A comparison of the economic and environmental performances of conventional and organic farming: evidence from financial statements

While conventional farming systems face serious problems of sustainability, organic agriculture is seen as a more environmentally friendly system since it favours renewable resources, recycles nutrients, uses the environment’s own systems for controlling pests and diseases, sustains ecosystems, protects soils, and reduces pollution. At the same time organic farming promotes animal welfare, the use of natural foodstuffs, product diversity and the avoidance of waste, among other practices. However, the future of organic agriculture will depend on its economic viability and on the determination shown by governments to protect these practices. This paper performs panel regressions with a sample of Catalan farms (Spain) to test the influence of organic farming on farm output, costs and incomes. It analyses the cost structures of both types of farming and comments on their social and environmental performance.organic farming, conventional farming, social/environmental/financial performance, social and environmental accounting, Agribusiness, Environmental Economics and Policy, Farm Management, Q01, Q12, Q51, M41,

Evaluating the Impact of Public Subsidies on a Firms Performance: a Quasi-experimental Approach

Many regional governments in developed countries design programs to improve the competitiveness of local firms. In this paper, we evaluate the effectiveness of public programs whose aim is to enhance the performance of firms located in Catalonia (Spain). We compare the performance of publicly subsidised companies (treated) with that of similar, but unsubsidised companies (non-treated). We use the Propensity Score Matching (PSM) methodology to construct a control group which, with respect to its observable characteristics, is as similar as possible to the treated group, and that allows us to identify firms which retain the same propensity to receive public subsidies. Once a valid comparison group has been established, we compare the respective performance of each firm. As a result, we find that recipient firms, on average, change their business practices, improve their performance, and increase their value added as a direct result of public subsidy programs.public policy, evaluation studies, firm performance, propensity score matching

Assessing the assignation of public subsidies: Do the experts choose the most efficient R&D projects?

The implementation of public programs to support business R&D projects requires the establishment of a selection process. This selection process faces various difficulties, which include the measurement of the impact of the R&D projects as well as selection process optimization among projects with multiple, and sometimes incomparable, performance indicators. To this end, public agencies generally use the peer review method,which, while presenting some advantages, also demonstrates significant drawbacks. Private firms, on the other hand, tend toward more quantitative methods, such as Data Envelopment Analysis (DEA), in their pursuit of R&D investment optimization. In this paper, the performance of a public agency peer review method of project selection is compared with an alternative DEA method.peer review, dea, subsidies, r&d

The Price Effects of Banning Price Parity Clauses in the EU: Evidence from International Hotel Groups

Dominant platforms such as Booking.com and Amazon often impose Price Parity Clauses to prevent sellers from charging lower prices on alternative sales channels. We provide quasi-experimental evidence on the full removal of these price restrictions in France in 2015 for three major international hotel groups. Our analysis reveals a limited and non-significant effect on room prices. The external validity of this finding is established by focusing on similar policy interventions in Germany in 2016 and Austria in 2017. Our results imply that the prohibitions of Price Parity Clauses turned out to be ineffective in sizeably reducing final prices for consumers

AI Watch 2019 Activity Report

This report provides an overview of AI Watch activities in 2019. AI Watch is the European Commission knowledge service to monitor the development, uptake and impact of Artificial Intelligence (AI) for Europe.,. As part of the European strategy on AI, the European Commission and the Member States published in December 2018 a “Coordinated Plan on Artificial Intelligence” on the development of AI in the EU. The Coordinated Plan mentions the role of AI Watch to monitor its implementation. AI Watch was launched in December 2018. It aims to monitor European Union’s industrial, technological and research capacity in AI; AI national strategies and policy initiatives in the EU Member States; uptake and technical developments of AI; and AI use and impact in public services. AI Watch will also provide analyses of education and skills for AI; AI key technological enablers; data ecosystems; and social perspective on AI. AI Watch has a European focus within the global landscape, and works in coordination with Member States. In its first year AI Watch has developed and proposed methodologies for data collection and analysis in a wide scope of AI-impacted domains, and has presented new results that can already support policy making on AI in the EU. In the coming months AI Watch will continue collecting and analysing new information. All AI Watch results and analyses are published on the AI Watch public web portal (https://ec.europa.eu/knowledge4policy/ai-watch_en). AI Watch welcomes feedback. This report will be updated annually.JRC.B.6-Digital Econom

Digital Transformation in Transport, Construction, Energy, Government and Public Administration

This report provides an analysis of digital transformation (DT) in a selection of policy areas covering transport, construction, energy, and digital government and public administration. DT refers in the report to the profound changes that are taking place in all sectors of the economy and society as a result of the uptake and integration of digital technologies in every aspect of human life. Digital technologies are having increasing impacts on the way of living, of working, on communication, and on social interaction of a growing share of the population. DT is expected to be a strategic policy area for a number of years to come and there is an urgent need to be able to identify and address current and future challenges for the economy and society, evaluating impact and identifying areas requiring policy intervention. Because of the very wide range of interrelated domains to be considered when analysing DT, a multidisciplinary approach was adopted to produce this report, involving experts from different domains. For each of the four sectors that are covered, the report presents an overview of DT, DT enablers and barriers, its economic and social impacts, and concludes with the way forward for policy and future research.JRC.B.6-Digital Econom

Cybersecurity, our digital anchor: A European perspective

The Report ‘Cybersecurity – Our Digital Anchor’ brings together research from different disciplinary fields of the Joint Research Centre (JRC), the European Commission's science and knowledge service. It provides multidimensional insights into the growth of cybersecurity over the last 40 years, identifying weaknesses in the current digital evolution and their impacts on European citizens and industry. The report also sets out the elements that potentially could be used to shape a brighter and more secure future for Europe’s digital society, taking into account the new cybersecurity challenges triggered by the COVID-19 crisis. According to some projections, cybercrime will cost the world EUR 5.5 trillion by the end of 2020, up from EUR 2.7 trillion in 2015, due in part to the exploitation of the COVID-19 pandemic by cyber criminals. This figure represents the largest transfer of economic wealth in history, more profitable than the global trade in all major illegal drugs combined, putting at risk incentives for innovation and investment. Furthermore, cyber threats have moved beyond cybercrime and have become a matter of national security. The report addresses relevant issues, including: - Critical infrastructures: today, digital technologies are at the heart of all our critical infrastructures. Hence, their cybersecurity is already – and will become increasingly – a matter of critical infrastructure protection (see the cases of Estonia and Ukraine). - Magnitude of impact: the number of citizens, organisations and businesses impacted simultaneously by a single attack can be huge. - Complexity and duration of attacks: attacks are becoming more and more complex, demonstrating attackers’ enhanced planning capabilities. Moreover, attacks are often only detected post-mortem . - Computational power: the spread of malware also able to infect mobile and Internet of Things (IoT) devices (as in the case of Mirai botnet), hugely increases the distributed computational power of the attacks (especially in the case of denial of services (DoS)). The same phenomenon makes the eradication of an attack much more difficult. - Societal aspects: cyber threats can have a potentially massive impact on society, up to the point of undermining the trust citizens have in digital services. As such services are intertwined with our daily life, any successful cybersecurity strategy must take into consideration the human and, more generally, societal aspects. This report shows how the evolution of cybersecurity has always been determined by a type of cause-and-effect trend: the rise in new digital technologies followed by the discovery of new vulnerabilities, for which new cybersecurity measures must be identified. However, the magnitude and impacts of today's cyber attacks are now so critical that the digital society must prepare itself before attacks happen. Cybersecurity resilience along with measures to deter attacks and new ways to avoid software vulnerabilities should be enhanced, developed and supported. The ‘leitmotiv’ of this report is the need for a paradigm shift in the way cybersecurity is designed and deployed, to make it more proactive and better linked to societal needs. Given that data flows and information are the lifeblood of today’s digital society, cybersecurity is essential for ensuring that digital services work safely and securely while simultaneously guaranteeing citizens’ privacy and data protection. Thus, cybersecurity is evolving from a technological ‘option’ to a societal must. From big data to hyperconnectivity, from edge computing to the IoT, to artificial intelligence (AI), quantum computing and blockchain technologies, the ‘nitty-gritty’ details of cybersecurity implementation will always remain field-specific due to specific sectoral constraints. This brings with it inherent risks of a digital society with heterogeneous and inconsistent levels of security. To counteract this, we argue for a coherent, cross-sectoral and cross-societal cybersecurity strategy which can be implemented across all layers of European society. This strategy should cover not only the technological aspects but also the societal dimensions of ‘behaving in a cyber-secure way’. Consequently, the report concludes by presenting a series of possible actions instrumental to building a European digital society secure by design.JRC.E.3-Cyber and Digital Citizens' Securit

The future of road transport

A perfect storm of new technologies and new business models is transforming not only our vehicles, but everything about how we get around, and how we live our lives. The JRC report “The future of road transport - Implications of automated, connected, low-carbon and shared mobility” looks at some main enablers of the transformation of road transport, such as data governance, infrastructures, communication technologies and cybersecurity, and legislation. It discusses the potential impacts on the economy, employment and skills, energy use and emissions, the sustainability of raw materials, democracy, privacy and social fairness, as well as on the urban context. It shows how the massive changes on the horizon represent an opportunity to move towards a transport system that is more efficient, safer, less polluting and more accessible to larger parts of society than the current one centred on car ownership. However, new transport technologies, on their own, won't spontaneously make our lives better without upgrading our transport systems and policies to the 21st century. The improvement of governance and the development of innovative mobility solutions will be crucial to ensure that the future of transport is cleaner and more equitable than its car-centred present.JRC.C.4-Sustainable Transpor

A new perspective on the exporter productivity premium: Online trade

We use a unique firm-level dataset including 9-thousand companies from 26 EU countries covering four different sectors to take a close look at the relationship between online exports and productivity. The online exporter productivity premium is estimated using different techniques (ordinary least squares, quantile regressions, and robust estimation). Results consistently indicate that the estimated online exporter productivity premium is statistically different from zero, positive, and significant from an economic point of view. European online exporters, according to these results, are approximately 2% more productive than non-online-exporters. Productivity differences between firms could be related to variables that are not included in the empirical model. More research would be needed to address this issue in the future.JRC.B.6-Digital Econom

Digital platforms across the European regional energy markets

Digital platforms increasingly propose business models that improve economic organisation -by better coordinating supply and demand under imperfect information- and attain higher efficiency levels. At the same time, the energy generation gradually reshapes into decentralised network with lower capacity, but able to manage demand and supply in real-time. However, the penetration of online platforms within the energy sector poses policy questions that are specific to platforms’ business models. This study investigates a sample of 217 digital platforms running energy-related activities across the EU regional markets. These energy platforms make about 20% of the world energy platforms. By observing their characteristics and those of their surrounding markets, it appears that the digital platforms in the European energy sector still tend to be relatively small and concentrated in specific regions, often in the neighbourhood of capital cities. Furthermore, the quantitative analysis suggests that market size, digital readiness and regulatory quality are the most important features relating to platforms’ presence in the EU regional markets. This paper offers empirical evidence and reflections to provide energy policy with key information to best ripe the potential of new technologies while being aware of their inherited complexities.JRC.B.6-Digital Econom