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61. Institutional design and spatial (in)equality: the Janus face of economic integration

Author:
Ingrid Ott and Susanne Soretz
Publication Date:
08-2020
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
This paper analyzes within a spatial endogenous growth setting the impact of public policy coordination on agglomeration. Governments in each of the two symmetric regions provide a local public input that becomes globally effective due to integration. Micro-foundation of governmental behavior is based on three different coordination schemes: autarky, full or partial coordination. Scale effects act as agglomeration force and in addition to private capital agglomeration increase the concentration of the public input. Integration promotes dispersion forces with respect to the distribution of physical capital which are based on decreasing private returns. However, within the governments’ decision on the concentration of the public input, increasing integration reinforces agglomeration because it promotes the interregional productive use of the public input. Taking feedback effects between the private and the public sector into account leads to mutual reinforcement, hence agglomeration forces almost always dominate and the spreading equilibrium becomes unstable. If convergence is a separate (additional) political objective, it needs sustained additional political effort.
Topic:
Government, International Political Economy, Economic Growth, Public Policy, Private Sector, and Capital
Political Geography:
Global Focus

62. Lebanon as a Test Case for the EU’s Logic of Governmentality in Refugee Challenges

Author:
Tamirace Fakhoury
Publication Date:
12-2020
Content Type:
Working Paper
Institution:
Istituto Affari Internazionali
Abstract:
Prior to 2011, Lebanon was no traditional gatekeeper in managing migrant and refugee flows to the EU. Following mass refugee influx from Syria, the small Middle Eastern state acquired key importance in the EU’s architecture of externalisation, alternatively framed as the set of norms and practices that the EU crafts to govern migration from a distance. Lebanon currently hosts more than 1.5 million Syrian refugees and since 2012 the EU has been the key funding power seeking to help the refugee-hosting state cope with the spillover effects that mass displacement brought about on the country. The EU’s recently published New Pact on Migration and Asylum reiterates support to refugees and refugee-hosting countries – including those in Syria’s neighbourhood – as one of the central elements of cooperation with third countries on migration and displacement. After nearly a decade of cooperation between the EU and Lebanon in this area, and ahead of the EU’s new budgetary and policy-planning cycle (2021–27), now is a key moment to critically assess EU-Lebanon cooperation on displacement from Syria.
Topic:
Government, Foreign Aid, European Union, Refugees, Economy, and Syrian War
Political Geography:
Europe, Middle East, Lebanon, and Syria

63. Protest and State–Society Relations in the Middle East and North Africa

Author:
Dylan O'Driscoll, Amal Bourhrous, Meray Maddah, and Shivan Fazil
Publication Date:
10-2020
Content Type:
Working Paper
Institution:
Stockholm International Peace Research Institute
Abstract:
Nearly a decade after the Arab Spring, the substantial political change that many across the Middle East and North Africa (MENA) have hoped for has yet to be seen. In fact, as the 2019 wave of protests shows, street protests continue to endure in the region, often over the same recurring issues. This paper takes a regional approach to understanding the state of the social contract in MENA countries. It describes, country-by-country, the impact of protest movements, or their absence, on relations between society and the state, and the likely effect of the COVID-19 pandemic on those relations. It then examines the roles and impact of external actors, and the attitudes that they have adopted towards protests. Based on this analysis, the authors recommend that the European Union (EU) adopts a new approach to regional security and stability that takes the needs of the populations as the starting point. This would involve a broader EU agreement on priorities in MENA that emphasize aspects that answer those needs.
Topic:
Government, Arab Spring, Protests, and COVID-19
Political Geography:
Middle East and North Africa

64. Consumer Sovereignty and the Role of Government Intervention

Author:
Harold Furchtgott-Roth and Kirk R. Arner
Publication Date:
06-2020
Content Type:
Working Paper
Institution:
Hudson Institute
Abstract:
American businesses and consumers have an unequal relationship. Consumers generally are and should be sovereign because a consumer—not a seller, nor a third party, nor even the government—usually decides what to purchase. Consumers must like a business to buy its product or service. If a business has poor service, sales will suffer. And if a business is tainted by scandal, customers will flee. As courtiers of purchasing power, businesses go on bended knee to pay homage to the consumer. Typically, a business need not like a consumer to sell products or services. In most lines of business, a seller must sell to anyone willing to pay. And although there are types of businesses where a seller can legally refuse a sale, most rational sellers seek as many customers as possible.
Topic:
Economics, Government, Sovereignty, and Regulation
Political Geography:
Global Focus

65. An Analysis of the Legal Framework for Public Debt Management in Zambia

Author:
Florence Banda-Muleya, Mbewe Kalikeka, Zambwe Shingwele, Philip Ngongo, and Shebo Nalishebo
Publication Date:
04-2020
Content Type:
Working Paper
Institution:
Zambia Institute for Policy Analysis and Research (ZIPAR)
Abstract:
Zambia’s current legal framework for public debt management is inadequate. The high level of external debt standing at US$11.2 billion and domestic debt at K80.2 billion due to fast pace of debt contraction; the resulting heightened risk of debt distress; and the weak implementation of the 2017-2019 Medium Term Debt Strategy (MTDS), raise questions on the adequacy of the laws that govern public debt management. Now more than ever, with Zambia quickly headed to its first bullet repayment on its Eurobond debt, the country needs to enhance its legal framework on Public Debt Management (PDM).
Topic:
Debt, Government, Economy, and Public Debt
Political Geography:
Africa and Zambia

66. The Modalities and Roles of Local Governments to Face Terrorism Issues in Indonesia: The Case Study of Malang Raya Region

Author:
Gonda Yumitro, Dyah Estu Kurniawati, Saiman, Dion Maulana Prasetya, and Shannaz Mutiara Deniar
Publication Date:
05-2020
Content Type:
Working Paper
Institution:
Unidad de investigación sobre seguridad y cooperación (UNISCI)
Abstract:
This article examines the role of local governments in facing the threat of terrorism in Indonesia, selecting as a case study the Malang Raya region, which consists of Malang City, Malang Regency, and Batu City. The selection of these three regional governments is interesting because some of the suspected terrorists were arrested and arranged their actions to some other places in Indonesia from this region. By using the concept of securitization, this research finds that the securitization done by the local governments is influenced by internal and external modalities they have for facing terrorism. Therefore, the mapping of the modalities in this research contributes to the local governments gaining more legitimacy in constructing threats and make speech acts work well. It is also the modalities which determine whether the process will be successful or failed. However, there were some obstacles found which encouraged the government to collaborate with other stakeholders, such as civil societies from Pesantren, to face the issues of terrorism in the region.
Topic:
Security, Civil Society, Government, and Terrorism
Political Geography:
Indonesia and Southeast Asia

67. Britain's No-Deal Debacle? The Costs at Home and Likely Setbacks Abroad

Author:
John Ryan
Publication Date:
10-2020
Content Type:
Working Paper
Institution:
LSE IDEAS
Abstract:
For much of the past four years, and increasingly in the past few months, the United Kingdom has drifted in the direction of a No-Deal Brexit. In this Strategic Update, John Ryan explores the economic and political consequences for the United Kingdom of such a situation, as well as the domestic factors in Ireland and the United States that may provide unanticipated problems for the Johnson government.
Topic:
Economics, Government, Politics, Brexit, and Trade
Political Geography:
Britain, United Kingdom, Europe, Ireland, and United States of America

68. Immaculate Deception: How (and Why) Bankers Still Enjoy a Global Rescue Network

Author:
Edward J. Kane
Publication Date:
07-2020
Content Type:
Working Paper
Institution:
Institute for New Economic Thinking (INET)
Abstract:
Dodd-Frank is an example of counterfeit reform. It is designed principally to benefit very big banks and it has helped these banks to increase their market share greatly during the last 10 years. The Act provides lesser and contradictory forms of costs and comfort to smaller US bankers and taxpayers, foreign bankers (especially the managers of Deutsche Bank), and foreign governments. Small bankers and taxpayers are encouraged to believe that the 2007-2009 US rescue of the world’s biggest banks was a one-time maneuver. But an opposite message is sent through the press as (with great fanfare) the industry absolves and congratulates ex-officeholders: (1) for having transferred massive amounts of subsidized support not just to stakeholders in US megabanks, but also to European bankers and governments, and (2) for keeping the subsidies flowing long past the panic’s expiry date. Genuine reform will require changes in fraud laws and an effort to post on a continuing basis the value of the safety-net subsidies individual megabanks enjoy.
Topic:
Government, Reform, Regulation, Finance, Global Financial Crisis, and Banking
Political Geography:
United States

69. Paris, Algiers Concerned over Mali’s Transitional Regime

Author:
Rina Bassist
Publication Date:
12-2020
Content Type:
Working Paper
Institution:
Moshe Dayan Center for Middle Eastern and African Studies
Abstract:
In our latest issue of Ifriqiya, Rina Bassist discusses the regional and international challenges facing Mali's new transitional government, and its precarious security situation. Can Mali’s new government regain territorial control and restore personal security? For the past four months, Mali has been governed by a transition government that was set up after a military coup d’état in the summer of 2020. The international community initially condemned the coup, but it has since been forced to accept this reality, and has been encouraging Mali’s military and the transition government to advance the implementation of the 2015 Algiers peace accords. Yet actions taken so far by the military and the new regime do not bode well for the future of the country, and are showing signs of weakness vis-à-vis a multitude of armed groups, including several jihadi militant organizations.
Topic:
Security, Government, and Transition
Political Geography:
Africa, France, Algeria, and Mali

70. From the Global to the Local: Leveraging International Engagement to Advance Justice at Home

Author:
Maha Jweied
Publication Date:
12-2020
Content Type:
Working Paper
Institution:
Center on International Cooperation
Abstract:
This policy paper is authored by Maha Jweied, who served in the U.S. government between 2006-2018, most recently as the Acting Director of the U.S. Department of Justice’s Office for Access to Justice. Maha is currently a fellow at CIC-NYU and advisor to the Pathfinders for Justice. This paper sets out how the former U.S. Department of Justice’s Office for Access to Justice leveraged international activity and mechanisms, including the UN’s 2030 Agenda for Sustainable Development, to advance its domestic priorities. The strategy resulted in notable accomplishments and even protected a number of them after the office was closed in 2018. The brief also recommends that the incoming Biden-Harris Administration reestablish the Office for Access to Justice, revitalize the White House Legal Aid Interagency Roundtable charged with implementing Goal 16 for the United States, link U.S. domestic priorities to all 17 Sustainable Development Goals, and prioritize the United States’ role as a leader in the global movement for equal justice for all.
Topic:
Government, Governance, Inequality, and Justice
Political Geography:
North America and United States of America

71. Shadow Lobbyists

Author:
Rocco d'Este, Mirko Draca, and Christian Fons-Rosen
Publication Date:
10-2020
Content Type:
Working Paper
Institution:
Institute for New Economic Thinking (INET)
Abstract:
Special interest influence via lobbying is increasingly controversial and legislative efforts to deal with this issue have centered on the principle of transparency. In this paper we evaluate the effectiveness of the current regulatory framework provided by the US Lobbying Disclosure Act (LDA). Specifically, we study the role of ex-Congressional officials who join US lobbying firms in positions that could be related to lobbying activity but without officially registering as lobbyists themselves. We find that firm lobbying revenues increase significantly when these potential ‘shadow lobbyists’ join, with effects in the range of 10-20%. This shadow lobbyist revenue effect is comparable to the effect of a registered lobbyist at the median of the industry skill distribution. As such, it is challenging to reconcile the measured shadow lobbyist effect with the 20% working time threshold for registering as a lobbyist. Based on our estimates, the contribution of unregistered ex-Congressional officials could explain 4.9% of the increase in sectoral revenues, compared to 24.0% for the group of registered officials.
Topic:
Corruption, Government, Politics, Regulation, Money, Lobbying, and Revolving Door
Political Geography:
North America and United States of America

72. The Dawn of India’s Fourth Party System

Author:
Milan Vaishnav and Hintston
Publication Date:
09-2019
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
With the BJP’s return to power following May 2019 general election, India appears to have ushered in a new dominant party system—one premised on a unique set of political principles, showing a clear break with what came before. In the wake of the 2019 general election results, which come on the back of significant political changes at the level of India’s states, there is empirical support for more unequivocal judgments. Indeed, the available evidence points in one direction: 2014 was not an aberration; it was instead a harbinger of a new era.10 India does appear to have ushered in a new, fourth party system—one that is premised on a unique set of political principles and that shows a clear break with what came before. In the 2019 general election, the BJP did the unthinkable: the party clinched a second consecutive majority in the Lok Sabha, a feat that was last accomplished by the Congress Party in 1980 and 1984.
Topic:
Government, Elections, and Political Parties
Political Geography:
South Asia and India

73. ICT Supply Chain Integrity: Principles for Governmental and Corporate Policies

Author:
Ariel Levite
Publication Date:
10-2019
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
In an increasingly digitized world, information and communication technologies (ICTs), and especially operational technologies (OTs), have assumed critical importance for governments, industry, and the general public worldwide. Yet trust in the integrity of these products and services is declining because of mounting concerns over inadvertent vulnerabilities in the supply chain and intentional backdoor interventions by state and corporate actors. Compounding the problem, these legitimate security concerns are sometimes exaggerated for political and commercial reasons—a counterproductive dynamic that fuels rivalries, fragments the marketplace, increases anxiety, stifles innovation, and drives up costs. Inarguably, some governments have been intervening in the ICT/OT supply chain or at least laying the groundwork for such interventions. They believe the pursuit to be justifiable and legal, citing objectives related to intelligence, law enforcement, and military operations. Whether valid or not, the concern is that certain corporations are actively or passively weakening the security of the supply chain and final products either at the behest of governments or for questionable purposes. Another concern is that both state and corporate interventions could leverage or mask what are purely lax security standards or flaws in products and services. And this further reduces trust in ICT/OT.
Topic:
Security, Government, Science and Technology, and Private Sector
Political Geography:
Global Focus

74. Defending Civic Space: Is the International Community Stuck?

Author:
Saskia Brechenmacher and Thomas Carothers
Publication Date:
10-2019
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
Since the mid-2000s, civic space has come under attack in many countries around the world. To counter this trend, transnational actors that support civil society have responded in many ways—from exerting diplomatic pressure and building international norms to providing emergency funds for activists. Despite these efforts, governments continue to impose legal and extralegal restrictions amid a worsening larger political environment for civil society. Closing civic space now appears to be just one part of a much broader pattern of democratic recession and authoritarian resurgence. The international response seems stuck: some useful efforts have been undertaken, but they appear too limited, loosely focused, and reactive.
Topic:
Civil Society, Government, Political Activism, and International Community
Political Geography:
Global Focus

75. Capital Controls and International Trade: An Industry Financial Vulnerability Perspective

Author:
Kevin Lai, Tao Wang, and David Xu
Publication Date:
12-2019
Content Type:
Working Paper
Institution:
Peterson Institute for International Economics
Abstract:
Capital controls—or measures that governments take to restrict the amount of money that flows into and out of countries—pose significant challenges for firms that rely heavily on foreign financing to conduct business. This paper empirically evaluates effects of capital controls on trade across industries with varying levels of dependence on foreign capital. Mobilizing data on 99 countries from 1995 to 2014 across 27 industries, the authors find that industries more reliant on foreign capital tend to export much less in response to tightening of capital controls by exporting countries. Exports decline uniformly across all industries in response to tightening of capital controls by importing countries. The negative effects of capital controls on trade are less pronounced in countries with more advanced financial systems.
Topic:
Government, International Trade and Finance, Capital Flows, and Capital Controls
Political Geography:
Global Focus

76. Global Dimensions of US Monetary Policy

Author:
Maurice Obstfeld
Publication Date:
10-2019
Content Type:
Working Paper
Institution:
Peterson Institute for International Economics
Abstract:
This paper is a partial exploration of mechanisms through which global factors influence the tradeoffs that US monetary policy faces. It considers three main channels. The first is the determination of domestic inflation in a context where international prices and global competition play a role, alongside domestic slack and inflation expectations. The second channel is the determination of asset returns (including the natural real safe rate of interest) and financial conditions, given integration with global financial markets. The third channel, which is particular to the United States, is the potential spillback onto the US economy from the disproportionate impact of US monetary policy on the outside world. In themselves, global factors need not undermine a central bank’s ability to control the price level over the long term—after all, it is the monopoly issuer of the numeraire in which domestic prices are measured. Over shorter horizons, however, global factors do change the tradeoff between price-level control and other goals such as low unemployment and financial stability, thereby affecting the policy cost of attaining a given price path.
Topic:
Economics, Government, International Trade and Finance, and Monetary Policy
Political Geography:
North America and United States of America

77. International Coordination of Economic Policies in the Global Financial Crisis: Successes, Failures, and Consequences

Author:
Edwin M. Truman
Publication Date:
07-2019
Content Type:
Working Paper
Institution:
Peterson Institute for International Economics
Abstract:
This paper evaluates international efforts to diagnose the global financial crisis and decide on appropriate responses, the treatments that were agreed and adopted, and the successes and failures as the crisis unfolded. International coordination of economic policies eventually contributed importantly to containing the crisis, but the authorities failed to agree on a diagnosis and the consequent need for joint action until the case was obvious. The policy actions that were adopted were powerful and effective, but they may have undermined prospects for coordinated responses to future crises.
Topic:
Government, International Cooperation, Financial Crisis, and Economy
Political Geography:
Global Focus

78. Fiscal Transfers and Inflation: Evidence from India

Author:
Girish Bahal and Anand Shrivastava
Publication Date:
12-2019
Content Type:
Working Paper
Institution:
Centre for Sustainable Employment, Azim Premji University
Abstract:
Controlling for monetary policy, government transfers are potentially inflationary. This, however, may not be true when the economy is demandconstrained. Using a panel data of 17 Indian states over 30 years, we show that government transfers via welfare programs do not lead to inflation. For identification, we use a narrative shock series of transfer spending that is based on the introduction of new welfare programs. We then look at a specific program, NREGA, which has been shown to increase rural wages, and show that its implementation did not increase inflation.
Topic:
Economics, Government, Labor Issues, Monetary Policy, Employment, Inflation, and Demand
Political Geography:
India

79. Brexit and Renewables in Scotland

Author:
Nicola McEwen, Aileen McHarg, Fiona Munro, Paul Cairney, Karen Turner, and Antonios Katris
Publication Date:
10-2019
Content Type:
Working Paper
Institution:
UK in a Changing Europe, King's College London
Abstract:
This briefing paper considers the extent to which renewables in Scotland are shaped by the policy responsibilities and decisions of multiple governments: the Scottish government, the UK government and the EU. The paper explores the significance of EU membership in shaping Scottish renewables and considers the likely effects of the UK’s exit from the EU. Despite limited constitutional power, promoting renewables has been a key priority for successive Scottish governments, central to both its environmental and economic policies. While the main policy drivers rest with the UK government, stakeholders in Scotland place importance on the EU regulatory framework, EU funding and finance, multinational cooperation and long-term strategic thinking in supporting the development of renewables in Scotland. The briefing identifies varying levels of concern among key stakeholders with regard to the impact that Brexit may have on renewables in Scotland. Many expect policy continuity, irrespective of the UK-EU relationship. Others are fearful of the uncertainty surrounding access to the EU internal market, access to project funding, access to labour and expertise, and added costs and delays in supply chains in an industry heavily reliant on kit from the EU. The biggest impact of Brexit to date has been the dominance of the issue on the political agenda, leaving little space for policy development in other areas, including energy. In addition to the regulatory, financial and trade challenges it may generate, Brexit has also reignited the debate on Scotland’s constitutional future, creating further uncertainties for the future of renewables.
Topic:
Government, European Union, Constitution, Brexit, and Renewable Energy
Political Geography:
United Kingdom, Europe, and Scotland

80. The Druze Vote for the Twentieth, Twenty-First, and Twenty-Second Knesset Elections

Author:
Salim Brake
Publication Date:
11-2019
Content Type:
Working Paper
Institution:
Moshe Dayan Center for Middle Eastern and African Studies
Abstract:
Dr. Salim Brake, in the current issue of Bayan, analyzes the considerations and voting patterns of the Druze in the Knesset elections. The Druze generally vote on utilitarian considerations, such as voting for parties expected to be included in the coalition and to influence government policy. Few of them vote for ideological motives. Social networks voiced fierce criticism following two legislative acts that have hurt Druze over the past year: Kaminitz Law and Nation State Law. Despite this, the Druze artificially separated their stance on these laws and voted for parties that supported those laws. The Blue-White party spoke against the Nation State Law in its current form, and as a result, drew significant support from the Druze community. However, Blue-White is only committed to amending the law and including a clause referencing equality within it, and not eliminating it as Druze hoped. The increase in support for the "Israel Beitenu" party is due to the fact that the Druze representatives in the Likud are not seen as representing the real interests of the Druze community. In addition, the Druze candidate in the "Israel Beitenu" party expressed opposition to the Nation State Law.
Topic:
Government, Politics, Minorities, Elections, Ethnicity, and Druze
Political Geography:
Israel and Palestine