Growth

CEP report

The green industrial policy matrix: Informing an industrial strategy for clean energy technologies

This paper presents new evidence to inform industrial strategy prioritisation of clean energy technologies in the UK. It focuses on seven technology categories relevant for reducing emissions across power, heat and indus...Read more...

Blog

Vox EU:

Firm climate investment: A glass half-full

The transition to a green economy will require large investments by firms. This column uses new survey data to study the importance of climate-related investment for UK firms. Over half of firms expect climate change to ...Read more...

Journal article

International Economic Review:

Last but not least: Laggard Firms, Technology Diffusion, and its Structural and Policy Determinants

Using a unique microaggregated data set on firm-level productivity in 13 countries from 1995 to 2014, this article provides new evidence on technology- and knowledge-diffusion barriers for laggard firms. We show that, al...Read more...

Blog

LSE Business Review:

Achieving net zero by 2050 requires changes to the UK skills landscape

As COP29 brings climate action into focus, it's clear that policy must go beyond carbon trading and finance. To make net zero a reality, the workforce must be equipped with the right skills. Aadya Bahl examines what this...Read more...

CEP discussion paper

The role of human capital for AI adoption: Evidence from French firms

We leverage a uniquely comprehensive combination of data sources to explore the enabling role of human capital in fostering the adoption of predictive AI systems in French firms. Using a causal estimation approach, we sh...Read more...

Blog

Vox EU:

Design-based fiscal stimulus transfers: Evidence and macro implications

In recent years, and during Covid-19 in particular, many countries have experimented with innovative approaches to fiscal stimulus. This column reports on an experiment in France in which individuals were given a debit c...Read more...

CEP discussion paper

New venture creation: Innovativeness, speed-to-breakeven and revenue tradeoffs

We present a Schumpeterian growth model with new venture creation, under uncertainty, which explains the tradeoff between speed-to-breakeven, revenue-at-breakeven and relates this to the level of innovation. We then expl...Read more...

Blog

Imperial College Business School:

What's holding back the green transition?

New research from Imperial College Business School reveals what's stopping businesses from taking action to protect our overheated planet....Read more...

Blog

LSE Business Review:

The EU has a transformative mechanism to reduce carbon leakage, but challenges loom ahead

When companies face steep carbon prices in a country, they often move production to places with lower or no pricing. To address this problem, the European Union created the Carbon Border Adjustment Mechanism. But, for de...Read more...

Journal article

Proceedings of the National Academy of Sciences of the United States of America:

How working from home reshapes cities

In recent decades, economic activity has become increasingly concentrated in major global metropolises. Yet, the rise of working from home threatens this dominance of cities. Using multiple high-frequency datasets on spe...Read more...

Journal article

The Economic Journal: Forthcoming

Employer Screening and Optimal Unemployment Insurance

Field experiments show that employers are less likely to consider long-term unemployed job-seekers for interviews. We study the implications for optimal unemployment insurance (UI). Based on a structural model of job sea...Read more...

Blog

LSE Business Review:

The productivity boom in the British car industry benefited workers, with a caveat

Productivity growth can play an important role in raising wages. The UK car industry experienced fast productivity growth over the past 40 years, and by the 2010s car workers were earning about 37 per cent more than the ...Read more...

CEP occasional paper

Has work from home shifted the US electoral map?

Since 2020, the dramatic rise in remote work has coincided with increased geographic mobility in the United States. We examine the relationship between these trends and their effects on the electoral landscape. Using IRS...Read more...

Journal article

PNAS:

The international empirics of management

A country's national income broadly depends on the quantity and quality of workers and capital. But how well these factors are managed within and between firms may be a key determinant of a country's productivity and its...Read more...

Blog

Project Syndicate:

A Weak French Government's Fiscal Reckoning

Moody's recent decision to downgrade France's credit outlook underscores the urgent need to pass a budget that tackles the ballooning deficit. But without a parliamentary majority, Prime Minister Michel Barnier will have...Read more...

Blog

Vox EU:

US electoral impact of remote work and inter-state migration

Remote work and geographic mobility have surged in the US since 2020. This column examines trends for both and discusses the potential electoral implications. The authors find that remote work opportunities are dispropor...Read more...

Blog

LSE Impact of Social Sciences:

AI can carry out qualitative research at unprecedented scale

The interactional skill of large language models enables them to carry out qualitative research interviews at speed and scale. Demonstrating the ability of these new techniques in a range of qualitative enquiries, Friedr...Read more...

Blog

LSE Business Review:

Britain needs nerds

Science, technological, mathematical and engineering (STEM) skills have been crucial to economic growth in the UK in the past, but how important are they to the adoption of the latest digital technologies such as AI? Mir...Read more...

Blog

Economics Observatory:

What share of the economic pie goes to workers?

Over the last two decades, the proportion of national income going to employees and the self-employed - the labour share - has declined in many advanced economies. This has not happened in the UK, which might seem like g...Read more...

Blog

LSE Business Review:

Informal entrepreneurs create jobs. Here's how to support them

Informal firms provide between 60 and 90 per cent of non-agricultural employment in emerging markets. This type of business exists everywhere, but it's in developing countries that the highest rates of informality and in...Read more...

Blog

LSE Politics and Policy:

Investing in mental health is both a moral and an economic imperative

Mental illness is a leading cause of absenteeism and a driver of long-term sickness, which poses a significant economic cost due to economic inactivity. It accounts for half of all morbidity (the rate of disease in a pop...Read more...

Blog

LSE Business Review:

Voluntary carbon markets are helpful but far from perfect

Voluntary carbon markets are an important tool in the fight against climate change, but several issues make them less effective. Carbon offsets often overstate emissions reductions, and firms use these as a cheaper alter...Read more...

CentrePiece article

in brief... Designing carbon markets that deliver change

Ever since the European Union created its market-based carbon policy, governments and businesses have been keen to assess its impact. Jonathan Colmer, Ralf Martin, Mirabelle Muûls and Ulrich Wagner explain why analysing ...Read more...

CentrePiece article

AI and climate action: how UK firms are responding

Are businesses in the UK embracing artificial intelligence? And what are they doing to meet net-zero targets? Juliana Oliveira-Cunha, Bruno Serra-Lorenzo and Anna Valero report on how employers believe the two big upheav...Read more...

Blog

LSE EUROPP:

How China's rise has shaped innovation and exit among Europe's solar firms

Should the EU protect European firms by restricting imports of solar technology from China? Drawing on new research, Pia Andres finds that Chinese competition has resulted in many European firms going out of business, bu...Read more...