Competition and norms: a self-defeating combination?

This paper investigates the effects of information feedback mechanisms on electricity and heating usage at a student hall of residence in London. In a randomised control trial, we formulate different treatments such as feedback information and norms, as well as prize competition among subjects. We show that information and norms lead to a sharp – more than 20% - reduction in overall energy consumption. Because participants do not pay for their energy consumption this response cannot be driven by cost saving incentives. Interestingly, when combining feedback and norms with a prize competition for achieving low energy consumption, the reduction effect – while present initially – disappears in the long run. This could suggest that external rewards reduce and even destroy intrinsic motivation to change behaviour

Impacts of COVID-19 on the Energy System

This Briefing Paper explores the impact the COVID-19 pandemic had on the UK’s energy sector over the course of the first government-mandated national lockdown that began on 23 March 2020. Research from several aspects of the Integrated Development of Low-carbon Energy Systems (IDLES) programme at Imperial College London is presented in one overarching paper. The main aim is to determine what lessons can be learnt from that lockdown period, given the unique set of challenges it presented in our daily lives and the changes it brought about in energy demand, supply, and use. Valuable insights are gained into how working-from-home policies, electric vehicles, and low-carbon grids can be implemented, incentivised, and managed effectively

Exports and Productivity: Comparable Evidence for 14 Countries

We use comparable micro level panel data for 14 countries and a set of identically specified empirical models to investigate the relationship between exports and productivity. Our overall results are in line with the big picture that is by now familiar from the literature: Exporters are more productive than non-exporters when observed and unobserved heterogeneity are controlled for, and these exporter productivity premia tend to increase with the share of exports in total sales; there is strong evidence in favour of self-selection of more productive firms into export markets, but nearly no evidence in favour of the learning-by-exporting hypothesis. We document that the exporter premia differ considerably across countries in identically specified empirical models. In a meta-analysis of our results we find that countries that are more open and have more effective government report higher productivity premia. However, the level of development per se does not appear to be an explanation for the observed cross-country differences.exports; productivity; micro data; international comparison

A swing-state theory of trade protection in the electoral college

This paper develops an infinite-horizon, political agency model with a continuum of political districts, in which incumbent politicians can improve their re-election probability by attracting swing voters in key states through strategic trade protection. A unique equilibrium is shown to exist where incumbents build a reputation of protectionism through their policy decisions. We show that strategic trade protection is more likely when protectionist swing voters have a lead over free-trade supports in states with relatively strong electoral competition that represent a larger proportion of Electoral College votes. US data is used to test the hypothesis that industrial concentration in swing and decisive states is an important determinant of trade protection of that industry. The empirical findings provide support for the theory and highlight an important, and previously overlooked, determinant of trade protection in the US Electoral College

A swing-state theory of trade protection in the electoral college

This paper analyzes trade policy determination in the Electoral College in the presence of swing voters. It determines the circumstances under which incumbent politicians have an incentive to build a reputation for protectionism, thus swaying voting decisions and improving their re-election probability. Strategic trade protection is shown to be more likely when protectionist swing voters have a lead over free trade supporters in states with relatively strong electoral competition and in states representing a larger proportion of Electoral College votes. An empirical test using a measure of industrial concentration in swing and decisive U.S. states lends support to the theoretical findings

The impact of the European Union Emissions Trade Scheme on regulated firms: what is the evidence after ten years?

This article reviews the recent literature on ex post evaluation of the impacts of the European Union (EU) Emissions Trading Scheme (ETS) on regulated firms in the industrial and power sectors. We summarize the findings from original research papers concerning three broadly defined impacts: carbon dioxide emissions, economic performance and competitiveness, and innovation. We conclude by highlighting gaps in the current literature and suggesting priorities for future research on this landmark policy. ( JEL : Q52, Q54, Q58

Global value chains: antecedents and new perspectives

An extensive literature has highlighted the increasing international fragmentation of production and the advent of global value chains (GVCs) (Gereffi & Korzeniewicz, 1994; Feenstra, 1998; Gereffi et al., 2005; Grossman & Rossi-Hansberg, 2008; Mudambi, 2008; Timmer et al., 2019; Durand & Milberg, 2020). The evolution of GVCs and their implications for economic analysis have attracted even more the attention of scholars and policy makers in times of deep transformations and disruptive events. In fact, economic and financial crises, military and trade conflicts, pandemic emergencies, and grand technological and environmental challenges have been re-shaping global supply chains, with a dramatic acceleration in recent years