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of institutional questions written by internationally renowned experts. The editorial team’s aim was to present findings on current topics in an accessible way. In 2019, we asked readers of all ifo publications how we can make our offer even more useful for their work. Many respondents said their focus was on relevance and topicality, no matter if the topic is presented from a macroeconomic or an institutional economics view. And they would like to have the

Key findings

Executive Summary

This paper estimates the effect of environmental regulation on firm productivity using a spatial regression discontinuity design implicit in China’s water quality monitoring system. Because water quality readings are important for political evaluations, and the monitoring stations only capture emissions from their upstream regions, local government officials are incentivized to enforce tighter environmental standards on firms immediately upstream of a monitoring station, rather  than  those  immediately  downstream.

Smallholder farmers often face prohibitive transaction costs in agricultural commodity markets in developing countries. Consequently, they are only partly integrated into these markets.

The use of small-scale off-grid renewable energy for rural electrification is now seen as one sustainable energy solution. The expectations from such small-scale investment include meeting basic household energy needs and thereby improving some aspects of household welfare. However, these stated benefits remain largely hypothetical because there are data and methodological challenges in existing literature attempting to isolate such impacts. This paper uses field data from micro hydro schemes in Kenya and a propensity score matching technique to demonstrate such an impact.

Solid waste management (SWM) is a public health service whose importance is often understated. When the solid waste management challenge is exacerbated by a public health emergency such as the Covid-19 pandemic, its real significance as an essential service becomes more apparent. The outbreak and spread of the novel coronavirus (Covid-19) has led to dramatic transformations of every sector of the Nigerian society including SWM systems, where formal and informal actors co-exist often in an uneasy relationship.

Because the main modes of transmission of the COVID-19 virus are respiration and contact, WHO recommends frequent washing of hands with soap under running water for at least 20 seconds. This article investigates how the level of concern about COVID-19 affects the likelihood of washing hands frequently in sub-Saharan Africa. The study makes use of a unique survey dataset from 12 sub-Saharan African countries collected in April 2020 (first round) and May 2020 (second round) and employs an extended ordered probit model with an endogenous covariate.