The race for technological leadership between the United States of America and China.

A new GLO Discussion Paper examines the proclaimed competition for the world’s leadership in science, technology and innovation between China and the USA.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

GLO Discussion Paper No. 521, 2020

The technological contest between China and the United StatesDownload PDF
by
Toro Hardy, Alfredo

GLO Fellow Alfredo Toro Hardy

Author Abstract: China’s proclaimed aim of becoming the world’s leader in science, technology and innovation by the mid twenty first century has triggered an intense competition with the United States. The latter, feeling threatened in its supremacy in this field, has reacted forcefully. This GLO Discussion Paper examines the nature of this contest, the comparative technological standing of both countries, the pros and cons in this area derived from their respective development models and the plausible outcomes of this competition.

Photo by Alex Knight on Unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS, EconPapers). Complete list of all GLO DPs – downloadable for free.

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Career expectations in the COVID-19 crisis.

A new GLO Discussion Paper documents the pessimistic career expectations people currently have due to the corinavirus crisis on the basis of a new survey for Belgium.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

GLO Discussion Paper No. 520, 2020

How do we think the COVID-19 crisis will affect our careers (if any remain)?Download PDF
by
Baert, Stijn & Lippens, Louis & Moens, Eline & Sterkens, Philippe & Weytjens, Johannes

GLO Fellow Stijn Baert

Author Abstract: This study is the first in the world to investigate the expected impact of the COVID-19 crisis on career outcomes and career aspirations. To this end, highquality survey research with a relevant panel of Belgian employees was conducted. About 21% of them fear losing their jobs due to the crisis—14% are concerned that they will even lose their jobs in the near future. In addition, 26% expect to miss out on promotions that they would have received had the COVID-19 crisis not occurred. This fear of a negative impact is higher in vulnerable groups, such migrants. In addition, we observe that many panel members believe they will look at the labour market differently and will have different work-related priorities in the future. In this respect, more than half of the panel members indicate that they have attached more importance to working conditions and work-life balance since the COVID-19 crisis.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS, EconPapers). Complete list of all GLO DPs – downloadable for free.

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Measurement challenges of poverty and inequality.

Incomes in surveys suffer from various measurement problems. A new GLO Discussion Paper finds that the main source of negative disposable incomes is negative self-employment income.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

GLO Discussion Paper No. 519, 2020

Bottom incomes and the measurement of poverty and inequalityDownload PDF
by
Hlasny, Vladimir & Ceriani, Lidia & Verme, Paolo

GLO Fellow Paolo Verme

Author Abstract: Incomes in surveys suffer from various measurement problems, most notably in the tails of their distributions. We study the prevalence of negative and zero incomes, and their implications for inequality and poverty measurement relying on 57 harmonized surveys covering 12 countries over the period 1995-2016. The paper explains the composition and sources of negative and zero incomes and assesses the distributional impacts of alternative correction methods on poverty and inequality measures. It finds that the main source of negative disposable incomes is negative self-employment income, and that high tax, social security withholdings and high self-paid social-security contributions account for negative incomes in some countries. Using detailed information on expenditure, we conclude that households with negative incomes are typically as well off as, or even better, than other households in terms of material wellbeing. By contrast, zero-income households are found to be materially deprived. Adjusting poverty and inequality measures for these findings can alter these measures significantly.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS, EconPapers). Complete list of all GLO DPs – downloadable for free.

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Demographic Change induces Automation

A new GLO Discussion Paper reveals that countries with lower population growth introduce automation technologies faster.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

GLO Discussion Paper No. 518, 2020

Automation and Demographic ChangeDownload PDF
by
Abeliansky, Ana Lucia & Prettner, Klaus

GLO Fellow Klaus Prettner

Author Abstract: We analyze the effects of declining population growth on automation. Theoretical considerations imply that countries with lower population growth introduce automation technologies faster. We test the theoretical implication on panel data for 60 countries over the time span 1993-2013. Regression estimates support the theoretical implication, suggesting that a 1% increase in population growth is associated with an approximately 2% reduction in the growth rate of robot density. Our results are robust to the inclusion of standard control variables, different estimation methods, dynamic specifications, and changes with respect to the measurement of the stock of robots.

Photo by Andy Kelly on Unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS, EconPapers). Complete list of all GLO DPs – downloadable for free.

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Income inequality in the access to health care: Biomarkers, disability and health care demand

A new GLO Discussion Paper reveals that observed income inequality in the access to health care is driven by the fact that higher-income people tend to make greater use of healthcare treatment, for any given health and disability status.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

GLO Discussion Paper No. 517, 2020

Biomarkers, disability and health care demandDownload PDF
by
Davillas, Apostolos & Pudney, Stephen

GLO Fellow Apostolos Davillas

Author Abstract: Using longitudinal data from a representative UK panel, we focus on a group of apparently healthy individuals with no history of disability or major chronic health condition at baseline. A latent variable structural equation model is used to analyse the predictive role of latent baseline biological health, indicated by a rich set of biomarkers, and other personal characteristics, in determining the individual’s disability state and health service utilisation five years later. We find that baseline health affects future health service utilisation very strongly, via functional disability as a mediating outcome. Our model reveals that observed income inequality in the access to health care, is driven by the fact that higher-income people tend to make greater use of healthcare treatment, for any given health and disability status. This leads to a slight rise in utilisation with income, despite the lower average need for treatment shown by the negative income gradients for both baseline health and disability outcomes. Factor loadings for latent baseline health show that a broader set of blood-based biomarkers, rather than the current focus mainly on blood pressure, cholesterol and adiposity, may need to be considered for public health screening programs.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS, EconPapers). Complete list of all GLO DPs – downloadable for free.

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How to strengthen the public sector and restart a more sustainable and social Europe in the aftermath of the coronacrisis.

There is little doubt that –whatever countries do to fight the virus- the economies of many EU countries will be in serious disarray. It is likely that Governments and the EU in the struggle to regain employment and income will fall back into the “old normal” and put aside their agreed strategies to achieve sustainability and to further a social Europe with a strong public sector.

A vision is presented for an emergence of EU countries out of the crisis with sustainability and with an improvement of the public sector. EU cooperation is a must for that vision, with a commitment of EU countries to the conditionality’s for joint Euro area monetary funding (ECB) and joint Euro area borrowing (though ESM) or joint European borrowing through the EIB or otherwise. These conditionality’s are in terms of a commitment to sustainable development, to improvement of the public sector (health and education), to joint taxation as well as to sound fiscal behavior.

  • A memorandum by Jo Ritzen (together with Javi Lopez, André Knottnerus, Salvador Perez Moreno, George Papandreou and Klaus F. Zimmermann) has just elaborated this in a new UNU-MERIT Working Paper (see online access below).
  • Jo Ritzen has presented the memorandum in a UNU-MERIT seminar in Maastricht on April 23, 2020. His presentation was followed by a discussion prepared by Luc Soete and Bart Verspagen.

Some insights to begin with:

  • The lockdown measures will cause a tremendous recession, much stronger than the global (2007-8) financial crisis with substantial long-term negative consequences for government debt and the flexibility of government activities.
  • The burden for the next generations has therefore substantially increased above the huge challenges already present through climate change, demographic imbalances, global refugee pressures and digitization.
  • The state is back in a dominant role for society and economy, while the end of Schengen and of free labor mobility seem possible (if not even likely).
  • Europe has been largely absent in the initial response to the Corona-crisis leaving the message: the European Union is superfluous.
  • This is a dangerous development since a strong European collaboration is essential to deal with the challenges and to ensure a healthy and prosperous social and economic development of Europe.
  • The challenge has to be used to foster structural reforms to invest in the future to strengthen education, digital and transportation infrastructure, the healthcare industry, and to handle the challenges of climate change, demography, open labor markets and refugees.

GLO Fellow Jo Ritzen is a Professorial Fellow of UNU-MERIT and its School of Governance. UNU-MERIT is a joint institute of the United Nations University (UNU) and Maastricht University. Ritzen is a former Minister of Education, Culture, and Science of the Netherlands, served in the Dutch Cabinet at the Maastricht Treaty. He is a former Vice President of the World Bank and a former President of Maastricht University.

Taking the challenge: A joint European policy response to the corona crisis to strengthen the public sector and restart a more sustainable and social Europe

Jo Ritzen, Javi Lopez, André Knottnerus, Salvador Perez Moreno, George Papandreou and Klaus F. Zimmermann

UNU-MERIT Discussion Paper No. 2020-015

  • Jo Ritzen, Professor UNU‐MERIT, Maastricht University, and GLO Fellow
  • Javi Lopez, Member European Parliament
  • André Knottnerus, former President Scientific Council for Government Policy, the Netherlands and Professor Maastricht University,
  • Salvador Perez Moreno, Professor University of Malaga and GLO Fellow
  • George Papandreou, Member of Parliament, Greece, and Former Prime Minister, Greece,
  • Klaus F. Zimmermann, Professor University of Bonn and UNU‐MERIT, Maastricht University, and President, GLO

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Unmasking popular COVID-19 Myths: reported infections and mortality

A new GLO Discussion Paper defends the quality of key available coronavirus data: The cross-country correlation between log of tests and log of reported cases (per capita) and the correlation between log of reported cases and log of reported deaths (per capita) are high. It suggests that currently the infection rate in no country is higher than 10% and the fatality rate is at least 0.4%.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

GLO Discussion Paper No. 516, 2020

Confronting COVID-19 Myths: Morbidity and MortalityDownload PDF
by
Jelnov, Pavel

GLO Fellow Pavel Jelnov

Author Abstract: COVID-19 mystery feeds the belief that the reported morbidity rates are not related to the true ones and that large parts of the population are already infected, the virus is not very dangerous, and the lockdown is unnecessary. Yet one observes two very strong correlations that disprove this belief. The cross-country correlation between log of tests and log of reported cases (per capita) is 0.87 and the correlation between log of reported cases and log of reported deaths (per capita) is 0.89. Using these correlations, I suggest that the infection rate in no country is higher than 10%. Furthermore, I suggest that the mortality from COVID-19 is at least 0.4%.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS, EconPapers). Complete list of all GLO DPs – downloadable for free.

Further activities and reports of the GLO Research Cluster on the coronavirus.

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Understanding the nature of the data economy: level of knowledge is below the socially desirable amount.

A new GLO Discussion Paper presents a theoretical conceptualization of the data economy: Knowledge extraction from large, inter-connected data sets displays natural monopoly characteristics that generate and disclose the amount of knowledge that maximizes their profit. Provided that monopoly theory holds, this level of knowledge is below the socially desirable amount.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

GLO Discussion Paper No. 515, 2020

The Semicircular Flow of the Data Economy and the Data Sharing Laffer curveDownload PDF
by
de Pedraza, Pablo & Vollbracht, Ian

GLO Fellow Pablo de Pedraza

Featured image: Photo by Mika Baumeister on Unsplash

Author Abstract: This paper presents a theoretical conceptualization of the data economy that motivates more access to data for scientific research. It defines the semicircular flow of the data economy as analogous to the traditional circular flow of the economy. Knowledge extraction from large, inter-connected data sets displays natural monopoly characteristics, which favors the emergence of oligopolistic data holders that generate and disclose the amount of knowledge that maximizes their profit. If monopoly theory holds, this level of knowledge is below the socially desirable amount because data holders have incentives to maintain their market power. The analogy is further developed to include data leakages, data sharing policies, merit and demerit knowledge, and knowledge injections. It draws a data sharing Laffer curve that defines optimal data sharing as the point where the production of merit knowledge is maximized. The theoretical framework seems to describe many features of the data-intensive economy of today, in which large-scale data holders specialize in extraction of knowledge from the data they hold. Conclusions support the use of policies to enhance data sharing and, or, enhanced user-centric data property rights to facilitate data flows in a manner that would increase merit knowledge generation up to the socially desirable amount.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS, EconPapers). Complete list of all GLO DPs – downloadable for free.

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Worker at risk in the #coronacrisis: The Italian lockdown experience.

A new GLO Discussion Paper finds that in Italy groups at risk of COVID-19 work in sectors that are little exposed to physical proximity, they are currently under lockdown or can work remotely. The sectoral lockdowns put in place by the Italian Government in March 2020 seem to have targeted sectors who operate in physical proximity, but not those directly exposed to infections.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

GLO Discussion Paper No. 513, 2020

Italian Workers at Risk During the Covid-19 EpidemicDownload PDF
by
Barbieri, Teresa & Basso, Gaetano & Scicchitano, Sergio

GLO Fellow Sergio Scicchitano

Author Abstract: We analyse the content of Italian occupations operating in about 600 sectors with a focus on the dimensions that expose workers to contagion risks during the COVID-19 epidemics. To do so we leverage extremely detailed and granular information from ICP, the Italian equivalent of O*Net. We find that several sectors need physical proximity to operate: the workers employed in Italy in sectors whose physical proximity index is above the national average are more than 6.5 million (most of them in retail trade). Groups at risk of contagion and complications from COVID-19 (mainly male above the age of 50) work in sectors that are little exposed to physical proximity, currently under lockdown or can work remotely. The sectoral lockdowns put in place by the Italian Government in March 2020 seem to have targeted sectors who operate in physical proximity, but not those directly exposed to infections (the health industry is not subject to lockdown). Most workers who can operate from home have not been put under lockdown and are currently working. Therefore, the number of workers who are not in workplaces could be up to 3 million higher than those whose sector has been shutdown.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

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#Coronavirus: Total infections per 1 million people: Sweden does better than Germany

Still too early for a final judgment; but Sweden is an important alternative to the mainstream approach of total lockdown. Only this way we can learn how to best approach such pandemics to save lives in the future. Final answers only after we are “out of the fog”.

DEU: Germany; SWE: Sweden; GBR: UK; NOR: Norway; Source see below.

But Sweden currently has a much higher fatality ratio than Germany or other Nordic countries.

See for the diversity of academic views:

Source of figure: Twitter on April 20, 2020

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