A major international transmission channel of productivity increases is trade in intermediate products and services. This paper analyses international rent spillovers at the industry level and for the first time investigates effects from the service sector in this international framework. The World Input-Output Database (WIOD) allows us to improve over the traditional approach of using trade in intermediates in the estimation of international spillovers by making use of input-output linkages between industries in different countries. Our results using this novel approach confirm the productivi...more

Import intensities of production in the New EU Member States in 1995 and 2006 (by Leon Podkaminer; pp. 1-5) Keywords: import intensity, trade, input-output Countries covered: New EU Member States, China, Turkey, Japan, Russia, USA Topics: International Trade, Competitiveness and FDI A note on social indicators for MENA and transition countries (by Mario Holzner; pp. 6 7) Keywords: unemployment, inequality, migration Countries covered: Middle East and North Africa Topics: Labour, Migration and Income Distribution Three crises (by Vladimir Gligorov; pp. 8-10) Keywords: debt crisis...more

What are the economic effects of redistributing one dollar from profits to labour income? We address this question for the post-World War II economies of the United States and Canada within a structural VECM procedure allowing for up to two breaks of unknown timing. In the United States the short-run spending effect on growth, set in motion by higher labour income, is strong enough to make such a redistribution an attractive, maybe provocative, policy alternative. Across the border in Canada, however, the negative medium-run capacity effect, brought about by diminished profits, dominates the p...more

Cohesion policy - does it have a future? (by S. Richter; pp. 1-2) The great crisis and the American response (by J. K. Galbraith; pp. 3-11) Export-led growth and trade among developing countries: tendencies and prospects (by O. Havrylyshyn, pp. 12-17) Statistical Annex: Selected monthly data on the economic situation in Central and Eastern Europe (pp. 19-26) Guide to wiiw statistical services on Central, East and Southeast Europe, Russia and Ukraine (p. 27) ...more

Contents Euro or not? Early lessons from the crisis (by Ch. Wyplosz)  Migration from the New to the Old EU Member States: country experiences (by H. Vidovic)  Outsourcing and skills: an empirical investigation (by M. Landesmann and R. Stehrer)  Monthly Statistics  ...more

This policy note argues that the current global economic crisis enforces an adjustment process in the countries of Central, Eastern and Southeastern Europe (CEE and SEE) in the form of real exchange rate depreciation. Because of the weakness of financial institutions and built-up foreign currency debt such a process has inherent dangers to lead to overshooting and a possible capital flight out of these economies. In such circumstances the economies are severely constrained in putting the types of policies in place which are currently pursued in most of Western Europe, the USA and Japan, that i...more

Terms of trade effects and Russian economic growth (by P. Havlik, pp. 1-4) Keywords: Russia, economic growth, terms of trade Countries covered: Russia Topics: Macroeconomic Analysis, Forecasts and Policy; International Trade and Competitiveness; Energy Poland: the national stock exchange game (interview with Artur Sierant conducted (by Wlodzimierz Kalicki, pp. 5-16) Keywords: stock exchange, Poland Countries covered: Poland Topics: Other Some reflections on the current US financial markets meltdown (by L. Randall Wray, pp. 17-20) Keywords: subprime crisis, financial meltdown Countries ...more