Konstantin M. Wacker (@KM_Wacker) header
Konstantin M. Wacker (@KM_Wacker) profile picture

Economist working on #economicgrowth, #growth #econometrics & macro development || Associate prof Webster Vienna || #Firstgen graduate

Vienna, Austria
Joined July 2014
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Konstantin M. Wacker retweeted
Replying to @GautiEggertsson
Just as with recessions, I can predict Woodford will get it but I cannot predict when.
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"We can't give it for growth/macro again, can we?" - - . . "Wait, what if we award it for "microeconomic foundations.." 😂😂"
BREAKING NEWS The Royal Swedish Academy of Sciences has decided to award the 2026 Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel to Robert E. Hall and Michael Woodford “for microeconomic foundations of macroeconomic stabilisation.” #NobelPrize
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Almost two thirds of Germany's current account surplus is due to investment incomes, not trade. In Japan, the current account balance effectively is the investment income balance. The excessive policy focus on trade misses a key aspect of current global imbalances.
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The public debate on sustainable development is increasingly trapped between two camps. Rather than choosing between growth and degrowth, policy should focus on a re-adjustment of growth models -- #regrowth. globalpolicyjournal.com/blog…
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A #gravity model for #FDI? Yes, but what does distance actually capture then? In a new @ecb working paper we document substantial heterogeneity of the distance elasticity across sectors. ecb.europa.eu/pub/research/a…
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Perhaps, that is not too surprising. But: no simple economic rationale can credibly explain this heterogeneity pattern. Food for thought, comments welcome!
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Konstantin M. Wacker retweeted
I wanted to hate this article. I consider the degrowth movement harmful for achieving social justice and improving the human condition. The movement is predicated on two inconsistent assumptions: 1. All the bad things associated with growth are so fundamental features of the economy that they cannot be tackled directly. Inequality. Pollution. They are caused by growth. Better to limit growth so as to limit harm. 2. All the good things associated with growth across countries and over decades are just coincidence. They are not caused by growth. We can reduce growth without taking away better health outcomes, increased longevity, better sanitation, improving gender norms, you name it. Your ideology may influence whether you put more weight on the good correlates of growth or the bad correlates of growth. But, intellectually, you should consider both. There are many faults of this opinion piece, but it is not advocating for degrowth. It is pushing the "beyond growth" agenda, which is urging policy makers to tackle societal problems directly, in addition to improving material outcomes. This is not a wrong position to hold. In fact, it is a position with which no reasonable policy maker would disagree. Tackling societal problems? It's their literal job description. But the op-ed is a teachable moment of reasoning fallacies. 1. Argument from authority. "We economists"? 350 signatories including some we name because they seem more important than the other 340? Surely you must be right then. 2. Strawman argument. "For decades, the recipe was simple: grow the economy, and poverty would gradually disappear." Are you saying that economists and policy makers have not been trying to tackle the challenges you describe? Have you not heard of the Sustainable Development Goals agreed on in 2012? There is nothing to hate here. Keep pushing for better policies. But use actual arguments for what works, what doesn't; costs and benefits. You know, the kind of things economists do. theguardian.com/commentisfre…
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Modern trade economists when they have to cover Heckscher Ohlin be like 👇
two-factor authentication has gotten out of control
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#SUERFpolicybrief “When foreign banks bring cash: How financial FDI boosts investment" by Tim de Leeuw and @KM_Wacker (University of Groningen) 📄 tinyurl.com/mbtcnsfc
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Konstantin M. Wacker retweeted
Japan's Phillips Curve Looks Like Japan
What is the actual most important chart in the world?
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List of the most common "beautiful conference places" in economics.
academic conferences are crazy because it’s like Let’s go to the most beautiful place in the world and then look at powerpoints for 12 straight hours
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Konstantin M. Wacker retweeted
stata
is there a language where the native speakers actively discourage you from learning it
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Konstantin M. Wacker retweeted
🙌🏼 We have a new way to estimate interaction terms with panel data 🙌🏼, which is better than the standard approach. #cite Thread on the idea 👇 , more on implementation to follow (1/6). onlinelibrary.wiley.com/doi/…
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🆗 🆒, what about the interaction effects now? 1. If they are time-varying, just add this interaction on top of unit-specific x effects. 2. If they are not time-varying, project unit-specific coefficients on interaction variable in a second step OLS regression. (5/6)
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🎁 BONUS: -) Standard "robust" inference can be applied. -) Efficiency loss appears small, even with small T. -) Second step is OLS - much scope for visualizations and other tools. (6/6)
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