People care about how much they earn, but they also care about the stability of their employment and wages. Being vulnerable to losing one’s job or losing income harms wellbeing.
Developments in income inequality have not been uniform across countries. In fact, between the mid-1990s and the late 2000s, OECD countries experienced “inequality convergence”: inequality in household disposable income has tended to fall in the most unequal countries and to rise in the most equal ones.
In several OECD countries lengthy civil proceedings can be a drag on economic activity. In the OECD area the average length is around 240 days in first instance, but in some countries a trial may require almost twice as many days to be resolved.
Environmental policies address wellbeing and sustainability objectives, affecting firm and household behaviour. A newly developed OECD indicator (EPS) shows that environmental policies have become more stringent over the past two decades.
As the effects of the crisis eventually subsides, the coming 50 years will likely see a major shift of economic balance towards emerging economies, particularly those in Asia, with the share in world GDP of non-OECD countries rising well beyond that of the current OECD area by 2060.