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People’s ability to access essential services is key to their labour market and social inclusion. An important dimension of accessibility is physical accessibility, but little cross-country evidence exists on how close people live to the services facilities they need. This paper helps to address this gap, focusing on three types of essential services: Public Employment Services, primary schools and Early Childhood Education and Care. It collects and maps data on the location of these services for a selection of OECD countries and links them with data on population and transport infrastructure. This allows to compute travel times to the nearest service facility and to quantify disparities in accessibility at the regional level. The results highlight substantial inequalities in accessibility of essential services across and within countries. Although large parts of the population can easily reach these services in most countries, some people are relatively underserved. This is particularly the case in non-metropolitan and low-income regions. At the same time, accessibility seems to be associated with the potential demand for these services once accounting for other regional economic and demographic characteristics.

Generative artificial intelligence (AI) presents myriad opportunities for integrity actors—anti-corruption agencies, supreme audit institutions, internal audit bodies and others—to enhance the impact of their work, particularly through the use of large language models (LLMS). As this type of AI becomes increasingly mainstream, it is critical for integrity actors to understand both where generative AI and LLMs can add the most value and the risks they pose. To advance this understanding, this paper draws on input from the OECD integrity and anti-corruption communities and provides a snapshot of the ways these bodies are using generative AI and LLMs, the challenges they face, and the insights these experiences offer to similar bodies in other countries. The paper also explores key considerations for integrity actors to ensure trustworthy AI systems and responsible use of AI as their capacities in this area develop.

  • 18 Mar 2024
  • Beatrice Rammstedt, Lena Roemer, Dorothée Behr, Matthias Bluemke, Clemens Lechner, Steve Dept, Laura Wäyrynen, Chris Soto, Oliver P. John
  • Pages: 25

In the 2023 Survey of Adult Skills (PIAAC), the Big Five personality traits were assessed using the BFI-2-XS, the 15-item extra-short form of the Big Five Inventory-2 (BFI-2). For this purpose, the instrument was translated into 24 languages and adapted to 29 countries, resulting in 39 language versions. This translation and adaptation process followed state-of-the-art procedures to generate language versions of the BFI-2-XS that are maximally comparable across countries and regions. In the present paper, we describe this general translation procedure from a methodological point of view. We also document each resulting language version and report in detail the decisions taken during the translation process and the adaptations made to preexisting national versions of the BFI-2-XS. Our aim is to share with researchers the resulting BFI-2-XS language versions developed with high quality standards to allow maximal cross-cultural comparability. Our intention in so doing is to enable their wider usage beyond PIAAC.

  • 15 Mar 2024
  • Rodrigo Pizarro, Santaro Sakata, Miguel Cárdenas Rodríguez, Abenezer Zeleke Aklilu, Ekaterina Ghosh
  • Pages: 39

The Paris Agreement maps out a path for internationally coordinated efforts to curb global warming. At the centre of the Paris Agreement are Nationally Determined Contributions (NDCs) that establish countries’ plans to mitigate greenhouse gas (GHG) emissions as well as adapt to the impacts of climate change. However, mitigation contributions defined in NDCs are different across countries in terms of target types, coverage of sectors and gases. This makes it challenging to assess progress on mitigation commitments. To complement the UNFCCC efforts, and facilitate the evaluation and monitoring of targets, this paper develops a methodology that harmonises countries’ 2030 mitigation targets in physical units and provide clarity on sector and gas coverage. The results are used to develop the GHG Emission Trends and Targets (GETT) indicators for non-EU countries and the EU-27 covered under the International Programme for Action on Climate (IPAC). The GETT indicators support the analyses of emissions' trajectories by describing historical GHG emission trends and comparing them to NDC emission targets, considering various reference years and indicators, including emissions intensity per capita or per unit of GDP.

Despite women’s increased participation in the labour market significantly contributing to past economic growth, persistent gender gaps across OECD labour markets hinder full realization of the potential gains of women’s economic participation. This paper analyses the economic implications of these gaps and evaluates the potential for future growth through greater gender equality in labour market outcomes. Utilising two methodological frameworks, the paper first employs growth accounting to measure the contribution of women's employment to past economic growth. The paper then uses a simplified version of the OECD Long-Term Model in conjunction with projections on future labour force dynamics to estimate the impact of greater gender equality on the labour market. These analyses provide insight into the potentially significant economic benefits of closing persistent gender gaps across OECD countries.

A fragmented school network resulting from demographic shifts and regional economic developments can place a significant financial burden on education systems across OECD Member and non-Member countries. This is the case in Latvia, which has made the reorganisation of its school network a policy priority. The Latvian Ministry of Education and Science (MoES) is working jointly with municipalities to ensure high-quality education for every child regardless of school location. On this basis, the OECD Directorate for Education and Skills and OECD Centre for Entrepreneurship, SMEs, Regions and Cities provided technical assistance to Latvia through capacity building workshops and the co-construction of a geospatial simulation model to identify schools to be considered for closing or merging. This report presents the key findings of the geospatial modelling, confirming there indeed is considerable scope for consolidating the school network and offers concrete policy recommendations for MoES and education stakeholders to consider for advancing Latvia’s school network reorganisation initiative.

The rapid acceleration in the pace of AI innovation in recent years and the advent of content generating capabilities (Generative AI or GenAI) have increased interest in AI innovation in finance, in part due to the user-friendliness and intuitive interface of GenAI tools. The use of AI in financial markets involving full end-to-end automation without any human intervention remains largely at development phase, but its wider deployment could amplify risks already present in financial markets and give rise to new challenges. This paper presents recent evolutions in AI in finance and potential risks and discusses whether policy makers may need to reinforce policies and strengthen protection against these risks.

This paper investigates the link between gender diversity in senior management and firm-level productivity. For this purpose, it constructs a novel cross-country dataset with information on firms’ senior management group and other firm characteristics, covering both publicly listed and unlisted firms in manufacturing and non-financial market services across nine OECD countries. The main result from the analysis is that productivity gains from increasing gender diversity in senior management are highest among firms with low initial diversity. Increasing the female share to the sample average of 20% in firms with initially lower shares would increase aggregate productivity by around 0.6%. This suggests that improving women’s access to senior management positions matters not only for equity but could yield significant productivity gains.

The economic and fiscal costs of gender inequalities, such as the gender employment gap, are high. Intersectional analysis improves understanding of gender gaps and the measures needed to address them. This paper looks at how gender budgeting can be expanded to include intersectional analysis, allowing for consideration of how gender inequalities intersect with inequalities based on race, socioeconomic class, sexual orientation and disability. It provides examples from governments that have started to incorporate an intersectional approach to gender budgeting. It also highlights the main benefits and challenges associated with intersectional analysis and considers what governments can do to support an intersectional approach to gender budgeting.

Scale-ups, i.e. firms that grow fast over a short period of time, significantly contribute to job creation and economic growth. This study uses granular firm, establishment and employee data to understand how relocations, domestic expansions or foreign acquisitions impact the life cycle of scale-ups. Around 95% of scale-ups remain in their “home” region over the 2014-20 period, reflecting the importance of their personal local business networks in driving growth. Instead of relocating, many scale-ups create new plants or branches in different regions to serve new customers, tap into new markets, or to gain access to new resources and capabilities. Scale-ups that relocate or expand continue to grow. However, relocations and expansions can be a challenge for talent retention, as they may lead existing employees to find other opportunities in new places. Foreign capital appears to support the scale-ups’ growth process. Across the five Nordic countries, between 6% and 20% of scale-ups became foreign owned between 2014 and 2020.

With half of the world’s habitable land being used for agriculture, monitoring the biodiversity on agricultural land is essential for meeting the objectives of the United Nations Convention on Biological Diversity (CBD). This paper seeks to advance the monitoring of farmland biodiversity in OECD countries by investigating current national initiatives and proposing guidelines for the development of an indicator based on habitat. The proposed approach provides a flexible and pragmatic framework to harmonise reporting from national programmes while accommodating cross-country diversity in contextual factors, including farming systems, climate, biophysical conditions and species pools. To facilitate implementation in the near term, the indicator includes a three-tiered approach to reporting based on data availability, which accommodates countries with limited data resources as well as those that currently have monitoring programmes in place.

French

This document presents the principles of good practice for public communication responses to mis- and disinformation. The Principles aim to help governments counter mis- and disinformation via the public communication function and other policy responses through strengthening domestic and international media and information ecosystems and reinforcing democracy. This document identifies nine common principles underpinning good practices for how governments can engage with partners across citizens, civil society and the private sector, based on evidence and interventions observed around the world during the COVID-19 pandemic and beyond.

Industrial subsidies take on a growing importance in trade discussions. Yet assessing the scope and scale of government interventions in manufacturing remains notoriously difficult due to a persistent lack of reliable and comparable data. With many governments failing to provide sufficient information, attention has increasingly turned to firm-level data as a possible alternative for measuring industrial subsidies. Using this approach, recent OECD work has identified and quantified government support across key industrial sectors and policy instruments. The results show that: (i) the type of support received by firms can differ greatly across sectors; (ii) state enterprises obtain relatively more support and can serve as providers of support to other firms; and (iii) the complexity of supply chains implies that it can be hard to identify the ultimate beneficiaries of government support. These findings have important policy implications in the context of discussions at the WTO and elsewhere as they provide indications as to the possible nature of gaps in trade rules.

Policy makers are increasingly grappling with the stability implications of global value chains (GVCs), as widespread supply shortages following the COVID-19 pandemic and the Russian Federation’s large-scale aggression against Ukraine have disrupted the economic recovery and contributed to high inflation. This paper provides a tool to assess vulnerabilities in GVCs by drawing a detailed map of dependencies based on new indicators constructed from the OECD Inter-Country Input-Output tables. The key findings are as follows. First, GVC dependencies increase with both the size of foreign exposures and the length of foreign value chains. Second, in some industries, such as the automotive and ICT industries, vulnerabilities from high GVC dependence are amplified by high geographic concentration of suppliers or buyers. Third, the People’s Republic of China is the most critical choke point in GVCs across a broad range of industries, both as a dominant supplier and as a dominant buyer.

Gender gaps persist in the labour market, with women less likely than men to be in employment in all OECD countries. This paper highlights the economic and fiscal dividends that could be achieved from closing the gender employment gap. It shows that increasing women’s participation in the labour market can bring positive GDP and productivity gains, as well as improvements to fiscal sustainability. Increased participation of women in the workforce is particularly helpful in the context of the shrinking labour forces that many OECD countries are expected to face over the coming decades. The paper illustrates how gender budgeting can be used by governments to mobilise policy making to close gender gaps in the labour market and help realise these economic and fiscal gains.

Public finances will be under increasing pressure in the medium term. Tools such as spending review, which help governments prioritise and reallocate spending, are likely to be increasingly important. Integrating a gender perspective will ensure that budget reprioritisation does not increase gender gaps, but instead supports the achievement of gender goals – which can bring economic and fiscal dividends. This paper highlights the different ways in which countries are experimenting with integrating a gender perspective to spending review, as well as some of the key considerations that should be taken into account in the process.

Hydrogen is a cross-cutting energy vector that can help to decarbonise various end-use sectors. At least two-thirds of the global hydrogen production is projected to be green hydrogen by 2050, supporting the transition to a net-zero emissions global energy system. This paper presents a value chain approach to identify priority areas for developing national hydrogen strategies, focussing on emerging and developing economies. Further, the analysis highlights success factors for green hydrogen projects, based on eight case studies covering applications in industrial, transport and power generation sectors. The paper summarises the enabling conditions and financing solutions that can spur the green hydrogen market creation and growth.

For the past decade, behavioural science has been influencing public policy by applying principles of psychology, cognitive and social sciences, neuroscience and economics, to put individuals at the forefront of policy goals, and with an accurate rather than imagined understanding of human behaviour. Like any policy-making tool, the use of behavioural insights must be subject to ethical considerations that can arise at any point from scoping to policy scaling. This good practice guide offers practitioners and policy makers step-by-step guidance to prompt deliberations into how to use behavioural science ethically for public policy. It is designed to be a practical resource to promote the responsible use of behavioural science in the public sector.

Green budgeting refers to the integration of climate and environmental perspectives into a government’s budgetary processes. Based on the resources of the OECD’s Paris Collaborative on Green Budgeting and experiences in OECD countries from implementing green budgeting, this paper identifies seven key areas to support the development of green budgeting practices in making progress toward climate and environmental goals. The key areas consider the institutional frameworks, budgetary tools, transparency and accountability arrangements and the enabling environment for budgeting in the public sector.

Fostering gender inclusion can have positive impacts on the food systems' triple challenge of ensuring food security and nutrition for a growing population, supporting the livelihoods of millions of people working in the food supply chain, and doing so in an environmentally sustainable way. Yet these positive synergies are often invisible as sex-disaggregated information is not collected. This report calls for the development of better evidence on gender and food systems as a necessary first step in the path towards gender equality. Based on OECD countries’ experiences, it provides a roadmap to identify and overcome evidence gaps on gender aspects and policies that address gender inequality in food systems with the aim of advancing women’s contribution to food systems.

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