial Economics Research Centre looked at the impact of the subsidies between 1986 and 2004.

This article appeared on MSN UK (Web) on 1 February 2012 link to article

Also in
Huffington Post: Politics LatestNews
Grants For Poorer Areas 'Wasted' link to article

Related publications
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, SERC Discussion Paper No. 98 is available here
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, Centre for Economic Performance Discussion Paper No. 1113 is available here

Tax Assist Accountants
Grants work better at small firms, report finds

The London School of Economics (LSE) has argued that grants to larger firms are a "waste of taxpayers' money". Professor John Van Reenen said the findings suggest that larger firms could be misusing the system and not using the funds as the government intends.

This article appeared in Tax Assist Accountants on 1 February 2012 link to article

Related publications
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, SERC Discussion Paper No. 98 is available here link to article
The Causal Effects of an Industrial Policy by Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen, Centre for Economic Performance Discussion Paper No. 1113 is available here

The Guardian
Give students the right to switch university

The 'stick with it or quit' model can't continue, allowing transfers will benefit both students and universities, says Gill Wyness.

This article appeared in The Guardian on February 1, 2012
Link to article

Related links
Gill Wyness webpage
Education and Skills Programme webpage
Gill Wyness CEP Publications webpage

The Scotsman
Large firm grants waste of money'

After looking at every manufacturing plant in England, Wales and Scotland before and after they received government support, academics based at the London School of Economics (LSE) argue that grants to larger firms are a waste of taxpayers' money.


This article appeared in The Scotsman on February 1, 2012
Link to article

Also in
West Lothian Herald and Post
Large firm grants 'waste of money'

Related publications
The Causal Effects of an Industrial Policy, Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen
SERC Discussion Paper No. 98, January 2012
The Causal Effects of an Industrial Policy, Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen
Centre for Economic Performance Discussion Paper No. 1113, January 2012

Related links
Chiara Criscuolo webpage
Ralf Martin webpage
Henry Overman webpage
John Van Reenen webpage
SERC website
Productivity and Innovation Programme webpage

The Telegraph
Grants for small businesses create jobs in deprived areas

Giving small firms in deprived areas 5,000 grants created "significant" numbers of new jobs and investment, an extensive study covering two decades has found. Large companies, in contrast, pocketed the grants and created few new jobs, said the Centre for Economic Performance at the London School of Economics.


This article appeared in The Daily Telegraph on February 1, 2012 link to article

Related publications
The Causal Effects of an Industrial Policy, Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen
SERC Discussion Paper No. 98, January 2012
The Causal Effects of an Industrial Policy, Chiara Criscuolo, Ralf Martin, Henry Overman and John Van Reenen
Centre for Economic Performance Discussion Paper No. 1113, January 2012

Related links
Chiara Criscuolo webpage
Ralf Martin webpage
Henry Overman webpage
John Van Reenen webpage
SERC website
Productivity and Innovation Programme webpage

Labour Party
Rethinking mental health in the twenty-first century speech by Andy Burnham

Andy Burnham MP, Labour's Shadow Health Secretary, in a speech to the Centre for Social Justice, said: I recently shadowed a GP in Coventry and was surprised by the number of time he referred to IAPT. As he said, a huge step forward and an avenue that simply wasn't available only a few years ago. It came about because of Lord Richard Layard's work, who made both the social justice case, but also the economic case.

Posted on the Labour Party website on January 31, 2012. Link to the speech

Related publications
Happiness: Lessons from a New Science, Richard Layard. Penguin books, 2011 (second edition) Details
Measuring Subjective Wellbeing for Public Policy, Paul Dolan, Richard Layard, and Robert Metcalfe (2011), Office of National Statistics, February

Related links
Richard Layard webpage
Wellbeing Programme webpage
Happiness Researchwebpage

National Review.com
Let us now praise private equity

In a 2010 paper, the economists Nicholas Bloom of Stanford and John Van Reenen of the London School of Economics offered evidence that differences in management practices explain a great deal of why some countries are more productive than others.

This article was published on National Review.com on January 30, 2012 Link to article

Related publications
Why do Management Practices Differ Across Firms and Countries?, Nick Bloom and John Van Reenen, Centre for Economic Performance Occasional Paper No.26, September 2010
Does Competition Raise Productivity Through Improving Management Quality?, John Van Reenen, Centre for Economic Performance Discussion Paper No.1036, December 2010

Related links
Nicholas Bloom webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

The Scotsman
Do parents need to learn that happiness is not a birthright?

Ever since the economist (and last Labour government’s happiness tsar) Richard Layard wrote his book -Happiness: Lessons From A New Science In 2006 - we seem to have been in the grip of a cult of happiness.

This article appeared in the Scotsman on 29 January 2012 link to article

Related publications
Happiness: Lessons from a New Science, Richard Layard. Penguin books, 2011 (second edition) Details

Related links
Richard Layard webpage
Wellbeing Programme webpage
Happiness Research webpage

Financial Times
No growth but the LSE is looking for it

An interview with Tim Harford, states that the LSE has launched a Growth Commission in order to assess ways in which the economy can be boosted.

This article appeared in the Financial Times on January 28, 2012 Link to article

Related links
LSE Growth Commission launch event was held on Monday 23 January 2012
Details of the event and the Commission, available here

The Times
Education the key to success

The jobs created by companies such as Google have not matched the number of manufacturing positions lost as a result of globalisation and the emergence of low-cost economies. Christopher Pissarides, of the London School of Economics, said: "The digital revolution is a revolution in labour markets as well as a big technological and industrial change." He said that as people became more productive as a result of the digital revolution, they were better rewarded as a result. This was creating a segregated workforce of people who benefited from the digital economy and those who provided them with basic personal services. "We are creating a segregation of jobs, and the public policy challenge is how to deal with the inequality that arises in such a system," he said.

This article appeared in The Times on January 28, 2012 [No link available]

Related links
Christopher Pissarides webpage
Macro Programme webpage

Times Higher Education
Impact of fees hike to be monitored by independent commission

An independent commission has been set up to see if higher tuition fees are deterring poorer students from applying to university. Chaired by former Observer editor Will Hutton, principal of Hertford College, Oxford, the commission will also include Sutton Trust chairman Peter Lampl, Stephen Machin professor of economics at University College London, and Times journalist Libby Purves, who presents the BBC Radio 4 education programme The Learning Curve.

This article appeared in the Times Higher Education on 27 January 2012 link to article

Related links
Stephen Machin webpage
Labour Markets Programme webpage

Reuters
The one percent war

Brian Bell and John van Reenan, two economists at the Centre for Economic Performance at the London School of Economics, have done a careful study of Britain's super-rich. Peering inside the top...

This artticle appeared on Reuters on 27 January 2012 link to article

Also in
WTAQ News Talk
Reuters Magazine: The one percent war link to article
Yahoo! News
Reuters Magazine: The one percent war link to article

Related publications
Firm Performance and Wages: Evidence from Across the Corporate Hierarchy Brian Bell and John Van Reenen, Centre for Economic Performance Discussion Paper No.1088, November 2011

Related links
Brian Bell webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

The Press Association
Impact of fees increase monitored

An independent commission has been established to monitor the impact of increased university fees in England over the next three years, it has been announced. The four members of the panel at present are: Mr Hutton, principal of Hertford College, Oxford University, and executive vice-chair of the Work Foundation; Stephen Machin Professor of Economics at University College London and research director of the Centre for Economic Performance at the London School of Economics; Libby Purves, writer, radio broadcaster and Times chief theatre critic; and Sir Peter Lampl, chairman of the Sutton Trust and the Education Endowment Foundation.

This article appeared in the Press Association on 27 January 2012 link to article

Related links
Stephen Machin webpage
Labour Markets Programme webpage


Launch of LSE Growth Commission
Press Release

The LSE Growth Commission has been created to provide an authoritative input to a growth strategy for the United Kingdom. The commission will report within one year and along the way it will take evidence from leading figures from academia, business and policy.

To launch the commission, Larry Summers (Harvard and former US Treasury Secretary) and Steve Nickell (Nuffield College Oxford and OBR) will give evidence on how to improve the growth performance of the UK economy in the medium to long-term.

For more information on the launch event please go to event webpage

Download the press release (PDF)

Related Links
LSE Growth Commissioner biographies (PDF)
Institute for Government webpage


Reuters Africa
Reuters Magazine Chrystia Freeland: The one percent war

Brian Bell and John van Reenan two economists at the Centre for Economic Performance at the London School of Economics, have done a careful study of Britain's super-rich. Peering inside the top 1 percent, they found a distribution almost as skewed as that within the economy as a whole - the top 2 percent of the 1 percent captured 11 percent of the wage share of this top slice overall in 1998 and 13 percent in 2008.

This article appeared on Reuters Africa on 17 January 2012 link to article

Related publications
Firm Performance and Wages: Evidence from Across the Corporate Hierarchy Brian Bell and John Van Reenen, Centre for Economic Performance Discussion Paper No.1088, November 2011

Related links
Brian Bell webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

BBC News
Is happiness a government issue?

Professor Philip Booth of the IEA and Lord Layard of the Centre for Economic Performance at the London School of Economics discuss whether the government can legislate for happiness.

This interview was broadcast on BBC News on 16 January 2012 link

Related links
Richard Layard webpage
Wellbeing Programme webpage

Morgan Hill Times (California, USA)
The economics of happiness: just how much is enough?

Since Elvis made his first appearance on the Ed Sullivan show in 1956, the average American's disposable income has tripled from $9,431 to $27,792, according to data from the Bureau of Economic Analysis. However, as reported in the book 'Happiness' by Richard Layard our level of happiness hasn't increased at all during that time.

This article appeared in the Morgan Hill Times on 16 January 2012 link to article

Related publications
Happiness: Lessons from a New Science (2005) Richard Layard, Penguin Details

Related links
Richard Layard webpage
Wellbeing Programme webpage

El Pais
Heredamos la felicidad?

We inherit happiness? (translation)
These figures are significantly greater than those collected by the last study carried out to date, in charge of the Jan-Emmanuel De Neve researcher, University of London, together with colleagues at Harvard and the University of California at San Diego School of medicine, examining questionnaires from respondents numbering almost one thousand twins, half of them identical. "Our data suggest that one-third of happiness can be explained through an inherited genetic lottery of parents", says De Neve to El País Semanal. Despite this reduction in the influence of genes, Neve supports a finding that could extend to all people: that we have a minimum threshold of happiness, influenced by biology, more or less according to each individual. A basic level to which we return after a stroke of luck as a lottery prize, or a disgrace, or after an accident with disastrous consequences.

This article appeared in El Pais on 15 January 2012 link to article

Jan-Emmanuel De Neve webpage
Wellbeing webpage

The Financial
Skilled migrants have little direct impact on UK housing market

The MAC [Migration Advisory Committee] also commissioned a report from LSE's Centre for Economic Performance on the impact of migration on crime. The report found that migrants from the EU accession countries and those entering under work-related programmes are less likely to be involved with property crime than UK natives.

This article appeared in The Financial link to article

Related publications
'Immigrant Enclaves and Crime' Brian Bell and Stephen Machin, Centre for Economic Performance Discussion Paper No.1104, December 2011
'Crime and Immigration: Evidence from Large Immigrant Waves' Brian Bell, Francesco Fasani and Stephen Machin, Centre for Economic Performance Discussion Paper No.984, June 2010

The New York Times
In Big Data, Potential for Big Division

David Autor, an economist at the Massachusetts Institute of Technology, has done groundbreaking research on the 'polarizing' effect of technology on the labor market: his bottom line is that it has been good for people at the top and not had much of an effect on people doing hands-on jobs at the bottom. But it has hollowed out what used to be the middle. Studying the same phenomenon in the United Kingdom, the economists Maarten Goos and Alan Manning have come up with an evocative term for what is happening, the division of work into 'lousy and lovely jobs.'

This article appeared in the New York Times on 12 January 2012 link to article

Related Links
Alan Manning webpage
Labour Markets webpage

Times Education Supplement
Painting over cracks is not enough for apprentices

In countries where apprenticeships are far more popular with employers than in England, participants are expected to carry out nine times the amount of training: a minimum of 900 hours compared to just 100 in this country. That is one of the headline figures of a new policy analysis that lays bare the "dysfunctional funding and delivery model" of apprenticeships in England. Written by Hilary Steedman senior research fellow at the London School of Economics, it returns to the original announcement of modern apprenticeships in 1993 and notes that the then Conservative government's pledge of 40,000 level 3 apprenticeship qualifications each year has not been met in 18 years.

This article appeared in the Times Education Supplement on 6 January 2012 link to article

Related publications
Apprenticeship Policy in England: Increasing Skills versus Boosting Young People’s Job Prospects Centre for Economic Performance Policy Analysis by Hilary Steedman, published December 2011 link to publication

Related links
Hilary Steedman webpage
Education and Skills Programme webpage
Hilary Steedman CEP publications webpage

The New Statesman
Sorry Peter, the facts of life aren't Conservative

If you want a more nuanced and less gloomy take on the UK's economic performance between 1997 and 2010, check out this recent report from the LSE's Centre for Economic Performance.

This article appeared in the New Statesman on 6 January 2011 link to article

Related publications
Firm Performance and Wages: Evidence from Across the Corporate Hierarchy Brian Bell and John Van Reenen, Centre for Economic Performance Discussion Paper No.1088, November 2011

Related links
Anna Valero webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Financial Times
In a world of squeezed incomes, business aliens quietly thrive

Research by two LSE academics detected a strong link between pay and performance, though it also found that executive pay growth fell more slowly than it increased in good times.

This article appeared in the Financial Times on 6 January 2012 link to article

Related publications
"Firm Performance and Wages: Evidence from Across the Corporate Hierarchy" Brian Bell and John Van Reenen, Centre for Economic Performance Discussion Paper No.1088, November 2011

Related links
Brian Bell webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

DCSF.gov.uk
Michael Gove speech on academies

In a speech given yesterday (4 January 2012) at Haberdashers' Aske's Hatcham College, Michael Gove cited "a landmark assessment" of the Academy Schools scheme by Steve Machin and James Vernoit.

This article appeared on the DCSF.gov.uk on 5 January 2012 link to article

See also
Conservative Party
Michael Gove: Who are the ideologues now? link to article

Related publications
"Changing School Autonomy: Academy Schools and their Introduction to England's Education" Stephen Machin and James Vernoit, Centre for the Economics of Education Discussion Paper No.123 April 2011
"Academy Schools: Who Benefits?" Stephen Machin and James Vernoit, Article in CentrePiece Volume 15, Issue 2, Autumn 2010
"A Note on Academy School Policy" Centre for Economic Performance Policy Briefing, Stephen Machin and James Vernoit, July 2010

Related links
Stephen Machin webpage
James Vernoit webpage
Education and Skills Programme webpage
Centre for the Economics of Education webpage