• Best Education Money Can Buy? Capitalization of School Quality in Finland 

      Saarimaa, Tuukka; Harjunen, Oskari; Kortelainen, Mika
      VATT Working Papers : 58 (Valtion taloudellinen tutkimuskeskus VATT, 05.12.2014)
      By international comparison, Finnish pupil achievement is high and school achievement differences small. The Finnish education system is unusual also because there are no national testing programs and information on school ...
    • Causality in Quantiles and Dynamic Relations in Energy Markets 

      Kyritsis, Evangelos; Andersson, Jonas
      VATT Working Papers : 116 (Valtion taloudellinen tutkimuskeskus, 18.03.2019)
      In this paper we investigate the dynamic relations between crude oil price returns and a set of energy price returns, namely diesel, gasoline, heating, and the natural gas. This is performed by means of Granger non-causality ...
    • Changes in job stability - evidence from lifetime job histories 

      Uusitalo, Roope; Rokkanen, Miikka
      VATT Working Papers : 14 (Valtion taloudellinen tutkimuskeskus VATT, 18.02.2010)
      We use lifetime job histories from the pension records to evaluate changes in job stability in Finland between 1963 and 2004. We specify a duration model and estimate the effects of elapsed duration, age, and calendar time ...
    • Coalition formation and political decision making: Evidence from Finnish municipal mergers 

      Saarimaa, Tuukka; Tukiainen, Janne
      VATT Working Papers : 19 (Valtion taloudellinen tutkimuskeskus VATT, 20.12.2010)
      This paper analyzes empirically the coalition formation of local governments. We introduce a novel econometric strategy involving choice based sampling from a spatial network to allow for multi-partner mergers in our ...
    • Common Pool Problems in Voluntary Municipal Mergers 

      Saarimaa, Tuukka; Tukiainen, Janne
      VATT Working Papers : 53 (Valtion taloudellinen tutkimuskeskus VATT, 27.12.2013)
      We analyze free-riding behavior by Finnish municipalities prior to municipal mergers. The merger process creates a temporary common pool problem, which arises because of a delay from the initial merger decision to the ...
    • Company heterogeneity and mark-up variability 

      Tamminen, Saara; Chang, Han-Hsin
      VATT Working Papers : 32 (Valtion taloudellinen tutkimuskeskus VATT, 03.07.2012)
      Mark-ups are often assumed to be constant for all firms within a sector in theoretical models. This paper reflects empirically on the distributions of companies mark-ups in order to test this assumption. We use exhaustive, ...
    • Corporate tax in an international environment - Problems and possible remedies 

      Kari, Seppo
      VATT Working Papers : 62 (Valtion taloudellinen tutkimuskeskus VATT, 17.03.2015)
      This paper addresses the problems of corporate taxation in a globalized world. It first illustrates recent trends in international practices and then reviews the literature on the effects of corporate taxes in closed and ...
    • Digital Waste? Unintended Consequences of Health Information Technology 

      Böckerman, Petri; Kortelainen, Mika; Laine, Liisa T.; Nurminen, Mikko; Saxell, Tanja
      VATT Working Papers : 117 (Valtion taloudellinen tutkimuskeskus, 04.04.2019)
      We exploit a large-scale natural experiment - the rollout of a nationwide electronic prescribing system in Finland - to study how digitization of prescriptions affects pharmaceutical use and health outcomes. We use ...
    • Dimensions of health care system quality in Finland 

      Pääkkönen, Jenni; Seppälä, Timo
      VATT Working Papers : 31 (Valtion taloudellinen tutkimuskeskus VATT, 28.05.2012)
      This paper evaluates the determinants of quality - cost relationship in primary health care. We first summarize information from various indicators of care by principal component analysis (PCA), effectively producing quality ...
    • Dimming Hopes for Nuclear Power: Quantifying the Social Costs of Perceptions of Risks 

      Huhtala, Anni; Remes, Piia
      VATT Working Papers : 57 (Valtion taloudellinen tutkimuskeskus VATT, 08.07.2016)
      The preferences expressed in voting on nuclear reactor licenses and the risk perceptions of citizens provide insights into social costs of nuclear power and decision making in energy policy. We show analytically that these ...
    • The (Displacement) Effects of Spatially Targeted Enterprise Initiatives: Evidence from UK LEGI 

      Einiö, Elias; Overman, Henry
      VATT Working Papers : 71 (Valtion taloudellinen tutkimuskeskus VATT, 07.03.2016)
      We investigate the impacts of a significant area-based intervention (LEGI) that aimed to increase employment and entrepreneurial activity in 30 disadvantaged areas across England. We examine the spatial pattern of effects ...
    • Distributional effects of Finland's climate policy package - Calculations with the new income distribution module of the VATTAGE model 

      Honkatukia, Juha; Marttila, Kimmo; Kinnunen, Jouko
      VATT Working Papers : 11 (Valtion taloudellinen tutkimuskeskus VATT, 13.11.2009)
      In this report we present a new version of the VATTAGE AGE (Applied General Equilibrium) model, which enables distributional analysis of policy changes. We also report estimation results of LES consumption function for ...
    • Dividend taxes and decisions of MNEs: Evidence from a Finnish tax reform 

      Kari, Seppo; Harju, Jarkko
      VATT Working Papers : 27 (Valtion taloudellinen tutkimuskeskus VATT, 12.10.2011)
      We explore how a firm-level tax on redistributed foreign profits affects the choices of a multinational enterprise (MNE) using evidence from a recent tax reform in Finland. The so-called equalization tax (EQT) used to be ...
    • Do homeowners benefit urban neighborhoods? Evidence from housing prices 

      Saarimaa, Tuukka; Kortelainen, Mika
      VATT Working Papers : 36 (Valtion taloudellinen tutkimuskeskus VATT, 03.09.2012)
      Homeownership is heavily subsidized in many countries mainly through the tax code. The adverse effects of lenient tax treatment of owner-occupied housing on economic efficiency and growth are large and well documented in ...
    • Do Single-Party and Coalition Governments Differ in their Economic Outcomes? Evidence from Finnish Municipalities 

      Meriläinen, Jaakko
      VATT Working Papers : 51 (Valtion taloudellinen tutkimuskeskus VATT, 07.10.2013)
      Even though Finland has proportional elections, single-party control in Finnish local councils is not uncommon contrary to what one might expect. The largest party holds more than half of the seats in every third Finnish ...
    • Do tax incentives for research increase firm innovation? An RD Design for RD 

      Dechezleprêtre, Antoine; Einiö, Elias; Martin, Ralf; Nguyen, Kieu-Trang; Van Reenen, John
      VATT Working Papers : 73 (Valtion taloudellinen tutkimuskeskus VATT, 13.04.2016)
      We present the first evidence showing causal impact of research and development (R&D) tax incentives on innovation outcomes. We exploit a change in the asset-based size thresholds for eligibility for R&D tax subsidies and ...
    • Does experience rating reduce disability inflow? 

      Kyyrä, Tomi; Tuomala, Juha
      VATT Working Papers : 46 (Valtion taloudellinen tutkimuskeskus VATT, 25.04.2013)
      This study explores whether the experience rating of employers' disability insurance premiums affects the inflow of older employees to disability benefits in Finland. To identify the causal effect of experience rating, we ...
    • Does information increase the take-up of social benefits? Evidence from a new benefit program 

      Matikka, Tuomas; Paukkeri, Tuuli
      VATT Working Papers : 83 (Valtion taloudellinen tutkimuskeskus, 28.12.2016)
      The effectiveness of transfer programs can be significantly reduced if eligible individuals fail to apply for them. In this paper we study the impact of information provision on the take-up of social benefits. We exploit ...
    • Does Mandating Social Insurance Affect Entrepreneurial Activity? 

      Benzarti, Youssef; Harju, Jarkko; Matikka, Tuomas
      VATT Working Papers : 119 (Valtion taloudellinen tutkimuskeskus, 18.06.2019)
      This paper estimates the effect of relaxing the social insurance mandate on entrepreneurial activity using rich administrative data from Finland. We find that relaxing the social insurance mandate leads entrepreneurs to ...
    • Does Regression Discontinuity Design Work? Evidence from Random Election Outcomes 

      Hyytinen, Ari; Meriläinen, Jaakko; Saarimaa, Tuukka; Toivanen, Otto; Tukiainen, Janne
      VATT Working Papers : 59 (Valtion taloudellinen tutkimuskeskus VATT, 21.09.2015)
      We use elections data in which a large number of ties in vote counts between candidates are resolved via lottery. We benchmark non-experimental RDD estimates of personal incumbency advantage against the estimate produced ...