This paper presents empirical evidence on the role that policy and institutional settings in both product and labour market play for productivity and firm dynamics. It exploits a new firm-level database for ten OECD countries and industry-level data for a broader set of countries, together with...

This paper discusses links between policy settings, institutions and economic growth in OECD countries on the basis of cross-country time-series regressions. The econometric approach allows short-term adjustments and convergence speeds to vary across countries, imposing restrictions only on the...

Finland is committed to high quality and extensive public services and a high level of income redistribution. The heavy tax burden these commitments require is becoming increasingly difficult to sustain due to tax competition and the need to harmonise certain taxes with other EU countries. These...

The establishment of competitive markets has been one of the cornerstones Hungarian economic policy over the past decade, alongside a successful strategy of attracting foreign investment. Broad statistical measures show no signs of endemically weak domestic competition, though the country’s...

The Hungarian government has recently been focusing on innovation policy as part of a wider campaign to improve the business environment. This paper first underscores the importance of a good general business climate in encouraging both formal and informal R&D activity as well as ensuring...

Hungarian family policy focuses on providing generous options to take time off work to look after children. This system not only contributes to Hungary’s low employment rate but encourages long separation from the labour market, has largely failed to significantly influence fertility rates and...

This paper examines the recent literature on economic growth with a focus on policy issues and evidence relevant to OECD countries. The review begins with an overview of developments in the theory of economic growth and also comments generally on the nature of evidence exploring the influences...

The Czech Republic faces one of the largest demographic challenges in the OECD area and making sure the public pension system is able to cope with rapid population ageing is important for long-term fiscal stability and social welfare. This paper assesses five proposals for pension reform made in...

This paper looks at ways of ensuring Czech regions and municipalities are fully motivated to make efficiency improvements in public service provision and so help achieve countrywide fiscal sustainability. The very large number of small municipalities in the Czech Republic means that scale...

Israel’s education system is complicated by multiple streams at the primary and secondary levels and by military conscription. Population growth and economic expansion have brought a massive increase in demand for all levels of education. Educational attainment statistics are impressive, but...