Corporate governance and cost of capital in OECD countries

an article by Aws AlHares (University of Huddersfield Business School, UK) published in International Journal of Ethics and Systems Volume 35 Issue 4 (2019)

Abstract

Purpose
This article aims to investigate the impact of corporate governance (CG) mechanisms on cost of capital (COC) in Organisation for Economic Co-operation and Development (OECD) countries.

Design/methodology/approach
Companies from 34 OECD countries were used between 2010 and 2017. Multiple regression analysis techniques is used to examine the relationships. The findings are robust to alternative measures and endogeneities.

Findings
The results show that CG index and director ownership are statistically negatively related to COC. In contrast, the results show that block ownership is statistically related to COC.

Originality/value
This study extends, as well as contributes to the extant CG literature by offering new evidence on the effect of CG mechanisms on COC. The findings will help regulators and policymakers in the OECD countries in evaluating the adequacy of the current CG reforms to prevent management misconduct and scandals.

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Health at a Glance 2019: Key findings for the United Kingdom

A four-page PDF in leaflet style.

Lots of white text on a dark blue background.

Link to it here



For the full publication go here

Sorry this is a bit sparse but I found it really confusing. What I did read, though, was both interesting and informative.

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Government expenditure on labour market policies in OECD countries: responding to the economic crisis

an article by Hyungjo Hur (The Ohio State University, Columbus, USA) published in Policy Studies Volume 40 Issue 6 (2019)

Abstract

In most Organization for Economic Cooperation and Development (OECD) countries, the unemployment rate increased considerably during the early stage of the Great Recession of 2008. However, unemployment trends varied by country: some countries were more resilient, resulting in a faster recovery and lower or steady unemployment rates during the recession.

This study evaluates the impact of different government expenditures on labour market policies (especially active labour market policies) among OECD unemployment rates.

Based on panel regression and a difference-in-difference analysis utilizing panel data from 2001 to 2013, this study discusses how government active labour market policies have worked to reduce the unemployment rate, and how this policy helps resilient countries to adapt to unexpected economic crises.

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The Heavy Burden of Obesity: Key findings for the United Kingdom

Copied and pasted from a Powerpoint single page visual

Chart / graph does not copy

The United Kingdom has one of the highest rates of obesity: nearly one in three adults are obese.

As a result, people in the United Kingdom live on average 2.7 years less due to overweight.

Overweight accounts for 8.4% of health expenditure; and lowers labour market outputs by the equivalent of 944 thousand full-time workers per year. Combined, this means that overweight reduces United Kingdom’s GDP by 3.4%.

To cover these costs, each person in the United Kingdom pays an additional GBP 409 in taxes per year.

Lost labour market output based on average wages, per capita per year, in USD PPP

To tackle the obesity epidemic, the United Kingdom has put in place a number of policies, including voluntary front-of-pack food labelling and taxes on sugary drinks. However, more can be done. Implementing a communications policy package or policies to encourage reformulation would prevent non-communicable diseases, reduce health expenditure and increase the productivity of the workforce:

A communications package – with mandatory front-of-pack labelling and advertising regulations, and mass media campaigns – could prevent 130 thousand non-communicable diseases by 2050, save GBP 54 million per year in health cost, and increase employment and productivity by the equivalent of 9 thousand full-time workers per year.

Public health actions to promote healthier lifestyles have a positive impact on population health and are an excellent investment: On average, for every 1 GBP invested, up to 6 GBP are returned in economic benefits

Source: OECD, The Heavy Burden of Obesity, 2019

Find the full report at oe.cd/obesity2019 where you can read the online version as an OECD Library Subscriber or purchase the printed version. Nothing free that I could find.

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Can industrial policy foster innovation in renewable energy technologies in the OECD and in EU regions?

an article by Alkis Theonas Pitelis, Nicholas Vasilakos and Konstantinos Chalvatzis (Norwich Business School, University of East Anglia, UK) and Christos N Pitelis (Abu Dhabi University and Brunel University London, Abu Dhabi, United Arab Emirates) published in Cambridge Journal of Regions, Economy and Society Volume 12 Issue 2 (July 2019)

Abstract

We cross-fertilise scholarship on industrial policy (IP) and renewable energy (RE) innovation, and submit that RE serves as a general purpose technology that contains more specific RE technologies (RETs).

We develop five hypotheses and provide econometric evidence for the impact of demand-pull, technology-push and systemic IP instruments on different RETs. Using a large dataset on RET innovation and policy instruments across 34 OECD countries, we test for the role of country experience, for EU North–South regional variations and for the quality of RE innovations.

Our results support our theory-derived hypotheses.

JEL Classification: G18, G28, L52, C30

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Human development in the age of globalisation

a column by Leandro de la Escosura for VOX: CEPR’s Policy Portal

The concept of human development views wellbeing as being affected by a wide range of factors including health and education.

This column examines worldwide long-term wellbeing from 1870-2015 with an augmented historical human development index (AHHDI) that combines new measures of achievements in health, education, material living standards, and political freedom. It shows that world human development has steadily improved over time, although advances have been unevenly distributed across world regions.

Continue reading

And if, like me, you enjoy reading social history you will really like this piece.

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Skills Outlook 2019: How does the United Kingdom Compare?

via OECD

The Skills Outlook Scoreboard assesses the extent to which the United Kingdom is able to make the most of digitalisation. The United Kingdom’s performance is measured along 3 main dimensions:

1. Skills for the digitalisation,
2. Digital exposure and
3. Skills-related policy effort.

The Scoreboard shows that while the share of young people lacking basic skills is relatively high, the share of older people with low skills is below the OECD average. British workers are using ICTs and performing non-routine tasks in their jobs quite intensively.

In the United Kingdom, according to OECD estimates, 13.7% of workers are in occupations at high risk of automation and would need moderate training efforts (up to 1 year) to transit to safer occupations with low or medium risk of automation.

An additional 2.6% would need important training (up to 3 years) to avoid the risk of automation.

Teachers in the United Kingdom are well prepared: more than 60% of them are top performers in problem solving in technology-rich environment and only 32% (the lowest value among OECD countries), report to be in need of training in ICT for teaching.

See the OECD website for options

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Good jobs for all in a changing world of work: The new OECD Jobs Strategy

How does the United Kingdom compare?

The digital revolution, globalisation and demographic changes are transforming labour markets at a time when policy makers are also struggling with slow productivity and wage growth and high levels of income inequality. The new OECD Jobs Strategy provides a comprehensive framework and policy recommendations to help countries address these challenges. It goes well beyond job quantity and considers job quality and inclusiveness as central policy priorities, while emphasising the importance of resilience and adaptability for good economic and labour market performance in a rapidly changing world of work.

Full text of the OECD press release (PDF 2pp) with links to the main publication.

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Market and household production in OECD countries

a column by Georg Duernecker and Berthold Herrendorf for VOX: CEPR’s Policy Portal

Recent research has shown that, in contrast to the prediction of basic theory, income tax increases in OECD countries have led people to spend less time working and more time on leisure activities, with little change in hours of household work. This column uses new estimates of household productivity to resolve the discrepancy between the evidence and basic theory. The OECD countries in which governments increased income taxes also tended to experience increases in the productivity of household production.

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Barriers to trade in services have an impact on multinational production in the manufacturing sector

a column by Koen De Backer, Sébastien Miroudot and Davide Rigo for VOX: CEPR’s Policy Portal

Multinational enterprises that produce goods rely on services to organise their value chain, so barriers to investment in services are likely to affect their production.

The column uses a new and comprehensive OECD database to measure the share of services in the exports of multinational enterprises, and also in the output of their foreign affiliates. The results suggest that policymakers may need to focus more on the services that support manufacturing industries.

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I found the chart of “double counting” particularly interesting although I got lost in the statistical explanation.

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England must build on reforms to achieve a world class apprenticeship system

an OECD report Apprenticeship in England, United Kingdom says that England has implemented major reforms to its apprenticeship system, including a new funding arrangement in the form of an employer levy. The energy with which England is currently investing in these reforms is impressive, according to the report, but several challenges remain.

Apprenticeship programs in England devote much less time to general education, including maths and English, than those in many other countries. English apprentices receive 50-100 hours of general education over the course of their apprenticeships, and general education is only mandatory for those who do not meet the minimum requirements. This compares to around 400 hours of general education covering a range of subjects in German and Swiss apprenticeships, and nearly 600 hours in Norwegian apprenticeships.

The report also finds that apprenticeship workplace training in England is not systematic and subject to little quality assurance. Lack of standards with regard to training in workplaces increases the risk that employers will substitute apprentices for unskilled workers.

The report recommends that England:

• Increase the amount of general education in apprenticeships for young people;
• Support systematic provision of training in work places;
• Keep apprenticeship qualifications sufficiently broad and few in number;
• Review current plans for competition in the assessment market;
• Provide pre-apprenticeship and alternative apprenticeship programmes that effectively prepare disadvantaged young people to undertake full apprenticeship programmes; and
• Ensure that all degree apprenticeships include a substantial element of work-based learning with an employer.

Full report (PDF 122pp)

NOTE: The report is also available to purchase pre-printed.

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Are active labour market policies effective in activating and integrating low-skilled individuals? An international comparison

an article by Verónica Escudero (International Labour Organization (ILO), Switzerland; Paris School of Economics (PSE), France) published in IZA Journal of Labor Policy Volume 7 Article 4 (March 2018)

Abstract

This paper examines the effectiveness of active labour market policies (ALMPs) in improving labour market outcomes, especially of low-skilled individuals, by means of a pooled cross-country and time series database for 31 advanced countries during the period 1985–2010.

The analysis includes aspects of the delivery system to see how the performance of ALMPs is affected by different implementation characteristics. Among the notable results, the paper finds that ALMPs matter at the aggregate level, but mostly through an appropriate management and implementation.

In this regard, sufficient allocation of resources to programme administration and policy continuity appear to be particularly important.

Moreover, start-up incentives and measures aimed at vulnerable populations are more effective than other ALMPs in terms of reducing unemployment and increasing employment.

Interestingly, the positive effects of these policies seem to be particularly beneficial for the low skilled.

JEL Classification: J08, E24, H5, J68, D78

Full text (PDF 26pp)

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OECD Science, Technology and Industry Scoreboard 2017 - United Kingdom highlights

The OECD Scoreboard covers:

• Science, innovation and the digital revolution
• Growth, jobs and the digital transformation and
• Innovation today - Taking action

The UK Highlights also provides four easy-to-understand charts showing where countries stand in relation to each other.

Full text (PDF 4pp) also provides links to further information.

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How will future retirees fare?

The OECD report Preventing Ageing Unequally examines how the two global megatrends of population ageing and rising inequalities have been developing and interacting, both within and across generations. Taking a life-course perspective the report shows how inequalities in education, health, employment and income interact, resulting in large lifetime differences across different groups.

Drawing on good practices in OECD countries, it suggests a policy agenda to prevent inequality before it cumulates; mitigate entrenched inequalities; and cope with inequality at older ages. The report points to strong policy complementarities and synergies and thus a whole-of-government approach is likely to be much more effective than a series of separate inequality reducing policies. In particular, to ensure a better retirement for all, policies have to be coordinated across family, education, employment, social ministries and agencies.

The overview of the report is here (PDF 2pp)

Further information is available here.
Printed report £40

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Governing schooling through ‘what works’: the OECD’s PISA for Schools

an article by Steven Lewis (The University of Queensland, Brisbane, Australia) published in Journal of Education Policy Volume 32 Issue 3 (2017)

Abstract

This paper explores Programme for International Student Assessment (PISA) for Schools, a local variant of the Organisation for Economic Cooperation and Development (OECD’s) influential PISA that not only assesses an individual school’s performance in reading, mathematics and science against international schooling systems, but also promotes 17 identical examples of ‘best practice’ from ‘world class’ schooling systems (e.g. Shanghai-China, Singapore).

Informed by 33 semi-structured interviews with actors across the PISA for Schools policy cycle, and supplemented by the analysis of relevant documents, the paper provides an account of how these concrete examples of best practice are represented in the report received by participating schools.

Drawing upon thinking around processes of commensuration and the notion of ‘governing by examples’, the paper argues that PISA for Schools discursively positions participating schools as somehow being commensurable with successful schooling systems, eliding any sense that certain cultural and historical factors – or ‘out of school’ factors – are inexorably linked to student performance.

Beyond encouraging the problematic school-level borrowing of policies and practices from contextually distinct schooling systems, I argue that this positions the OECD as both the global expert on education policy and now, with PISA for Schools, the local expert on ‘what works’.

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UK has highest rates of cocaine use and gonorrhoea in Europe [feedly]

via the Guardian by Press Association

Report says 4.2% of Britons aged 15-34 have used cocaine in the past year, while 60 people out of every 100,000 have gonorrhoea

The UK is a European hotspot for cocaine use and gonorrhoea, a new report suggests.

Across Europe, 1.9% of young adults aged 15 to 34 report using cocaine in the last year. But in the UK this figure stands at 4.2%, according to the Health at a Glance: Europe 2016 report from the European Commission and the OECD.

“Cocaine is the most commonly used illicit stimulant in Europe,” the authors wrote. “About 2% of young adults aged 15 to 34 report having used cocaine in the last year.”

There are two online editions (both free) PDF and ePub

Further information from the OECD i-Library

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OECD Labour Force Statistics 2004-2015

This annual edition of Labour Force Statistics provides detailed statistics on population, labour force, employment and unemployment, broken down by gender, as well as unemployment duration, employment status, employment by sector of activity and part-time employment.

244pp of statistics (PDF)

What PISA can – and can't – tell us about adults’ skills

via OECD Education Today by Marilyn Achiron (Editor, Directorate for Education and Skills)

Can PISA results predict the quality of a country’s labour force one decade later?

To find out, we compared some of the results from the PISA 2000 and PISA 2003 tests with results from the 2012 Survey of Adult Skills (a product of the OECD Programme for the International Assessment of Adult Competencies, or PIAAC).

As we explain in this month’s PISA in Focus, we found that those countries where 15-year-old students achieved high scores in PISA were also the countries whose populations of young adults scored at high levels of proficiency in literacy and numeracy a decade after they had participated in PISA.

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OECD Employment Outlook 2013 - How does your country compare?

How does the United Kingdom compare? July 2013

The OECD Employment Outlook 2013 looks at labour markets in the wake of the crisis.

It includes chapters on the experience of different labour market groups since 2007; employment protection legislation; benefit systems, employment and training programmes and services; and re-employment, earnings and skills after job loss.

As always, it includes an extensive statistical annex.

Full press release (PDF 2pp)

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OECD Health Data 2013: How Does the United Kingdom Compare

Health spending accounted for 9.4% of GDP in the United Kingdom in 2011, slightly above the OECD average of 9.3%. However, health spending as a share of GDP is much lower in the United Kingdom than in the United States (which spent 17.7% of its GDP on health in 2011). It is also slightly lower than in certain European countries such as the Netherlands (11.9%), France (11.6%) and Germany (11.3%).

In terms of per capita spending on health, the United Kingdom continues to spend slightly more than the OECD average, with spending of 3405 USD in 2011 (adjusted for purchasing power parity), compared with an OECD average of 3339 USD. Health spending per capita in the United Kingdom remains at a level of 40% of that in the United States (which spent 8508 USD per capita in 2011).

Continue reading

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