The energy transition process depends on investments in clean technologies to cut down carbon emissions in various sectors of the economy. In a new working paper, visiting research fellow Osamah Alsayegh focuses on Arab Gulf states as a case study and proposes policies to mitigate the potential negative impacts of the transition process on affected sectors.
How much can demographic changes account for trends in the U.S. economy? This paper shows that a heterogeneous-agent, overlapping-generations model with historical demographic flows can generate several features of the U.S. economy over the past several decades, including a secular decline in economic growth, a rise in savings relative to GDP, a corresponding decline in real interest rates, and, in part, changes in wealth inequality.
Despite its massive geological endowment and receiving what could be considered the largest windfall in its economic history, Venezuela entered 2020 in the middle of an unprecedented economic crisis. The Covid-19 pandemic and turbulence in oil markets represent the latest in a string of problems that expose the country’s vulnerability.
The authors evaluate Argentina’s energy sector and test the hypothesis that investments in tight oil and shale gas extraction expose investors to fewer risks than extracting conventional oil and gas.
This working paper is part of a series titled “The Role of Foreign Direct Investment in Resource-Rich Regions.”
Gabriel Collins, Mark P. Jones, Jim Krane, Kenneth B. Medlock III, Francisco J. MonaldiFebruary 24, 2020
A quantitative study examines how heightened geopolitical risk, coupled with lower oil prices, hampers the economic potential of mega construction projects in Arab Gulf states.
Hany Abdel-Latif, Mahmoud A. El-GamalFebruary 5, 2020
Given that policymakers will eventually need to decide how to resolve the social security program’s projected shortfall, this paper presents a simulation-based approach to evaluating the conventional alternatives of adjustments to benefits or taxes.
Since the progressivity of the sales tax is difficult to directly measure, this paper introduces an indirect approach combining simulated household income with realizations of consumption behavior from survey data.
In an economy with heterogeneous firms and heterogeneous consumers, the authors describe a general equilibrium where firm equity is priced by a supply and demand process. With a model robust to arbitrary, nonlinear tax functions, they investigate the efficiency of replacing the current U.S. tax regime with a policy of no corporate taxes and taxation of capital distributions to the household at progressive personal income tax rates.