Action Policy Digest – April 2018

Autore : Action Institute

Data: 14-05-2018

Tipo: Other

Tematica: Action Institute

Organized as a monthly newsletter, it presents an overview of the current international policy debate. You find below a selection of the best ideas from the most influential think tanks, structured in four areas: (i) Finance, (ii) Innovation and Development, (iii) European Affairs and (iv) Social Policy.




ee68f6c7-93d5-4958-88cb-130fd5dd38e2.pngCentral banks in the age of populism“. Two years of elections have shown that we live in an age of increasing political and economic populism. What are the consequences of that for central banks? The authors explore opinions about it, from both 2017 and more recently.

30c133fa-0102-46b4-a776-b097cbdb12c7.png “Low risk as a predictor of financial crises“. Reliable indicators of future financial crises are important for policymakers and practitioners. While most indicators consider an observation of high volatility as a warning signal, this column argues that such an alarm comes too late, arriving only once a crisis is already under way. 


7fb2ff47-6c50-4505-b8bf-ca0814cce857.png “How the Powell Fed will raise interest rates“. After years of keeping its keyshort-term interest rates near zero, the Federal Reserve has begun raising them. But it is not raising rates in exactly the same way that it used to. Here’s a primer. 




30c133fa-0102-46b4-a776-b097cbdb12c7.png “Job substitution does not equal job disappearance: Employment and education policies in the era of AI and robotics“. This column discusses how individuals, firms, and policymakers can interact in order to best utilise human capital for valuable work, while AI and robots are used to automate those jobs that are less desirable or where labour shortages currently exist. 



ee68f6c7-93d5-4958-88cb-130fd5dd38e2.png “Capital Markets Union and the Fintech Opportunity“. Fintech has the potential to change financial intermediation structures substantially. It could disrupt existing financial intermediation with new business models empowered by intelligent algorithms, big data, cloud computing and artificial intelligence. 


203fcdc1-d0c5-40cc-af4f-0c89fbe7d8fb.jpg “European Patent Office sees record number of applications in 2017“. China continues innovation surge, with technology firm Huawei rising to the top. But there has was no progress with Europe’s unitary patent. 





ee68f6c7-93d5-4958-88cb-130fd5dd38e2.png “Cash outflows in crisis scenarios: do liquidity requirements and reporting obligations give the SRB sufficient time to react?“. Bank failures have multiple causes though they are typically precipitated by a rapidly unfolding funding crisis. The European Union’s new prudential liquidity requirements offer some safeguards against risky funding models, but will not prevent such scenarios.



1475251c-7333-41b4-b26f-707a3e2650ab.png “Domestic banks as lightning rods? Home bias during the eurozone crisis“. European banks have been criticized for holding excessive domestic government debt during economic downturns, which has been interpreted as indicative evidence of moral suasion. By using a novel bank-level dataset covering the entire timeline of the eurozone crisis, the author first re-confirm that the crisis led to the reallocation ofsovereign debt from foreign to domestic banks. (Le banche europee sono state spesso accusate di detenere un ammontare eccessivo di debito nazionale, segnale interpretato come chiara prova di moral suasion. Ricorrendo ad un dataset che copre l’intero periodo della crisi dell’Eurozona, l’autore conferma che la crisi ha portato ad una riallocazione del debito sovrano da banche straniere a banche nazionali.)



ee68f6c7-93d5-4958-88cb-130fd5dd38e2.png “Do wide-reaching reform programmes foster growth?“. With growth gathering momentum in the eurozone, some have claimed this is the proof that structural reforms implemented during the crisis are working, re-opening the long-standing debate on the extent to which reforms contribute to fostering long-term growth(Molti ritengono che la rinnovata crescita nell’Eurozona dimostra che le riforme strutturali pensate durante la crisi stanno funzionando e che è necessario ritornare a discutere fino a che punto tali riforme sono in grado di contribuire alla crescita di lungo periodo.)



1475251c-7333-41b4-b26f-707a3e2650ab.png “European Supervisory Authorities still playing second fiddle to national financial regulators“. Three European Supervisory Authorities (ESAs) – EBA, ESMA and EIOPA -European Banking Authority (EBA), European Securities and Markets Authority (ESMA) and European Insurance and Occupational Pensions Authority (EIOPA) have been established to contribute to the stability and efficiency of the financial system by coordinating micro-prudential supervision and preparing secondary and tertiary legislation. (Tre Autorità di Supervisione Europee – EBA, ESMA e EIOPA – sono state create per facilitare la stabilità e l’efficienza del sistema finanziario, coordinando la supervisione micro-prudenziale e collaborando alla realizzazione di legislazione secondaria e terziaria.)





30c133fa-0102-46b4-a776-b097cbdb12c7.png “Income redistribution through taxes and transfers across OECD countries“. Growing wealth inequality has become a key concern for economists, and tackling it requires a deep understanding of how tax and transfer systems affect the income distribution. Using OECD data, this column argues that taxes and transfers are less effective at reducing inequality today than they were in the mid-1990s. (Il crescente aumento dell’ineguaglianza è diventato una preoccupazione sempre più incalzante per gli economisti, ma – per essere affrontato – richiede una profonda conoscenza dei sistemi di tassazione e redistribuzione. Ricorrendo a dati OCSE, questo articolo dimostra che tasse e trasferimenti sono meno efficienti per ridurre il divario a forbice oggi di quanto non lo fossero a metà degli Anni Novanta.)


Let me remind you that credit is the lifeblood of business, the lifeblood of prices and jobs.

Herbert Hoover […]


Good health is essential to social and economical development and it empowers all of the public sectors.

World Health Organization […]


Innovation is the specific instrument of entrepreneurship. The act that endows resources with a new capacity to create wealth.

Peter Drucker […]

Human Capital

Talent is a source from which water flows constantly renewed. But this source loses its value unless it is properly used.

Ludwig Wittgenstein […]