📢 Final edition of OECD's « Fiscal Federalism 2022 » out today!📕 👉🏼 You'll find the latest on the impacts of the crisis, for state & local finances 📉💰💸📈 👉🏼 Good practices in all areas of intergovernmental fiscal relations 💫🏃‍♀️⚖️💭 💸eBook version: https://t.co/uPv4ulIuOI🧵

A modern take on Solow’s Paradox 📉🤖 You can see AI everywhere, except in the productivity statistics 💭 Makridis & @ErikBryn explain why and how better measurement can fix this 📊 https://t.co/JWYNBOkjo5

[OUT NOW] 📢🆕 #FiscalFederalism working paper examines whether local investments in #ArtificialIntelligence 🤖 improve subnational borrowing terms 💸 in an international setting ➡️ https://t.co/YvTGpi2BaK @econecho

A modern take on Solow’s Paradox 📉🤖 You can see AI everywhere, except in the productivity statistics 💭 Makridis & @ErikBryn explain why and how better measurement can fix this 📊 https://t.co/JWYNBOkjo5

Excited to share new research with Lee Lockwood on a critical policy challenge: how can public finances adapt when AI erodes the traditional sources of tax revenue? Published by @BrookingsEcon.💡

Trying out a new Podcast format from Davos! 🇨🇭 🎙️ « The Dancing Elephant » 🐘

💼Why are labour shortages rising as economies transform? New @OECD analysis shows digitalisation and decarbonisation increase labour market tightness, while #AI reduces it. Ageing matters most where it is already advanced. What does this mean for policy? https://t.co/DHv7R6WnlX

MIT’s most popular new degree is now AI and Decision Making, 6-4. Not model size. Not speed. Judgment. Responsibility. Humans in the loop. Heard directly from @MIT President Sally Kornbluth this morning in a #Davos church. This shift matters.

👀 #Davos sighting: an AI impact calculator breaking down energy use & emissions 📊⚡️ Takeaway: efficiency + power source matter. 🤖 Not all models age well — Claude struggles here. https://t.co/0O7Z9WOSHq

"AI and Our Economic Future" New paper in preparation for the Journal of Economic Perspectives ==> accessible to a broad audience. https://t.co/eV46ATgV3k

President Ursula von der Leyen officially announced the EU–INC today at Davos! A single legal entity for all European founders to grow massive companies in Europe. Online incorporation in 48 hours. No more bureaucratic mess across European borders. All of you made this happen!

[NIPFP Blog] “Artificial Intelligence and Fiscal Policy” - by Pramod Sinha and Lekha Chakraborty December 16th 2025 https://t.co/JhGg2ALiX2. #AI #fiscalpolicy

“Europe needs a coalition of the willing and a capital markets union to finance breakthrough innovation and deliver on the Draghi report. Trying to do it at 27 would be too slow and cumbersome, both in terms of regulation and negotiations.” Thanks to @TribuneDimanche for the itw

Lots of discussion on Jevons Paradox for AI: does cheaper AI lead to more total usage? New paper finds short-run elasticity ~1 (so no short-run paradox) but prices fell 1000x in two years & demand exploded. So Jevons happens over time, as firms gradually adopt AI at lower prices

2/ Prices for intelligence are collapsing. Models at the GPT-4 level are now roughly 1000× cheaper than in 2023. Yet, average prices paid per token fall more slowly because users systematically upgrade to higher intelligence.

You know how some people seem to have a magic touch with LLMs? They get incredible, nuanced results while everyone else gets generic junk. The common wisdom is that this is a technical skill. A list of secret hacks, keywords, and formulas you have to learn. But a new paper

📊 We are pleased to see the @OECD #EconomicOutlook highlight the importance of regulatory reform to enhance economic dynamism. Our business economic survey found that: 🪜 Structural reforms needed to stimulate #growth & #investment 🎯 Targeted measures needed to address high

💡 Should governments play a bigger role in building AI 🤖 infrastructure? ✒️ https://t.co/g8VBW5ctm9 expert group 🏗️

The recent papers on AI & labor are potentially so important, that I wanted to put some thoughts out there probing the edges of its robustness. Canaries in the Coal Mine finds almost immediate slowing of hiring among early career workers in occups exposed to AI after ChatGPT 1/

Unloved at home, vigorous abroad. Macron, Merz and Starmer are forming Europe’s new trilateral diplomatic leadership https://t.co/vhryGy1k3D In @theeconomist