Do institutional and geographical characteristics matter for energy consumption similar to the case of economic development? Why do coastal Sub-Saharan African (SSA) countries appear to be more energy-consuming than inland ones? To answer these questions, surprisingly rarely addressed in the existing literature, we empirically assess the determinants of primary energy use across SSA, exploiting spatial analysis methods. Our results highlight the existence of positive geographical spillovers in primary energy use.

It is nowadays accepted that labour market institutions matter in economic development. However, empirical studies on unions’ effect are not univocal. We provide new insight into the impact of unions on the long-run performance of industrialized economies using an indicator of union centralization. Relying on a recent panel dataset of OECD countries, we estimate a growth equation and show that a high degree of union centralization can be harmful to growth.

AbstractCultural norms diverge substantially across societies, often within the same country. We propose and investigate a self-domestication/selective migration hypothesis, proposing that cultural differences along the individualism–collectivism dimension are driven by the out-migration of individualistic people from collectivist core regions of states to peripheral frontier areas, and that such patterns of historical migration are reflected even in the current distribution of cultural norms.

Hotter years are associated with lower economic output in developing countries. The study shows that the effect of temperature on labor is an important part of the explanation. Using microdata from selected firms in India, the researchers estimate reduced worker productivity and increased absenteeism on hot days. Climate control significantly mitigates productivity losses. In a national panel of Indian factories, annual plant output falls by about 2% per degree Celsius. This response appears to be driven by a reduction in the output elasticity of labor.