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Abstract Despite the negative externalities on the environment and human health, today’s economies still produce excessive carbon dioxide emissions. As a result, governments are trying to shift production and consumption to more sustainable models that reduce the environmental impact of carbon dioxide emissions. The European Union, in particular, has implemented an innovative policy to reduce carbon dioxide emissions by creating a market for emission rights, the emissions trading system. The objective of this paper is to perform a counterfactual analysis to measure the impact of the emissions trading system on the reduction of carbon dioxide emissions. For this purpose, a recently-developed statistical machine learning method called matrix completion with fixed effects estimation is used and compared to traditional econometric techniques. We apply matrix completion with fixed effects estimation to the prediction of missing counterfactual entries of a carbon dioxide emissions matrix whose elements (indexed row-wise by country and column-wise by year) represent emissions without the emissions trading system for country-year pairs. The results obtained, confirmed by robust diagnostic tests, show a significant effect of the emissions trading system on the reduction of carbon dioxide emissions: the majority of European Union countries included in our analysis reduced their total carbon dioxide emissions (associated with selected industries) by about 15.4% during the emissions trading system treatment period 2005–2020, compared to the total carbon dioxide emissions (associated with the same industries) that would have been achieved in the absence of the emissions trading system policy. Finally, several managerial/practical implications of the study are discussed, together with its possible extensions.

Abstract Introduction Multiple sclerosis (MS) is a chronic neurodegenerative disease that leads to impaired cognitive function and accumulation of disability, with significant socioeconomic burden. Serious unmet need in the context of managing MS has given rise to ongoing research efforts, leading to the launch of new drugs planned for the near future, and subsequent concerns about the sustainability of healthcare systems. This study assessed the changes in the Italian MS market and their impact on the expenditures of the Italian National Healthcare Service between 2023 and 2028. Methods A horizon-scanning model was developed to estimate annual expenditure from 2023 to 2028. Annual expenditure for MS was calculated by combining the number of patients treated with each product (clinical inputs) and the yearly costs of therapy (economic inputs). Baseline inputs (2020–2022) were collected from IQVIA® real-world data, while input estimation for the 5-year forecast was integrated with analog analyses and the insights of clinicians and former payers. Results The number of equivalent patients treated in 2028 in Italy was estimated at around 67,000, with an increase of 10% versus 2022. In terms of treatment pattern evolution, first-line treatments are expected to reduce their shares from 47% in 2022 to 27% in 2028, and Bruton tyrosine kinase inhibitors are expected to reach 23% of patient shares. Overall, expenditure for MS is estimated to decrease from €721 million in 2022 to €551 million in 2028, mainly due to losses of exclusivity and renegotiation of drug prices. Conclusion Despite the increase in the number of patients treated for MS and the launch of new molecules that will reach high market penetration, the model confirmed sustainability for the Italian National Healthcare Service.

Abstract With the increasing pervasiveness of Information and Communication Technology (ICT) in the fabric of economic activities, the corporate digital divide has become a crucial issue for the assessment of Information Technology (IT) competencies and the digital gap between firms and territories. With little granular data available to measure the phenomenon, most studies have used survey data. To address this empirical gap, we scanned the homepages of 182,705 Italian companies and extracted ten characteristics related to their digital footprint to develop a new index for the corporate digital assessment. Our results show a significant digital divide between Italian companies according to size, sector and geographical location, opening new perspectives for monitoring and data-driven analysis.

Abstract Eye movement data has been extensively utilized by researchers interested in studying decision-making within the strategic setting of economic games. In this paper, we demonstrate that both deep learning and support vector machine classification methods are able to accurately identify participants’ decision strategies before they commit to action while playing games. Our approach focuses on creating scanpath images that best capture the dynamics of a participant’s gaze behaviour in a way that is meaningful for predictions to the machine learning models. Our results demonstrate a higher classification accuracy by 18% points compared to a baseline logistic regression model, which is traditionally used to analyse gaze data recorded during economic games. In a broader context, we aim to illustrate the potential for eye-tracking data to create information asymmetries in strategic environments in favour of those who collect and process the data. These information asymmetries could become especially relevant as eye-tracking is expected to become more widespread in user applications, with the seemingly imminent mass adoption of virtual reality systems and the development of devices with the ability to record eye movement outside of a laboratory setting.

Abstract This work applies Matrix Completion (MC) – a class of machine-learning methods commonly used in recommendation systems – to analyze economic complexity. In this paper MC is applied to reconstruct the Revealed Comparative Advantage (RCA) matrix, whose elements express the relative advantage of countries in given classes of products, as evidenced by yearly trade flows. A high-accuracy binary classifier is derived from the MC application to discriminate between elements of the RCA matrix that are, respectively, higher/lower than one. We introduce a novel Matrix cOmpletion iNdex of Economic complexitY (MONEY) based on MC and related to the degree of predictability of the RCA entries of different countries (the lower the predictability, the higher the complexity). Differently from previously-developed economic complexity indices, MONEY takes into account several singular vectors of the matrix reconstructed by MC. In contrast, other indices are based only on one/two eigenvectors of a suitable symmetric matrix derived from the RCA matrix. Finally, MC is compared with state-of-the-art economic complexity indices, showing that the MC-based classifier achieves better performance than previous methods based on the application of machine learning to economic complexity.

Abstract This paper analyzes the impact of mobility contraction on employee furlough and excess deaths in Italy during the COVID-19 crisis. Our approach exploits rainfall patterns across Italian administrative regions as a source of exogenous variation in human mobility to pinpoint the causal effect of mobility restrictions on excess deaths and furlough workers. Results confirm that the first countrywide lockdown has effectively curtailed the COVID-19 epidemics restricting it mainly to the northern part of the country, with the drawback of a countrywide increase in unemployment risk. Our analysis points out that a mobility contraction of 1% leads to a mortality reduction of 0.6%, but it induces an increase of 10% in Wage Guarantee Funds allowed hours. We discuss return-to-work policies and prioritizing policies for administering COVID-19 vaccines in the most advanced stage of a vaccination campaign when the healthy active population is left to be vaccinated.

This document illustrates the results of a discussion of two multi-disciplinary expert panels on pricing and reimbursement of medicines. Experts work in different organizations. The discussion focused on comparator(s), endpoint(s), negotiation of prices of new medicines and/or indications to include in the List 648, as well as the role of cost-effectiveness in the price and reimbursement negotiation. The debate took place during the fourth edition of the Seminari di Mogliano, organized on the 30th of September/1st of October, 2021. The two panels agreed on a general need to enhance interaction among the different stakeholders, in the early assessment and negotiation phases, and to increase the transparency/reproducibility of the decisions taken. The experts have also emphasized the need (i) to improve clarity in the evaluation of additional therapeutic value and the place in therapy with respect to comparators and how comparators are identified; (ii) to create work groups to identify the most appropriate endpoint(s), for each therapeutic area and level of unmet needs; (iii) to provide for a systematic use of cost-effectiveness when an added therapeutic value is delivered by a new medicine. With regard to the 648 List, the experts advocated for an overall reorganization of the current rules governing the special uses of drugs.

IntroductionSeveral countries imposed nationwide or partial lockdowns to limit the spread of COVID-19 and avoid overwhelming hospitals and intensive care units. Lockdown may involve restriction of movement, stay-at-home orders and self-isolation, which may have dramatic consequences on mental health. Recent studies demonstrated that the negative impact of lockdown restrictions depends on a wide range of psychological and socio-demographic factors.AimsThis longitudinal study aimed to understand how internal factors such as personality and mindfulness traits, and external factors, such as daily habits and house features, affect anxiety, depression and general wellbeing indicators, as well as cognitive functions, during the course of a lockdown.MethodsTo address these questions, 96 participants in Italy and the United Kingdom filled out a survey, once a week for 4 weeks, during the first-wave lockdowns. The survey included questions related to their habits and features of the house, as well as validated questionnaires to measure personality traits, mindful attitude and post-traumatic symptoms. Indicators of wellbeing were the affective state, anxiety, stress and psychopathological indices. We also measured the emotional impact of the pandemic on cognitive ability by using two online behavioral tasks [emotional Stroop task (EST) and visual search].ResultsWe found that internal factors influenced participants’ wellbeing during the first week of the study, while external factors affected participants in the last weeks. In the first week, internal variables such as openness, conscientiousness and being non-judgmental toward one’s own thoughts and emotions were positively associated with wellbeing; instead, neuroticism and the tendency to observe and describe one’s own thoughts and emotions had detrimental effects on wellbeing. Toward the end of the study, external variables such as watching television and movies, browsing the internet, walking the dog, and having a balcony showed a protective value, while social networking and engaging in video calls predicted lower values of wellbeing. We did not find any effects of wellbeing on cognitive functioning.ConclusionRecognizing specific traits and habits affecting individuals’ wellbeing (in both short and long terms) during social isolation is crucial to identify people at risk of developing psychological distress and help refine current guidelines to alleviate the psychological consequences of prolonged lockdowns.

Abstract We analyze data from Twitter to uncover early-warning signals of COVID-19 outbreaks in Europe in the winter season 2019–2020, before the first public announcements of local sources of infection were made. We show evidence that unexpected levels of concerns about cases of pneumonia were raised across a number of European countries. Whistleblowing came primarily from the geographical regions that eventually turned out to be the key breeding grounds for infections. These findings point to the urgency of setting up an integrated digital surveillance system in which social media can help geo-localize chains of contagion that would otherwise proliferate almost completely undetected.

Abstract Networks of portfolio holdings exemplify how interdependence both between the agents and their assets can be a source of systemic vulnerability. We study a real-world holdings network and compare it with various alternative scenarios from randomization and rebalancing of the original investments. Scenarios generation relies on algorithms that satisfy the global constraints imposed by the numbers of outstanding shares in the market. We consider fixed-diversification models and diversification-maximizing replicas too. We extensively analyze the interplay between portfolio diversification and differentiation, and how the outreach of exogenous shocks depends on these factors as well as on the type of shock and the size of the network with respect to the market. We find that real portfolios are poorly diversified but highly similar, that portfolio similarity correlates with systemic fragility and that rebalancing can come with an increased similarity depending on the initial network configuration. We show that a large diversification gain is achieved through rebalancing but, noteworthy, that makes the network vulnerable in front of unselective shocks. Also, while the network is riskier in the presence of targeted shocks, it is safer than its random counterparts when it is stressed by widespread price downturns.

Abstract Global mobility and migration of scientists is an important modern phenomenon with economic and political implications. As scientists become ever more footloose it is important to identify general patterns and regularities at a global scale and how it impacts a country’s scientific output. The analysis of mobility and brain circulation patterns at global scale remains challenging, due to difficulties in obtaining individual level mobility data. In this work we trace intercity and international mobility through bibliographic records. We reconstruct the intercity and international mobility network of 3.7 million life scientists moving between 5 thousand cities and 189 Countries. In this exploratory analysis we offer evidence that international scientist mobility is marked by national borders and show that international mobility boosts the scientific output of selected countries.

The COVID-19 outbreak has posed an unprecedented challenge to humanity and science. On the one side, public and private incentives have been put in place to promptly allocate resources toward research areas strictly related to the COVID-19 emergency. However, research in many fields not directly related to the pandemic has been displaced. In this paper, we assess the impact of COVID-19 on world scientific production in the life sciences and find indications that the usage of medical subject headings (MeSH) has changed following the outbreak. We estimate through a difference-in-differences approach the impact of the start of the COVID-19 pandemic on scientific production using the PubMed database (3.6 Million research papers). We find that COVID-19-related MeSH terms have experienced a 6.5 fold increase in output on average, while publications on unrelated MeSH terms dropped by 10 to 12%. The publication weighted impact has an even more pronounced negative effect (-16% to -19%). Moreover, COVID-19 has displaced clinical trial publications (-24%) and diverted grants from research areas not closely related to COVID-19. Note that since COVID-19 publications may have been fast-tracked, the sudden surge in COVID-19 publications might be driven by editorial policy.

Abstract In this work we introduce and analyze a new and comprehensive multilayer dataset covering a wide spectrum of international relationships between coutries. We select two cross sections of the dataset corresponding to years 2003 and 2010 with 19 layers and 112 nodes to study the structure and evolution of the network. Country centrality is measured by the multiplex PageRank (MultiRank) and the multiplex hub and authority scores (MultiHub and MultiAuth). We find that the MultiHub measure has the highest correlation to GDP per capita, with respect to the other multilayer measures and to their single layer analogues. Finally we analyze the differences in the ranking between GDP per capita and the multilayer centrality measures to evaluate them as measures of development.

Abstract When studying patent data as a way to understand innovation and technological change, the conventional indicators might fall short, and categorizing technologies based on the existing classification systems used by patent authorities could cause inaccuracy and misclassification, as shown in literature. Gao et al. (International Workshop on Complex Networks and their Applications, 2017) have established a method to analyze patent classes of similar technologies as network communities. In this paper, we adopt the stabilized Louvain method for network community detection to improve consistency and stability. Incorporating the overlapping community mapping algorithm, we also develop a new method to identify the central nodes based on the temporal evolution of the network structure and track the changes of communities over time. A case study of Germany’s patent data is used to demonstrate and verify the application of the method and the results. Compared to the non-network metrics and conventional network measures, we offer a heuristic approach with a dynamic view and more stable results.

Network theory proved recently to be useful in the quantification of many properties of financial systems. The analysis of the structure of investment portfolios is a major application since their eventual correlation and overlap impact the actual risk by individual investors. We investigate the bipartite network of US mutual fund portfolios and their assets. We follow its evolution during the Global Financial Crisis and study the diversification, as understood in modern portfolio theory, and the similarity of the investments of different funds. We show that, on average, portfolios have become more diversified and less similar during the crisis. However, we also find that large overlap is far more likely than expected from benchmark models of random allocation of investments. This indicates the existence of strong correlations between fund investment strategies. We exploit a deliberately simplified model of shock propagation to identify a systemic risk component stemming from the similarity of portfolios. The network is still partially vulnerable after the crisis because of this effect, despite the increase in the diversification of multi asset portfolios. Diversification and similarity should be taken into account jointly to properly assess systemic risk.