News

On Wednesday Johan Wiklund, Syracuse University, presented the study "ADHD, Impulsivity and Entrepreneurship" at IFN in Stockholm. "Johan Wiklund is one of the world's most successful entrepreneurship scholars", said Niclas Berggren, IFN, when introducing Wiklund who is currently studying if individuals diagnosed with ADHD are less or more prone to become entrepreneurs.

On Tuesday Harold James, Professor of History and International Affairs, Princeton University, presented the 2016 EEAG Report and a chapter about intergenerational fairness in today’s Europe. Mats Persson, Professor of Economics at Stockholm University, commented on the report. This was followed by a discussion moderaterad by journalist Paulina Neuding. The topics veered from the many asylum seeking immigrants and unemployment among European youth to retirement benefits, and what these developments will mean to the society of tomorrow.

Researchers Matilda Orth, IFN, and Florin Maican, Gothenburg University and affiliated to IFN, have developed methods and tools for enhancing strategic decision making in retail. The research report is published by the Swedish Retail and Wholesale Council (Handelsrådet). The study shows, among other things, how competition is working between stores with different concept and location. This knowledge can be used to evaluate introduction of new store formats in new markets.

 

Matti Keloharju, Professor of Finance at Aalto University in Finland, Samuli Knüpfer, Professor of Finance at BI Norwegian Business School in Oslo, and Joacim Tåg,  Ph.D. and Program Director at IFN, has published a study about gender gaps in CEO appointments and pay. Both gaps are sizeable: 18% for CEO appointments and 27% for pay. At most one-eight of the gaps can be attributed to observable gender differences in executives’ and their firms’ characteristics.

In the Columbia Law School's Blog Alexander Ljungqvist, NYU and affiliated to IFN, Lars Persson, IFN, and Joacim Tåg, IFN, writes about long term consequences of buyouts. The study focuses on public-to-private buyouts which in the US account for an estimated 45% of PE transactions by value. As a consequence, the size of the U.S. stock market has fallen dramatically in recent years, Lungqvist, Persson and Tåg write.

"Entrepreneurs create growth, but who creates entrepreneurs?" was the title of a seminar that IFN, in cooperation with the publisher Studentlitteratur, arranged on January 19. A renowned panel discussed what needs to be done for more people to become entrepreneurs.

The interaction of favorable tax treatment and inherent advantages has led to near universal use of stock options in American venture capital deals, while this remains less common in Europe. Magnus Henrekson, IFN, and Tino Sanandaji asked the tax consultancy firm PwC to calculate the effective tax rate for a standardized entrepreneurial case in 22 countries, finding that countries with favorable tax treatment have more VC activity. One advantage of this tax policy is that it narrowly targets entrepreneurial startups without requiring broad tax cuts.

Steven Davis, University of Chicago Booth School of Business, visited Sweden and IFN in December. He participated in a public seminar and was interviewed by Pär Ivarsson, Ekonomiekot, Swedish Radio. Davis is co-founder of the Economic Policy Uncertainty Index, which measures economic uncertainty and its impact on production, investment and employment. The interview will be broadcasted in channel P1 tomorrow Saturday, January 9^th at 11:40 am.

In 2015, the Research Institute of Industrial Economics, IFN, has produced three podcasts in English. The topics range from GDP to immigration. If you have a quiet moment during the holidays, we suggest that you download and listen to an IFN podcast.

Does policy uncertainty curb economic growth? Yes, said Professor Steven Davis, University of Chicago Booth School of Business, at a seminar organized by IFN in Stockholm on December 16. A Swedish example of uncertainty created by the politicians is the government's announcement that distribution of profits in the service sector will be restricted. Steven Davis pointed to the refugee flows that create uncertainty in European societies. Davis is co-founder of the Economic Policy Uncertainty Index, which measures economic uncertainty and its impact on production, investment and employment. A panel discussed Davis’ finding: Max Elger, State Secretary in the Ministry of Finance, Ulf Kristersson, Economic Policy Spokesperson for the Moderate Party and Professor John Hassler, Chairman of the Swedish Fiscal Policy Council.

Joacim Tåg, IFN, participated on Wednesday in a panel discussion hosted by the Swedish Venture Capital Association (SVCA). A report on the impact of ownership on value creation and job creation in Sweden was presented. It shows that 50% of all capital is foreign owned. A panel discussed the report's conclusions in general and equity/ownership in Sweden in particular. The participants agreed that the active owners are an asset to companies, but also for the economy at large.

On December 7, Özge Öner, IFN, participated in a seminar about dynamics of the city and surrounding regions. The seminar was organized by Entrepreneurship Forum. Geoffrey Hewings, professor at the University of Illinois, opened with a presentation of research on the degree of interdependence between the city and its metropolitan area. “It is very large but often unmeasured and therefore under-appreciated,” said Hewings.

On November 25, four economists discussed school research at a seminar organized by IFN: Karin Edmark, Gabriel Heller Sahlgren, Jonas Vlachos and Björn Öckert. The first three being affiliated to IFN. The venue was packed and the debate was lively about what researchers really know in regards to the causes of the failing Swedish school results. The researchers all agreed that recruitment to the teaching profession is one of several key explanations.

A report published by Swedish Entrepreneurship Forum with Henrik Jordahl, IFN, and Karin Edmark, Stockholm University and affiliated to IFN, as co-authors shows that seven out of ten Swedes want to limit the distribution of profits in the service sector. At the same time an equally large majority of Swedes believe that freedom of choice is important. In addition, the report indicates that the profit motive is an important driver for competition and innovation and that public opinion against profits in tax-financed services partly is based on misconceptions about the size of profits. On average, Swedes overestimate the profit margins by more than 400 percent.

On Tuesday, November 17, three renowned IFN-researchers participated in public seminars: Professor Lars Calmfors, Professor Magnus Henrekson and Associate Professor Per Skedinger. The subjects were wages, employment and changes in society overall. The massive current of refugees and the opportunities for newcomers to find jobs were discussed from different viewpoints at all three seminars.

Once a year, the Rector of the University of Economics in Prague awards prizes to the faculty for best publications. This year Niclas Berggren, research fellow at IFN, was awarded second prize in the category journal articles. Berggren is affiliated to the Department of Institutional, Environmental and Experimental Economics (KIE) at the University of Economics. The article for which the prize was awarded, ”Globalization and the Transmission of Social Values: The Case of Tolerance”, was written by Niclas Berggren and Therese Nilsson and was published in the Journal of Comparative Economics.

Magnus Henrekson, IFN, and Åsa Hansson, Lund University and affiliated to IFN, addressed today, at a TCO seminar, the need for tax reforms. Magnus Henrekson primarily advocated a tax code that does not "punish" those who want to invest in new growing businesses and not large public firms. He also pointed to the need for Swedish employee stock options. Åsa Hansson proposed the reintroduction of property tax ­-- a progressive and locally decided tax. She also advocated a reduction of the capital tax and that the VAT is raised.

Associate Professor Henrik Jordahl, Director of IFN's research program The Economics of the Service Sector, has been appointed to the Council for Research Issues at the Swedish Competition Authority. The Council consists of 12 members, and is chaired by Director-General Dan Sjöblom. The Council is responsible for the Authority's evaluation of research applications. The Council should also stimulate research in the competition and public procurement area.

Academic seminars are held at IFN on Wednesdays at 10–11.15 a.m. At these meetings researchers from IFN and other institutions and universities present their recent research. Visitors are welcome!
Prior to today's seminar Ola Andersson, IFN, greeted researchers Daniel Halvarsson, Ratio, and Patrik Tingvall, Södertörn University. They presented a study entitled "Asymmetric Effects on Firm Performance from Employing Mismatched Workers".