Public Outreach

Going beyond the battle against income inequalities, some look to equal opportunities as a way of offering everyone the same chances and enabling deprived people to escape the poverty trap. Social mobility gives everyone the chance to move upwards. Economists Cowell and Flachaire present a mobility index to add to the existing inequality measures.

When is a mother « the mother of all evils »? According to the book « the origin of happiness », written by A. Clark, S. Flèche, R. Layard, N. Powdthavee et G. Ward, a child’s happiness relies on the mother’s mental health. Misery crosses generations and the consequences last into adulthood. To address this issue, the authors call for more attention to mental well-being and recommend preventing depression from an early age.

While depression continues to grow in developed countries, a new paradigm is emerging: not wealth-creation, but the creation of well-being. Isn’t that every government’s main goal? Meeting this objective means investigating what determines fulfilment. In “The Origins of Happiness” Andrew Clark, Sarah Fleche, Richard Layard, Nattavudh Powdthavee and George Ward conclude that mental health makes us happier than money.

Multinationals don’t find it easy to trace the origin of minerals produced in conflict-prone areas, but firms are held liable for human and social damage. In a recent scientific article, Nicolas Berman, Mathieu Couttenier, Dominic Rohner and Mathias Thoenig show that the violence induced by variations in mineral prices is associated mainly with foreign-owned firms. For some time now, companies, NGOs and States have been implementing transparency measures. The authors examine their impact on the regions’ stability.

The rise in mineral prices often has bloody consequences for Africa. This was the conclusion of Nicolas Berman, Mathieu Couttenier, Dominic Rohner, and Mathias Thoenig in a recent pan-African survey. The 2000s commodity boom accounted for up to one-fourth of the conflicts across African countries over the 2000-2009 period. Worse still, local battles escalate into regional ones because mines make rebellions financially feasible, spreading conflicts across space and time.

Norway made a historic decision by refusing oil exploration in the Lofoten archipelagos, north of the Arctic circle. It paves the way for preserving the environment for other countries that could be tempted to give in to the Cold Rush. The region is full of oil reserves that have many licking their lips, especially Russia. For the moment, the extreme arctic drilling conditions are a technological challenge that prevents its exploration. By banning arctic drilling as Norway has, other member states of the Arctic Council can save the Arctic sea ice. Their force lies in their unity.

Altruism appears to be absent from regular economic debate. However, money flows within relationships, and parents or friends can usually be counted on to lend a helping hand. These private transfers represent an even larger share of redistribution in developing economies. When the Welfare State is weak, informal transfers are a wild card for the poorest. Even social welfare policies could prove counter-productive when there is a good altruistic network in place!

Between 1962 and 2012, 36 States banned trade with Israel. No products, no services, no exchange… radio silence! Well, not exactly. Economists Lorenzo Rotunno and Pierre Louis Vézina found that during this period, Israel exported up to $6.4 billion-worth to those countries. From official to informal flows, the commercial boycott of Israel is clearly less than complete. The authors take a look at the mechanisms behind these secret exchanges and check what remains of the boycott’s intentions.

When an economy breathes polluted air, its lungs get damaged. China has become asthmatic by running too fast. The population has gone into atrophy, intoxicated by economic growth: producing often pollutes. Natacha Raffin and Thomas Seegmuller explain what China is going through: the contamination is affecting longevity, economic stability, and welfare, all at the same time. They provide answers that could help avoid asphyxiation.

Appointing a minister increases by 45% the investment grants allocated to the municipality in which he or she has held a local mandate. This gift – valued at 30 million euros per year !- illustrates the importance of the relationships ministers build over the course of their political careers. Brice Fabre and Marc Sangnier shed light on the reasons for such generosity.