European Economist Comparison (Interactive Matrix)

1. The UK economy is likely to be at least several percentage points smaller in 2030 than it would have been if the country had remained in the European Union. Read More

2. The aggregate economy of the 27 countries still in the EU is likely to be at least several percentage points smaller in 2030 than if the UK had not left. Read More

3. The nature of the market dominance of technology giants in the digital economy warrants either the imposition of some kind of regulation or a fundamental change in antitrust policy. Read More

4. Bitcoins are more similar to gold than they are to currency. Read More

5. Bitcoins are more similar to gold than they are to Dutch tulips in the 1630s. Read More

6. All else equal, if corporations throughout Europe set quotas for a minimum number of women board members, the shareholder value of European companies would increase. Read More

7. The Bank for International Settlements defines a central bank digital currency as follows: 'In simple terms, a central bank digital currency (CBDC) would be a digital banknote. It could be used by individuals to pay businesses, shops or each other (a 'retail CBDC'), or between financial institutions to settle trades in financial markets (a 'wholesale CBDC'). For developed countries, a central bank digital currency that is available to the public at large would offer social benefits that exceed the associated costs or risks. Read More

8. Central banks that do not introduce their own digital money risk losing the ability to conduct effective monetary policy. Read More

9. The introduction of a central bank digital currency is unlikely to have major effects on the economy. Read More

10. Under current policies on climate change, the associated physical risks (such as those arising from total seasonal rainfall and sea level changes, and increased frequency, severity, and correlation of extreme weather events) will be at most a very small factor in monetary policy decisions over the next decade. Read More

11. The physical risks associated with climate change under current policies are likely to threaten financial stability over the next decade. Read More

12. The fiscal rules of the European Union should give more flexibility to member countries. Read More

13. Subsidizing renewable energy sources is better than taxing fossil fuels, assuming the subsidy or tax would be set at levels that would reduce carbon emissions by an equivalent amount. Read More

14. On bids for infrastructure projects, the average European would be better off if Europe's governments favored European firms over Chinese firms (or firms from any other country with non-profit-related geopolitical strategies) — even if it means sometimes choosing a higher-cost bidder. Read More

15. Randomized control trials are a valuable tool for making significant progress in poverty reduction. Read More

16. Residents of big European cities would be better off, on balance, if governments did more to counter gentrification, for example by using rent and other housing subsidies, public housing investments, zoning regulations, or similar policies. Read More

17. A global minimum corporate tax rate would limit the benefits to companies of shifting profits to low-tax jurisdictions without biasing where they invest. Read More

18. European governments should allocate more resources to policies that would be likely to limit the rise of populism in Europe, even if it means higher public debt or lower public spending in other areas. Read More

19. Under a fixed exchange rate and fully liberalized capital flows, a country loses domestic control of monetary policy. Read More

20. For emerging and developing economies open to the world capital market, a flexible exchange rate confers little advantage over a pegged exchange rate in terms of economic stability. Read More

21. The key feature making the US a more natural optimum currency area than the euro area is higher labor mobility. Read More

22. Giving tax incentives to specific firms to locate operations in a country typically generates domestic benefits that outweigh the costs to the country providing the incentives. Read More

23. The ECB should take account of the environmental implications of its policy decisions. Read More

24. The objectives set for the ECB by Treaty should make maximum sustainable employment of equal importance as price stability. Read More

25. The introduction of even small trade frictions between neighboring countries can result in significant economic damage, particularly to smaller exporting firms. Read More

26. A national economic boom based on natural resources is likely to harm other sectors of the economy, particularly manufacturing firms. Read More

27. Large salaries for senior business executives are less a reflection of an individual's current contribution to a firm's overall performance than a 'prize' for those who put in the effort to achieve one of the top positions. Read More

28. Most European countries have larger social welfare systems than the United States in part because the latter is more heterogeneous by race and ethnicity. Read More

29. Laws to prevent high prices for essential goods in short supply in a crisis would raise social welfare. Read More

30. Governments should buy essential medical supplies at what would have been the market price and redistribute according to need rather than ability to pay. Read More

31. Letting publicly traded European firms report earnings annually rather than quarterly would lead their executives to place more weight on long-term issues in their investments and other decisions. Read More

32. A switch from quarterly to annual earnings reports would, on net, benefit shareholders of European firms. Read More

33. Europeans would benefit more from an extra €1 billion of public R&D spent through existing (public) channels than from an extra €1 billion of private R&D spent through existing (private) channels, all else equal. Read More

34. Holding labor market institutions and job training fixed, rising use of robots and artificial intelligence is likely to increase substantially the number of workers in advanced countries who are unemployed for long periods. Read More

35. Rising use of robots and artificial intelligence in advanced countries is likely to create benefits large enough that they could be used to compensate those workers who are substantially negatively affected for their lost wages. Read More

36. Allowing short selling of financial securities, such as stocks and government bonds, leads to prices that, on average, are closer to their fundamental values. Read More

37. Requiring investors to disclose short positions in a stock at the equivalent threshold as they are required to do for long positions would result in significantly less short selling. Read More

38. Regulatory restrictions on short selling - such as no naked shorts, temporary bans in times of crisis - make it difficult for optimists and pessimists to have equal influence on asset prices. Read More

39. To the extent that public corporations pursue social and environmental initiatives, they tend to achieve higher risk-adjusted (private) returns than otherwise similar corporations that pursue such initiatives less. Read More

40. Having companies run to maximize shareholder value creates significant negative externalities for workers and communities. Read More

41. Appropriately managed corporations could create significantly greater value than they currently do for a range of stakeholders – including workers, suppliers, customers and community members – with small impacts on shareholder value. Read More

42. Effective mechanisms for boards of directors to ensure that CEOs act in ways that balance the interests of all stakeholders would be straightforward to introduce. Read More

43. A ban on advertising junk foods (those that are high in sugar, salt and fat) would be an effective policy to reduce child obesity. Read More

44. The European Union goal of reaching net zero emissions of greenhouse gases by 2050 will be a major drag on economic growth. Read More

45. Carbon taxes are a better way to implement climate policy than cap-and-trade. Read More

46. A wealth tax would be an effective way to reduce inequality. Read More

47. A public policy goal that could be accomplished with a well-enforced wealth tax could be accomplished at lower cost with modifications to existing taxes, such as income tax, capital gains tax, inheritance tax and property tax. Read More