BOFIT Policy Brief (2014- )


A series devoted to analytical studies by BOFIT economists and guest researchers. The focus is on descriptive work on economic policy and economic developments in transition economies. BOFIT Policy Brief papers are published either in Finnish or in English. The series was called BOFIT Online until 2013.

Recent Submissions

  • Rautava, Jouko (2020)
    BOFIT Policy Brief 5/2020
    Intian suuri, nuori ja kasvava väestö sekä sen raportoima nopea talouskasvu ovat jo pitkään ruokkineet toiveita, että maasta tulisi uusi maailmantalouden veturi. Odotukset näyttävät kuitenkin ylimitoitetuilta suhteessa maan talouden suorituskykyyn ja protektionistisen talouspolitiikan näköalattomuuteen. Muutamaa toimialaa lukuun ottamatta maan rooli maailmankaupassa ja globaaleilla rahoitusmarkkinoilla on vaatimaton, eikä sen rooli näytä edes kasvavan. Vuosikymmenten kehitys on osoittanut, että maan harjoittama protektionistinen ja uudistusvastainen talouspolitiikka on syvässä ristiriidassa sen globaalitalouden roolia koskevien toiveiden ja mainospuheiden kanssa.
  • Simola, Heli (2020)
    BOFIT Policy Brief 4/2020
    In this note, we provide a brief description of the CO2 emissions embodied in global trade flows with an emphasis on the EU’s external trade with China. Our analysis suggests that imported emissions account for an increasing share of CO2 emissions associated with consumption within the EU. The CO2 emissions embodied in EU imports mainly originate from emerging economies, particularly China. We also discuss possible effects from the introduction an EU border adjustment mechanism that would impose tariffs on CO2 embodied in imports to the EU. Our results suggest that a potential border adjustment mechanism would likely affect EU trade with China, the largest source of CO2 imports to the EU. The effects would probably be felt more in imports of inputs for production chains located in the EU than in final products consumed in the EU.
  • Xia, Le (2020)
    BOFIT Policy Brief 3/2020
    China’s banking sector, particularly small and medium-sized banks, today face a headwind of asset quality deterioration. Revisiting Chinese bank rescues from the early 2000s, we examine how the authorities tackled a severe rise in non-performing loans (NPLs). Following a discussion on costsharing among government agencies in that fitful NPL clean-up, we identify policy measures most suited to dealing with the current NPL situation.
  • Nuutilainen, Riikka; Rautava, Jouko (2020)
    BOFIT Policy Brief 2/2020
    This paper examines the development of economic relations between Russia and China in recent years, focusing on how the slowdown in China’s growth and changes in its economic structures might impact Russia’s economic outlook and the future of China-Russia economic relations. Economic relations between the countries have progressed favorably over the past decade with increased trade and Russian oil exports to China buoying Russian economic growth. While this trade cooperation has served both countries’ interests, it has also reinforced Russia’s dependence on commodity exports. Like the rest of the world, Russia has to deal with China’s slowing economic growth. Those repercussions, however, are particularly challenging in Russia’s case.
  • Solanko, Laura (2020)
    BOFIT Policy Brief 1/2020
    This paper gives a concise overview of the economic difficulties and policy responses in Putin’s Russia from the late 1990s to present. The discussion concludes with thoughts on future challenges facing Russia.