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  • Author: Luigi Manzetti
  • Publication Date: 04-1997
  • Content Type: Working Paper
  • Institution: The North-South Center, University of Miami
  • Abstract: Some economists have argued that before governments privatize state-owned monopolies in public utilities, they should first try to promote competition. If this is not done, privatization does not produce gains in economic efficiency; instead, it fosters rent-seeking behavior by the new private ownership. Few empirical analyses of rent-seeking behavior for Latin America in post-privatization environments have been done — those that exist concentrate on economic issues and neglect important political motivations. The purpose of this paper is to fill that gap and address key issues of public policy by examining the cases of Chile and Argentina and providing a political explanation for why the Chilean and Argentine governments allowed rent-seeking behavior in important public utility markets. Based upon an analysis of these experiences, the paper then discusses the types of institutions most likely to avoid such negative consequences.
  • Topic: Economics, Government, Political Economy
  • Author: Carter Garber
  • Publication Date: 01-1997
  • Content Type: Working Paper
  • Institution: The North-South Center, University of Miami
  • Abstract: In this paper, economist and development finance consultant Carter Garber examines the process of complementing donations and commercial bank credit with private investments as a source of capital for international microenterprise finance. First, he describes the large expectations for private capital in the rapid growth of microenterprise finance. Second, Garber discusses the varied sources of private capital, especially those involving socially responsible investment. The third and central section is an examination of eight “socially responsible investment” mechanisms that currently channel $27 million of U.S. private credit to microfinance lending institutions. Garber demonstrates the variety of available mechanisms and examines their track record to date. The final section identifies policy changes that will be necessary for these types of private investment in microenterprise to grow fast enough to meet the expected demand during the coming decade.
  • Topic: Economics, International Trade and Finance
  • Author: Martin Gargiulo, Mario Benassi
  • Publication Date: 09-1997
  • Content Type: Working Paper
  • Institution: Institute for Social and Economic Research and Policy at Columbia University
  • Abstract: Research on social capital has stressed the advantages that networks can bring to managers and other economic actors. The enthusiasm with this "bright side" of social capital, however, neglects the fact that social bonds may at times have detrimental effects for a manager. This paper tries to correct the optimistic bias by looking at the "dark side" of social capital. Continuing benefits from social capital require that managers can adapt the composition of this social capital to the shifting demands of their task environment. This often implies the ability to create new ties while lessening the salience of some of the old bonds--if not severing them altogether. Available evidence, however, suggests that this ability may be encumbered by the same relationships purportedly responsible for the prior success of the manager. When and how this may happen is the central question we address in this paper. We argue that strong ties to cohesive contacts limit the manager's ability keep control on the composition of his network and jeopardize his adaptability to changing task environments. We test our ideas with data on managers operating in a special unit of a European high-technology firm.
  • Topic: Economics
  • Political Geography: Europe
  • Author: Richard N. Cooper
  • Publication Date: 12-1997
  • Content Type: Working Paper
  • Institution: Weatherhead Center for International Affairs, Harvard University
  • Abstract: International treaties in pursuit of common endeavors can be classified into two categories: those that set mutually agreed national objectives and leave each signatory to pursue them in their own way; and those that define mutually agreed actions. The proposed treaty on global climate change falls into the first category with respect to greenhouse gas emissions by the rich countries. Stabilization of atmospheric concentration of greenhouse gases requires eventual engagement of developing countries. The proposed treaty, based on historical emission levels, does not provide a foundation acceptable to them. Indeed, there is unlikely to be any generally acceptable principle for allocating emission rights, potentially worth trillions of dollars, among rich and poor countries. This probable impossibility suggests a successful attack on greenhouse gas emissions, necessarily international in scope, must be through mutually agreed actions, such as a nationally-collected emissions tax, rather than through national emission targets.
  • Topic: Environment, International Cooperation
  • Author: Richard. Tucker, Nathaniel. Beck
  • Publication Date: 11-1997
  • Content Type: Working Paper
  • Institution: Weatherhead Center for International Affairs, Harvard University
  • Abstract: Scholars in international relations (IR) are increasingly using time-series cross-section data to analyze models with a binary dependent variable (BTSCS models). IR scholars generally employ a simple logit/probit to analyze such data. This procedure is inappropriate if the data exhibit temporal or spatial dependence. First, we discuss two estimation methods for modelling temporal dependence in BTSCS data: one promising based on exact modelling of the underlying temporal process which determines the latent, continuous, dependent variable; The second, and easier to implement, depends on the formal equivalence of BTSCS and discrete duration data. Because the logit estimates a discrete hazard in a duration context, this method adds a smoothed time term to the logit estimation. Second, we discuss spatial or cross-sectional issues, including robust standard errors and the modelling of effects. While it is not possible to use fixed effects in binary dependent variable panel models, such a strategy is feasible for IR BTSCS models. While not providing a model of spatial dependence, Huber's robust standard errors may well provide more accurate indications of parameter variability if the unit observations are intra-related. We apply these recommended techniques to reanalyses of the relationship between (1) democracy, interdependence and peace (Oneal, Oneal, Maoz and Russett); and (2) security and the termination of interstate rivalry (Bennett). The techniques appear to perform well statistically. Substantively, while democratic dyads do appear to be more peaceful, trade relations, as measured by Oneal, et al., do not decrease the likelihood of particpation in militarized disputes, Bennett's principal finding regarding security and rivalry termination is confirmed; his finding on common external threats, however, is not; his results on the influence of issue salience are even more robust.
  • Topic: Conflict Resolution, International Relations
  • Author: John W. Schiemann, Kenneth Benoit
  • Publication Date: 05-1997
  • Content Type: Working Paper
  • Institution: Weatherhead Center for International Affairs, Harvard University
  • Abstract: Theories which explain the origins of institutions as the product of struggles for distributive advantage provide only a general framework with no conceptualization of the bargaining process and few applications to empirical cases. We address both problems and extend the distributive theory of institutional origins by drawing on a unique set of data to examine the creation of the Hungarian electoral law of 1989. Arguing that outcomes are shaped by four mechanisms arising from bargaining - time preferences, the credibility of threats and promises, mimicked fairness, and symmetrical division - we develop observable implications of these mechanisms and test them empirically by analyzing the bargaining which produced the multiple rules of Hungary's complex electoral system. Not only does the Hungarian case confirm the bargaining mechanism theory of institutional origins, but the theory also explains many curious features of the Hungarian electoral institutions, including its surprising combination of extraordinary complexity and unusual stability.
  • Topic: Democratization, Government
  • Political Geography: Eastern Europe
  • Author: Alexander Pikayev, Alexei Arbatov, Richard Speier, Rodney W. Jones, John Pike, Michael Nacht, Linton Brooks, Stephen Cambone, Seth Carus, Robert Einhorn, Ronald Lehman II, McCarthy Tim, Yuri Nazarkin, Keith Payne, Henry Sokolski, Mikhail Streltsov
  • Publication Date: 02-1996
  • Content Type: Working Paper
  • Institution: Carnegie Endowment for International Peace
  • Abstract: The first panel focused on the U.S. and Russian stakes in strategic arms control, the prospects for START II ratification in Russia, the status of START III issues, and the possibilities for cooperative approaches to the issues of strategic offense-defense interaction. The Russian panelists, Ambassadors Yuri Nazarkin and Mikhail Streltsov, and State Duma member Alexei Arbatov, explained Russia's START II reservations, steps in the ratification process, and expected implementation problems in eliminating Russia's multiple warhead (MIRVed) intercontinental ballistic missiles (ICBMs). On balance, they agreed that START II serves Russia's basic interests, in lower levels of strategic arms, eventual economic savings, and political and military parity with the United States. They acknowledged that the ball is now in Russia's court, and ventured that parliament's approval probably would occur eventually.
  • Topic: Security, Arms Control and Proliferation, International Cooperation, Nuclear Weapons
  • Political Geography: Russia, United States
  • Author: Elia Zureik
  • Publication Date: 05-1996
  • Content Type: Working Paper
  • Institution: Institute for Palestine Studies
  • Abstract: As a discipline, refugee studies is of a recent vintage and very much influenced by the more established tradition of migration studies. Analysis of (voluntary) migration tends to focus on individuals rather than groups. To the extent that groups are considered, they are treated as aggregates of individuals rather than as cohesive social units in the sociological sense of constituting communities with shared common historical experiences (Shami 1993). In contrast with immigrant status, refugee status is the outcome of involuntary forms of migration, in which displacement is often caused by events beyond the control of refugees, such as internal and external wars, state policies of expulsion and exclusion, development projects, and natural disasters.
  • Topic: Conflict Resolution, Migration, Peace Studies
  • Political Geography: Middle East
  • Author: Michael E. Mandelbaum, Richard C. Holbrooke
  • Publication Date: 12-1996
  • Content Type: Working Paper
  • Institution: Council on Foreign Relations
  • Abstract: Good evening. Welcome to the second or the third of our Great Debates, it depends on how you're counting. The first formal one was about six weeks ago when Madeleine Albright, our new Secretary of State designate, and Jeane Kirkpatrick debated about the United Nations. Before that we had a trial run with Bob Ellsworth, one of Senator Dole's closest friends and advisors, and Tom Donilon, the chief of staff of the State Department.
  • Topic: Security, NATO, United Nations
  • Political Geography: United States, Europe
  • Author: Laura D'Andrea Tyson, Haruhiko Kuroda, Dr. Norbert Walter, Robert C. Pozen, Thomas W. Jones, Alice M. Rivlin, Marshall Carter, Olivia S. Mitchell, Russell J. Cheetham, Yves Guerard, Jan Svejnar, David Hale, Martin S. Feldstein, Robert D. Hormats
  • Publication Date: 11-1996
  • Content Type: Working Paper
  • Institution: Council on Foreign Relations
  • Abstract: Social Security has been described as the crown jewel of American federal government programs. It is widely recognized to be the major reason why the poverty rate among the elderly in the United States has fallen in half since 1959 and is lower today than the poverty rate for any other population group as a whole. Fifteen million older Americans are kept out of poverty by Social Security.
  • Topic: Economics, Government, International Political Economy
  • Political Geography: United States, America