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Trade and Development

Trade is indispensable to fostering greater levels of global economic development. As the OECD has written, “No country has lifted itself out of poverty without international trade.” This category consolidates GTIPA-member reports assessing the intersection of trade and economic development.

For more investment and stability: Tax deductibility of fictitious equity interest

Austria’s Finance Minister Gernot Blümel recently announced that Austria is considering introducing the tax deductibility of notional equity interest. This change might come into effect next year.

Such a tax deduction would allow companies to deduct a fixed notional interest rate on equity from corporate income tax. This measure aims to strengthen the equity ratio of companies. Low capital levels are often seen as a risk factor to economic stability , an issue of concern during and likely long after the height of the current economic crisis.

The Hayek InstituteWed, 08/26/2020

Structural Reforms To Get Out Of The Crisis

El gobierno ha adelantado que anunciará medidas para sacar a la Argentina de la crisis crónica en que está inmersa desde hace décadas y que se agrava con la cuarentena. Consideramos nuestra responsabilidad hacerle conocer al Presidente y a los argentinos el programa que hemos desarrollado desde la Fundación “Libertad y Progreso”; por lo que al primero le hemos pedido una audiencia, ya hace algunos meses.

Libertad y Progreso Tue, 08/25/2020

Report on Export Preparedness Index 2020

The Export Preparedness Index 2020 was released by the NITI Aayog with Institute for Competitiveness as the knowledge partner. The index is an empirical tool to inform policymakers of the strengths and challenges of the export ecosystem at the sub-national level.

Institute for CompetitivenessTue, 08/25/2020

Prudence in the Readjustment of the Minimum Wage

The pandemic has destroyed millions of jobs. Those keeping their jobs see a readjustment in their wages in terms of an increase in living costs. Minimum wages should follow the same path, that is, only readjusting due to inflation, since modifying it more will generate an increase in hiring costs. The latter is inaccessible to SMEs, given the current recession, harming the workforce.

Libertad y DesarrolloFri, 08/21/2020

GLCs and Shared Prosperity

In this Monitor we consider what role Government Linked Companies (GLCs) might be expected to play in delivering “shared prosperity” in Malaysia and specifically, Bumiputera economic development. This Monitor will argue that a clear assessment of previous and ongoing efforts by GLCs is needed and is sorely lacking. Moreover, the scale and reach of the current GLC policies to support Bumiputera development are by their nature limited and should be secondary to broader structural reform, in which GLCs can play a key role and offer a more substantial contribution to shared prosperity.

Institute for Democracy and Economic AffairsWed, 08/19/2020

Environmental Sustainability and International Trade: Roadmap for Sustainable Development

Sustainable development and green growth are among IPAG’s core focus areas. In the wake of an ecosystem increasingly threatened by climate change, the sustainability of the economy, the viability of trade, and the growth of environment-friendly investments are ever more salient nowadays. Green growth through green trade and sustainable development is now at the forefront of the 21st-century agenda. Through ensuring a green economy fuelled by green trade a path towards sustainable development can be carved out.

The Institute for Policy, Advocacy, and Governance (Asia Pacific)Mon, 08/17/2020

Environmental Sustainability and International Trade: Roadmap for Sustainable Development

Sustainable development and green growth are among IPAG’s core focus areas. In the wake of an ecosystem increasingly threatened by climate change, the sustainability of the economy, the viability of trade, and the growth of environment-friendly investments are ever more salient nowadays. Green growth through green trade and sustainable development is now at the forefront of the 21st-century agenda. Through ensuring a green economy fuelled by green trade a path towards sustainable development can be carved out.

The Institute for Policy, Advocacy, and Governance (Bangladesh)Mon, 08/17/2020

Biden versus Trump

(Available in German)

German Economic InstituteMon, 08/17/2020

SA at 54th overtaken in ecomonic freedom rankings

South Africa is said to have had one of the harshest lockdowns in the world. Considering the company we keep that is indeed a harsh appraisal. We also have a baneful distinction, together with countries such as China (and some of the neo-Marxist states of the United States) of having endured one of the most authoritarian regimes. The language of lockdown says all we need to know in that regard. The somewhat secretive composition of the Coronavirus Command Council – until it was a secret no more – whose brief it was to advise, to command, or both, was derived, one may surmise, from the equally secretive KGB, whose authority was based upon no law known to man.

The Free Market Foundation Fri, 08/14/2020

Job Search, New Jobs, and What it Means for Future Policy

It is now widely recognized that the economic burden of COVID-19 shutdowns in March and April overwhelmingly fell on Canada’s lowest-wage workers.

Between February and April, aggregate hours worked by those earning less than $15 per hour dropped by 51 percent, while hours dropped by only 10 percent for those earning $35 per hour or more. Last week’s Labour Force Survey reveals that Canada’s lowest wage workers have also been the slowest to return to work as businesses re-open: by July their aggregate hours remained 30 percent below pre-shutdown levels, while the hours of high wage workers (earning $35 per hour or more) had actually increased to levels higher than we saw in February.

How concerned should we be that currently jobless workers have weak incentives to return to work?

C.D. Howe Institute Wed, 08/12/2020

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Global Trade and Innovation Policy Alliance


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