Key Highlights
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A new analysis suggests that a decline in U.S. price competitiveness, measured by the real exchange rate, is a key factor behind the country’s growing trade deficit and external debt. This overlooked economic link helps explain the recent shift towards protectionist policies and the strain on the global trading system.
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By analyzing the daily travel logs of medieval kings, researchers estimate that average travel speed on roads in England and France remained remarkably stable at 15-20 miles per day for four centuries. This slow pace significantly increased the cost of governing large territories and acted as a major barrier to trade during the premodern era.
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In developing countries with large class sizes, starting school at an older age leads to greater educational gains for children, outweighing the costs of a later start. This finding suggests that adjusting school entry policies could be a powerful tool for boosting human capital in resource-constrained environments.
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A new method detected that some U.S. air pollution monitors are strategically shut down on days when local governments expect poor air quality, reducing sampling rates by up to 33%. This evidence of “strategic monitoring” undermines environmental self-regulation and highlights the need for solutions like remote sensing to ensure accurate data.
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