New Discussion Paper Available - DP 2019/2

April 24th, 2019

Discussion Paper 2019/2 is now available: El-Shagi, M. / Muhammad, B.: Institutional Similarity and Bilateral FDI


In this paper we assess the effect of institutional similarity on foreign direct investment. In a large panel of bilateral FDI stocks that covers roughly 190 countries both as host and source country of FDI we demonstrate that it is not similarity in general, but similarity with respect to government involvement in markets and with respect to corruption that matters. Our finding is robust to a large set of different panel estimators and specifications of the gravity model that is underlying our estimation.


New Discussion Paper Available - DP 2019/1

April 12th, 2019

Discussion Paper 2019/1 is now available: Marsiglio, S. / Masoudi, N.: Transboundary Pollution Control and Competitiveness Concerns in a Two-Country Differential Game


We analyze a transboundary pollution control problem in a heterogeneous two-country differential game in which each country’s regulator cares for the implications of environmental policy on its compet-
itiveness. We characterize and compare the noncooperative and the cooperative solutions, showing that under both scenarios, the heterogeneous countries impose different tax rates despite such competitiveness
concerns. This may suggest that, while implementing some kind of mitigation policy is necessary to combat climate change, a universally homogeneous environmental tax may not be either desirable or optimal.


Special Issue in Economic Modelling - CfP

December 3rd, 2018

We are excited to announce that the CFDS jointly with the Beijing Normal University Business School (BNUBS), and the School of Economics at the University of Cape Town (UCT) are organizing an Open Access Special Issue on “Poverty and Inequality: Evidence from the BRICS and Beyond” to be published in the journal Economic Modelling as part of their cooperation under the umbrella of the BRICS Network University (BRICS NU).

Call for Papers

2018 Winners of the Nikkei Prize
2018 Winners of the Nikkei Prize

November 5th, 2018

Prof. Kiyohiko G. Nishimura (CFDS Academic Board Member) was awarded the 2018 Nikkei price for his book "Economics of Pessimism and Optimism" from Springer. The Nikkei prize is considered the most prestigious award for books in economics by Japanese authors. ( available in Japanese only)

Prof. Nishimura is the first author that was awarded with this prize for books written in English twice, in 1993 he won the award for his book "Imperfect Competition, Differential Information and Microfoundations of Macroeconomics" from Oxford University Press.

The CFDS congratulates to this unprecetended achievement and wants to seize the opportunity to thank Prof. Nishimura once more for his continued support of our center.

Policy Forum 4 now online

September 30th, 2018


International relations are at a crossroad. A single misstep could yield desaster and shape the future of global cooperation for decades to come. Maybe, the world is in dire need of a superhero. But then, maybe this wish for a hero was at the core of our problems all along. Read our op-ed on superheroes and the global trade conflict to learn more.


Policy Forum 4 (September 2018)

Picture from the 4th HenU/INFER Workshop on Applied Macroeconomics
Picture from the 4th HenU/INFER Workshop on Applied Macroeconomics

September 27th 2018

Our 5th HenU/INFER Workshop will be held on March 29th and 30th, 2019 (post-conference trip on March 31st). We are excited to announce our keynote speakers for the 2019 workshop - Prof. Lawrence Christiano from Northwestern University, Prof. Randall Wright from the University of Wisconsin Madison and Prof. Joshua Aizenman from the University of Southern California. Selected, excellent papers will be considered for a special issue in Journal of International Money and Finance on "Monetary and Fiscal Fragility in the 2020s". Visit our Conference Website for more information or directly submit your paper now via conferencemaker.

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