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6701. Counter-Cyclical Economic Policy

Author:
The Organization for Economic Co-operation and Development
Publication Date:
05-2010
Content Type:
Policy Brief
Institution:
The Organisation for Economic Co-operation and Development
Abstract:
The effects of the recent economic crisis have stretched policy frameworks in many OECD countries close to breaking point. Recent work by the OECD has examined how policies have interacted with the economic cycle over time and during the recent crisis. The main policy lessons are as follows: • Policy-makers should take into account uncertainties about the functioning of the economy, the nature of economic shocks or the effects of policy and take their decisions accordingly. • Policy in various areas will have to build in greater safety margins and to be more prudent during upswings. • Appropriate fiscal rules can help prepare fiscal policy for the next downturn by leading to swifter consolidation during the upturn. • The monetary and financial policy framework needs to achieve a better articulation between economic and financial stability. • Financial policy needs to strengthen micro-prudential regulation, regulatory interventions may need to target emerging credit-driven bubbles and macro-prudential policies should address systemic risks. • There may be a case for monetary policy leaning against the wind, if asset prices are driven by a credit boom and financial regulation is judged to be insufficiently robust. • Changes to structural policy settings can improve the resilience of the economy to shocks and affect the degree of leverage households and firms take on.
Topic:
Economics, Fiscal Policy, Economic Stability, and Economic Crisis
Political Geography:
Global Focus

6702. The Impact of Structural Reforms on Current Account Imbalance

Author:
The Organization for Economic Co-operation and Development
Publication Date:
05-2010
Content Type:
Policy Brief
Institution:
The Organisation for Economic Co-operation and Development
Abstract:
Global current account imbalances widened markedly in the years preceding the global economic crisis. Although the crisis brought some reversal to this trend, imbalances remain large in many countries. New empirical analysis by the OECD has examined the potential contribution of structural reforms to reducing current account imbalances. The analysis shows that structural reforms aimed at boosting economic growth can have more or less persistent side effects on current accounts. These arise because structural policies influence saving and investment of households, firms and governments. In turn, the economy-wide gap between saving and investment equals the current account balance. Specifically, the following policy lessons emerge from the analysis:  More developed social welfare systems would reduce the need for precautionary saving among households, which would moderate current account surpluses in external surplus countries.  Pension reforms that increase the retirement age and thus the length of the working life would also reduce household saving and thereby reduce current account surpluses. Pension reforms that lead to cuts in replacement rates would have the opposite effect.  Financial market reforms that raise the sophistication or depth of financial markets may relax borrowing constraints in emerging economies, thus contributing to a fall in the saving rate. The associated weakening of the current account position might be reinforced if the reforms also boost investment.  Reforming competition-unfriendly product market regulation could encourage capital spending and thereby contribute to reduce imbalances in surplus countries.  Some policy settings introduce distortions that encourage consumption, such as tax deductibility of interest payments on mortgages in the absence of taxation of imputed rent. Reform in this area might help increase household saving and thereby improve a country’s current account position. Overall, for the policies investigated, surplus countries appear to have more scope for structural reforms that would both enhance economic growth and reduce external imbalances. A scenario analysis indicates that if Japan, Germany and China were to liberalise their product markets and China also increased public health spending and continued to liberalise its financial markets, global imbalances could decline by around one-fifth relative to a baseline scenario. Moreover, since external deficit countries tend to have larger fiscal consolidation needs than surplus countries, fiscal tightening should also contribute to reduce external imbalances over the coming decade.
Topic:
Markets, Reform, Welfare, and Economic Crisis
Political Geography:
Global Focus

6703. Convergence in European Policy Making: What do Article 15 (FCNM) and the EU Regional Policy Have in Common?

Author:
Tove H. Malloy
Publication Date:
12-2010
Content Type:
Policy Brief
Institution:
European Centre for Minority Issues
Abstract:
Minority protection is expanding its focus from protection-only to protectionand-empowerment, or from a politics of identity to a politics of identity related interests. To most, minority protection means the idea that there are compelling reasons why members of ethnic, cultural, national, racial and linguistic minorities require certain special protection rights in order not to suffer assimilation, suppression or persecution. However, in the European context, minority protection has also come to mean a right to attain a decent life. A decent life means a good life. The notion of the good life is of course essentially contested. The problem of protecting the right to a good life is not therefore what is a good life? – but how do minorities achieve and enjoy what they consider a good life?
Topic:
Regional Cooperation, Minorities, European Union, Identity, and Protected People
Political Geography:
Europe

6704. National Minorities in the 21st Century Europe: New Discourses, New Narratives?

Author:
Tove H. Malloy
Publication Date:
12-2010
Content Type:
Policy Brief
Institution:
European Centre for Minority Issues
Abstract:
For centuries national minorities in Europe have lived in the shadow of the historical events of the 19th and the 20t h centuries. Whether for humanitarian reasons or to protect the identity of national minorities, major European treaties settling inter-state wars have had to address minority issues to secure the peace. For this reason, national minorities have frequently been seen not only as obstacles to nation and state building but also as anomalies in international relations.1 At times labelled as troublemakers and war mongers, national minorities have seldom been afforded ethical standing in the writing of Europe’s history.2 While the settlement after the First World War might be called an ‘honourable’ settlement, the settlement after the Second World War basically erased some national minorities from the European map. The integration discourses of the 21st Century seem to bring changes to this scenario.
Topic:
Nationalism, Minorities, Ethnicity, and Regionalism
Political Geography:
Europe

6705. Parity—Expanding Equitable Insurance Coverage for Addiction and Mental Health Treatment

Publication Date:
06-2010
Content Type:
Policy Brief
Institution:
Open Society Foundations
Abstract:
On January 1, 2010, the Wellstone-Domenici Parity Act went into effect, expanding access to mental health and addiction treatment coverage in many employer-sponsored group health plans. The new federal law applies to group health plans covering 50 or more employees that provide any level of coverage for treatment of mental health and substance use disorders. Those plans are now required to cover mental health and substance use disorders benefits at “parity,” or in the same way as they cover other medical and surgical services. Simply put, “parity” is the treatment of addiction and mental illness in insurance benefits in the same way as other medical conditions. When the law is fully implemented, it is estimated that 140 million Americans could have improved access to addiction and mental health treatment services should they need it.
Topic:
Health, Health Care Policy, Mental Health, Drugs, and Equality
Political Geography:
United States

6706. Reaching for Justice: The participation of victims at the Extraordinary Chambers in the Courts of Cambodia,

Author:
Johanna Herman
Publication Date:
01-2010
Content Type:
Policy Brief
Institution:
Centre on Human Rights in Conflict
Abstract:
This policy paper is based on research in Cambodia, assessing the activities and strategies regarding participation of victims before the Extraordinary Chambers in the Courts of Cambodia (ECCC), funded by the University of East London Promising Researcher grant. It is hoped by the international community and by Cambodian civil society that the participation of victims will play a key part in ensuring that the ECCC has a lasting impact on Cambodia. The ECCC, in common with other hybrid tribunals, is expected to engage the affected society and victims, since it is located within the country rather than based elsewhere as the International Criminal Tribunal for Rwanda (ICTR) and International Criminal Tribunal for Yugoslavia (ICTY) are. This policy paper reviews how the victim participation process functioned during the first case and the preparation for the second case at the ECCC, and offers insights to improve practice at the ECCC and other courts that are undertaking other forms of victim participation
Topic:
International Affairs
Political Geography:
Global Focus

6707. Did the Mexican Revolution Change the Privilees of The Elite or Not? The Relationship between the Government and the Media

Author:
Juan Enrique Huerta Wong
Publication Date:
01-2010
Content Type:
Policy Brief
Institution:
Institute for the Study of International Development, McGill University
Abstract:
The investigation in education and its role in social stratification has been the focus of attention in the sociology literature for a number of decades now. However, very little is known as to what takes place in Latin America. The supposed point of departure to study education and its role in social stratification is that education should act to break the inertias between origins and destinies. This article has asked the question whether education is a factor that contributes to break the cycle of persistent inequality in Mexico, and also if this is a form to evaluate the achievements of the social contract that came out of the Mexican Revolution, which this year, 2010, celebrates its century of existence. This is so because one of the main objectives of the revolution was to cut down the privileges of the dominant class, and along with it, the intergenerational transmission of wealth that perpetuates inequality. Two models of structural equations were compared to evaluate the relationship between wealth in the home of origin, the schooling of the parents, childhood academic achievement, the final schooling of the ego, and its economic wellbeing. The results show that there are statistical differences between the cases of Mexico and Chile in terms of the process of stratification. In Mexico, the wealth of the home of origin and the childhood academic achievement are the variables that best explain both the final level of schooling as well as the socioeconomic wellbeing of ego. In Chile, education functions as a variable that interrupts the weight of the inter-generational legacy. It is discussed then that the State in Mexico has failed in providing an educational system that can break the inertia of the association between origins and destinies, and the implications of the importance of childhood academic achievement, which calls upon keeping children in their classrooms, at least for the time period that the law mandates.
Topic:
Education, History, Elites, and Social Mobility
Political Geography:
South America, Latin America, Mexico, and Chile

6708. Reporte sobre Democracia y Autonomías en Bolivia en el periodo de Evo Morales

Author:
Diego Ayo Saucedo
Publication Date:
01-2010
Content Type:
Policy Brief
Institution:
Institute for the Study of International Development, McGill University
Abstract:
La realidad Bolivia ha tenido cambios enormes en la última década. En una apretada síntesis se puede definir los siguientes periodos. De 1985 a 2000, fase de establecimiento y consolidación del modelo de democracia representativa de mercado con rasgos multiculturales. De 2000 a 2005, fase de declive y derrumbe del “modelo.” De 2005 a 2010, fase de transición a un modelo descolonizador, autonómico, productivo y solidario. De 2010 en adelante, fase de implementación del nuevo modelo.
Topic:
Development, Democracy, Autonomy, and Evo Morales
Political Geography:
South America and Bolivia

6709. Can the U.S. Remain an Attractive Host for FDI in the Auto Industry? New Labor Policy and Flexible Production

Author:
Terutomo Ozawa
Publication Date:
10-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
President Obama has been supporting a new bill, the Employee Free Choice Act, designed to promote the labor unions' drive for unionization. This bill, if enacted, will surely be a big boon for unions as it helps enlarge their membership, enhance their bargaining power vis-à-vis businesses, and enrich their coffers to wield political clout. An important issue here, however, is how such reinforced unionism contributes to the U.S.'s much needed industrial competitiveness and employment—and, more specifically, how this new policy will affect the U.S. as a host to FDI in the auto industry.
Topic:
Economics, Industrial Policy, International Trade and Finance, and Foreign Direct Investment
Political Geography:
United States

6710. The global economic crisis and FDI flows to emerging markets: for the first time ever, emerging markets are this year set to attract more than half of global FDI flows

Author:
Laza Kekic
Publication Date:
10-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
The global economic and financial crisis has had a major impact on foreign direct investment (FDI) flows. After declining in 2008 by 17% to US$1.73trn from US$2.09trn in 2007—the high point of a four- year long boom in cross-border mergers and acquisitions (M) and FDI—global FDI inflows are forecast to plunge by 44% to less than US$1trn in 2009. The big drop in 2009 is occurring despite the improvements in the global economy in recent months. A notable feature of trends in 2009 is that, for the first time ever, emerging markets are set to attract more FDI inflows than the developed world.
Topic:
Development, Economics, Foreign Direct Investment, and Financial Crisis
Political Geography:
United States

6711. Sovereign wealth funds: much ado about some money

Author:
Charles Kovacs
Publication Date:
10-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
The first sovereign wealth fund (SWF) was established by Kuwait in 1953, and was followed by many others from 1973-4, after the first oil crisis. Since then, each major jump in oil and gas prices increased the number and size of SWFs; after 2000, countries with large trade surpluses also began to establish SWFs. By April 2009, SWFs had grown to $3-5 trillion of assets under management, invested mostly in high quality bonds. Equity investments have been a much smaller part of their portfolio and began to grow only in the 1990s. This trend has since accelerated with at least 698 documented equity investments between June 2005 and March 2009.
Topic:
Security, Economics, International Trade and Finance, and Sovereign Wealth Funds
Political Geography:
Kuwait

6712. The growth of Brazil's direct investment abroad and the challenges it faces

Author:
Luís Afonso Lima and Octavio de Barros
Publication Date:
08-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
The internationalization of Brazilian companies is a relatively recent phenomenon. From 2000 to 2003, outward foreign direct investment (OFDI) averaged USD 0.7 billion a year. Over the four-year period 2004−2008, this average jumped to nearly USD 14 billion. In 2008, when global FDI inflows were estimated to have fallen by 15%, OFDI from Brazil almost tripled, increasing from just over USD 7 billion in 2007 to nearly USD 21 billion in 2008 (annex figure 1 below). Central Bank data put the current stock of Brazilian OFDI at USD 104 billion, an increase of 89% over 2003. Caution is in order about these figures, however, as in Brazilian outflows it is difficult to separate authentic FDI from purely financial investment under the guise of FDI. According to the most recent data, 887 Brazilian companies have invested abroad.
Topic:
Economics, International Trade and Finance, Markets, and Foreign Direct Investment
Political Geography:
Brazil and Latin America

6713. Outward investment by Trans-Latin enterprises: reasons for optimism

Author:
Michael Mortimore and Carlos Razo
Publication Date:
08-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
Despite the global crisis, outward FDI by Latin American firms grew by more than 40% in 2008. The picture for 2009 is less clear, due to the expected regional GDP contraction, falling commodity prices, and tightening credit markets. Nonetheless, the authors argue that many countervailing factors make Latin American investment more resilient in the crisis than other regions may be.
Political Geography:
Latin America

6714. Outward investment by Trans-Latin enterprises: reasons for optimism

Author:
Michael Mortimore and Carlos Razo
Publication Date:
08-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
Despite the global crisis, outward FDI by Latin American firms grew by more than 40% in 2008. The picture for 2009 is less clear, due to the expected regional GDP contraction, falling commodity prices, and tightening credit markets. Nonetheless, the authors argue that many countervailing factors make Latin American investment more resilient in the crisis than other regions may be.
Topic:
Economics, International Trade and Finance, and Foreign Direct Investment
Political Geography:
Latin America

6715. Indian FDI falls in global economic crisis: Indian multinationals tread cautiously

Author:
Jaya Prakash Pradhan
Publication Date:
08-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
Just over a year ago, outward foreign direct investment (OFDI) from India seemed to be on a path of rapid and sustained growth. Its annual average growth of 98% during 2004–07 had been unprecedented , much ahead of OFDI growth from other emerging markets like China (74%), Malaysia (70%), Russia (53%), and the Republic of Korea (51%), although from a much lower base. Much of this recent growth had been fuelled by large-scale overseas acquisitions, however, and it faltered when the global financial crisis that started in late 2007 made financing acquisitions harder.
Topic:
Development, Economics, Foreign Direct Investment, and Financial Crisis
Political Geography:
Russia, China, Malaysia, India, and Korea

6716. National Security with a Canadian Twist: The Investment Canada Act and the New National Security Review Test

Author:
Subrata Bhattacharjee
Publication Date:
07-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
On March 12, 2009, the Canadian federal government passed significant amendments to the Investment Canada Act (ICA), Canada's foreign investment law of general application. Though the amendments generally liberalize important aspects of the Canadian foreign investment review regime, they also include a broadly worded national security test that now allows the responsible Minister to review proposed investments in Canada on national security grounds. On July 11, 2009, the government published draft regulations that provide the details of the new national security review process. A detailed summary of the amendments and regulations is included in an extended note available at www.vcc.columbia.edu.
Topic:
Economics and Foreign Direct Investment
Political Geography:
Canada

6717. Are SWFs Welcome Now?

Author:
Veljko Fotak and William Megginson
Publication Date:
07-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
Until the end of 2007, western media, governments and regulators often seemed more concerned about protecting domestic firms from investments by sovereign wealth funds (SWFs) than about attracting capital inflows. Politicians in many countries called for the regulation of sovereign foreign investments at that time, when SWF investments were growing rapidly. In fact, during 2006 and 2007, countries that introduced at least one regulatory change (many of them related to such investments) making the investment climate less welcoming for multinational enterprises accounted for 40% of all FDI inflows.
Topic:
Economics, International Trade and Finance, Foreign Direct Investment, and Sovereign Wealth Funds

6718. Land grab or development opportunity? International farmland deals in Africa

Author:
Lorenzo Cotula
Publication Date:
06-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
Over the past 12 months, large-scale acquisitions of farmland in Africa, Latin America, Central Asia and Southeast Asia have made headlines in a flurry of media reports across the world. Lands that only a short time ago seemed of little outside interest are now being sought by international investors to the tune of hundreds of thousands of hectares.
Topic:
Agriculture, International Trade and Finance, and Foreign Direct Investment
Political Geography:
Africa and Latin America

6719. International Investment Arbitration: Winning, Losing and Why

Author:
Susan D. Franck
Publication Date:
06-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
We know several things about foreign investment. First, foreign investment matters, reaching US$1.7 trillion in 2008. Second, we know that foreign investors have new international law rights to protect their economic interests. Third, we know that those rights are now being used.
Topic:
Economics, International Trade and Finance, and Foreign Direct Investment
Political Geography:
United States

6720. Improving infrastructure or lowering taxes to attract foreign direct investment?

Author:
Christian Bellak and Markus Leibrecht
Publication Date:
06-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
A crucial challenge to all countries in the current economic crisis is to stimulate investment, including foreign direct investment (FDI). Countries striving to attract FDI often resort to two types of policies: improving infrastructure or lowering taxes, as a means of attracting new FDI, or keeping existing FDI. Indeed, recent empirical studies (e.g. Bénassy-Quéré et al. 2007; Bellak et al. 2009) confirmed that both lower taxes and improved infrastructure exert a considerable influence upon multinational enterprises' decision to invest in a particular country, when controlling for other important location factors (like market size, labor costs etc.).
Topic:
Economics, Infrastructure, and Foreign Direct Investment

6721. While global FDI falls, China's outward FDI doubles

Author:
Ken Davies
Publication Date:
05-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
In 2008 global FDI fell by around 20%, while outward FDI from China nearly doubled. This disparity is likely to continue in 2009 and 2010 as China invests even more overseas. What is driving this continuing surge in China's outward FDI?
Topic:
International Trade and Finance, Foreign Direct Investment, and Financial Crisis
Political Geography:
China and Asia

6722. A new geography of innovation – China and India rising

Author:
Gert Bruche
Publication Date:
04-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
With some delay, the internationalization of business R is following the globalization of production. Starting on a small scale during the 1970s and 1980s, the emergence of globally distributed R networks of multinational enterprises (MNEs) accelerated rapidly in the 1990s. The “globalization of innovation” was facilitated and driven by a complex set of factors, including changes in trade and investment governance, improved intellectual property rights through TRIPS, the growing ease and falling cost of communicating and traveling around the globe, and the concomitant vertical industry specialization and unbundling of value chains. The growing and sustained level of cross-border M was one major direct driver, often having the effect that merged firms inherited multiple R sites in a number of countries.
Topic:
Development, Economics, and Foreign Direct Investment
Political Geography:
China, India, and Asia

6723. The global financial crisis: will state emergency measures trigger international investment disputes?

Author:
Anne Van Aaken and Jürgen Kurtz
Publication Date:
03-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
Several developed countries have introduced emergency measures to mitigate the effects of the Global Financial Crisis, including Australia, Germany, Ireland, the United Kingdom, and the United States. Although the measures taken are still undergoing changes by the executive branch and are thus a “moving target”, our survey reveals early evidence of differentiation between foreign and domestic actors in the emergency plans adopted by this sample grouping. It is this differentiation that may give rise to liability as breaching guarantees against discrimination of foreign investors under international investment law.
Topic:
Economics, International Trade and Finance, Markets, International Affairs, Foreign Direct Investment, and Financial Crisis
Political Geography:
United States, United Kingdom, Germany, Australia, and Ireland

6724. The revised national security review process for FDI in the US

Author:
Mark E. Plotkin and David N. Fagan
Publication Date:
01-2009
Content Type:
Policy Brief
Institution:
Columbia Center on Sustainable Investment
Abstract:
On December 22, 2008, new regulations setting forth the U.S. government's national security review process for foreign mergers and acquisitions of U.S. businesses became effective. They are the ultimate step in a lengthy effort to revise and strengthen the reviews undertaken by the Committee on Foreign Investment in the United States (“CFIUS”).
Topic:
Economics, National Security, and Foreign Direct Investment
Political Geography:
United States

6725. The Stockholm programme: Europe's next step to be an "area of freedom, security and justice"

Author:
Toby Archer
Publication Date:
12-2009
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The Stockholm Programme sets the agenda for the European Union's actions for the next five years in the area of Justice and Home Affairs (JHA). It is the next step towards the goal of making the EU into an Area of Freedom, Security and Justice (AFSJ). Justice and Home Affairs became the third pillar of the EU after the Maastricht Treaty came into force in 1993. Originally, it was firmly intergovernmental area of policy-making but some parts were transferred to the supranational first pillar when the treaty of Amsterdam came in to force 1999. In the same year the EU decided it need a focused plan for cooperation in this field for the next five years; and the Tampere Programme was produced. This was followed in 2004 by the Hague Programme that ends this year, and the Stockholm Programme will lay out the next five years of JHA cooperation. Producing the programme has been complicated due to both the sensitive nature of many of the issues covered and by doubt until recently over whether the Lisbon Treaty would be ratified. The ratification of Lisbon changes the power balance between the European Commission, Council and Parliament and this has ramifications for the JHA area. With the success of the EU single market and the end of border controls within the EU, to stop crime within the EU, to guarantee the rights of citizens who are moving between EU member states, and to manage people from third countries who are seeking to come into the EU, requires cooperation across the Union. The Stockholm Programme seeks to lay out what path this should take. Migration policy is an important and difficult part of the programme. How Europeanised dealing with irregular migrants and asylum seeker should be has been one of the politically difficult areas within the programme.
Topic:
Security, Civil Society, and Law
Political Geography:
Europe

6726. Bargaining in the Saudi bazaar: Common ground for a post-2012 climate agreement?

Author:
Mari Luomi
Publication Date:
12-2009
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
Saudi Arabia's interests vis-à-vis international climate policy are fundamentally tied to its ownership of the world's largest proven oil reserves and its political economy, which depends on oil revenues for stability and survival. The 'discrimination' against carbon dioxide and fossil fuels is a recurring theme that reflects the country's disapproval of any constraints on global oil consumption. The Saudi position has evolved around four pillars: preserving oil revenues, receiving compensation for the adverse impacts of climate change mitigation, avoiding commitments, and acquiring technology and capacity for adaptation. Saudi Arabia's influence in the negotiations stems from a long-term strategy of obstructionism, the ultimate aim of which is to prevent an agreement from emerging. The country's status as a developing country is increasingly contested due to its high GDP per capita, while its calls for compensation for losses in oil revenue are strongly criticised, but Saudi Arabia still faces major development challenges, economic diversification being the most pressing. Although Saudi Arabia's position towards adaptation requires adjusting, there are clear points of dialogue with the West, including technology transfer and capacity building.
Topic:
Climate Change and Treaties and Agreements
Political Geography:
Middle East, Arabia, and Saudi Arabia

6727. Medvedev's amendments to the law on defence: The consequences for Europe

Author:
Yury E. Fedorov
Publication Date:
11-2009
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
In November 2009, the 'Law on Amendments to the “Law on Defence”' proposed by President Medvedev entered into force. It allows the Kremlin to dispatch troops outside Russia for four purposes: to counter armed attacks against Russian armed forces, other troops and bodies deployed beyond its borders; to counter or prevent an armed attack against another country if this country has requested Russia to do so; to protect Russian citizens abroad from an armed attack; and to combat piracy and guarantee the safety of shipping. The law is an attempt to close the gap between Moscow's strategic goals, primarily the establishment of its geopolitical dominance over the former Soviet republics, and Russia's legislation, which restricted its ability to deploy armed forces beyond national borders. In effect, the amended legislation enables the Kremlin to deploy its armed forces abroad in a wide range of situations, precisely because of a lack of clear criteria. The wording of 'Medvedev's amendments' sheds light on some plans and scenarios that may be taking shape in Moscow. It is not beyond the realms of possibility that Russia may plan to ignite large-scale disturbances and ethnic clashes in Sevastopol or in Latvia and Estonia, which may be used as a pretext for Russian military intervention. A Russo-Ukrainian conflict in Crimea would pose not so much a military as a political challenge for Europe and the West. Even though Ukraine does not belong to these organizations, if NATO and the EU failed to respond to Russian intervention in Crimea with strong political and economic measures, their strategic relevance would be seriously undermined. If NATO did not defend its member states in the Baltic, the strategic role of the Alliance would be reduced to zero. The aforementioned scenarios fall into the worst-case category, yet there are numerous precedents in Russia's history which demonstrate that worst-case scenarios can become reality. European dependence on Russian energy supplies and interest in Russia's support in resolving the Iranian nuclear problem and the conflict in Afghanistan, as well as the Obama administration's interest in Russia's partnership in nuclear issues, constrain Western ability to respond. However, the West could and should make it quite clear that new Russia's military interventions will result in the country's political ostracization. Furthermore, the West could propose and develop an internationally recognised mechanism regulating the most important aspects of humanitarian intervention. In particular, it should minimise the ability of individual states to make unilateral decisions to intervene militarily if the UN Security Council were unable to make firm decisions. Such mechanisms could be discussed and developed in the frameworks of the UN, the OSCE, the so-called Corfu process and similar international forums.
Topic:
Security, Defense Policy, and Law
Political Geography:
Russia, Europe, and Asia

6728. Crossing Borders, Changing Landscapes: Land-Use Dynamics in the Golden Triangle

Author:
Jefferson Fox
Publication Date:
12-2009
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
Over the last half-century, public policy has affected land-use practices across the borders linking China, Thailand, and Laos. Political and economic reforms have facilitated labor mobility and a shift in agricultural practices away from staple grains and toward a diverse array of cash crops, rubber being one of the foremost. China has promoted the conversion of forests to rubber agroforestry in southern Yunnan--profitable for farmers, but a concern in terms of biodiversity and long-term viability. In Thailand, the response is at the other end of the spectrum as the government's concerns about land-use practices and watershed management have led to policies that dramatically constrain land-use practices and limit tenure rights. In Laos the future is not yet clear. Government policies provide weak support for both private land ownership and protected areas. In a global environment where national policy has such a dramatic effect on land use and land cover, the factors behind land-use change merit close examination.
Topic:
Agriculture, Economics, Migration, and Labor Issues
Political Geography:
China, Asia, Thailand, and Southeast Asia

6729. Forest Communities and REDD Climate Initiatives

Author:
Mark Poffenberger and Kathryn Smith-Hanssen
Publication Date:
10-2009
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
Loss of the world's forests contributes an estimated 17 percent to all global greenhouse gas emissions, creating both a major challenge and an opportunity for international climate change agreements. In response, global policymakers have proposed that new carbon agreements include rewards for reducing forest-based emissions, an initiative known as REDD–Reducing Emissions from Deforestation and Forest Degradation. By creating financial incentives to reduce forest-sourced greenhouse gases, REDD projects could generate funding from developed countries to reduce deforestation in developing countries. In addition, some climate change specialists believe that REDD projects could benefit forest-dependent communities, whose participation is key to controlling the local forces that drive deforestation. Some communities are already learning about the new REDD carbon projects. As one villager from Cambodia explains, "We are going to sell our air to the people who are polluting in the city."
Topic:
Agriculture, Climate Change, and Environment
Political Geography:
Cambodia

6730. The New ASEAN Intergovernmental Commission on Human Rights: Toothless Tiger or Tentative First Step?

Author:
Michelle Staggs Kelsall
Publication Date:
09-2009
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
In late 2008 the Association of Southeast Asian Nations (ASEAN) committed to creating a human rights body, which emerged as the Intergovernmental Commission on Human Rights (ICHR), the terms of reference (TOR) for which have since been adopted. Although the TOR for the commission currently outlines a primarily advisory rather than an enforcement role, the very existence of the ICHR has the potential to act as a trigger to further discussion on human rights issues in member states and open avenues for further action. To take maximum advantage of this opportunity to further the human rights agenda in ASEAN member states, it is essential that critical early decisions are made carefully so as to leave the most latitude for future action. While some observers are concerned that the ICHR lacks teeth, the fact that all ten ASEAN governments have agreed to implement a human rights commission is remarkable and is an essential first step toward ASEAN's stated goal of respecting and protecting human rights.
Topic:
Human Rights, Human Welfare, International Organization, and Regional Cooperation
Political Geography:
Israel, Asia, and Southeast Asia

6731. Are the Farmers Always Right? Rethinking Assumptions Guiding Agricultural and Environmental Research in Southeast Asia

Author:
A. Terry Rambo
Publication Date:
05-2009
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
Southeast Asia faces enormous challenges in managing its agricultural and environmental resources, from global warming to biodiversity loss. But chances for effectively addressing these issues may be hampered by the wide acceptance of four basic assumptions that guide the way we think about problems of managing agriculture and the environment. These assumptions form an interlinked system of thought that privileges the traditional and local over the modern and cosmopolitan. When taken to an extreme they lead to the view that traditional farmers are always right and that modern science is the cause, rather than a possible cure, of the serious environmental problems associated with agricultural development in Southeast Asia. Although when first proposed these assumptions were a radical alternative to the conventional thinking, in recent years they have themselves become the new conventional wisdom.
Topic:
Agriculture, Development, and Environment
Political Geography:
Southeast Asia

6732. North Korean Shipping: A Potential for WMD Proliferation?

Author:
Hazel Smith
Publication Date:
02-2009
Content Type:
Policy Brief
Institution:
East-West Center
Abstract:
The possibility that North Korean ships may be smuggling weapons of mass destruction is a matter of intense concern in the Asia Pacific region and beyond. The few reported incidents of North Korean ships involved in WMD transport are ambiguous; some ships have been engaged in legal weapons trade and some carried "dual-use" goods suitable for use in nonmilitary applications, like agriculture. Ownership of the North Korean merchant fleet is largely private and highly fragmented; most of its ships are small, old, and in poor repair, and are often subject to rigorous scrutiny in foreign ports. The inability of the government to effectively regulate the low-cost, substandard shipping industry creates the risk and incentives to smuggle goods, including WMD. Anti-proliferation efforts should abandon the divisive and unsuccessful Proliferation Security Initiative and concentrate on negotiating North Korea's entry into international arms control treaties, maintain stringent port controls, and negotiate technical assistance to reduce the vulnerability of the North Korean shipping industry.
Topic:
International Trade and Finance, Nuclear Weapons, and Weapons of Mass Destruction
Political Geography:
North Korea

6733. Haiti: the challenge of ending the transition to democracy

Author:
Tone Faret and Eduardo Colindres
Publication Date:
12-2009
Content Type:
Policy Brief
Institution:
Norwegian Centre for Conflict Resolution
Abstract:
The political scene in Haiti will be dominated by elections in 2010. The challenge is significant for the international community, which plays a prominent role and has a notable presence in the country, and for national actors, especially the much disputed Provisional Election Council (CEP).
Topic:
Democratization, Poverty, and Governance
Political Geography:
Caribbean and Haiti

6734. Water challenges in Central-South Asia

Author:
Michael Renner
Publication Date:
12-2009
Content Type:
Policy Brief
Institution:
Norwegian Centre for Conflict Resolution
Abstract:
Water issues play a crucial role in Central-South Asia, both in the quantity of water available and its quality. Access to clean drinking water is a major, though largely unmet, objective. While much of the region is experiencing water shortages, poor water management lies at the heart of many problems. Climate change — in the form of glacier melt, drought, rising temperatures, and changes to the monsoon cycle — will increasingly exacerbate water scarcity. Although the region's water challenges do not necessarily or inevitably lead to armed conflict, they increasingly threaten to undermine human security. Cooperation will be critical for the region to meet its water challenges in the years and decades ahead.
Topic:
Climate Change and Natural Resources
Political Geography:
South Asia, Central Asia, and Asia

6735. Central Asia: Living in Afghanistan's shadow

Author:
Martha Brill Olcott
Publication Date:
11-2009
Content Type:
Policy Brief
Institution:
Norwegian Centre for Conflict Resolution
Abstract:
The absence of a functional government in Afghanistan has been creating economic and security challenges for the Central Asian states since their founding in 1991. Long frustrated by the international community's failure to end the Afghan civil war through negotiation, the 2001 September 11 attack created the expectation among these countries that the US would intervene successfully in Afghanistan, leading to an economic recovery that would advance the development of all the states in the region.
Topic:
Conflict Resolution, Security, and Economics
Political Geography:
Afghanistan and Central Asia

6736. Challenges of Pakistan's Governance System

Author:
Marco Mezzera
Publication Date:
10-2009
Content Type:
Policy Brief
Institution:
Norwegian Centre for Conflict Resolution
Abstract:
This policy brief looks at the underlying causes of weak governance and poor interaction between Pakistan's institutions and its citizens. Factors are broadly organized in three dimensions: structural, including geopolitical position, historical backdrop and social structures; the distribution and exercise of power; and Pakistan's current state of affairs.
Topic:
Civil Society and Governance
Political Geography:
Pakistan and South Asia

6737. Tajikistan: 'Revolutionary situation' or a Resilient state?

Author:
Anna Matveeva
Publication Date:
12-2009
Content Type:
Policy Brief
Institution:
Centre for European Policy Studies (CEPS)
Abstract:
Since 2008, after a period of relative growth and social stability, the situation in Tajikistan has been steadily deteriorating, leading to increased speculation that the country could emerge as a failing state. Given its proximity to Afghanistan and Pakistan, and the role it plays in the Northern Distribution Network – a line that funnels military supplies from Europe to NATO ISAF troops in Afghanistan – the ramifications of potential instability in Tajikistan would resonate beyond the country. The current briefing assesses to what extent such danger is in fact real by outlining developments in the key areas of economy and security, and examining the regime's capacity to cope with emerging challenges. The briefing concludes with recommendations for the EU and an outlook for future.
Topic:
NATO, Fragile/Failed State, and Financial Crisis
Political Geography:
Afghanistan, Central Asia, and Tajikistan

6738. Two new leaders in search of a job description

Author:
Piotr Maciej Kaczyński and Peadar ó Broin
Publication Date:
11-2009
Content Type:
Policy Brief
Institution:
Centre for European Policy Studies (CEPS)
Abstract:
The first permanent European Council President and second High Representative for EU foreign policy have been chosen. After weeks of speculation, the question of who will occupy the roles has now been answered: Herman Van Rompuy will take office as European Council President on 1 January 2010; and Catherine Ashton will be appointed the EU's foreign affairs chief on 1 December 2009. The presidency of the European Council has until now been performed by the head of State or government of the member state holding the rotating presidency, but the Lisbon Treaty clearly stipulates that from its entry into force, the President of the European Council may not hold national office. The position of a High Representative had previously existed, but the function has been significantly re-written by the Lisbon Treaty. So, in addition to new faces, there are also new unknowns. The question of precisely what powers the President and High Representative will exercise remains largely unknown, as it is not yet clear how they will perform as individuals and in tandem. Nevertheless, the Treaties give at least a general indication of the powers these two leaders will wield.
Topic:
Foreign Policy and Regional Cooperation
Political Geography:
Europe

6739. Re-setting the Eastern Partnership in Moldova

Author:
Nicu Popescu
Publication Date:
11-2009
Content Type:
Policy Brief
Institution:
Centre for European Policy Studies (CEPS)
Abstract:
Recent political changes in Moldova offer a window of opportunity for both EU-Moldova relations and for the Eastern Partnership. In the next few months, the EU should move quickly to consolidate the reform process in Moldova. In particular, the EU should send a group of high-level EU policy advisors to the country for the purpose of promoting reform of law-enforcement agencies. Leaders from the EU and its member states should also undertake a series of high-profile visits to Moldova to demonstrate support for reforms and European integration. Finally, the EU should support visible projects that have a quick policy impact, and will have broader relevance for Moldova's modernisation. Such projects could include equipping the entire country with free wireless internet access, the liberalisation of air travel between the EU and Moldova, replacing the corrupt traffic police with speed cameras and traffic patrols and moving forward on liberalising visas for Moldovans.
Political Geography:
Europe and Moldova

6740. The EU Strategy for Central Asia says 'security'. Does this include Security Sector Reform?

Author:
Jos Boonstra
Publication Date:
11-2009
Content Type:
Policy Brief
Institution:
Centre for European Policy Studies (CEPS)
Abstract:
Central Asia faces a broad range of security challenges. Due to the region's position at the crossroads between Russia, China, Afghanistan, Pakistan, Iran and the Caspian Sea it is confronted with a range of trans-national issues such as drug trafficking, human trafficking, organised crime and terrorism. Central Asia also encounters specific regional threats including scarcity of water resources for generating power and irrigation purposes, which is currently causing tension. On a national level the five Central Asian republics face the threat of instability due to bad governance and the harsh impact of the economic crisis.
Topic:
Security
Political Geography:
Pakistan, Afghanistan, Russia, China, Europe, Iran, and Central Asia

6741. Is REACH going well?

Author:
Jacques Pelkmans and Ineke Gubbels-van Hal
Publication Date:
11-2009
Content Type:
Policy Brief
Institution:
Centre for European Policy Studies (CEPS)
Abstract:
Little is heard these days about REACH, the new EU Regulation on the Registration, E valuation, Authorisation and Restriction of Chemical substances. For the general public and non-specialised EU observers, the ongoing implementation of what is perhaps the biggest EU regulation ever undertaken appears to be proceeding in serene tranquillity. What a contrast with the turmoil and hectic debates that raged between mid-2003 and December 2006, when this new EU chemicals regulation (of some 850 pages) was finally enacted.
Political Geography:
Europe

6742. The Treaty of Lisbon and the Czech Constitutional Court: Act II

Author:
Ivo Slosarcik
Publication Date:
10-2009
Content Type:
Policy Brief
Institution:
Centre for European Policy Studies (CEPS)
Abstract:
In October 2009, the lion's share of media and political attention given to the ratification process of the Lisbon Treaty in the Czech Republic has been devoted to the antics of the President, Václav Klaus. However, it is important to point out that the process is being delayed not only by the President's reservations and requests for a Czech (quasi)opt-out from the EU Charter of Fundamental Rights, but also by the pending review of the Treaty by the Czech Constitutional Court (CCC), which is set to give a second ruling on the Lisbon Treaty on November 3 rd, having delivered its first decision in autumn 2008.
Topic:
Regional Cooperation and Treaties and Agreements
Political Geography:
Europe and Czech Republic

6743. Towards the Next Phase of the EU's Area of Freedom, Security and Justice: The EC's Proposals for the Stockholm Programme

Author:
Sergio Carrera and Elspeth Guild
Publication Date:
08-2009
Content Type:
Policy Brief
Institution:
Centre for European Policy Studies (CEPS)
Abstract:
The European Union needs a new five-year strategy for the development of the next phase of the Area of Freedom, Security and Justice (AFSJ). The existing plan, designed in The Hague Programme of 2004, expires at the end of this year. The Justice and Home Affairs research unit of CEPS has already set out, in several contributions, the big issues and provided policy recommendations for the next five-year plan – The Stockholm Programme – which will be adopted under the Swedish Presidency in December. In June 2009, the European Commission published its perspective towards the Stockholm process in its Communication: “An area of Freedom, Security and Justice serving the citizen: Wider freedom in a safer environment”.3 In this Policy Brief, we take a closer look at the Commission's Communication and highlight the strengths and weaknesses of the approaches adopted for each of the different policy domains falling under the AFSJ rubric. The Communication assesses the AFSJ under three main headings: 1. successes, 2. ambivalent areas and 3. challenges. We will also follow these headings and comment accordingly. Our commentary on the three areas also provides answers to some of the thorny questions raised in the priorities for the Stockholm Programme. We spell these out in the conclusions and put forth a set of policy recommendations.
Topic:
Treaties and Agreements
Political Geography:
Europe

6744. Navies versus Coast Guards: Defining the Roles of African Maritime Security Forces

Author:
Augustus Vogel
Publication Date:
12-2009
Content Type:
Policy Brief
Institution:
Africa Center for Strategic Studies
Abstract:
Maritime security challenges in Africa are growing rapidly and represent an increasingly central component of the threat matrix facing the continent. African states struggle to meet these threats because their maritime security structures are misaligned with the challenges posed. Redressing this misalignment will require valuing the coast guard capacity demanded by these threats and constructing the array of intragovernmental partnerships needed to be effective in combating these threats.
Topic:
International Cooperation, International Affairs, and Military Affairs
Political Geography:
Africa

6745. U.S. Security Engagement in Africa

Author:
William M. Bellamy
Publication Date:
06-2009
Content Type:
Policy Brief
Institution:
Africa Center for Strategic Studies
Abstract:
Despite significant recent gains, Africa's security environment remains fragile with a wide array of ongoing and emerging threats placing great strains on already overburdened governments. United Nations peacekeeping operations in Africa have realized some success in recent years, especially when they have involved direct support from members of the Security Council. Much more cohesive interagency coordination under strong White House direction is required if the United States is to contribute to Africa's sustained stability given the region's persistent conditions of poverty, inequality, and weak governance.
Topic:
Conflict Prevention, Security, International Security, International Affairs, and Military Strategy
Political Geography:
Africa and United Nations

6746. Africa's Private Sector: What's Wrong with the Business Environment and What to Do About It

Author:
Vijaya Ramachandran, Manju Kedia Shah, and Alan Gelb
Publication Date:
03-2009
Content Type:
Policy Brief
Institution:
Center for Global Development
Abstract:
Why has the private sector failed to thrive in much of sub-Saharan Africa? Drawing on a unique set of enterprise surveys, we identify inadequate infrastructure (especially unreliable electricity and poor quality roads) and burdensome regulations as the biggest obstacles to doing business. We find as well that the private sector in many countries is dominated by ethnic minorities, which inhibits competition and lowers demand for a better business environment. Solutions include investing in infrastructure, providing risk guarantees, and reforming regulations to lower the cost of doing business, as well as increasing access to education for would-be entrepreneurs.
Topic:
Development, Economics, Emerging Markets, Globalization, and International Trade and Finance
Political Geography:
Africa

6747. Going Beyond Gender as Usual: Why and How Global HIV/AIDS Donors Can Do More for Women and Girls

Author:
David Wendt, Nandini Oomman, and Christina Droggitis
Publication Date:
08-2009
Content Type:
Policy Brief
Institution:
Center for Global Development
Abstract:
Few people doubt that gender inequality influences the spread of HIV/AIDS. Yet public health efforts tend to focus on changing individual behavior rather than addressing structural factors—social, economic, physical and political—that influence the spread and effects of HIV and AIDS.
Topic:
Gender Issues, Health, and Social Stratification

6748. Performance Incentives for Global Health: Potential and Pitfalls

Author:
Rena Eichler and Ruth Levine
Publication Date:
05-2009
Content Type:
Policy Brief
Institution:
Center for Global Development
Abstract:
Global health donors, like national governments, have traditionally paid for inputs such as doctors' salaries or medical equipment in the hope that they would lead to better health. Performance incentives offered to health workers, facility managers, or patients turn the equation on its head: they start with the performance targets and let those most directly affected decide how to achieve them. Funders pay (in money or in kind) when health providers or patients reach specified goals. Evidence shows that such incentives can work in a variety of settings. But making them effective requires careful planning, implementation, and monitoring and evaluation.
Topic:
Health, Humanitarian Aid, Third World, and Foreign Aid

6749. Growing Pains in Latin America: An Economic Growth Framework as Applied to Brazil, Costa Rica, Colombia, Mexico, and Peru

Author:
Liliana Rojas-Suarez
Publication Date:
09-2009
Content Type:
Policy Brief
Institution:
Center for Global Development
Abstract:
Before the global economic crisis began in 2008, all countries in Latin America, long known as the world's most economically and financially volatile region, had experienced five consecutive years of economic growth, a feat that had not been achieved since the 1970s. Yet despite this growth, Latin America's incomeper-capita gap relative to high-income countries and other emerging-market economies widened, and poverty remained stubbornly high. Latin America, in short, suffered from growing pains even when things were going reasonably well.
Topic:
Economics and Emerging Markets
Political Geography:
Brazil, Colombia, Latin America, Mexico, Costa Rica, and Peru

6750. Bridging the North-South Divide on Climate Post Copenhagen

Author:
John Whalley and Sean Walsh
Publication Date:
12-2009
Content Type:
Policy Brief
Institution:
Centre for International Governance Innovation
Abstract:
The United Nations climate change negotiations currently underway and now seemingly likely to conclude only six to 12 months after the UN Framework Convention on Climate Change (UNFCCC) hosted meeting at Copenhagen in December 2009, are beset by a series of obstacles, the most fundamental of which reflect the North-South divide, largely between the Organisation of Economic Co-operation and Development (OECD) and non-OECD economies. In this brief we argue that movement across this divide is the single most important element in a successful conclusion to the negotiation. Current obstacles reflect asymmetries between developing and developed countries both in terms of growth in carbon emissions — and hence the costs of reducing emissions proportionately relative to some base date level, but also in terms of historical emissions as a source of damage. These are compounded by the imprecision of the negotiating mandate — a lack of a clear definition of the basic principles involved, particularly in the case of the original UNFCCC principle of common yet differentiated responsibilities, which accepts but does not clearly delineate differentiated responsibilities for developing and developed countries on climate change. Significant movement in the negotiating position of either side (or both) is likely a necessity for a climate deal to be reached even in post-Copenhagen negotiations. However, the recent unilateral commitment by China to reduce emissions by 40-45 percent per unit of GDP from a 2005 base year by 2020 is a positive first step.
Topic:
Climate Change, Development, Environment, Treaties and Agreements, and Third World
Political Geography:
China and United Nations