Results

CEP discussion paper

Counting the costs: a quantitative assessment of Brexit?s effect on UK regional economies

This paper examines the implications of the EU-UK Trade and Cooperation Agreement (TCA) using a dynamic spatial general equilibrium model. Unlike previous studies that primarily projected potential impacts of Brexit base...Read more...

CEP discussion paper

Measuring quality of life under spatial frictions

Using a quantitative spatial model as a data-generating process, we explore how spatial frictions affect the measurement of quality of life. We find that under a canonical parameterization, mobility frictions - generated...Read more...

CEP discussion paper

Exporting ideas: knowledge flows from expanding trade in goods

We examine the effect of entry by French firms into a new export market on the dynamics of their patents' citations received from that destination. Applying a difference-in-differences identification strategy with a stag...Read more...

Journal article

Review of Financial Studies :

Estimating general equilibrium spillovers of large-scale shocks

Large-scale shocks directly affect some firms and households and indirectly affect others through general equilibrium spillovers. In this paper, I describe how researchers can directly estimate spillovers using quasi-exp...Read more...

CEP discussion paper

The spillover effect of services offshoring on local labour markets

I provide new empirical evidence on the direct and indirect impact of services off-shoring on local employment and wages, using a unique dataset on firms in the UK for the period 2000-2015. Exploiting variation in firms'...Read more...

CEP discussion paper

Optimal minimum wages

We develop a quantitative spatial model with heterogeneous firms and a monopsonistic labour market to derive minimum wages that maximize employment or welfare. Quantifying the model for German micro regions, we find that...Read more...

CEP discussion paper

Quality of life in a dynamic spatial model

We develop a dynamic spatial model in which heterogeneous workers are imperfectly mobile and forward-looking and yet all structural fundamentals can be inverted without assuming that the economy is in a stationary spatia...Read more...

Journal article

International Journal of Industrial Organization:

Flex cars and competition in fuel retail markets

We study how the diffusion of flex (bi-fuel) cars affected competition on ethanol and gasoline retail markets. We propose a model of price competition in which the two fuels become closer substitutes as flex cars penetra...Read more...

Journal article

Urban Studies:

Does the law of one price hold for hedonic prices?

Hedonic prices of locational attributes in urban land markets are determined by a process of spatial arbitrage that is similar to that which underpins the law of one price. If hedonic prices deviate from their spatial eq...Read more...

CEP discussion paper

Fiscal and education spillovers from charter school expansion

The fiscal and educational consequences of charter expansion for non-charter students are central issues in the debate over charter schools. Do charter schools drain resources and high-achieving peers from non-charter sc...Read more...

CEP discussion paper

The costs and benefits of leaving the EU: trade effects

This paper estimates the welfare effects of Brexit, focusing on trade and fiscal transfers. We use a standard quantitative general equilibrium trade model with many countries and sectors and trade in intermediates, as in...Read more...

CentrePiece article

High-speed rail in China

Encouraging innovation is a perennial policy goal ? and one common approach is to promote the adoption of foreign technology. Yatang Lin and colleagues examine the impact of China?s technology transfer policy, which has ...Read more...

CEP discussion paper

Powering education

More than 1.3 billion people worldwide have no access to electricity and this has first-order effects on several development dimensions. In this paper we focus on the link between access to light and education. We random...Read more...

Journal article

Journal of Political Economy:

Carbon taxes, path dependency, and directed technical change: evidence from the auto industry

Can directed technical change be used to combat climate change? We construct new firm-level panel data on auto industry innovation distinguishing between ?dirty? (internal combustion engine) and ?clean? (e.g., electric, ...Read more...

CEP discussion paper

International technology transfer and domestic innovation: evidence from the high-speed rail sector in China

How does the transfer of advanced technology spur innovation in developing countries? This paper exploits the large-scale introduction of high-speed railway (HSR) technology into China in 2004 as a natural experiment to ...Read more...

CEP election analysis

The Economic Performance of UK Cities: Can Urban and Regional Policy Make a Difference to the North-South Divide

There are large variations in economic performance across UK cities and on some measures, they have widened since the global financial crisis. All main parties promise action to reduce them, but there is little differenc...Read more...

Journal article

The World Bank Economic Review:

The political economy of trade policy: gone for good? Subsidies with export share requirements in China: 2002-13

This paper presents a simple model of subsidies with export share requirements (ESR) in a heterogeneous firm environment. A two-country general equilibrium version of the model with a single 100% ESR is calibrated using ...Read more...

CentrePiece article

Wikipedia: the value of open content production

Without the `spillover effects? of open content production, the growth in Wikipedia editing activity between 2002 and 2010 would have been halved. That is the central finding of research by Aleksi Aaltonen and Stephan Se...Read more...

CEP discussion paper

Because I'm worth it: a lab-field experiment on the spillover effects of incentives in health

We conduct a controlled lab-field experiment to directly test the short-run spillover effects of one-off financial incentives in health. We consider how incentives affect effort in a physical activity task ? and then how...Read more...

CEP discussion paper

Quantifying spillovers in open source content production: evidence from Wikipedia

Using detailed edit-level data over eight years across a large number of articles on Wikipedia, we find evidence for a positive spillover effect in editing activity. Cumulative past contributions, embodied by the current...Read more...

CEP discussion paper

Flex cars and competition in ethanol and gasoline retail markets

In Brazil, gasoline and ethanol coexist as automotive fuels and are becoming closer substitutes as flex cars become more widely adopted. We employ this source of variation in a large panel of weekly prices at the station...Read more...

SERC/Urban and Spatial Programme Discussion Paper

External Benefits of Brownfield Redevelopment: An Applied Urban General Equilbirum Analysis

Does brownfield redevelopment warrant government support? We explore several external benefits in an urban general equilibrium framework. Preferences are modelled such that demand for housing units in the city is downwar...Read more...

CentrePiece article

Unequal Britain: how real are regional disparities?

Average earnings vary widely across the regions of Britain, a fact that has prompted many decades of policies aimed at reducing regional disparities. But as Henry Overman and Steve Gibbons demonstrate, such variation rev...Read more...

SERC/Urban and Spatial Programme Discussion Paper

Real Earnings Disparities in Britain

This report estimates housing-cost-earnings differentials across labour market areas in Britain. We show that quality-adjusted housing costs rise on average, one for one with the skill-adjusted earnings of the average wo...Read more...

SERC/Urban and Spatial Programme Discussion Paper

The Impact of University Research on Corporate Patenting

This paper analyses the association between the number of patenting manufacturing firms and the quantity and quality of relevant university research across UK postcode areas. We show that different measures of research `...Read more...

CEP discussion paper

There Will Be Money

A common belief among monetary theorists is that monetary equilibria are tenuous due to the intrinsic uselessness of fiat money (Wallace (1978)). In this article we argue that the tenuousness of monetary equilibria vanis...Read more...

CEP discussion paper

The Effect of Market Entry on Innovation: Evidence from UK University Incubators

This paper investigates the effect of market entry of new firms on incumbent firms' innovative activity measured as patent applications. The basic assumption is that the effect of entry varies by geographical distance be...Read more...

CEP discussion paper

Recovering the Sunk Costs of R&D: the Moulds Industry Case

Sunk costs for R&D are an important determinant of the level of innovation in the economy. In this paper I recover them using a Markov equilibrium framework. The contribution is twofold. First, a model of industry dynami...Read more...

SERC/Urban and Spatial Programme Discussion Paper

Trade, Wages and Productivity

We develop a new general equilibrium model of monopolistic competition with heterogeneous firms, variable demand elasticity and multiple asymmetric regions, in which trade integration induces wage and productivity change...Read more...

CEP discussion paper

Trade, Wages and Productivity

We develop a new general equilibrium model of monopolistic competition with heterogeneous firms, variable demand elasticity and multiple asymmetric regions, in which trade integration induces wage and productivity change...Read more...

CEP discussion paper

Creative Destruction with On-the-Job Search

This paper is about the labour market consequences of creative destruction with on-the-job search. We consider a matching model in an economy with embodied technological progress and show that its dynamics are profoundly...Read more...

Journal article

Journal of the European Economic Association:

Evaluating the employment impact of a mandatory job search program

This paper exploits area-based piloting and age-related eligibility rules to identify treatment effects of a labor market program-the New Deal for Young People in the U.K. A central focus is on substitution/displacement ...Read more...