Alexandre Sollaci

When should governments steer innovation to specific sectors? Daniel Garcia-Macia and Alexandre Sollaci @ASollaci @IMFNews find sector-specific subsidies beat neutral ones only under strict conditions—yet most advanced economies, like the U.S. & China, over-subsidize despite targeting the right sectors. #IndustrialPolicy #econtwitter #IMF

When should governments steer innovation to specific sectors? Daniel Garcia-Macia and Alexandre Sollaci @ASollaci @IMFNews find sector-specific subsidies beat neutral ones only under strict conditions—yet most advanced economies, like the U.S. & China, over-subsidize despite targeting the right sectors: faculti.net/industrial-pol… #IndustrialPolicy #econtwitter #IMF

Wait, retail shopping isn't dead? 🤯 1. Offline spending on consumer packaged goods (CPG) was flat from 2006-2016 2. Yes, online is growing. To a whole 3%! It's just not that big to matter for aggregate trends. Super interesting paper from Uyen Tran. dropbox.com/scl/fi/73pozfv…

And if you made it this far, you might like to have a look at the full paper here: conference.nber.org/conf_papers/f1…

1. Measuring quantities such as the cost of capital using data on public firms and then extrapolating to the aggregate economy can lead to important biases. 2. The implied series of private firm profit rates (measured as a residual) has increased!

It has been great to present our work on “Profit Puzzles” on the NBER SI this week. Full presentation is online now (youtube.com/nbervideos) with slides (dropbox.com/scl/fi/filbktj…). But here are the highlights: @EconTraina @CarterDavisFin

Such a sad day. Bob Lucas, the most important economist in modern macroeconomics, and certainly the most important economist in my life, died today. He was such a deep and honest thinker. He was such a helpful and caring mentor. I owe him so much. Farewell Bob. Thank you.

NEW: Replacing a low-quality retail manager with a high-quality manager can as much as double productivity. Read findings from @RDMetcalfe, @ASollaci, and @ChicagoBooth's @ChadSyverson who study manager moves across retail locations in a new working paper.

For those that can make, it we're presenting it on Feb 23: events.iadb.org/calendar/event…

Ever wonder how people feel about climate mitigation policies? And more importantly, what changes their minds? Check out out new paper! #econtwitter imf.org/en/Publication…

@rdahis @santisaap @IvanH16 Very cool! How big is the effect? BTW, you might be interested: twitter.com/asollaci/statu…

@DonFSchneider @EconTraina @JaneWalerud @CarterDavisFin @TonBobrov @HannesMalmberg1 The paragraph in the paper is from an older version where we were looking at R&D intensity and found only a small difference. There might be a intensive vs extensive margin effect here too.

@DonFSchneider @EconTraina @JaneWalerud @CarterDavisFin @TonBobrov @HannesMalmberg1 Oops. No, you’re absolutely right. The figure (in the tweet) is about public firms that do vs public firms that do not invest in R&D. That’s where the argument that intangibles might be a driving force comes from…

🚨 Public-firm profit rates have fallen to *half* their 1980 values 🚨, which explains why financial market rates fell despite rising/steady *aggregate* profit rates. papers.ssrn.com/sol3/papers.cf… New draft with @ASollaci & @CarterDavisFin, & outstanding support from @TonBobrov...🧵

We ran a survey across 28 countries to find out what people think about climate change policies. Check out the results! imf.org/en/News/Semina…