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  • 07 Nov 2022
  • OECD, Asian Productivity Organization
  • Pages: 128

This report represents the second outcome of the collaboration between the Asian Productivity Organization (APO) and the Organisation for Economic Co-operation and Development (OECD) to improve the measurement and analysis of productivity developments across APO and OECD member economies. The report discusses the potential impact of COVID-19 on productivity and examines the role of Multifactor Productivity (MFP) as a major driver of economic growth and changes in living standards. It then identifies the most important factors influencing MFP growth and describes the most important challenges affecting the measurement of each of these factors as well as the estimation of their impact on MFP. The report provides key recommendations to improve the reliability and interpretation of the empirical evidence for economic analysis.

On 20 February 2019, OECD Council adopted the Recommendation on Countering the Illegal Trade of Pesticides to strengthen cooperation between countries and inspectors. A Best Practice Guidance was developed to provide guidance for inspectors and regulatory authorities on best practices for identifying and tackling illegal pesticides throughout the complete lifecycle of a pesticide, from manufacture, through formulation, trade and use to destruction.

This work employs a novel approach to identify and characterise firms adopting Artificial Intelligence (AI), using different sources of large microdata. Focusing on the United Kingdom, the analysis combines data on Intellectual Property Rights, website information, online job postings, and firm-level financials for the first time. It shows that a significant share of AI adopters is active in Information and Communication Technologies and professional services, and is located in the South of the United Kingdom, particularly around London. Adopters tend to be highly productive and larger than other firms, while young adopters tend to hire AI workers more intensively. Human capital appears to play an important role, not only for AI adoption but also for firms’ productivity returns. Significant differences in the characteristics of AI adopters emerge when distinguishing between firms carrying out AI innovation, those with an AI core business, and those searching for AI talent.

Most of the projections of the cost of meeting climate change mitigation targets hinge crucially upon assumptions made about the cost and timing of the development of breakthrough technologies. However, very little is known about the conditions which are likely to give rise to breakthrough technologies. This paper seeks to uncover attributes of inventions – as reflected in patent data – which serve as “leading indicators” of subsequent technological and market development in climate change mitigation technologies. The role of industrial generality emerges as being robustly correlated with subsequent technological diffusion, whether measured as subsequent patent counts, commercial applicability, or attractiveness to risk finance. The indicator of closeness to science shows also a positive association with later technological diffusion. Originality and radicalness have more ambiguous results. This work can be seen as a foundation for the future development of a methodology providing guidance to policymakers in the choices made with respect to public support for different technological fields.

Several states in West Africa have experienced significant episodes of political violence since the early 2010s. These have included civil wars, religiously motivated terrorism, separatist insurgencies, military coups and communal strife, each of which have local, national and transnational dimensions. Intended to help guide responses to the region’s political challenges, the Sahel and West Africa Club (SWAC/OECD) created an interactive, spatial tool for policy makers in 2019, the Spatial Conflict Dynamics indicator (SCDi). The SCDi monitors political violence at subnational scales. It combines different quantitative dimensions of conflict into a mappable tool that describes the circumstances in each location. The latest enhancement to the SCDi brings two new features to aid the identification of local conflict trends. First, the tool now identifies regions that are newly entering into or exiting from conflict. This allows a more detailed picture of how the geography of conflict is spreading or contracting within and across national borders. Second, the tool now characterises the current conditions in a location as either worsening or improving, based on past conditions at the same location. The SCDi is implemented in SWAC’s new Mapping Territorial Transformations in Africa (MAPTA) platform.

French

This paper identifies different types of climate change mitigation strategies countries adopted over the last two decades and assesses the policy synergies they might generate. The analysis exploits the rich policy repository of the OECD’s Climate Actions and Policies Measurement Framework (CAPMF). This is the most comprehensive and harmonised mitigation policy database to date, covering more than 120 policy instruments and 50 countries over 2000-20. Statistical cluster analysis yields four types of mitigation strategies, which differ in the variety and stringency of mitigation policies. Until the mid-2000s mitigation strategies were similar and based on few policies and low overall stringency. They started to differentiate in the mid-2000s and then in the mid-2010s as some countries enlarged the variety of policy instruments and raised stringency. Regression results indicate that emissions are negatively associated with the overall stringency of the country’s mitigation strategies. Moreover, this relationship is stronger for mitigation strategies comprising a larger set of instruments, pointing to larger policy synergies.

This paper uses information collected and provided by GlassAI to analyse the characteristics and activities of companies and universities in Canada, Germany, the United Kingdom and the United States that mention keywords related to Artificial Intelligence (AI) on their websites. The analysis finds that those companies tend to be young and small, mainly operate in the information and communication sector, have AI at the core of their business, and aim to provide customer solutions. It is noteworthy that the types of AI-related activities reported by them vary across sectors. Additionally, although universities are concentrated in and around large cities, this is not necessarily reflected in the intensity of AI-related activities. Taken together, this novel and timely evidence informs the debate on the most recent stages of digital transformation of the economy.

This paper identifies and measures developments in science, algorithms and technologies related to artificial intelligence (AI). Using information from scientific publications, open source software (OSS) and patents, it finds a marked increase in AI-related developments over recent years. Since 2015, AI-related publications have increased by 23% per year; from 2014 to 2018, AI-related OSS contributions grew at a rate three times greater than other OSS contributions; and AI-related inventions comprised, on average, more than 2.3% of IP5 patent families in 2017. China’s growing role in the AI space also emerges. The analysis relies on a three-pronged approach based on established bibliometric and patent-based methods, and machine learning (ML) implemented on purposely collected OSS data.

Since 2014 over 600 000 African migrants have arrived in Italy through the perilous Central Mediterranean route, and nearly 120 000 arrived in 2017. This paper is the first examination of migration motivations at the individual level using nationally representative surveys and focus group data collected in West Africa. Respondents in six West African countries cite economic factors as the reason for migrating and those who wish to stay claim family and love of country as the ties that bind. The study then specifically focuses on Nigeria, the country of origin for a quarter of all Africans traveling through the Central Mediterranean route. Half of the Nigerians were interested in leaving their country of origin if given the opportunity, well above the number in neighbouring countries. Evidence from the six-country survey suggests individuals are migrating for economic reasons but statistical analysis of the Nigeria data reveals a different set of push factors behind the desire to migrate. In fact, economic standing has a limited effect on Nigerians’ desire to leave their home. Instead, individual perceptions of the strength of Nigeria’s democracy are most strongly associated with Nigerians’ desire to migrate abroad, in addition to low levels of trust in local security institutions. Urban and more highly educated Nigerians, especially from Lagos, are also more likely to want to migrate abroad. These findings shed new light on domestic policy steps that could address the grievances and concerns of those who seek to migrate.

There are many reasons why the United Nations Framework Convention on Climate Change (UNFCCC) reporting framework requests information from countries. These include understanding and tracking progress with individual or collective commitments or pledges, providing confidence and enhancing accountability in quantified information measured and reported, and providing background information on the scope and ambition of national climate responses. This paper highlights the gaps, inconsistencies and uncertainties in the current reporting framework, which was developed for both long-standing obligations and mitigation pledges for the period to 2020. The paper also identifies possible improvements in the UNFCCC reporting framework in the context of the post-2020 transparency framework and nationally determined contributions (NDCs) for the post-2020 period.
The paper employs a structural vector auto-regression (SVAR) along the lines of Blanchard and Quah (1989) and Clarida and Gali (1994) to identify the sources of changes in German international price competitiveness over the past 30 years. This leads to a separation of the driving forces of the real exchange rate into real demand, supply, and nominal shocks. Based on this decomposition, it is analysed whether real exchange rate changes have helped to stabilise output in the post re-unification period and whether such changes have facilitated the ongoing structural adjustment process of the German economy. The results indicate that real demand and nominal shocks have been the main drivers of the real exchange rate in the past, whereas output fluctuations have been almost entirely due to supply shocks. In particular, it turns out that improvements of Germany’s price competitiveness in the second half of the 1990s have been primarily the result of a relative domestic demand restraint and hardly that of supply side expansions.

This Test Guideline describes an in vitro assay that may be used for identifying water soluble ocular corrosives and severe irritants as defined by the UN Globally Harmonized System of Classification and Labelling, Category 1. The assay is performed in a well where a confluent monolayer of Madin-Darby Canine Kidney (MDCK) is used as a separation between two chambers. It uses a fluorescein dye as marqueur. The test substance has the potential to impair the junctions of the MDCK cells and thus to increase the monolayer¡¯s permeability. Consequently the fluorescein passes through the monolayer and the fluorescein leakage (FL) increases. The FL is calculated as a percentage of leakage relative to both a blank control and a maximum leakage control. The concentration of test substance that causes 20% FL (FL20, in mg/mL) is calculated and used in the prediction model for identification of ocular corrosive and severe irritants. The cut-off value of FL20 to identify water soluble chemicals as ocular corrosives/severe irritants is ¡Ü 100mg/mL. The FL test method should be part of a tiered testing strategy.

French

This paper develops a novel classification of high-polluting occupations for a large sample of European countries. Unlike previous efforts in the literature, the classification exploits country-level data on air polluting emission intensity by industry. The country-level data allows to capture important cross-country differences, due to differences in technology and in production focus. Applying the new classification to European Labour Force Survey data shows that, on average across the countries covered, about 4% of workers are employed in high-polluting jobs, ranging from 9% in Czechia and the Slovak Republic to around 2% in Austria. These shares do not exhibit any clear decreasing trend over the past decade. High-polluting jobs are unequally distributed, being over-represented among men, workers with lower and medium educational attainment and those living in rural areas.

Despite calls for the reform of incentives, including subsidies, harmful to biodiversity, including under the Convention on Biological Diversity and its 2011-2020 Aichi Targets, very few countries to date have undertaken what is considered the first step in this process, namely, to identify and assess the types and magnitudes of any incentives in place at the national level which are harmful for biodiversity or the environment more broadly.

This paper begins with a brief literature review on subsidies harmful to biodiversity, followed by a detailed review and comparison of the existing national level studies to identify and assess subsidies and other incentives harmful to biodiversity or the environment. The report concludes with guidance and good practice insights to identify and assess subsidies and other incentives harmful to biodiversity, at national level.

This paper documents joblessness in OECD countries, provides a detailed diagnosis of structural employment barriers in Belgium, Korea and Norway by applying the OECD Faces of Joblessness methodology to the situation just before the COVID-19 crisis and discusses the policy implications. It shows that individuals experiencing major employment difficulties often face a combination of barriers related to work availability, readiness and incentives. It suggests a number of avenues for enhancing the effectiveness of public support: i) make greater use of statistical profiling tools to adapt programmes to the needs of the jobless and target resources to those at the highest risk of long-term joblessness; ii) better coordinate support provided by employment, health and education services; iii) place a greater emphasis on preventive policies (equal opportunities, life-long learning).

This paper (i) explains the motivation for articulating the benefits of accessibility; (ii) provides a narrative basis for articulating how accessibility affects economic and social life; and (iii) moves a framework for quantifying the benefits of accessibility.

In examining laws, regulations and judicial proceedings in different nations, the paper finds that most view cost as a limiting factor on what public and private entities can be compelled to provide in relation to the accessibility of transportation, the build environment, employment, and services. This is so even in the context of constitutionally and legislatively enshrined human rights. This paper also finds that cost-benefit balancing is emerging as a necessary part of the accessibility governance framework. When addressing the specific application of accessibility rights, governments, regulatory bodies ad courts around the world deal comprehensively with costs but fail to value important categories of benefit, such as the reduction of stigmatic harms, “option” benefits and “existence” value, and capability value. The paper describes progress towards a comprehensive narrative and analytical framework for describing and measuring such benefits.

The Isolated Chicken Eye  (ICE) test method is an in vitro test method that can be used to classify substances as “ocular corrosives and severe irritants”. The ICE method uses eyes collected from chickens obtained from slaughterhouses where they are killed for human consumption, thus eliminating the need for laboratory animals. The eye is enucleated and mounted in an eye holder with the cornea positioned horizontally. The test substance and negative/positive controls are applied to the cornea. Toxic effects to the cornea are measured by a qualitative assessment of opacity, a qualitative assessment of damage to epithelium based on fluorescein retention, a quantitative measurement of increased thickness (swelling), and a qualitative evaluation of macroscopic morphological damage to the surface. The endpoints are evaluated separately to generate an ICE class for each endpoint, which are then combined to generate an Irritancy Classification for each test substance.

French

This Test Guideline describes an in vitro procedure allowing the identification of chemicals (substances and mixtures) not requiring classification and labelling for eye irritation or serious eye damage in accordance with UN GHS. It makes use of reconstructed human cornea-like epithelium (RhCE) which closely mimics the histological, morphological, biochemical and physiological properties of the human corneal epithelium. The test evaluates the ability of a test chemical to induce cytotoxicity in a RhCE tissue construct, as measured by the MTT assay. Coloured chemicals can also be tested by used of an HPLC procedure. RhCE tissue viability following exposure to a test chemical is measured by enzymatic conversion of the vital dye MTT by the viable cells of the tissue into a blue MTT formazan salt that is quantitatively measured after extraction from tissues. The viability of the RhCE tissue is determined in comparison to tissues treated with the negative control substance (% viability), and is then used to predict the eye hazard potential of the test chemical. Chemicals not requiring classification and labelling according to UN GHS are identified as those that do not decrease tissue viability below a defined threshold (i.e., tissue viability > 60%, for UN GHS No Category).

French

The Vitrigel-Eye Irritancy Test (EIT) method is an in vitro test method that allows the identification of test chemicals not requiring classification and labelling for eye irritation or serious eye damage. This test measures the eye irritation potential of a test chemical based on its ability to induce damage to the barrier function of the human corneal epithelium (hCE) models used in the Vitrigel-EIT method. It is known that chemicals that are irritating to the eye first destroy tear film and epithelial barrier function of the eye, subsequently induce epithelial cell death, and finally produce stromal degeneration and endothelial cell death, resulting in corneal opacity. Therefore, the change of the epithelial barrier function is a relevant endpoint for detecting eye irritation. In the Vitrigel Eye Irritancy test method , time-dependent changes in the Transepithelial Electrical Resistance (TEER) values are indicative of damage to the barrier function of the corneal epithelium following exposure to a test chemical; this situation is similar to the observed damage of the rabbit cornea following exposure to a test chemical, which is an important mode of action leading to damage of the corneal epithelium and eye irritation. The Vitrigel-Eye Irritancy Test (EIT) method can be used within the limited applicability domain of test chemicals having pH > 5.0 (based on 2.5% weight/volume (w/v) preparation).

French

Test No. 457: BG1Luc Estrogen Receptor Transactivation Test Method for Identifying Estrogen Receptor Agonists and Antagonists
Information: Following the OECD Council decision, the Test Guideline 457 was deleted on 29 January 2018. 
Those who would like to obtain it should contact [email protected]

 

French

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