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This report highlights a complex situation in which some forms of data localisation are seen as useful and largely uncontroversial, while others as a significant barrier to the digital economy. Contributing to the review of the implementation of the OECD Privacy Guidelines, the report emphasises the need to recognise the effect that data localisation can have on transborder data flows, but suggests that the conditions that data privacy laws traditionally impose do not necessarily amount to data localisation measures. Focusing on data localisation in the context of data privacy and the governance of globalised data flows, the report proposes a definition for data localisation, outlines a roadmap to ensure that data localisation does not impede transborder data flows, and makes recommendations to support such work. In particular, it emphasises the relevance of the accountability principle and the proportionality test articulated in the OECD Privacy Guidelines in evaluating data localisation measures.

With a newly constructed firm-level dataset combining various survey- and registry data from Statistics Estonia, this paper sheds new light on the labour productivity premium from adopting digital technologies and boosting digital skill use. The productivity premium is decomposed into a direct effect benefitting the firms actually increasing their digital intensity, and an indirect effect of belonging to a sector with high digital intensity. The firm-level productivity premium of being an adopting firm is consistently positive and sizeable across different digital technologies and measures of skill intensity. The evidence also suggests positive spill-over effects in manufacturing sectors and sectors with a high routine task content and thus a high automation potential.

Kazakhstan has made tremendous progress in ensuring universal access to primary and lower-secondary education. Nevertheless, results international surveys reveal that almost two-thirds of students from Kazakhstan complete schooling without mastering the basic skills needed to be successful, and that student achievement is increasingly inequitable.

This policy perspective provides Kazakhstan with recommendations about how to strengthen its school evaluation system in order to improve the learning outcomes of all students. It is part of a larger OECD review of Kazakhstan that is published as four policy perspectives, each examining a key policy issue

Kazakhstan has made tremendous progress in ensuring universal access to primary and lower-secondary education. Nevertheless, results international surveys reveal that almost two-thirds of students from Kazakhstan complete schooling without mastering the basic skills needed to be successful, and that student achievement is increasingly inequitable.

This policy perspective provides Kazakhstan with recommendations about how to strengthen its national assessment in order to improve the learning outcomes of all students. It is part of a larger OECD review of Kazakhstan that is published as four policy perspectives, each examining a key policy issue.

The development of transit-oriented communities (TOC) is a central element in the promotion of accessibility in the Metro Vancouver Region (MVR). The entity is building on its wealth of experience in public transport development in the region, which has contributed to its high levels of well-being and economic progress. TOC aims to incentivise people to drive less and walk, cycle and take transit more. A solid culture of community engagement, the existence of a coordinating body for transport planning, and the links between transport and land-use policy are the main assets MVR has to enhance accessibility. However, tackling the affordable housing deficit around transport hubs remains a challenge for local authorities. The purpose of this paper is to draw lessons from the MVR’s experience in transit-oriented initiatives to contribute to the development of compact, connected and green urban centres.

This paper addresses the problem of involuntary social exclusion resulting from mobility constraints by proposing a conceptual model for the interaction between transport and wellbeing. Providing accessibility for all yields widely shared benefits that are largely overlooked by traditional appraisal methods. While some see the ultimate aim of transport policy as increasing wellbeing, an agreed model of how these two interact does not currently exist.

This paper analyses trends in business dynamism across 18 countries and 22 industries over the last two decades, using highly representative comparable data. It finds that declines in business dynamism, pervasive in many countries, are driven by dynamics occurring at a disaggregated sectoral level, rather than reallocation across sectors. Average trends within sectors point to steady declines in each country over the last two decades, even after accounting for the role of the business cycle, with market structure and firm heterogeneity emerging as prominent determinants. Investments in intangibles and digital technologies, globalisation, and changes in demographics also contribute to these trends. Policy can, however, help boost business dynamism by reducing barriers to entry and to knowledge diffusion, favouring experimentation and creative destruction, and increasing absorptive capacity and firms’ potential to benefit from technological change.

Reform of support for fossil fuels is often identified as a priority for a country’s fiscal consolidation efforts and for climate action to align financial flows with low-carbon pathways. Its implementation, however, remains elusive for many countries as they face seemingly irreconcilable policy agendas of economic growth and sustainability coupled with potential political backlash against austerity and rising costs. This paper provides a sequential approach that may assist in providing support for the analysis to a well-informed reform process. Deploying the suggested tools can help policy makers to identify the most distorting government support measures and alternative or complementary policies that deliver the sought-after objectives more efficiently and effectively. The work presented here draws on the OECD’s longstanding experience and tradition in measuring and tracking support measures for fossil fuels, primarily in its Inventory of Support Measures for Fossil Fuels (Inventory hereafter) and accompanying reports.

Many education systems seek to create an open, diverse and tolerant society, as education can play a significant role in countering racial, ethnic and national prejudice among children and adolescents. Education for living in an interconnected and diverse world could also contribute to forming generations of citizens who care about global and intercultural issues and who are able and willing to take action for sustainable development and collective well-being.

In its 2018 assessment, PISA assessed the competences needed to live in an interconnected and diverse world. Global competence is defined in PISA 2018 as a multi-dimensional capacity that encompasses the ability to: 1) examine issues of local, global and cultural significance; 2) understand and appreciate the perspectives and worldviews of others; 3) engage in open, appropriate and effective interactions across cultures; and 4) take action for collective well-being and sustainable development. This PISA in Focus examines the equity of the learning opportunities for global and intercultural skills.

This paper presents the overall rankings, results and key policy messages of the 2019 OECD Digital Government Index (DGI) and provides a detailed analysis of the results for each of the dimensions of the OECD Digital Government Policy Framework. The DGI measures the maturity level of digital government strategies in OECD member and partner countries based on evidence gathered through the Survey on Digital Government 1.0. Findings show the promising yet modest progress towards robust digital governments, and encourage governments to step up efforts to use digital technologies and data strategically for user-driven public services. The paper highlights how the DGI can support the design, implementation and monitoring of digital government policies and practices, which, in turn, help public sector organisations better respond to citizens’ needs.

Diplomats and other diplomatic actors serve as the primary political actors in fragile contexts, both for OECD Development Assistance Committee members and the broader international community. They directly contribute to immediate and long-term peace, and their broad political network and knowledge positions them as a nodal point for effective and inclusive humanitarian, development and peace action in fragile contexts. This paper examines three different functions diplomatic actors assume that contribute to peace in fragile contexts: diplomacy as global governance, diplomats as peacebuilders and diplomats as facilitators. This paper is one of ten working papers supporting States of Fragility 2020. It works together with Security actors in fragile contexts, Conflict prevention in fragile contexts, and Peacebuilding in fragile contexts to provide comprehensive background to Chapter 2 on peace in States of Fragility 2020.

This working paper identifies OECD countries’ interests in digital innovation in education by analysing their policy papers on digital education. Many OECD countries have adopted a specific strategy on digital education, or integrated the topic in a generic strategy on digital innovation as such. The ideas that are expressed in the strategies differ greatly; some are work in progress, others contain bold envisions of the future. There is a high awareness among OECD countries of the benefits of digitalisation, and the role of government to support digital innovation in education. This paper covers and documents countries’ policy focus before the 2020 coronavirus crisis.

This paper discusses some advantages and disadvantages of the most common digital tools for evidence gathering, and it explores some of the legal and practical issues arising from their use, drawing from cases where competition authorities across the world dealt with the delicate phase of evidence gathering in cartel enforcement. It was prepared as background material for the session "Digital Evidence Gathering in Cartel Investigations" held at the 2020 virtual Latin American and Caribbean Competition Forum on 28-29 September 2020.

Gender inequality is an important and visible issue for OECD countries and the costs are borne at both social and economic levels. In line with the 2015 OECD Recommendation on Gender Equality in Public Life, gender budgeting ensures that gender equality considerations are taken systematically into account in tax and spending decisions. Effective implementation of gender budgeting has the potential to improve gender equality, ensure a sense of fairness and contribute to inclusive economic growth. This paper draws on the experiences of OECD countries and aims to provide insights into how the budget process can develop as a tool to support gender equality goals; the different ways in which gender budgeting can be implemented; and the factors that help provide an enabling environment for gender budgeting. Arising from this analysis, this paper proposes initial guidelines for designing and implementing gender budgeting to assist countries in putting in place an effective and sustainable approach. It also presents a first pass at a composite index for gender budgeting which assesses the extent to which OECD countries gender budgeting efforts are characterised by a strong strategic framework, effective tools of implementation and an enabling environment.

The paper provides a summary on the role of family services in promoting child well-being, and then reviews the policy issues at all levels of the family service delivery systems. At the government level, the paper emphasizes the need to fostering collaboration between different government bodies, and to ensure adequate funding for early intervention and preventative services. At service delivery level, the main identified issues include getting a better integration between delivery organisations, building capacities to adapt evidence based interventions, sharing tools to facilitate service implementation, training practitioners with the necessary skills, ensuring that service delivery fits within the local context, and engaging families in services.

This report examines international policy experiences in designing and implementing online business diagnostic tools for SME and entrepreneurship development. These tools offer entrepreneurs and small business managers an individual online assessment of the strengths and weaknesses of their business across a range of business operation areas. Using these tools they can access online advice and guidance related to their areas for improvement and find sources of further help in the business support system. The report examines the rationale and success factors for public policy in this area and describes the different types of tools in operation. It includes twelve case studies of online business diagnostic tools in OECD countries and how they are supported by public policy. It proposes a number of lessons for policy makers considering developing digital business diagnostic tools.

The benefits of co-operative behaviours have been broadly documented in various social contexts, including neighbourhoods, hospitals, companies and in education. In education, when students, teachers, parents and the school principal know and trust each other, work together, and share information, ideas and goals, students – particularly disadvantaged students – can benefit. However, co-operation and teamwork come with potential drawbacks too. Tasks might not be divided fairly and efficiently; team members sometimes work on tasks for which they are unsuited or that they dislike; some group members may freeride on their teammates’ efforts; and co-ordinating tasks may be too complex and time-consuming. Evidence also suggests that competition can improve academic performance and speed in learning, if only because competition can be thrilling and enjoyable.

Measuring the quality of governance and regulation in various ways and focusing on energy, transport and telecommunications, this paper shows that both sound governance of infrastructure investment and pro-competitive regulation in network industries are associated with stronger productivity growth in firms operating downstream.

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