Climate change can cause large economic disruptions by introducing new risks to supply chains and changing demand patterns. This economic memo explores how climate change, via its impact on global temperatures, transmits to inflation in Europe, with a countryspecific focus on Denmark, Norway and...

This paper studies the volatility of electricity spot prices in the Nordic market (Sweden, Finland, Denmark, and Norway) under regime switching. Utilizing Markov-switching GARCH (Generalized Autoregressive Conditional Heteroskedasticity) models, we provide strong evidence of nonlinear regime...

In this paper we estimate social mobility rates, free of measurement errors, using register data for Denmark and Sweden, 1968 to 2021. To correct for measurement error attenuation, we take ratios of the correlation of relatives at different locations in family trees, such as cousins relative to...

This paper explores post-pandemic developments and analyses post-COVID matching dynamics in the Nordic labour markets. It also discusses the role of institutions and the policies implemented to address labour market mismatch in the region. The COVID-19 pandemic brought about a recession, with a...

We investigate long-run earnings responses to taxes in the presence of dynamic returns to effort. First, we develop a theoretical model of earnings determination with dynamic returns to effort. In this model, earnings responses are delayed and mediated by job switches. Second, using...

We study the effect of peer coaching separately from the effect of training on teachers' implementation of new teaching techniques. We conducted a preregistered field experiment involving 68 teachers and 1,490 students in Denmark. Teachers in an active control group took part in a teaching...

Policymakers, public commentators, and researchers often cite the Nordic countries as examples of a social and economic model that successfully combines low income inequality with prosperity and growth. This article aims to critically assess this claim by integrating theoretical perspectives and...

In international comparison, dual systems of vocational education and training are often considered to be more successful than school-based systems for managing sustainable transitions from school to work. This assessment is particularly valid for Switzerland, while the German dual system has...

We seek to understand the welfare of dairy cattle in Denmark from 1750 to 1900, a period marked by significant agricultural development and industrialization. By applying contemporary animal welfare metrics to historical data, we uncover a detailed picture of how bovine welfare evolved. Our...

I present empirical results on the contribution of three key drivers of inflation in Denmark: an inflation trend anchored by inflation expectations; the Danish business cycle; and an energy price cycle. All three drivers contribute significantly to the development of inflation and explain most of...

The ratio of pension assets to GDP in Denmark is the highest among OECD countries. Danish pension funds invest more than half of the country's pension wealth in foreign assets, giving rise to exchange rate risks that are managed using financial instruments. We study the currency hedging...

Kaliningrad Oblast was created as a war trophy and a symbol of Soviet victory over Nazi Germany in 1945/1946. For nearly seven decades, it played a strictly military role in Soviet and Russian foreign policy, mostly limited to its Baltic Sea surroundings. This changed when Vladimir Putin came...

The Russian war on Ukraine brought many surprises, one of which was the establishment of the International Legion for Defence of Ukraine. Thousands of international volunteers from numerous countries including Denmark flocked to join the legion - some veterans from their national armies, some...

Publicly funded pension systems are facing the challenge of remaining financially sustainable without lowering pensions. Raising the statutory retirement age gradually in line with the increase in life expectancy has been a key measure to solve the problem. The implicit assumption is that the...

An important monetary transmission channel works through the impact of interest rate changes on non-financial firms' investment decisions. Higher monetary policy rates affect firms' investment decisions by raising the costs of external financing and lowering aggregate demand for goods and...

We use the Disaggregated Economic Accounts (DEA) model, developed by Andersen et al. (2023), to study the consequences of an increase in Danish pharmaceuticals exports. The model predicts that consumption and output increase following an increase in pharmaceutical export, but that the increase...

The past decade ushered in an almost historic backslide towards more autocratic forms of governance. Today, for the first time in almost thirty years, the world has more closed autocracies than liberal democracies, and the past two years alone have seen nine new countries move into this...

Publicly funded pension systems are facing the challenge of remaining financially sustainable without lowering pensions. Raising the statutory retirement age gradually in line with the increase in life expectancy has been a key measure to solve the problem. The implicit assumption is that the...

This paper replicates and extends the evidence on the lifetime effects of school starting age on earnings by Fredriksson and Öckert (2014) for Sweden. Using German data for individuals born between 1945 and 1965, we examine a more rigid system of ability tracking in secondary education, a...

Contractions in credit supply can lead firms to reduce their level of employment, yet little is known about how these shocks affect the composition of firms' employees and outcomes at the worker level. This paper investigates how bank distress affects credit provision and its effects on...

This case study focuses on European sprat (Sprattus sprattus) for human consumption in Poland, Denmark and Sweden, which are the 3 main sprat producers in the EU in terms of catches and landings and have distinctive profiles in terms of uses for the fish.

The Education and Training Monitor's country reports present and assess the main recent and ongoing policy development at all education levels in the 27 EU Member States. They give the reader more in-depth insight into the performance of a country as regards the EU-level targets agreed within...

The Education and Training Monitor's country reports present and assess the main recent and ongoing policy development at all education levels in the 27 EU Member States. They give the reader more in-depth insight into the performance of a country as regards the EU-level targets agreed within...

The Education and Training Monitor's country reports present and assess the main recent and ongoing policy development at all education levels in the 27 EU Member States. They give the reader more in-depth insight into the performance of a country as regards the EU-level targets agreed within...

In a dual income tax (DIT) system, labor income is taxed progressively, while capital income is subject to a lower proportional tax. DIT systems were introduced in Sweden, Norway, and Finland in the early 1990s. In the absence of rules restricting capital income distributions, owners of...

The European Green Deal aims for a 90% reduction of greenhouse gas emissions for transport. Different policies are in place to achieve this goal, including standards on CO2 vehicle emissions, public procurement rules, or the recently adopted Alternative Fuels Infrastructure Regulation (AFIR)....