Green growth? Evidence from energy taxes in Europe

Tim Besley, John Van Reenen, 31 January 2013The latest GDP figures confirm that the UK economy has been more or less flat-lining since the financial crisis began. This column presents the LSE Growth Commission’s integrated recommendations for reigniting UK growth, arguing that an inability to achieve sustainable growth is rooted in longer-term problems arising from a failure to invest, notably in skills, infrastructure and innovation.

Guest blog post by Matt Erskine, Acting Assistant Secretary of Commerce for Economic DevelopmentOver the next two days, I will join several colleagues for a rural swing in North Carolina and Louisiana to promote jobs and innovation. Along with Deputy Under Secretary for USDA Rural Development Doug O’Brien, Appalachian Regional Commission Federal Co-Chair Earl F. Gohl, and Delta Regional Authority Federal Co-Chairman Christopher Masingill, I will attend events in rural America and tour two projects that were among the 13 winners of this year’s Rural Jobs and Innovation Accelerator Challenge. The Rural Jobs Accelerator—designed by the Taskforce for the Advancement of Regional Innovation Clusters and the White House Rural Council—is a joint effort of 13 federal agencies, working together to help accelerate economic and job growth across rural regions. It is a great example of collaboration across federal agencies to pool resources and identify new, innovative ways to create an economy built to last. Since taking office three and one-half years ago, President Obama has been deeply committed to strengthening rural economies all across America—helping to create jobs, support business growth, and expand opportunity for rural Americans. The administration has advanced new policies and initiatives and made significant investments in rural communities. The Rural Jobs Accelerator builds on those goals, seeking to foster job creation and business innovation in these communities.

By Bill Maurer: After the bell on Wednesday, Green Mountain Coffee Roasters (GMCR) released its fiscal third quarter results.

Last week, I discussed how the rampant subsidization of "green industries" like US biofuels manufacturers, combined with increased US government efforts to increase exports, could lead to an onslaught of new trade cases in foreign markets or the WTO, as subsidized American "green" exports began to penetrate foreign markets and injure (or threaten) their competition.  Noting a new Australian anti-subsidy case against US biofuels, I said at the time:

Britain is a huge market for Amazon, the U.S. online retailing giant, accounting for as much as 25% of its total sales outside the United States, or more than $5 billion annually. The company also employs about 15,000 staff in the U.K. But it paid less than $3 million in tax to the British Inland Revenue last year. How so?

Wouter den Haan, Vincent Sterk, 8 November 2011Financial institutions played a leading role in the global crisis, and policymakers are under pressure to do something about them. This column argues that before any draconian measures are passed, we need to be reminded of the benefits of the financial sector and the innovation it provides. Full Article: The myth of financial innovation and the Great Moderation

William Kerr, William Lincoln, 15 July 2010How does high-skilled immigration affect innovation in receiving countries? This column examines how large fluctuations in the admissions levels of H-1B visa holders between 1995 and 2008 influenced US patenting. It suggests higher H-1B admissions increased US innovation through the direct contributions of the immigrants without crowding out those of natives.Full Article: Immigrants and US Innovation

Nune Hovhannisyan, Wolfgang Keller, 20 April 2010Volcano-linked flight restrictions have brought Europe’s business travel to a halt; does it matter? This column describes recent research that demonstrates that short-term cross-border travel is critical to technology transfer and innovation – crucial factors behind economic growth. Full Article: International business travel and innovation: Face-to-face is crucial