Since 2016, Saudi Arabia’s Vision 2030 reforms have improved governance, business regulations, capital markets, the labor market, and the external sector, narrowing structural gaps with frontier economies and improving economic performance. This paper summarizes progress, estimates the output...

Global trade flows and supply chains adjust gradually. Empirical estimates of the trade elasticity for the short run are a fraction of those for the long run and suggest that trade is subject to substantive dynamic frictions. We develop a tractable framework that provides microfoundations for...

Under China's dual circulation strategy, traditional industries that are highly dependent on international supply chains face significant challenges requiring restructuring. This study develops a multi-scale analytical model that integrates the Global Trade Analysis Project (GTAP) with the...

Europe has a large and persistent per capita income gap with the United States. Deficiencies in total factor productivity, labor utilization, and capital intensity all play a role. While deeper intra-Europe integration is one key element towards closing these gaps, remaining structural domestic...

EU Missions are large-scale initiatives under Horizon Europe designed to tackle major global challenges, such as climate change, cancer, soil health, ocean restoration, and the development of climate-neutral and smart cities. They set clear, time-bound goals and bring together research, policy,...

A fundamental problem for sovereigns enacting climate policies is whether they can manage increasing debts as their economies suffer from adverse climate impacts. We develop stochastic debt sustainability analysis integrating a coupled climate-economy model with debt financing scenario...

Background: Corporate bonds are crucial for corporations as they provide a flexible and often less costly alternative to equity financing. However, rising corporate debt levels, along with rating downgrades and economic uncertainty, can cause corporations to face financial distress, exacerbating...

The spatial dimension is central to future adaptation due to the uneven expected damages in the EU. Damages will not only be local, but would spread out to unaffected regions through spatial linkages. Trade, a key dimension of these linkages, is vulnerable to climate damages and current...

We study the social and distributional implications of the euro area (EA) sovereign debt crisis in countries that received external financial assistance for macroeconomic adjustments. Combining granular data from about one million survey interviews with households across euro area states carried...

We investigate how firms adjust to demand shocks when wages and employment determination are regulated. Using firm-level data for the Italian metal engineering industry from 2009 to 2021, we estimate the elasticity of the wage bill to changes in firm's real sales. We disentangle the effect on...

This paper examines the lasting influence of neoliberalism on urban planning and policy in the Global South, shaped significantly by the Structural Adjustment Policies (SAPs) promoted by International Financial Institutions (IFIs) during the 1980s and 1990s. These policies introduced key...

This serves as the lead section of the 2024-2025 Philippine Institute for Development Studies (PIDS) Economic Policy Monitor (EPM). It examines the overall performance of the Philippine economy in 2024 and, where data permit, up to the third quarter of 2025. The discussion situates the country's...

Economic shocks-arising from pandemics, natural disasters, financial crises, or geopolitical conflicts-pose significant challenges to governments, requiring swift and effective fiscal responses. This study employs a Generalized Method of Moments (GMM) estimation to analyze time-series data from...

The impacts of the green and the digital transitions on the regional economic structure of the European Union are of paramount importance and have been at the forefront of the recent policy discussions. This paper contributes to the ongoing discussion by developing a composite indicator to...

Botswana faces growing fiscal challenges driven by declining diamond revenues, rigid expenditure, and weakened fiscal institutions, contributing to elevated fiscal deficits and rising public debt. These pressures underscore the need for timely reforms to safeguard fiscal and external...

Over the last decades, Uruguay has made significant progress in advancing structural reforms, positioning itself as a regional leader in governance, macroeconomic stability, and trade openness. However, despite these achievements, economic convergence has stalled, and key structural gaps remain....

Iraq’s non-oil economic growth has been slow, constrained by low productivity, limited investment and an inefficient use of human capital. Against the background of an excessive dependency on oil, an outsized public sector footprint, a fragile political context, and lingering institutional and...

This study examines the economic implications of Russia-Ukraine conflict has had on business operations in Ukraine and Lithuania. It seeks to examine how businesses have responded to the turmoil emanating from the conflict by breaking down disruptions in supply chains, regulatory adjustments as...

The chapter provides an introduction to and overview of the edited volume entitled Rethinking Economic Transformation for Sustainable and Inclusive Development: Turning a Corner? It addresses the imperative to reimagine development pathways and make headway in economic and social progress and...

Climate change adaptation has been gathering momentum. At COP26 in 2021, the parties to the UNFCCC agreed to develop a work programme to deliver on the global goal on adaptation; at COP28, in December 2023, they adopted the framework for achieving that goal. Adaptation efforts should be led...

Oman's potential nonhydrocarbon real GDP growth has trended downward since the global financial crisis, with a negative contribution from total factor productivity. This paper estimates productivity gains associated with structural reforms and identifies key binding constraints and reform...

This paper scrutinizes the issue of economic resilience, aiming to detect the existence of a systematic link with economic specialization. To this end, the paper conducts an empirical analysis at the local (i.e., municipal) level of Greece during the economic crisis period (2009-2015), providing...