Despite some recent falls, European electricity remains expensive, both compared to recent history and to the process available in other large economies. According to the International Energy Agency, electricity prices fell relatively quickly in most major markets in 2024, and yet, outside of the United States, remain elevated: Wholesale electricity prices declined further in many […]
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.
This European survey examines (a) The high cost of electricity for industrial users in the European Union relative to other big economies is a substantial constraint on growth; (b) Problems with the intermittency of renewable energy sources mean that over the next five years, electricity prices are more likely to rise than fall; (c) Substantial European investment in electricity infrastructure is essential to address high prices and unreliable supply
This US survey examines (a) A sustained decline in the dollar's market share in the global economy will mean that US consumers are substantially worse off than they otherwise would be; (b) A permanently weaker dollar would substantially raise the US government's cost of financing its deficits
Digital markets present policymakers with a quandary. This arises partially from the fact that, in the grand scheme of things, they remain a relatively recent phenomenon, and so, unlike many other markets, decades of data and evidence on how they typically develop and operate are still lacking. The contours of the debate were neatly set […]
American science may be under threat. Last week, the Financial Times looked at the potential impacts of the Trump administration’s cuts to science funding. As the FT reported: Last month, almost 2,000 researchers including dozens of Nobel Prize winners issued an open letter raising the alarm. “We see real danger in this moment,” said the […]
This US survey examines (a) The current antitrust laws and regulations in the United States are inadequate for preventing digital platform firms from engaging in acquisitions and exclusionary conduct that harm competition; (b) Background on the Digital Markets Act: https://digital-markets-act.ec.europa.eu/index_en; Digital markets would work better if, in a manner broadly similar to the European Union’s Digital Markets Act*, criteria were established to designate some large firms as 'gatekeepers' and a regulatory body was established to govern the business practices of those gatekeepers
The market for US Treasurys has a strong claim to being the most important of all financial markets. To a greater or lesser extent, most other markets are – to some degree at least – priced in relation to it. It provides the benchmark, or risk-free rate, against which riskier assets are priced. And in […]
This European survey examines: New funding and immigration schemes to attract top scientific talent from abroad to EU universities would have a measurable impact on European innovation over a five year horizon
