Chris Sims, who passed away in March 2026, reshaped modern macroeconomics by insisting that theory and data speak together. F Bianchi, M Del Negro, G Primiceri, & F Schorfheide reflect on his contributions to the profession and the impact he had on those he taught. cepr.org/voxeu/column... #EconSky

A Cesa-Bianchi, @apferrero.bsky.social @lucafornaro.bsky.social & M Wolf examine how industrial policies shape global imbalances. Countries negatively affected by those imbalances should include industrial and innovation policies as part of their policy toolkit. cepr.org/voxeu/column... #EconSky

Lars Calmfors surveys the pros and cons of Sweden joining the euro. Political integration concerns have gained more importance in an increasingly unstable world at the same as differences in economic consequences between membership & non-membership appear limited. cepr.org/voxeu/column... #EconSky

Despite the easing of the labour market, unemployment has not risen in the EU. Kristine Van Herck, Áron Kiss, & Alessandro Turrini argue that the declining hiring rate for discouraged workers may suggest that a turning point is within reach. cepr.org/voxeu/column... #EconSky

Angus Foulis‬, Jonathon Hazell, @atifrmian.bsky.social, & Belinda Tracey ‪study the impact that UK mortgage refinancing had on household spending behaviour. Rate increases led to lower cash-on-hand and lower household spending, with spending rising following a cut. cepr.org/voxeu/column... #EconSky

The alignment of global economic governance is shifting. Dennis Snower argues that the 2027 UK Presidency of the G20 has the opportunity to advance a transformation of the institution, positioning it as a platform for managing the complexities of the 21st century. cepr.org/voxeu/column... #EconSky

Steven Davis, Cevat Giray Aksoy, Jose Maria Barrero, @nickbloom.bsky.social, Katelyn Cranney, @mathiasdolls.bsky.social, & Pablo Zarate find that both planned and realised fertility are higher among adults who work from home at least one day a week. cepr.org/voxeu/column... #EconSky

Wenyin Cheng, David Liang, Bo Meng, & Hongyong Zhang present new evidence from China showing that subsidies do more than support individual firms - they ripple through domestic supply chains, boosting downstream exports and product quality. cepr.org/voxeu/column... #EconSky

SK Pradhan, E Prasad, E Takáts, & J Temesvary examine the role of the US$ in denominating international debt securities. Closer alignment of a country's domestic currency w/ a reserve currency is associated w/ higher shares of debt issuance in that reserve currency. cepr.org/voxeu/column... #EconSky

When young immigrants were shut out of South Korea during COVID, firms did not simply substitute native workers. Instead, many contracted, some exited & some reallocated domestic workers to lower-skill tasks at lower wages Jongkwan Lee, Giovanni Peri, Hee-Seung Yang cepr.org/voxeu/column... #EconSky

Divergence between business investment in digital & non-digital assets intensified from the mid-2010s. P Gal, J Hooley, F Ozturk, & F Unsal show the strong investment performance of the US relative to the rest of the OECD is almost exclusively a digital phenomenon. cepr.org/voxeu/column... #EconSky

Y Cao, C Freudenberg, & B Bonthuis show that China's demographic transition is a joint growth and fiscal headwind: the economy slows just as ageing-related spending pressures intensify. The 2024 retirement reform mitigates some of the issues, but more is needed. cepr.org/voxeu/column... #EconSky

Diversification away from the US$, rising central bank gold reserves, and the stalling of renminbi internationalisation are unlikely to have immediate impacts on the international system. Weaking of the $ safe haven status would be a more serious challenge. cepr.org/voxeu/column... #EconSky

What triggered January 6? In the latest VoxTalks Economics @ksonin.bsky.social discusses new research using mobile data to analyse the drivers of participation in January 6 — highlighting the role of partisanship, isolation, and local election dynamics. Listen: cepr.org/multimedia/w... #EconSky

Biagio Bossone argues that the neutrality of CBDC with regards to credit creation and bank profitability hinges not only on funding substitution but also on preserving the liquidity economics of deposit banking. cepr.org/voxeu/column... #EconSky

S Baslandze, L Liu, E Sojli, & W Wah Tham show that foundational process innovations have far more profound implications for sustained growth. Countries that generate more foundational process innovations experience higher growth rates in the following 4 years. cepr.org/voxeu/column... #EconSky

@eduardoyeyati.bsky.social argues that automation is the right place to start the debate about AI and jobs but not the whole problem. The relevant race in the AI transition is now more to do with adoption speed versus retraining capacity. cepr.org/voxeu/column... #EconSky

@ahlfeldt.bsky.social, Nathaniel Baum-Snow, & Remi Jedwab analyse over 11,000 urban agglomerations to show that vertical growth of cities enhances land efficiency, reduces commuting, and boosts worker welfare. cepr.org/voxeu/column... #EconSky

Pieter Hasekamp & Martin Larch present findings from the EFB's first implementation review of the 2024 Stability & Growth Pact reform, showing uneven results. Timely and even-handed enforcement will be essential to earn the credibility of the new rules. cepr.org/voxeu/column... #EconSky

A 1999 Polish pension reform moved the country toward a notional defined contribution system, strengthening contribution-benefit links. E French, A Lindner, @cormacodea.bsky.social @tomzawisza.bsky.social find evidence of strong employment effects following reform. cepr.org/voxeu/column... #EconSky

Can blockchain decentralise money, contracts, and finance? Bruno Biais discusses findings from the LTI Report V on what blockchain has achieved and why its future may depend on balancing decentralisation with transparency and regulation. cepr.org/multimedia/c... #EconSKy

👉No time to read the whole report? VoxEU has the summary you need: cepr.org/voxeu/column... #EconSky

@abergeaud.bsky.social, Ruveyda Nur Gozen, & @johnvanreenen.bsky.social exploit two centuries of patent data to show that technological progress can be fostered through long-run investments in R&D, education, and national security. cepr.org/voxeu/column... #EconSky

During the 2022 European energy crisis, Finnish data show that low-income households saw the least scope to adjust to increasing electricity prices & experienced greater financial strain. @ahlviklassi.bsky.social @tumek.bsky.social Matti Liski & @iivoi.bsky.social cepr.org/voxeu/column... #EconSky

What can Europe aspire to become by 2050? Olivier Blanchard, Pascal Lamy, Enrico Letta & @wederdim.bsky.social announce CEPR's new Europe 2050 initiative that seeks to provide a roadmap to an ambitious, integrated, sustainable, and democratic future. Discover more: cepr.org/voxeu/column... #EconSky

Leonardo Bursztyn, Ewan Rawcliffe, & Hans-Joachim Voth use data on German fighter pilots during WWII to show that a tiered, expanding systems of status-based awards can induce repeated bursts of effort from high-ability workers. cepr.org/voxeu/column... #EconSky

Z Jiang, H Lustig, S Van Nieuwerburgh & M Xiaolan use data from 300 years of US & UK history to show wars & pandemic-scale emergencies consistently produced large real losses for bondholders, challenging the conventional notion that government bonds are safe assets. cepr.org/voxeu/column... #EconSky

Banks have increasingly reallocated lending towards non-bank financial intermediaries. In doing so, they cut back on firm lending, with smaller and riskier firms bearing the largest contractions in borrowing and overall debt. J Li, Y Ma, C Mendicino, D Supera cepr.org/voxeu/column... #EconSky

🎧 VoxTalks Economics: Will AI transform economic growth? Anton Korinek discusses new research on how AI automating AI research could create powerful feedback loops in innovation—potentially accelerating economic growth. Listen here: cepr.org/multimedia/w... #EconSky

S Bigio, @dkaenzig.bsky.social, P Sánchez, & @conorwalsh.bsky.social show the economic costs of carbon policy-induced energy price increases are economically meaningful & highly uneven across households, w/ young and low-income households bearing the largest burden. cepr.org/voxeu/column... #EconSky

@virginiaminni.bsky.social finds exposure to a foreign manager w/ more progressive views on gender reduces the gender pay gap by 4.9 percentage points at no cost to male employees. The impact is stronger in countries with more conservative prevailing gender norms. cepr.org/voxeu/column... #EconSky

Survey data from the US, UK, Germany & Australia show around 70% of firms actively use AI, but 80% report no impact on productivity or employment in the past 3 years. However, they forecast a 1.4% productivity boost and employment cuts of 0.7% in the next 3 years. cepr.org/voxeu/column... #EconSky

The composition and flexibility of government spending are as important as its size. Luiz de Mello & Joao Tovar Jalles show that higher rigidity is associated with larger cuts to public investment and reduces the likelihood of entering a consolidation episode. cepr.org/voxeu/column... #EconSky

Jonathan Portes & @johnspringford.bsky.social find that the decision to leave the EU made only a modest difference to the number of foreign born workers in Britain, but led to a dramatic shift in their countries of origin. cepr.org/voxeu/column... #EconSky

K Forbes, J Ha, & M. A Kose show global shocks now account for half of the variation in interest rates, they have more persistent effects on inflation, & are associated w/ monetary tightening. Central banks also appear less willing to 'look through' global shocks. cepr.org/voxeu/column... #EconSky

J Arellano-Bover & S San use evidence from Jews who immigrated to Israel from the former USSR in the 90s & were granted citizenship upon arrival to show policies that delay unrestricted work authorisation may slow access to better firms & delay convergence. cepr.org/voxeu/column... #EconSky

Erwan Gautier et al. provide new evidence on the stickiness of consumer prices in the euro area during the 2021-2024 inflation episode. Euro area inflation did not simply reflect higher inflation, but also a different repricing behaviour. cepr.org/voxeu/column... #EconSky

J Brown, @ryanenos.bsky.social, E Cantoni, @vinpons.bsky.social, & E Sartre find an increase in partisan segregation in the US even at very local levels. Generational change and Democrats leaving their party explain a large share of the rise of partisan segregation. cepr.org/voxeu/column... #EconSky

A Beschin, J Paredes, G Polichetti, & T Renault use data from 11 euro area countries to estimate the Phillips curve and show that inflation still responds to economic slack, but the relationship is more modest and largely shaped by inflation expectations. cepr.org/voxeu/column... #EconSky

Christos Makridis & Jason Schloetzer show that once compensation, workforce environment, and task and manager quality are controlled for, the contribution of remote work to job satisfaction is smaller and more conditional than is often suggested. cepr.org/voxeu/column... #EconSky

Katharina Bergant, Andrés Fernández Martin, Ken Teoh, & Martín Uribe show that capital account controls are only a small part of a much wider toolkit of cross-border flow restrictions, spanning current account, FX market, and financial sector measures. cepr.org/voxeu/column... #EconSky

By mid-2025, US establishments in areas w/ the highest share of Canadians among visitors employed roughly 6% fewer workers relative to establishments in less exposed markets, w/ a 25% overall decline in Canadian visits to the US in 2025. A Kurmann, E Lalé, J Martin cepr.org/voxeu/column... #EconSky

@ibanares-sanchez.bsky.social, Robin Burgess, Dávid László, Pol Simpson, @johnvanreenen.bsky.social, & Yifan Wang show that Chinese local government subsidies to produce, install, and perform solar R&D were a major cause of the industry's explosive growth. cepr.org/voxeu/column... #EconSky

Dirk Niepelt argues that CBDC is not just another digital payment tool, but state-issued money with the potential to fundamentally reshape monetary systems. Political economy will determine whether it will become a significant factor. cepr.org/voxeu/column... #EconSky

Lars Jonung examines archival material from the Nobel Committee in Oslo to understand why, despite being nominated three times in the 1920s, John Maynard Keynes did not win the Nobel Peace Prize for writing “The Economic Consequences of the Peace”. cepr.org/voxeu/column... #EconSky

D Revoltella, A Kolev, L Maurin, E Sinnott, & T Bending (@eib.org) argue that while the EU has shown remarkable resilience, future European investment growth will depend on an acceleration of private investment, driven by the untapped potential of the single market. cepr.org/voxeu/column... #EconSky

Mobilisation of underrepresented groups, remote working, wage flexibility, and a narrowing of the gap between wages offered by companies and demanded by workers have all helped compensate for wartime labour market frictions in Ukraine. G Anastasia, T Boeri, O Zholud cepr.org/voxeu/column... #EconSky

William Goetzmann, Dong Huang, & Milad Nozari use #blockchain records to reveal what investors in the #NFT market actually earned. They show that the price rise was extraordinary, but ultimately driven by a tiny number of extreme winners. cepr.org/voxeu/column... #EconSky

Antonio Minniti, Klaus Prettner, Francesco Venturini, & David Bloom find that European regions with more intense #AI patenting tend to experience a decline in the labour share of income, indicating that AI acts as a capital-biased innovation. cepr.org/voxeu/column... #EconSky

Joana Baptista, Marco D'Errico, Loriana Pelizzon, Tuomas Peltonen, & Richard Portes summarise the findings of a recent ESRB report that uncovers a range of imperfections in the credit default swap market and provide policy recommendations aimed at improving it. cepr.org/voxeu/column... #EconSky