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Begin New Search Topic International Political Economy Content Type Commentary and Analysis

21. Government of the People, by the Elite, for the Rich Unequal Responsiveness in an Unlikely Case

Author:
Lea Elsässer, Svenja Hense, and Armin Schäfer
Publication Date:
10-2018
Content Type:
Commentary and Analysis
Institution:
Max Planck Institute for the Study of Societies
Abstract:
Empirical studies have shown that US politics is heavily tilted in favor of the better-off, as political decisions tend to reflect the preferences of the rich while largely ignoring those of the poor and the middle classes. These findings have prompted a lively debate about potential mechanisms that cause this pattern of unequal responsiveness. Existing studies suggest that specific characteristics of the political system are a major explanatory factor – in particular, private donations and campaign financing. We build on these studies but focus for the first time on an entirely different case. In this paper, we ask whether similar patterns of unequal responsiveness are discernible in Germany, which not only is a more egalitarian country, but also funds election campaigns entirely differently from the US. We analyze an original dataset of more than 800 survey questions posed between 1980 and 2013. The questions deal with specific political decisions debated at the time and cover a broad range of politically relevant topics. Our results show a notable association between political decisions and the opinions of the rich, but none or even a negative association for the poor. Representational inequality in Germany thus resembles the findings for the US case, despite its different institutional setting. Against this background, we conclude by discussing potential mechanisms of unequal responsiveness
Topic:
International Political Economy and Hegemony
Political Geography:
America

22. Does Pattern Bargaining Explain Wage Restraint in the German Public Sector?

Author:
Donato Di Carlo
Publication Date:
04-2018
Content Type:
Commentary and Analysis
Institution:
Max Planck Institute for the Study of Societies
Abstract:
German public sector wage restraint has been explained through the presence of a specific type of inter-sectoral wage coordination in the industrial relations system – i.e., export sector-led pattern bargaining. This paper has a twofold ambition. First, as a literature assessing exercise, I review the literature in industrial relations and comparative political economy (CPE) and find that (1) the origins and mechanics of inter-sectoral wage coordination through pattern bargaining have never been laid out clearly; (2) the mechanisms of the pattern bargaining thesis have never been tested empirically; and (3) the CPE literature reveals a limiting export-sector bias. Second, as a theory-testing exercise, I perform hoop tests to verify whether the pattern bargaining hypothesis can really account for wage restraint in the German public sector. I find that Germany cannot be considered a case of export sector-driven pattern bargaining. These findings challenge core tenets of a longstanding scholarship in both CPE and industrial relations. Most importantly, they open a new research agenda for the study of public sector wage-setting that should shift its focus to public sector employment relations, public finance, public administrations, and the politics of fiscal policy
Topic:
International Political Economy and International Affairs
Political Geography:
Germany

23. Explaining the Growth of CSR within OECD Countries: The Role of Institutional Legitimacy in Resolving the Institutional Mirror vs. Substitute Debate

Author:
Daniel Kinderman and Mark Lutter
Publication Date:
04-2018
Content Type:
Commentary and Analysis
Institution:
Max Planck Institute for the Study of Societies
Abstract:
Two strands of literature have emerged to explain the rise of a new form of private governance, Corporate Social Responsibility (CSR). One camp argues that CSR expansion is likely during periods of economic liberalization because CSR tends to substitute for growing institutional voids and a lack of social regulation. The other camp argues that CSR is likely to diffuse within coordinated economies because it mirrors these institutional settings. While both camps find empirical support for their arguments, no one has yet managed to combine both perspectives. In our study, we develop three hypotheses based on two (rationalist and constructivist/sociological) strands of institutional theory. Based on a new dataset comprising the corporate membership in business-led CSR organizations in over thirty countries from 1981 to 2008, we show that economic liberalization has a strong effect on CSR expansion when the legitimacy of CSR is low. However, when the practice has achieved substantial cultural acceptance, economic liberalization no longer drives CSR expansion. In this setting, CSR expansion is most likely to occur within socially regulated economic contexts.
Topic:
International Political Economy and International Trade and Finance
Political Geography:
Europe

24. International Monetary Regimes and the German Model

Author:
Fritz W Scharpf
Publication Date:
02-2018
Content Type:
Commentary and Analysis
Institution:
Max Planck Institute for the Study of Societies
Abstract:
The end of the Bretton Woods regime and the fall of the Iron Curtain deepened the export orientation of the German model of the economy. Only after entry into the Monetary Union, however, did rising exports turn into a persistent export–import gap that became a problem for other eurozone economies. This Discussion Paper shows why the present asymmetric euro regime will not be able to enforce their structural transformation on the German model. Neither will German governments be able to respond to demands that would bring the performance of the German economy closer to eurozone averages. Instead, it is more likely that present initiatives for financial and fiscal risk sharing will transform the Monetary Union into a transfer union.
Topic:
International Political Economy and International Affairs
Political Geography:
Germany

25. The China Tariff Mess

Author:
Martin S. Feldstein
Publication Date:
09-2018
Content Type:
Commentary and Analysis
Institution:
Belfer Center for Science and International Affairs, Harvard University
Abstract:
The cost to US consumers and firms imposed by tariffs on Chinese imports is not large relative to the gain that would be achieved if the US succeeds in persuading China to stop illegally taking US firms’ technology. But the Trump administration should state that this is the goal, and that the tariffs will be removed when it is met.
Topic:
International Cooperation, International Political Economy, and International Affairs
Political Geography:
Global Focus

26. Deciphering China’s Coal Ban from North Korea:

Author:
Debalina Ghoshal
Publication Date:
03-2017
Content Type:
Commentary and Analysis
Institution:
Council on International Policy (CIP)
Abstract:
For years, the Chinese have remained soft towards North Korea when it came to imposing sanctions on them for their nuclear and ballistic missile tests. The United Nations Security Council (UNSC) has prohibited Pyongyang from testing nuclear and ballistic missiles but yet Pyongyang has continued to do develop and conduct nuclear and ballistic missile tests. In February 2017, North Korea test fired a ballistic missile which was reported to be a modified version of their Musudan missile with range of 2500-4000km. At present, North Korea’s missile arsenal consists Scud-D, Nodong, Taepo Dong-1 and 2 and Musudan ballistic missiles. In addition, North Korea is also working on submarine launched ballistic missile (SLBM).
Topic:
Energy Policy and International Political Economy
Political Geography:
China and North Korea

27. Counting Women’s Work: Measuring the gendered economy in the market and at home

Author:
Sidney B. Westley
Publication Date:
01-2017
Content Type:
Commentary and Analysis
Institution:
East-West Center
Abstract:
Through the ages, women have specialized in the unpaid work of raising children, maintaining households, and caring for others, while men have been more likely to earn wages in the market (Watkins et al. 1987). As fertility rates have declined, however, women have joined the labor force outside the home in growing numbers. Understanding how women’s economic roles are changing and how and why they may change in the future is crucial for understanding the economic effects of changes in population age structure. It is also vital for improving gender equality, ensuring the wellbeing of children and other family members, and maintaining a healthy rate of economic growth.
Topic:
Gender Issues and International Political Economy
Political Geography:
Global Focus

28. Drivers and Challenges for Rehabilitation of Oil Industry in Iraq’s North

Author:
FARAS
Publication Date:
11-2017
Content Type:
Commentary and Analysis
Institution:
Future for Advanced Research and Studies (FARAS)
Abstract:
The Iraqi government prioritizes rehabilitation of the oil sector in northern provinces, especially after it regained control of oil fields in Kirkuk and Mosul and forced out the Kurdish Peshmerga in mid-Octo- ber 2017. The government also plans to sign contracts with foreign companies to double production in northern Kirkuk and seeks to rehabilitate a pipeline between Kirkuk and the Turkish port of Ceyhan, that was massively damaged by several attacks in the past two years. However government efforts are facing several challenges.
Topic:
International Political Economy and International Security
Political Geography:
Iraq

29. Why did Rouhani Vow to Increase Iran’s Missile Production?

Author:
FARAS
Publication Date:
11-2017
Content Type:
Commentary and Analysis
Institution:
Future for Advanced Research and Studies (FARAS)
Abstract:
Iranian President Hassan Rouhani recently signaled that Tehran will not change its position on the 2015 landmark nuclear deal or its role in the Middle East. During an October 29, 2017 session of the Consultative Assembly (the parliament), he emphasized that Iran will not hesitate to build, produce and store any weapon of any kind it needs to defend itself. He add- ed that Iran IS building missiles, and will continue to do so because this does not contradict international law and is not in conflict with the July 2015 UN Security Council’s Resolution 2231, which calls on Iran to suspend, for eight years, all specific research and development activities related to missiles capable of carrying nuclear weapons.
Topic:
International Political Economy and International Security
Political Geography:
Iran

30. Post-Sanctions: What Challenges are Facing Sudan’s Transition Economic Reforms?

Author:
FARAS
Publication Date:
11-2017
Content Type:
Commentary and Analysis
Institution:
Future for Advanced Research and Studies (FARAS)
Abstract:
The Sudanese government recently introduced economic reforms to improve performance and attract more foreign investments. The reforms were initiated when the United States on October 6, 2017, lifted sanctions imposed on Sudan twenty years ago. Undoubtedly, the move represents a major shift for Sudan because it will help improve economic growth, stabilize the exchange market and attract more foreign capital in flows.
Topic:
International Political Economy and International Affairs
Political Geography:
Sudan