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Public economy
Research in this area address effects of tax policy changes, government transfers and public service organisation. The effects on labour supply and income distribution are key issues in most studies. Statistical methods are applied to microdata to identify causal connections, whereas simulation models are applied to describe effects of changes in economic conditions.
Research fields in Public economy

Economics of education

Studies here look into the economic and social determinants of educational outcomes and how they affect educational performance. Issues explored include the impact on results of resources allocated to schools, intergenerational effects of education, relationship between education and economic growth, and effect of education on wages.

Income distribution

Distribution analysis facilitates an understanding of how economic factors and policy affect income and wealth distribution over time. Studies seek to explain income and wealth distribution variation, with a particular focus on economic poverty.

Labour market

In this area of research labour supply and demand are studied, along with their impact on i.a. wages and employment/unemployment. Studies address the significance of the tax system and of technological and institutional factors. Given the labour market’s importance to economic performance and to most people’s economy and living standards, there are several points in common with studies under other headings.

Local public finance

This research field includes studies of local government behaviour, particularly spending and priorities relative to different services/social groups. At the individual level, studies address the distribution of municipal services in light of income and poverty distribution. Nationally, variations in local governments’ service provision over time, and their effect on municipal sector financing, are in focus.

Pensions

Research in this field addresses effects of demographic shifts and benefit system changes on individual pensions, government spending and income distribution. Behavioural effects are also taken into account. Studies generally apply a microsimulation model based on individual life history data. The results are fed into integrated analyses of the Norwegian economy and public finances.

Public finances in the long term

Research in this area includes studies of the impact of changing demographics, tax, social security system and other welfare provisions on the macroeconomy and government revenue. Impact analysis relies heavily on empirical estimation models.

Taxes

In this area of research, different forms of taxation  including direct taxation of individual and businesses and indirect taxation of goods and services  are studied. Microdata help identify causal links and microsimulation and general equilibrium models help determine the impact of changes. Studies show the welfare effect of taxation: taxes’ distributive implications and efficiency loss.

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Energy and environmental economics
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Public economy
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