Content Type: Working Paper / Publication Year: within 10 Years

301. The Russian-Ukrainian War: An Opportunity to Strengthen the AfCFTA

Author:: Steve Tametong and Venessa Aboudi
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: The Nkafu Policy Institute
Abstract:: The world had hardly covered from the horrors of the COVID-19 pandemic when it was once again tested on February 24, 2022, by the outbreak of war between Russia and Ukraine. The consequences of this war are quite significant for humanity. On the economic level, the Russian-Ukrainian conflict has highlighted the disadvantages of globalization, understood as a process marked by the interconnection and interdependence of world economies. The inflationary shock and the food crisis resulting from the inoperative nature of import channels for certain basic necessities from Russia and Ukraine have demonstrated the fragility of the economies. With regard to African countries, in particular, the prices of several basic food products (wheat, flour, rice, maize, bread, vegetable oil, etc.) have risen sharply. Indeed, most African countries are almost dependent on the import of agricultural products and seeds from the two belligerent countries. These imports correspond to 35 billion US dollars of imports each year (1). This appears to be an incongruity given the extent of arable land on the African continent. The low production and especially processing capacity increases the dependence of African economies on the import of these basic products. The outbreak of the Russian-Ukrainian conflict makes it possible to question the economic resilience of African States, that is to say, their “capacity [ to] keep output close to [their] potential despite a shock ” (2). Above all, it offers the opportunity to analyze the economic and commercial potential of the AfCFTA in the process of building the resilience of African economies to external shocks. Indeed, the AfCFTA was officially launched in January 2021 with the main objective of “creating a single market for goods and services facilitated by the movement of people in order to deepen the economic integration of the African continent…” (3). This policy note is structured around the idea that the Russian-Ukrainian conflict, in view of its socio-economic consequences on the African continent, offers an opportunity for African countries to work toward the strengthening of the AfCFTA. So that it appears as a real pole of competitiveness and inter-African trade likely to counter the shocks and uncertainties of the dynamics of world trade. Before analyzing the AfCFTA as a pole of production and export of African products (II), it is necessary to take stock of the socio-economic consequences of the Russian-Ukrainian war on African economies (I).
Topic:: Security, International Trade and Finance, Military Strategy, Free Trade, Peace, and Russia-Ukraine War
Political Geography:: Africa, Russia, Europe, and Ukraine

302. Entrepreneurship, Youths, and Women Economic Inclusion in Cameroon

Author:: Laurent Brice Nsengue, Bin Joachem Meh, and Jean-Cedric Kouam
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: The Nkafu Policy Institute
Abstract:: Bentham’s theory of utilitarian morality leads us to know that the purpose of economic activity is to ensure social progress for the happiness of the greatest number. Thus, excluding people from an economic system without considering their interests is considered a destruction of the common good. According to the United Nations (1962), population is one of the most important factors of economic productivity, as it influences the rate of development of a country. Women represent 49.6% of the world’s population and young people aged 10 to 24 represent 15.5% of the world’s population (UN World Youth Report, 2020; World Bank, 2020). In Cameroon, youth and women represent more than 60% of the population, but remain the most economically excluded (BUCREP, 2005). This reality appears to be a challenge for a country that wants to be an emerging country by 2035. The main objective of this paper is to show the role that entrepreneurial development could play in promoting the economic inclusion of youth and women in Cameroon. It is expected to raise awareness among public authorities as well as the private sector of the importance of economic inclusion of youth and women through entrepreneurship development. Based on studies carried out by credible international and local institutions, we focus on the challenges of entrepreneurship in the context of the economic inclusion of youth and women and the opportunity of entrepreneurship for the economic inclusion of young people and women in Cameroon.
Topic:: Economics, Women, Entrepreneurship, Discrimination, Youth, Equality, and Inclusion
Political Geography:: Africa and Cameroon

303. Universal Basic Income: A Primer for Poverty Reduction in Africa

Author:: Bin Joachem Meh, Ntoubia Larissa, and Ondoua Herve
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: The Nkafu Policy Institute
Abstract:: Universal basic income (UBI) scheme provides regular payment in cash to everyone in the economy irrespective of their social, economic, financial, and political status. UBI has a direct effect on poverty reduction; this implies that providing cash to everyone in the society irrespective of their financial status will reduce the rate of poverty as citizens will be able to meet basic needs such as food, housing, and clothing especially if this basic income amount is above the poverty line. For others, UBI will only increase inequality and poverty especially in developing countries who lack finances to provide such income to everyone in the society (Robert, 2019). UBI is a simple and practical solution to eradicating poverty, by giving everyone a minimum income, regardless of whether they are young, old, employed or unemployed, the government can tackle poverty reduction (Centre for Social Justice, 2018). More recently UBI has been a major issue of concern and it is seen as the answer to wider problems of technological unemployment, wealth inequality, mental health stability and social mobility. In India, UBI improved mental and physical health and in Namibia UBI program reduced household poverty from 76% to 37% in one year (Johanna, 2014). The high poverty rate and the scanty nature of the UBI literature in Africa makes this study an important contribution to the body of knowledge and further enable policy makers to reflect on the implementation of UBI principle. The objective of this paper is to analyze the effects of universal basic income on narrowing the poverty gap in Africa. The rest of the paper will bring out the role of UBI in poverty reduction, and propose some policy recommendations for the introduction of the UBI in Africa.
Topic:: Poverty, Universal Basic Income, Humanitarian Crisis, Wages, and Income
Political Geography:: Africa

304. The African Continental Free Trade Area: A boon for the “Africa We Want” by 2063?

Author:: Jean-Cedric Kouam
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: The Nkafu Policy Institute
Abstract:: One of the major objectives set by the African Union (AU) in Agenda 2063, is to achieve a “prosperous Africa, based on inclusive and sustainable growth”. To ensure the prosperity of the people, especially of women and youth, member states have, in the first ten years of the adoption of this agenda, taken a number of initiatives to strengthen economic integration of the continent. Among these initiatives, the implementation of the African Continental Free Trade Area (AfCFTA) in January 2021, occupies a prominent place. In launching the AfCFTA, and making it effective, the intention of the AU is to overcome the historical fragmentation and isolation of the various African economies. The challenge is to open them up to new global trade opportunities and improve transport and communication links across the continent. However, not all AU member countries have ratified this major project. The objective of this article is to take stock of the economic integration process that has been set in motion with the effective entry into force of the AfCFTA. It highlights, on the one hand, the main reasons that justify the reluctance of states that have not yet signed the AfCFTA agreement and, on the other hand, outlines the opportunities offered by AfCFTA for an Africa that wants to emerge as a strong, united and influential player and partner on the world stage.
Topic:: International Trade and Finance, Regional Cooperation, Free Trade, and African Union
Political Geography:: Africa

305. Cameroon: The State’s Transfer of Powers to the Regions

Author:: Pacome Vouffo
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: The Nkafu Policy Institute
Abstract:: If there is one thing that is hardly debatable in legal science, it is the evolution of law through constitutional or legislative textual reform on a given issue. The issue of decentralisation in Cameroon is an illustration. The constitutional and legislative dynamics since independence reflect this, particularly with the inclusion of local authorities in the Constitution of 4 March 1960, the 1974 laws applicable to the Communes and their subsequent amendments , the constitutional reform of 18 January 1996 explicitly raising decentralisation to the constitutional rank , the laws of 22 July 2004 on decentralisation and today Law No. 2019/024 of 24 December 2019 to lay down the General Code of Regional and local authorities(CGCTD). This Code enshrines an evolution in decentralisation law and sets out the terms and conditions for the exercise by the State of powers transferred to regional and local authorities in general and to the Regions in particular. From a legal point of view, this reframing does not seem to have aroused the interest of the doctrine in the same way as the question of the special regime for the North-West and South-West Regions, which has been addressed . In view of its scope, however, it is easy to admit that the legislator has made a significant change. It is necessary to examine the contours of this evolution in order to untangle the threads and consequently set the markers for understanding, following an approach based solely on the Regions as a framework for analysis and not on all the Regional and Local Authorities. Indeed, the choice of the Regions as the analytical framework is not insignificant. As the first level of decentralisation in Cameroon, the Region has only recently been established since its consecration in 1996. It is the characteristic of regionalism instituted since the constitutional reform of 18 January 1996. This regionalism is legally translated by the erection in 1996 of administrative provinces into Regions, headed by a President, an indigenous personality of the Region elected by his peers , and an elected Regional Council whose political colouring prints a mixture of traditional chiefs with the other departmental Councils. Compared to the Commune, therefore, the Region is a new feature of decentralisation which finds its basis in the controversy that took place during the 1996 reform on the form of the State between the supporters of the centralised State and those of the federal State. According to the doctrine, it is a point of agreement between these two (02) trends. When we know that regionalism as a technique for organising the unitary State is an advanced version of decentralisation that could border on federalism without being one, we can only subscribe to the idea that the Region is the point of agreement that would have federated the actors of the 1996 reform. With these considerations in mind, the attention given to the Region is justified. Following this logic, it must be agreed that the exercise by the State of powers transferred to the Regions did not disappear with the advent of the CGCTD, as some authors have suggested. It was maintained, however, with a reform of the legal framework that underpins an evolution in this area. If yesterday, the exercise by the State of powers transferred to the local and regional authorities in general and to the Regions in particular was legally self-evident (I), in the current state of Cameroonian decentralisation law, it is now only a possibility (II).
Topic:: Governance, Reform, State, and Local
Political Geography:: Africa and Cameroon

306. The Regional Administrative Structure in Cameroon

Author:: Ebenezer David Ngahna Mangmadi
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: The Nkafu Policy Institute
Abstract:: Be it from a common law or a special status, a regional and local authorities[1] resulting from the constitutional reform of January 18, 1996[2], has an administration in charge of instructing and implementing the decisions taken by its executive organs. Under the authority of a secretary general who is appointed by the President of the Republic[3], it is implemented according to the standard organisation set out in decree n°2021/742 of 28 December 2021. It should be noted that this important legal text taken in application of article 496 of law n°2019/024 of 24 December 2009 on the general code of regional and local authorities (hereafter CGCTD), has greatly contributed to the acceleration of the process of establishing the regions initiated by the elections of December 6, 2020. The configuration of the standard model of regional administration that it suggests, highlights a complex combination of structures with diverse functions, the articulation of which may vary from case to case. This organisational scheme reveals the extent of the tasks that a regional administration must undertake, but it is not easy to access. As such, it deserves to be explained. This note is intended for professionals in the field of decentralisation, researchers and citizens seeking information. More clearly, the aim is to inform the reader about the subtleties of the structuring of the regional administration. To achieve this, it relies on an interpretive approach to the texts, mainly, the law n°2019/024 of 24 December 2019, and the decree of 28 December 2021. After presenting the different structures of the regional administration (I), the text will dwell on their articulation (II).
Topic:: Government, Local, Decentralization, and Regionalism
Political Geography:: Africa and Cameroon

307. Fighting Against Internal and External Threats Simultaneously: China’s Police and Satellite Cooperation with Autocratic Countries

Author:: Chisako T. Masuo
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: Istituto Affari Internazionali
Abstract:: What direction will the Xi Jinping administration’s foreign policy take over the coming years, and how will that affect the existing international order? The Chinese Communist Party harbours a strong sense of crisis about the internal and external threats colliding to supposedly destabilise its regime, and thus aims to strengthen cooperation with developing countries in order to prevent such danger. The Xi administration is consequently strengthening police and law-enforcement cooperation inside the Shanghai Cooperation Organisation, which includes Russia. Besides, China has launched a new initiative of collaborating with Moscow on satellite systems to monitor the entire Earth, in order to accumulate big data on various issues. The current Chinese foreign policy, which pursues a cultivation of deeper relations with autocratic countries by providing them with surveillance technologies, is likely to deepen the global divide with liberal democracies.
Topic:: Security, Foreign Policy, International Order, and Satellite
Political Geography:: Russia, China, Eurasia, and Asia

308. Let’s Learn Judo with Putin. Sport, Power and Masculinity in 21st-Century Russia

Author:: Leo Goretti and Sofia Mariconti
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: Istituto Affari Internazionali
Abstract:: Dedication to sport and physical prowess have been key elements in the construction of Vladimir Putin’s image since his rise to the Presidency of Russia. Domestically, the Kremlin has promoted a public representation of the President as a strong, energetic, decisive leader who is ‘fit for the job’. Constant emphasis has been placed on how sports – especially judo and those harking back to the Soviet past, such as sambo – forged the manly qualities of Putin, turning him into the living paradigm of Russian hegemonic masculinity. At the international level, Putin’s vigorous and masculine leadership has been turned into a proxy for Russia’s restored status: in the early 2000s, to mark a neat break from the ‘decadence’ of the 1990s; subsequently, to suggest the return of Russia to its great-power status. Hostility against human – especially LGBT – rights in sport has become central to this discourse, not only because they are suggestive of alleged Western decadence, but also because they threaten the gender norms and public image on which Putin’s leadership has been built.
Topic:: Authoritarianism, Sports, Leadership, and Masculinity
Political Geography:: Russia, Turkey, Eastern Europe, and Balkans

309. Small-scale LNG in the Euro-Mediterranean: A Contribution to the Decarbonisation of the Maritime Sector

Author:: Pier Paolo Raimondi
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: Istituto Affari Internazionali
Abstract:: While governments have reaffirmed their commitment towards energy transition in light of the current energy crisis, the urgency to act implies to use all possible solutions to reduce CO2 emissions during the transitional period. Natural gas can play a role in the decarbonisation of certain sectors, such as the transport sector. In this sense, the small-scale LNG industry could contribute to the decarbonisation of the Mediterranean region. Regulatory and political incentives as well as socioeconomic and environmental benefits could represent critical drivers for the growing role of the small-scale liquefied natural gas (SSLNG), while it will need to overcome several challenges (e.g. political pressure, economic and infrastructure constraints).
Topic:: Climate Change, Natural Resources, European Union, Gas, Decarbonization, and Energy
Political Geography:: Europe and Mediterranean

310. Moving on Up: Multilevel Monitoring and Advocacy for Health Rights

Author:: Abrehet Gebremedhin
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: Accountability Research Center (ARC), American University
Abstract:: Multilevel approaches to monitoring and advocacy are often used by international development practitioners, particularly in civil society, in efforts to hold governments—from the national to the local—to account for policy implementation. However, such approaches are not yet well understood or identified by many scholars in the social accountability field. This evidence review addresses this gap through a cross-case comparison of multilevel approaches in ten health rights programs across Africa, Asia, and Latin America. It draws on published evaluations, working papers, and peer-reviewed journal articles, as well as insights shared by implementers and researchers. Cases were selected to illustrate health rights initiatives that included monitoring or advocacy activity at a minimum of two different levels: local health facility, district, regional, provincial or national. Four significant findings emerge from this review of evidence: Vertical integration is a relatively common feature of multilevel monitoring and advocacy in these ten cases and is most likely to take place at the lower ends of the health system. However, it is largely implicit, and often not articulated in project design or theories of change. Horizontal organizing—the coordination of civil society action across districts or geographies—is a less visible feature of multilevel approaches to health rights programming than vertical integration. Despite the multilevel nature of health monitoring and advocacy in these ten cases, less than half reported working at the regional or provincial level, indicating a ‘missing middle’ between local and national activity. Escalation—the process by which citizens’ unaddressed claims move upwards to those with greater decision- making powers—is an important mechanism for accountability and one way in which vertical integration can happen. However, escalation is not clearly articulated in much of the gray literature, and therefore merits further research. The findings from this evidence review have implications for strategy, including: the importance of explicitly identifying multilevel tactics for monitoring and advocacy; theorizing the process by which unaddressed claims can be addressed, particularly moving up beyond the local level; emphasizing the importance of the ‘middle’ and ensuring regional and provincial decision-making is leveraged; and looking to link vertical integration with opportunities for horizontal organizing.
Topic:: Civil Society, Health, Accountability, Advocacy, and Monitoring
Political Geography:: Africa, Asia, and Latin America

311. Local Voices, Global Action: Transnational Organizing in Apparel Supply Chains

Author:: Judy Gearhart
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: Accountability Research Center (ARC), American University
Abstract:: This working paper discusses transnational organizing in apparel supply chains. It learns from labor rights advocates in the global South who are building social movements, advocating for national reforms, and promoting new forms of accountability in the apparel industry. In particular, the paper examines how the Bangladesh Center for Worker Solidarity (BCWS) and Cambodia’s Center for Alliance of Labor and Human Rights (CENTRAL) have each played a critical role in advancing new agreements and monitoring their implementation. They have increasingly influenced and become leaders in the Clean Clothes Campaign Network. Based on multiple interviews with CENTRAL’s Tola Moeun and BCWS’s Kalpona Akter, the paper traces how they have worked with international allies to expose flaws in supply chain monitoring in the apparel industry. It discusses how they worked with independent trade unions to build grassroots campaigns that often preceded or inspired international campaigns. At the same time as Moeun and Akter came under threat for their national advocacy, they engaged international allies and became experts on trade policy and global supply chains. They are now not only leading proponents of enforceable, multiparty agreements between multinational corporations (MNCs) and independent trade unions, but also advocates for more effective mandatory human rights due diligence laws (MHRDD). Balancing this international advocacy with organizing for national policy reforms is a strategy made all the more necessary by the context of shrinking civic space in Bangladesh and Cambodia. Many companies are seeking to strengthen their human rights due diligence in supplier countries and to engage stakeholders in that process. At this time, the perspectives and experience of BCWS and CENTRAL help identify what is needed to advance more worker-centered approaches. Three sets of lessons emerge about what is needed to sustain transnational supply chain advocacy movements. Firstly, movement-building and trust are vital ingredients in effective supply chain advocacy. Secondly, it is important for human rights due diligence processes to take into account risks to worker rights. Thirdly, strengthening worker voice in global supply chains requires more effective scrutiny and regulation of MNCs.
Topic:: Reform, Accountability, Industry, Labor Rights, and Supply Chains
Political Geography:: Global Focus

312. The Postcolonial Vortex

Author:: Photis Lysandrou and Yvonne Lysandrou
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: City Political Economy Research Centre (CITYPERC), University of London
Abstract:: The subject of this paper is the contemporary postcolonial condition. Its central argument is that this condition is one of perpetual entrapment in circular motion as any progression registered by postcolonial countries by participating in the global capitalist system as independent states is continually offset by a backward-pulling regression arising out of their subordinate position in that system. This entrapment in 'proregression', to abbreviate the progression-regression nexus, is not in itself a new experience for postcolonial countries. What is new is the primary mechanism that perpetuates proregression: where in the previous eras of colonialism and neo-colonialism that primary mechanism rested on the force of authority, in the current postcolonial era it rests on the force of gravity. It is testimony to the strength of this force that even those emerging capitalist countries that have never been the subject of external control in the colonial era are now also caught in the predicament of proregression. However, the fact that the postcolonial countries have previous experience of proregression makes their present experience going forward even more acute. It is as if their history is caught in an endless series of overlapping cycles, as each mode of progression on a higher plane of development is countered by a mode of regression on an equivalent plane of development. In short, it is as if their whole history is caught in a vortex.
Topic:: Post Colonialism, Political Theory, and Capitalism
Political Geography:: Global Focus

313. Rethinking Monopoly as a Power Relation: The Shift from Market to Intellectual Monopoly

Author:: Cecilia Rikap
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: City Political Economy Research Centre (CITYPERC), University of London
Abstract:: The critical literature on monopolies, from monopoly capital to recent contributions, focuses on the organization that concentrates either market power, capital or property rights. I complement this literature by conceptualizing monopolies as a power relation, which enables me to integrate different ways in which the term is used, from capitalists’ monopoly over the means of production to intellectual monopolization. As I explain here, some firms have developed greater capacities to systematically monopolize intangibles that are essential for organizing labour beyond their owned assets and for controlling demand. Coupled with institutional, political and technological changes, larger absorptive and management capacities to produce and capture knowledge and information resulted in firms’ technological differentiation. The systematic winners of the innovation race hold persistent intellectual monopolies while other firms become subordinate due to their lack of technical autonomy. From this perspective, (intellectual) monopoly power is essential for understanding the distribution of value in capitalism.
Topic:: Political Economy, Labor Issues, Capitalism, Monopoly, Capital, Power Relations, and Value Capture
Political Geography:: Global Focus

314. Fossil Fuel Industry Phase-Out and Just Transition: Designing Policies to Protect Workers’ Living Standards

Author:: Robert Pollin
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Political Economy Research Institute (PERI), University of Massachusetts Amherst
Abstract:: This paper focuses on just transition policies targeted at supporting workers now employed in the fossil fuel industries and ancillary sectors within high-income economies. As a general normative principle, I argue that the overarching aim of such policies should be to protect workers against major losses in their living standards resulting through the fossil fuel industry phase-out. The impacted workers should be provided with three critical guarantees to accomplish this, in the area of jobs, compensation and pensions. Just transition policies should also support workers in the areas of job search, retraining and relocation, but these forms of support should be understood as supplementary. Within the framework of these broad principles, the paper first reviews experiences with transitional policies in Germany, the UK, the EU and, more briefly, Japan and Canada. A critical point that emerges is that these just transition policies do not provide the needed guarantees for assuring workers that they will not experience major living standard declines. The paper then describe an illustrative just transition program for workers that includes reemployment, income and pension guarantees, focusing on a case study for the U.S. state of West Virginia. The results show that the costs of the just transition program for West Virginia’s fossil fuel industry dependent workers will amount to an annual average of about $42,000 per worker, equal to about 0.2 percent of West Virginia’s GDP. I briefly summarize results from the seven other studies of U.S. states and for the overall U.S. economy. For the U.S. economy overall, the just transition program’s costs would total to about 0.015 percent of GDP. These findings demonstrate that providing a generous just transition program does not entail unaffordable levels of public spending. Robust just transition policies should therefore be understood as an entirely realistic prospect for all high-income economies.
Topic:: Political Economy, Labor Issues, European Union, GDP, Economy, and Fossil Fuels
Political Geography:: Japan, United Kingdom, Europe, Canada, and Germany

315. The Political Economy of the Cost of Living Crisis in the UK: What Is to Be Done?

Author:: Ozlem Onaran
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Political Economy Research Institute (PERI), University of Massachusetts Amherst
Abstract:: This paper analyzes the political economy of the cost of living crisis in the context of the United Kingdom. The paper presents the long-term trends in the wage share, wealth inequality, labour’s bargaining power, and real wages in the UK. The first and second waves of inflation in 2021-22 are discussed presenting the trends in the profit margins. The policy responses by the conservative governments and the Bank of England are analyzed, and their limitations are assessed. The paper concludes with short-run and medium-run policy alternatives to the cost of living crisis
Topic:: Political Economy, Labor Issues, Inequality, Inflation, and Cost of Living
Political Geography:: United Kingdom and Europe

316. Sellers’ Inflation, Profits, and Conflict: Why Can Large Firms Hike Prices in an Emergency?

Author:: Isabella Weber and Evan Wasner
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Political Economy Research Institute (PERI), University of Massachusetts Amherst
Abstract:: The dominant view of inflation holds that it is macroeconomic in origin and must always be tackled with macroeconomic tightening. In contrast, we argue that the US COVID-19 inflation is predominantly a sellers’ inflation that derives from microeconomic origins, namely the ability of firms with market power to hike prices. Such firms are price makers, but they only engage in price hikes if they expect their competitors to do the same. This requires an implicit agreement which can be coordinated by sector-wide cost shocks and supply bottlenecks. We review the long-standing literature on price-setting in concentrated markets and survey earnings calls and compile firm-level data to derive a three-stage heuristic of the inflationary process: (1) Rising prices in systemically significant upstream sectors due to commodity market dynamics or bottlenecks create windfall profits and provide an impulse for further price hikes. (2) To protect profit margins from rising costs, downstream sectors propagate, or in cases of temporary monopolies due to bottlenecks, amplify price pressures. (3) Labor responds by trying to fend off real wage declines in the conflict stage. We argue that such sellers’ inflation generates a general price rise which may be transitory, but can also lead to self-sustaining inflationary spirals under certain conditions. Policy should aim to contain price hikes at the impulse stage to prevent inflation from the onset.
Topic:: Political Economy, Inflation, Profit, and COVID-19
Political Geography:: Global Focus

317. Environmental Inequality in Industrial Brownfields: Evidence from French Municipalities

Author:: Charlotte Bez, Michael Ash, and James K. Boyce
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: Political Economy Research Institute (PERI), University of Massachusetts Amherst
Abstract:: Recent research on environmental inequality has extended its focus from ongoing pollution to legacy pollution by examining the geography of industrial brownfields, defined as nonproductive, contaminated land. This article is the first extensive brownfield analysis for a European country from an environmental inequality perspective, exploiting the political momentum in France where brownfield restoration has become a national priority. In doing so, we combine data on over 7,200 industrial brownfields from the 2022 geodatabase ‘Cartofriches’ with socio-economic variables at the municipality level. We demonstrate communities with higher percentages of foreign-born and unemployed persons are disproportionately more likely to be located near brownfields. The social gradient increases significantly in communities that host many brownfields, the so-called hotspots. There is an inverted U-shaped relationship with income, with a positive correlation until the 75th percentile (C23,700 annually). These findings are robust to different controls, including across urban and rural areas, though with regional differences. Further, we also account for the location of noxious industrial facilities sourced from the E-PRTR database to show the existence of cumulative impacts of environmental risks. Our analysis provides crucial entry points for restorative environmental justice considerations and has important implications for Europe’s just transition and cohesion policies.
Topic:: Environment, Inequality, Pollution, Industry, and Municipalities
Political Geography:: Europe and France

318. Reproductive Injustice? A County-Level Analysis of the Impact of Abortion Restrictions on Abortion Rates

Author:: Raymond Caraher
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: Political Economy Research Institute (PERI), University of Massachusetts Amherst
Abstract:: Since Planned Parenthood v. Casey in 1992, state governments in the United States have been permitted to restrict abortion access up to the point where such restrictions do not place an ‘’undue burden” on those seeking abortion care. Since this ruling, abortion restrictions of various types and intensities have proliferated across the South and Midwest, especially since the 2010s. This paper uses a novel dataset of county-level abortion rates covering 20 years, as well as a database covering four types of restrictions which represent both “demand-side” restrictions (i.e., those which target abortion seekers) and “supply-side” restrictions (i.e., those which target abortion providers), to analyze the effect of abortion restrictions on abortion rates. Using a difference-in-differences design, the analysis finds that while both classes of abortion restrictions reduce the abortion rate, restrictions that target pregnant people seeking an abortion have a substantially larger effect on abortion rates. Leveraging the spatial heterogeneity of the county-level dataset, the analysis further finds that abortion restrictions have a substantially larger negative effect on abortion rates for counties which have a larger share of Black or Hispanic residents. When comparing high and low income counties, the results suggest that poorer counties experience a higher negative effect of abortion restrictions. Further, the study finds significant variation in the effect of different abortion restrictions by state. While demand-side laws consistently cause abortion rates to decrease, the results for supplyside laws are more heterogenous. Overall, the results suggest that repealing Roe v. Wade will have a significant and unequal effect on abortion rates, with marginalized communities experiencing a greater impact.
Topic:: Health Care Policy, Inequality, Legislation, Reproductive Rights, and Abortion
Political Geography:: North America and United States of America

319. The Cross-Border Interbank Payment System: A Case Study in Chinese Economic Leadership

Author:: Aidan Campbell
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: Political Economy Research Institute (PERI), University of Massachusetts Amherst
Abstract:: Investigations seeking to explain the rise of China rarely investigate the many new institutions founded to increase China’s economic success and influence over global affairs. In the economic sector, some better-known projects include the Belt and Road Initiative, the Asian Infrastructure Investment Bank, and the New Development Bank. One of the newest and least understood institutions founded to promote international use of the RMB is the Cross-Border Interbank Payment System (CIPS). The purpose of this research is to examine the development, policies, and goals of CIPS in order to better understand the phenomenon of Chinese-lead international economic institutions. Novel evidence for CIPS’s intention to adopt blockchain technology and provide services for currencies other than the RMB is presented. The conclusion to this research is that CIPS is presently too small to pose a threat to the existing SWIFT network or predominance of US dollar transactions in international trade. At the same time, CIPS evidences a patient and rational strategy designed to reform international norms and patterns of trade to China’s advantage in the long term.
Topic:: Political Economy, Leadership, Economy, Belt and Road Initiative (BRI), and Banking
Political Geography:: China and Asia

320. Does Project-Level Aid for Water and Sanitation Improve Child Health Outcomes? Evidence from Household Panel Data in Uganda

Author:: Lynda Pickbourn, Raymond Caraher, and Léonce Ndikumana
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: Political Economy Research Institute (PERI), University of Massachusetts Amherst
Abstract:: Empirical studies on the effectiveness of aid to the water, sanitation, and hygiene sector (WASH aid) have focused primarily on access to these services as the benchmark for evaluating the effectiveness of aid in this sector. Given the importance of WASH services for public health outcomes, the effectiveness of WASH aid should also be evaluated in terms of its impact on health outcomes. This is especially important in low- and middle-income countries where achieving sustained improvements in child health outcomes remains a challenge. This paper uses geocoded sub-national data on the location of WASH aid projects in Uganda in conjunction with six waves of nationally representative household-level panel survey data to examine the impact of aid-funded WASH projects on the probability of stunting among Ugandan children and infants. Analysing aid effectiveness at the sub-national level avoids the problems of cross-country heterogeneity in aid effectiveness that plagues other studies. Results of the difference-in-differences regression analysis suggest that proximity to an aid-funded WASH project reduces the probability of stunting by 14–21 per cent. The results suggest that scaling up aid to the WASH sector can help improve child health outcomes in the country.
Topic:: Health, Humanitarian Aid, Water, Sanitation, and Child Care
Political Geography:: Uganda and Africa

321. Federal Reserve Anti-Inflation Policy: Wealth Protection for the 1%?

Author:: Aaron Medlin and Gerald Epstein
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Political Economy Research Institute (PERI), University of Massachusetts Amherst
Abstract:: The Federal Reserve has a dual mandate from Congress that directs it to conduct monetary policy as such to achieve “maximum employment” and “stable prices.” Yet the U.S. central bank typically chooses to address inflation as a top priority and focuses on employment only secondarily, if at all. Why? In this paper we argue that an important reason is that the Federal Reserve conducts policy so as protect the real wealth of the top 1% of the wealth distribution. We focus on the Fed’s fight against inflation in 2021-2022, when it rapidly raised its policy interest rates by almost 4 percentage points in the face of more than 6 percent inflation. Using a novel econometric analysis, we provide evidence that shows that this policy serves as a real net wealth protection policy for the 1% by restoring some of the lost wealth that they would otherwise lose due to unexpected inflation. The results of this policy for the top 10% of the wealth distribution are econometrically ambiguous. But to the extent that the Fed’s high interest rates generate higher unemployment or even a recession, this wealth protection for the 1% could have serious income costs for workers who find themselves or another member of their household out of a job.
Topic:: Political Economy, Monetary Policy, Inflation, Elites, and Wealth
Political Geography:: North America and United States of America

322. Inflation and Paid Care Services in the U.S.

Author:: Nancy Folbre
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Political Economy Research Institute (PERI), University of Massachusetts Amherst
Abstract:: Nancy Folbre offers a number of reasons why increases in average wages among the lowest deciles of the population are not likely to significantly buffer the effects of rapid inflation on families with incomes below the poverty line. It also raises a number of specific questions for future research.
Topic:: Poverty, Economic Inequality, Inflation, and Wages
Political Geography:: North America and United States of America

323. State Capitalism, Imperialism, and China: Bringing History Back In

Author:: Isabella Weber
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Political Economy Research Institute (PERI), University of Massachusetts Amherst
Abstract:: State capitalism is experiencing a great revival as a term to capture the current capitalist constellations, increasingly replacing neoliberalism. Unlike neoliberalism, however, the term state capitalism has a long history reaching back to the age of imperialism in the late 19th century. While state capitalism has been used as a pejorative term by Marxists, liberals and neoliberals alike, it has served as a programmatic label for developmentalist and neomercantilist projects in reaction to imperialism in the periphery. This paper argues that we need to bring the intellectual history of state capitalism into the ‘new state capitalism’ debate. China has played a major role in the revival of state capitalism in the social sciences, but the long history of China’s engagement with state capitalism as a concept and program dating back to the late Qing reformers has been overlooked for the most part. State capitalism is by no means new to China, from Liang Qichao, Sun Yatsen and Mao Zedong to Deng Xiaoping, the idea that China had to create a modern nation state and industrial capitalism in the name of economic progress and to get ahead in the global competition is a recurring theme. What is new is that for the first time the ambition to use state capitalism as a means to catch up with the West is bearing fruits in ways that could undermine the predominance of Western economies.
Topic:: Imperialism, Political Economy, History, Capitalism, and State Capitalism
Political Geography:: China and Asia

324. Can Israel mediate an end to the Ukraine war?

Author:: Efraim Inbar
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: Jerusalem Institute for Strategy and Security (JISS)
Abstract:: Israel is well positioned to again become a go-between between Russia and Ukraine, an effort that could further elevate its international status
Topic:: Diplomacy, Conflict, Peace, and Mediation
Political Geography:: Russia, Europe, Ukraine, and Israel

325. RCEP and Indonesia: Economic Reform and Prospects for Implementation

Author:: Yose Rizal Damuri and Deni Friawan
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: The conclusion of the Regional Comprehensive Economic Partnership (RCEP) is very important for Indonesia as it may bring many benefits to the country. This paper is an attempt to see the role of domestic political-economy dynamics in facilitating and constraining Indonesia’s decision to join, ratify, and implement a free trade agreement (FTA). It also seeks some understanding on whether an FTA can bring significant market liberalisation. This paper focuses on two areas of observation. First, it discusses the current progress of the legislative process and public acceptance of the RCEP agreement in Indonesia and how the process is influenced by the political-economy dynamics of the country. Second, the paper also looks at the potential impacts of the agreement on Indonesia’s current reform agenda, especially the recently passed Jobs Creation Law (Law No. 11/2020). For these observations, we conduct a content analysis on RCEP-related news published in two newspapers in Indonesia, namely Kompas and the Jakarta Post. In addition to content analysis, we also conducted interviews with stakeholders, including parliament members and government officials from the Ministry of Trade who have been actively involved in RCEP negotiations and the ratification process. The paper provides some remarks and recommendations for the future agenda of RCEP ratification and implementation in Indonesia.
Topic:: Economics, Reform, Policy Implementation, Free Trade, and Trade
Political Geography:: Indonesia and Southeast Asia

326. Impacts of FDI Presence and Product Sophistication on the Demand for Skilled and Unskilled Labour: Evidence from SMEs in Viet Nam

Author:: Quang Hoan Truong and Van Chung Dong
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: This study employs data from the Viet Nam Enterprise Survey (VES) for 2007 and 2011) to examine the effect of foreign direct investment (FDI) and product sophistication as well as the interaction between these two factors on the skilled and unskilled labour demand on Viet Nam’s small and medium-sized enterprises (SMEs). It finds that the FDI presence in the same industry but different regions – and FDI in the same region but different industries – has a positive effect on the skilled labour demand and a negative impact on the unskilled labour demand. FDI in the same industry has a negative effect on the skilled labour demand and an advantageous impact on the unskilled labour demand. The product sophistication index is found to positively affect the skilled labour demand but decreases the demand for unskilled labour. When interacting with product sophistication, FDI presence in the same industry and region positively affects the skilled labour demand. The study also finds the opposite impacts of different types of FDI presence as well as the interaction between FDI presence and product sophistication on the demand for highly, medium-, and basic-skilled labour. Thus, it is important to consider the opposite effects of different types of FDI and the interaction between FDI presence and product sophistication on SME labour demand by skills level.
Topic:: Foreign Direct Investment, Skilled Labor, Small Industries, and Unskilled Labor
Political Geography:: Vietnam and Southeast Asia

327. Adoption of Sustainable Practices for Improving Agricultural Productivity in Viet Nam

Author:: Huong-Giang Pham, Tuong-Anh T. Nguyen, and Hoang-Nam Vu
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: Conventional agricultural methods are putting considerable strain on developing countries’ environments. This problem can be ameliorated through the adoption of Sustainable Agricultural Practices (SAPs), which can bring economic, ecological and social benefits for farmers, consumers and the overall economy. However, the adoption rates of SAPs remain low in many developing countries. It is therefore vital to provide empirical evidence on the improvement of agricultural productivity as it may assist policymakers in designing suitable policy as well as encourage farmers to adopt SAPs on their farms. This study analyses the impacts of different SAP adoption packages on land productivity and labour productivity in Viet Nam. This is the first attempt in the context of Viet Nam to investigate the economic effects of adopting different SAP packages including crop diversification (CD), conservation agriculture practices (CA) and a combination of those. Using panel Viet Nam Access to Resources Household Survey (VARHS) data with multinomial endogenous switching regressions and an instrumental variable helps reduce potential biases in impact evaluation that previous studies have not fully addressed. Results confirm that if a farmer adopts SAPs, it may raise his net profit per hectare by about 4 million Vietnamese Dong (D)/ha/year, whereas the agricultural income per hectare increases by about 4–6 million D/ha/year. Moreover, the joint adoption of multiple SAPs brings higher benefits (of about 2–4 more million D/ha/year) than single SAP adoption. These findings suggest that policymakers and related stakeholders should focus on promoting the adoption of a combination of crop diversification and conservation practices.
Topic:: Agriculture, Sustainability, and Productivity
Political Geography:: Vietnam and Southeast Asia

328. Productivity Effects of Viet Nam’s Rice Land Restrictions

Author:: Peter Warr and Huy Quynh Nguyen
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: Viet Nam’s 1986 programme of market-oriented economic reforms did not include the freedom of farmers to choose their crops independently. Large areas of land remain restricted to rice production. This paper studies the effects of this policy on agricultural productivity, using panel data from the Viet Nam Access to Resources Household Survey (VARHS), covering the years 2008 to 2016. The econometrics uses fixed effects methods with and without the additional use of instrumental variable methods to allow for the possible statistical endogeneity of the restrictions. The findings are that the crop choice restrictions reduced the overall productivity of annual crop land by about 5%, reduced the overall productivity of farm labour by about 8% and reduced the mean incomes of farm households by 5%–6%, implying increased levels of rural poverty. Moreover, rice output would have been no lower if the restrictions were removed.
Topic:: Agriculture, Development, Governance, Regulation, Land, and Productivity
Political Geography:: Vietnam and Southeast Asia

329. Foreign Direct Investment, Agglomeration, and Production Networks in Indonesian Manufacturing

Author:: Dionisius Narjoko
Publication Date:: 05-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: This study examines the importance of globalisation – defined by international production networks – in determining foreign direct investment (FDI) flows into Indonesian manufacturing since 2000. It is motivated by the fact that the extent of connection between the Indonesian and the global economy had increased after the 1997–98 Asian financial crisis. Models of FDI are estimated by utilising plant-level data and various trade and tariff data. Production networks or agglomeration are found to play an important role in driving FDI in Indonesia’s manufacturing sector, at least for the period 2000–2015. This study provides the insight that agglomeration could be utilised to increase FDI in Indonesia. This not only improves the productivity of the sector targeted by the investment but also promotes productivity growth. Creating more agglomeration areas could therefore be a policy direction taken by Indonesia to help increase FDI.
Topic:: Foreign Direct Investment, Investment, Manufacturing, and Production
Political Geography:: Indonesia and Southeast Asia

330. Divergence in Non-Tariff Measures and the Quality of Traded Products

Author:: Doan Thi Thanh Ha, Kunhyui Kim, and Mahdi Ghodsi
Publication Date:: 05-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: Non-tariff measures (NTMs) constitute a grey area where trade policy meets public policy goals. NTMs comprise a diverse set of regulatory policy measures, including testing and certification, rather than traditional international trade policy measures such as tariffs or tariff-rate quotas. Regulatory NTMs protect plants, animals, humans, and consumers from imported harmful products containing diseases; regulate the use of hazardous substances in production; ensure conformity with common standards; and protect the environment. Trade literature has focused on the impact of NTMs on trade flows, whereas few studies address the potential welfare-improving effects of these measures. This paper fills this gap by examining the relationship between NTM applications and the quality of traded products. Two questions are addressed. First, do more or additional burdens of NTMs in the foreign market incur a higher quality of exported products? Second, is the quality impact of NTMs in different sectors different between food and other manufacturing goods? We adopt a recently developed indicator to capture the additional requirements for exporters stemming from importers’ imposition of NTMs, and a quality estimator that controls for price. Our empirical results indicate that, overall, divergence in sanitary and phytosanitary (SPS) measures between the two trading partners reduces the quality of traded goods. Furthermore, while the divergence in SPS measures reduces the quality of traded goods in the manufacturing sector, the divergence in technical barriers to trade shows no statistically significant impact on the quality of traded goods between the two trading partners. The results imply that additional costs from technical barriers to trade are negligible compared with those from SPS measures in the manufacturing sector.
Topic:: Regulation, Tariffs, Public Policy, and Trade
Political Geography:: Global Focus

331. Does the Skill Premium Influence Educational Decisions? Evidence from Viet Nam

Author:: Ian Coxhead and Nguyen Vuong
Publication Date:: 05-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: Viet Nam’s economy has grown and changed in dramatic ways since WTO accession in 2007. Much of the growth and change is due to expanded international trade and FDI. These in turn have greatly increased domestic labour demand. However, growth that exploits the country’s abundant supply of low-skill labour may depress the relative demand for skills. In this paper we ask whether the skill premium – the relative price of skills, which also measures the gross economic benefit to schooling at high school and beyond – plays an influential role in schooling decisions amongst teenagers for whom wage-work is an alternative to continued education. We first use event study methods to clarify trends in wages and skill premia. We then decompose influences on upper secondary school enrolments from income growth, demographic change, and skill premia. We find that the college skill premium has a positive influence on enrolments, whereas the premium from upper secondary completion has no significant effect. Our conclusions explore implications for future productivity growth as well as economic and educational policies.
Topic:: Education, Labor Issues, Human Capital, Productivity, Skills, and Competition
Political Geography:: Vietnam and Southeast Asia

332. Technological Innovation and the Development of the Fuel Cell Electric Vehicle Industry Based on Patent Value Analysis

Author:: Yanfei Li, Jia Zhao, and Jianjun Yan
Publication Date:: 06-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: Currently, major economies are competing on the technological and industrial development of fuel cell electric vehicles (FCEVs). This paper discusses the relationship between the patent value of FCEVs and the commercialisation of this technology. First, the patent data of FCEVs are analysed, focusing on data of China, Germany, Japan, the Republic of Korea, and the United States. Then, the paper constructs the FCEV patent value index framework based on the technological value and economic value of patents. Finally, this paper conducts an empirical study to analyse the influence of patent value on the development of the FCEV industry. It is found that, under the current situation, individual patent value can significantly promote the development of the FCEV industry, whilst the gross patent value of a certain country even has a negative impact. In addition, the increase of hydrogen infrastructure, research and development expenditure, and market demand will significantly promote the development of the FCEV industry. The development level of related industries such as the battery electric vehicle industry and the reduction of environmental pollution are also significant drivers of the development of FCEVs.
Topic:: Development, Science and Technology, Innovation, Industry, and Electric Vehicles
Political Geography:: Asia

333. Structural Changes and the Impact of FDI on Singapore’s Manufacturing Activities

Author:: Shandre Mugan Thangavelu
Publication Date:: 06-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: This chapter examines the investment and foreign direct investment (FDI) policy of Singapore’s economy in terms of the structural transformation of the economy from 1998 to 2018. The study also examines the impact of FDI on the productivity of the Singapore manufacturing industries in a panel framework from 2017 to 2019. The results indicate that FDI activities have a positive impact on labour productivity. The export activities of multinational businesses have a positive impact on labour productivity. We also observe agglomeration effects from FDI activities (average FDI activities over 3 years) in Singapore’s manufacturing industries. However, we observe a negative impact of outsourcing labour productivity. The study also derives policy implications for forward-looking policies in terms of the position of Singapore in the global production value chain.
Topic:: Foreign Direct Investment, Manufacturing, and Industry
Political Geography:: Singapore and Southeast Asia

334. Investment Facilitation and Promotion in Cambodia: Impact of Provincial-level Characteristics on Multinational Activities

Author:: Shandre Mugan Thangavelu, Leng Soklong, Vutha Hing, and Ratha Kong
Publication Date:: 08-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: This paper examines the foreign direct investment policy of Cambodia in terms of investment promotion and facilitation. The study examines the key factors affecting the location of foreign firms (with more than 10% ownership) in Cambodia accounting for key provincial-level (18 provinces) characteristics, such as infrastructure (roads), population density (young population), special economic zones (SEZs), the number of establishments, poverty rate, rainfall, water supply, electricity supply, sharing of an international border, sharing a coastal area, and consumption per capita. The paper uses administrative data from the Council for Development of Cambodia, which manages foreign direct investment and the special economic zones in Cambodia. The study consists of nearly 500 foreign firms that have been approved to invest in Cambodia from 2017 to 2020. The results indicate a positive impact of road infrastructure (national and provincial roads) on foreign investment activities as it improves the movement of people and goods, reduces transaction costs, increases market access, and increases the service linkages within the domestic economy. At the provincial level, we observe that electricity supply, rainfall (water supply), land area, and a young working population have a positive impact on the investment decisions of foreign investors in the provinces of Cambodia. We also observe a negative impact of SEZs on foreign investment in Cambodia. The results indicate an urgent need for structural transformation of the Cambodian economy in terms of investment in soft and hard infrastructure and the development of the critical skills and human capital of the labour force. It is important to improve and upgrade the SEZs with key technologies and innovation to be more competitive in attracting foreign investment activities, which will be critical for increasing the competitiveness of Cambodian industries in global value chain activities.
Topic:: Multinational Corporations, Investment, Trade, and Global Value Chains
Political Geography:: Cambodia and Southeast Asia

335. What Japanese Tourism Amenities are Influenced in Terms of Affecting Inbound Tourist Demand?

Author:: Yoko Konishi and Takashi Saito
Publication Date:: 08-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: Since 2012, the number of inbound tourists to Japan has increased every year, and new records of tourism-related economic indicators are being updated. On the other hand, the sudden inbound boom has led to a concentration of travel destinations, and over-tourism has become a problem. In this paper, we first statistically observe the concentration of tourists by accommodation type for each country of origin. Second, by identifying tourism amenities that contribute to inbound demand, we gain the knowledge necessary to shift demand from facilities with a high concentration of inbound tourists to facilities with lower occupancy. For the analysis, we utilised establishment data from the Online Travel Agency ‘Accommodation Travel Statistics Survey’ and data on tourism resources by region. The results show that the number of rooms, average price, membership of the hotel in a chain, internet availability, room type, number of World Heritage sites, and number of direct flights positively affect inbound demand. In particular, for ryokan (Japanese-style inns) with low occupancy rates and inbound guest ratios, their independence, internet availability, Western-style room availability, number of World Heritage sites, and hot spring facilities are effective in capturing demand.
Topic:: Economics, Tourism, Hospitality, and Travel
Political Geography:: Japan and Asia

336. The COVID-19 Pandemic and World Machinery Trade Network

Author:: Kozo Kiyota
Publication Date:: 08-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: In light of the importance of the machinery trade in global trade, this study examines whether the patterns of machinery exports changed significantly after the COVID-19 pandemic. Frameworks of network analysis and structural break analysis are applied to monthly level bilateral export data from January 2016 to March 2022. The main findings are threefold. First, positive structural change is found in exports in major machinery-exporting countries. Second, negative structural change in centrality is found in Japan and some ASEAN Member States (AMS), which implies a decline in the relative importance of these countries in the global machinery network. Third, the decline in Japanese centrality was not caused by the decline in export values or number of destination countries. Rather, it is attributable to the decline in the centrality of Japan’s export destination countries such as AMS. Noting that Japan has a relatively strong trade relationship with AMS, these results together suggest that the negative shock of the pandemic spread throughout the supply chain, which led to the decline in the relative importance of some countries – such as Japan – in the global machinery trade network.
Topic:: Exports, Trade, ASEAN, and COVID-19
Political Geography:: Japan, Asia, and Southeast Asia

337. The Effects of the United States-China Trade War During the COVID-19 Pandemic on Global Supply Chains: Evidence from Viet Nam

Author:: Duc Anh Dang and Ngoc Anh Tran
Publication Date:: 08-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: The trade war between the United States (US) and China has affected their bilateral trade as well as that with other countries. This study investigates how Vietnamese firms performed during the COVID-19 pandemic under the shadow of this trade war. The change in the log of Vietnamese exports to the US from 2017 to 2020 is used to measure the impact of the trade war, and the change in the log of Chinese exports to the US is then used as an instrument for the Vietnamese export change during the same period. It is found that firms that faced more trade war exposure increased their investment, profit, and value added, which may be due to the market exit of unproductive firms. Moreover, the trade war impact is more pronounced for large firms. Foreign-invested firms gained less from trade war exposure. The pandemic weakened the trade war effect on firm performances; however, it exacerbated the trade tension effect on foreign-trade firms.
Topic:: Bilateral Relations, Investment, Trade, and COVID-19
Political Geography:: China, Asia, North America, and United States of America

338. The Role of Export Incentives and Bank Credit on the Export Survival of Firms in India During COVID-19

Author:: Radeef Chundakkadan, Subash Sasidharan, and Ketan Reddy
Publication Date:: 08-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: The aim of this study is threefold. First, we analyse the relationship between export incentives on firm survival during the coronavirus disease (COVID-19) crisis; second, we explore the nexus between bank dependency and survival in the export market; and finally, we test the complementarity and substitutability effect of export incentives and bank dependency on export market survival. We use firm-level information on Indian firms from 2016 to 2022, covering 4 years of the pre-pandemic period and 2 years of the post-pandemic period. We find that both export incentives and bank dependency improve the probability of export market survival in the post-pandemic period. These results are applicable to both the manufacturing and services sector, stand-alone firms, and business group affiliates. Our results remain robust while employing alternative proxies for the primary variable of interest and different methodologies.
Topic:: Business, Banks, Exports, and COVID-19
Political Geography:: South Asia and India

339. Global Value Chain Disruptions and Firm Survival During COVID-19: An Empirical Investigation

Author:: Sasidaran Gopalan and Ketan Reddy
Publication Date:: 08-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: Despite the rapid acceleration of countries participating in global value chains (GVCs) over the last three decades, global GVC participation rates have plateaued since the global financial crisis (GFC) and worsened with the onset of the coronavirus disease (COVID-19) pandemic. The massive supply chain disruptions induced by the pandemic not only appeared to expose the vulnerabilities of GVCs, largely because of concentration risks, but also contributed to a dramatic decline in trade flows globally. As countries around the world emerge from the shadows of the pandemic, there is growing academic and policy interest in deciphering how countries should build effective strategies that facilitate firm survival, especially viewed from the lens of resilience and robustness. Considering this background, in this paper, we propose to make a twofold contribution to this literature. First, we undertake a comprehensive firm-level investigation (in a cross-country setting) to ascertain whether firms engaged in GVCs relative to non-GVC firms exhibited better survival instincts during the COVID-19 pandemic. Second, we uncover the heterogeneity of the shock across sectors and industries, considering the varied sectoral/industrial exposure to the COVID-19 pandemic. We document that GVC firms showcased greater robustness and resilience during the pandemic phase compared with other firms. Our results also show that the degree of resilience and robustness varies significantly by industry.
Topic:: Financial Crisis, Trade, Global Value Chains, and COVID-19
Political Geography:: Global Focus

340. Industry Agglomeration, Urban Amenities, and Regional Development in India

Author:: Subash Sasidharan and Shandre Mugan Thangavelu
Publication Date:: 09-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: Industrial agglomeration is an important component to create efficiency and externalities for industrial growth and competitiveness for the Indian economy. In this paper, we examine the spatial location of Indian firms and industry agglomeration at district and township level for the Indian economy. Particularly, we examine the impact of urban amenities in driving the industrial agglomeration in the Indian economy using firm-level data. We carefully control for township-level urban amenities, as well as firm level characteristics in affecting the industry agglomeration. As opposed to previous state- and district-level studies, we examine the impact of urban amenities at a more disaggregated township level for 2011. The study also examines the impact of urban amenities on manufacturing, as well as the services sector. The empirical analysis findings indicate a positive correlation between town-level disparities in industry agglomeration and various amenities, including education, healthcare, energy, transportation, finance, and cultural resources. These results remain consistent when considering alternative measures of agglomeration and conducting sub-sample analyses.
Topic:: Development, Manufacturing, Services, and Industry
Political Geography:: South Asia and India

341. ASEAN Digital Community 2045

Author:: Lili Yan Ing, Yessi Vadila, Ivana Markus, and Livia Feliciani Nazara
Publication Date:: 11-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: Over the last decade, the Association of Southeast Asian Nations (ASEAN) has undergone significant development in digitalisation. The rapid digital transformation in ASEAN, however, has brought forth risks and challenges encompassing data security, cybersecurity, competition, and the digital divide. To effectively address these challenges and leverage the potential of the digital realm, ASEAN developed nine frameworks during 2016–2023. Yet, the focus is primarily on digital trade. We suggest that ASEAN embrace digital transformation by establishing the ASEAN Digital Community (ADC) 2045. This vision could provide guidance to Member States, enabling them to overcome regional challenges and unlock their digital potential. It is crucial for ASEAN to nurture digital development across the three key pillars: political-security, economic, and socio-cultural dimensions. The three pillars should be built on four fundamental elements: data governance, value-added enhancement, improved digital connectivity, and digital inclusivity. Through the establishment of ADC 2045, ASEAN could position itself as a significant player in the global digital economy while ensuring that digital transformation aligns with its sustainable and inclusive development agenda.
Topic:: Science and Technology, Investment, Innovation, Trade, ASEAN, Connectivity, and Competition
Political Geography:: East Asia, Asia, and Southeast Asia

342. Accelerating AI in ASEAN: Addressing Disparities, Challenges, and Regional Policy Imperatives

Author:: Ikumo Isono and Hilmy Prilliadi
Publication Date:: 11-2023
Content Type:: Working Paper
Institution:: Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:: Artificial intelligence (AI) is attracting significant attention worldwide in 2023 because of its potential to transform economies and societies. The Association of Southeast Asian Nations (ASEAN) must accelerate the debate on AI for five compelling reasons. First, narrowing the gaps in AI readiness within ASEAN is essential to share the benefits of AI equitably. Second, there are concerns that rapid advances in AI could result in job loss, and retraining is needed. Third, AI systems must be developed from an ASEAN-centric perspective to overcome prejudice and align AI with ASEAN values. Fourth, as developed countries implement AI regulations, ASEAN needs to consider the need for its own regional policies. Finally, now is the perfect time to discuss the positioning of AI in the regional framework as ASEAN’s digital integration initiative progresses. The paper discusses the significance of AI in 2023, the challenges in ASEAN, the need for its own policies, and policy recommendations.
Topic:: Science and Technology, Regulation, Human Capital, Innovation, Artificial Intelligence, and ASEAN
Political Geography:: Southeast Asia

343. Restoring Competitive Politics: Electoral Contestation and the Future in Turkey and India, and Iran and Russia

Author:: Hugh Sandeman
Publication Date:: 10-2023
Content Type:: Working Paper
Institution:: LSE IDEAS
Abstract:: The institutions and practices necessary for open and fair competition for political power are eroding across the world. In some countries, such as Turkey and India, the democratic dividend of electoral competition has been steadily undermined by majoritarian autocrats who have proved adept in campaigning for office and winning elections. In others, such as Russia and Iran, political leaders have marginalised or suppressed electoral processes, reducing them to closely managed performances that seek to demonstrate public consent. At least some traces of the mechanisms of electoral competition often remain in place, however, even where genuine public consent has been almost extinguished. This leaves open the possibility that the trend away from competitive electoral politics could be at least partially reversed in future, in the context of political succession or the electoral defeat of incumbents. In June 2023, LSE IDEAS brought together experts from the London School of Economics and Political Science (LSE) and other institutions to examine the potential for restoring the democratic dividend of competitive politics in four major countries. Turkey and India were selected for their timeliness—national parliamentary and presidential elections were held in Turkey in May 2023, and national parliamentary elections are due in India in April 2024—and for their similarities: both political systems are characterised by powerful elected leaders with a strong record of performance in national elections, each backed by large political parties based on an appeal to national and religious identity. Iran and Russia were chosen as examples of two states where competitive electoral politics had been temporarily enabled by significant political change—respectively, an impasse in Iran’s theocracy in the 1990s, and the end of the Soviet Union—only to be undermined by the reassertion of autocratic power. Two assumptions underlay the planning of this discussion on ‘Restoring Competitive Politics: Electoral Contestation and the Future’. The first is that the characterisation of political systems as either democratic or autocratic provides an insufficient basis for explaining many differences in the workings of political institutions, or for guiding policy. The second assumption is that while certain institutions and practices appear to be essential to maintaining open competition for political power—including for example, freedom and diversity of comment in major channels of communication like broadcast television, radio, newspapers, and social media—there is no useful empirical example or theoretical formulation of an ideal or perfect democratic political system. The exclusion from the discussion of countries with longer established forms of competitive politics, such as the United States or the United Kingdom, was not intended to suggest an implicit comparison with ideal types of functioning democracies. On the contrary, there are grounds for concern about the maintenance of open competition for political power in every country professing to be a democracy. As David Runciman has said of the future of democratic practices: ‘The question for the twenty-first century is how long we can persist with institutional arrangements we have grown so used to trusting, that we no longer notice when they have ceased to work.’ He warns that ‘democracy could fail while remaining intact’.
Topic:: Elections, Political stability, Autocracy, and Competition
Political Geography:: Russia, Iran, Eurasia, Turkey, Middle East, India, and Asia

344. China-US Competition in the Balkans Impact, regional responses, and larger implications

Author:: Ivan Lidarev
Publication Date:: 11-2023
Content Type:: Working Paper
Institution:: LSE IDEAS
Abstract:: This strategic update from Sotirov Visiting Fellow Dr Ivan Lidarev analyses the competition between China and the US in the Balkans, striving to answer three broad research questions about its impact on the region. The paper analyses how the China-US competition has shaped the strategic framework in which Balkan states operate; how Balkan nations have responded strategically to this competition; and what the long-term implications of the regional US-China competition are.
Topic:: Foreign Policy, Strategic Competition, and Strategic Interests
Political Geography:: China, Eastern Europe, Balkans, and United States of America

345. China’s Semiconductors Reflections on Sources and Solutions to an Expensive Problem

Author:: Jonathan Liebenau
Publication Date:: 11-2023
Content Type:: Working Paper
Institution:: LSE IDEAS
Abstract:: The semiconductor industry has been a renewed topic of political debate for over three years. Due to recent US sanctions on the most advanced semiconductors, the industry has quickly become another flashpoint in the competition between the US and China to dominate the 21st century’s strategic technologies. In this Strategic Update, Dr Jonathan Liebenau explains the development of the semiconductor industry in the context of China’s rise to become an increasingly capable technology power. China’s sustained efforts in industrial policy to cultivate a domestic innovation system coincided with Western firms’ offshoring strategies since the 1990s, transforming China into a large producer and consumer of semiconductors. While Taiwan and the West retained cutting edge chip design capabilities, Chinese firms such as Huawei and Hikvision have become competitive providers of mobile phones, surveillance equipment and related infrastructure services. Despite Washington and its partners’ conviction to constrain in China’s technological prowess, industrial policy initiatives such as the CHIPS Act will face an uphill battle when it comes to bringing manufacturing capacity back to Western economies. In this context, the UK must combine short term incentives with a longer-term strategic vision to remain competitive in one of the 21st century’s key strategic arenas.
Topic:: Science and Technology, Sanctions, Strategic Competition, Production, and Semiconductors
Political Geography:: China, Asia, North America, and United States of America

346. Is Feminist Foreign Policy driving progress for women’s representation in diplomacy?

Author:: Caroline Green, Marta Kozielska, and Karen E. Smith
Publication Date:: 10-2023
Content Type:: Working Paper
Institution:: LSE IDEAS
Abstract:: Building on an October 2022 Women in Diplomacy online event, this Strategic Update assesses the implications of feminist foreign policy (FFP) adoption for driving progress on improving women’s representation in diplomacy. Tracking the spread of FFPs globally and the ministers responsible for implementation, this paper focuses on their potential for improving or strengthening the role of women in diplomacy – including in ambassadorial and cabinet foreign-policy roles.
Topic:: Foreign Policy, Diplomacy, Women, Feminism, and Representation
Political Geography:: Global Focus

347. NATO’s 2022 Strategic Concept: One Year On

Author:: LSE Ideas
Publication Date:: 09-2023
Content Type:: Working Paper
Institution:: LSE IDEAS
Abstract:: This Strategic Update summarises a roundtable discussion held at LSE IDEAS in July 2023. Contributors to the discussion were: General Sir James Everard, Stuart Austin, Professor Gordon Barrass, Professor Christopher Coker, Tom McKane, Hugh Sandeman, Susan Scholefield, and Peter Watkins. None of the content of the Strategic Update is attributable to any one individual. One year on from NATO’s Madrid 2022 summit, this Strategic Update address the 2022 NATO Strategic Concept and its implications for the future, especially regarding Russia’s war on Ukraine. The paper addresses the misalignment between preparations for defence and the real state of its armed forces, the UK’s symbolic support for Ukraine versus its capability, the concepts of resilience and deterrence, and finally the future of NATO’s relationship with Russia.
Topic:: Defense Policy, NATO, Armed Forces, Deterrence, Resilience, and Russia-Ukraine War
Political Geography:: Russia, Europe, Ukraine, and United States of America

348. China’s smart cities and the future of geopolitics

Author:: Valentin Weber
Publication Date:: 05-2023
Content Type:: Working Paper
Institution:: LSE IDEAS
Abstract:: In this latest Strategic Update, Valentin Weber explores Chinese scientific research and industry application of smart cities, with ‘city brains’. The geostrategic implications for these complex Chinese smart city construction projects outside of China – particularly surrounding surveillance and artificial intelligence – and a potential future ‘world digital brain’ must be considered by policymakers, even if we are far away from an eventual bifurcation of the global internet.
Topic:: Science and Technology, Geopolitics, Surveillance, Artificial Intelligence, and Smart Cities
Political Geography:: China and Asia

349. Countering United Front Work: Taiwan’s Political Warfare System

Author:: Mariah Thornton
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: LSE IDEAS
Abstract:: This strategic update introduces the challenges posed by China’s united front work, which has significantly expanded due to unprecedented institutional elevation and support under Xi Jinping. Mariah argues that Taiwan—a country that has effectively resisted China’s united front activities for several decades—can serve as an instructive case for other democratic countries in institutionalising counter-interference operations. The briefing initially explores the origins of Taiwan’s political warfare system, its evolution from the martial law era to democratisation in the 1990s, and how this history informs the institution’s modern structure and operations. The information presented in this report was compiled during a period of fieldwork in Taiwan from late September to early November 2022, in which she interviewed dozens of political warfare officers as well as Taiwanese defence and security experts–a majority of whom have chosen to remain anonymous. In the conclusion, Mariah offers broad policy recommendations based on these findings that may be applicable to other countries experiencing united front work activities and or seeking to institutionalise counter-interference operations.
Topic:: Security, Defense Policy, Politics, Public Opinion, Propaganda, and Regional Security
Political Geography:: China, Taiwan, and Asia

350. The Energy Crisis Requires a Military Solution that Compels NATO to Spend like Estonia

Author:: Leon Hartwell and Guillemette Guicherd
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: LSE IDEAS
Abstract:: In this LSE IDEAS Strategic Update, the authors focus on the intimate relationship between the Russia-Ukraine war and the energy crisis, both for Ukraine and the rest of Europe. It is argued that although Western sanctions against Russia’s energy sector have been a welcome political statement, they have so far been inadequate. Moreover, in the absence of expanding Ukraine’s defence systems, supplying the country with critical equipment to rebuild its energy sector while it is under constant Russian bombardment has limited impacts. Consequently, the authors argue that to solve the energy crisis, both for Ukraine and the rest of Europe, NATO and its allies need to “spend like Estonia.” Spending like Estonia would, among others, entail ramping up support for Ukraine to 1.1% of each member state’s GDP. Such an approach could help Ukraine to decisively win the war in 2023, and it would help to avert a potential energy crisis during the next winter. 
Topic:: NATO, Crisis Management, Energy, and Russia-Ukraine War
Political Geography:: Europe, Ukraine, and Estonia

351. China’s Global Strategy as Science Fiction

Author:: William A. Callahan
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: LSE IDEAS
Abstract:: Xi Jinping is leading China in a new direction, but how are we to understand his global strategy? For most countries, to understand domestic and international politics we would analyse authoritative sources – leaders’ speeches, official documents and statistics, elite interviews and essays, and public opinion surveys. In the 2000s these methods worked well to probe Chinese politics. But since civil society and independent thought have been severely restricted under Xi, it’s necessary to go beyond such “factual” sources. To understand China’s global strategy, it’s best to read fiction, especially Chinese science fiction. This essay critically analyses Liu Cixin’s novels, The Wandering Earth and the Three Body Problem trilogy, to probe how Chinese sci-fi pushes us to think creatively about key topics: the relation of humans and technology, the relation of science and politics, and the relations between political communities, i.e. are we doomed to existential struggle, or can we engage with difference in creative and productive ways?
Topic:: Foreign Policy, Science and Technology, Grand Strategy, Novels, and Science Fiction
Political Geography:: China and Asia

352. China’s Provinces as Global Actors: Evidence from China-Africa Relations

Author:: Charlotte Lenz
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: LSE IDEAS
Abstract:: With the launch in the early 2000s of China’s ‘Going Global’ Strategy, Chinese provinces became one group of actors participating in China’s South-South relations. In this Strategic Update, Charlotte Lenz investigates the role of Chinese provinces as foreign policy actors and explains their internationalisation strategies, challenging the prevalent perception of China as a unitary actor on the world stage. Drawing on evidence from Africa-China relations, the report identifies two strategies employed by Chinese provinces in pursuit of their foreign policy interests: (1) Formal and informal “twinning” as a collaborative model between central and local actors, wherein central actors design policies and provincial governments execute projects; (2) and “clustering” according to a sectoral logic of investment and diplomacy in which a certain Chinese province engages a certain foreign country. Despite ongoing bureaucratic centralisation under Xi Jinping, provinces continue to pursue their own internationalisation strategies to help meet local economic and employment targets. Understanding their agency, interests and limitations is thus key to deriving a better understanding of China’s evolving global presence.
Topic:: Foreign Policy, Diplomacy, Bilateral Relations, Investment, and Internationalization
Political Geography:: Africa, China, and Asia

353. Pandemic-era Inflation Drivers and Global Spillovers

Author:: Julian di Giovanni, Şebnem Kalemli-Özcan, Alvaro Silva, and Muhammad A. Yildirim
Publication Date:: 11-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: We estimate a multi-country multi-sector New Keynesian model to quantify the drivers of domestic inflation during 2020–2023 in several countries, including the United States. The model matches observed inflation together with sector-level prices and wages. We further measure the relative importance of different types of shocks on inflation across countries over time. The key mechanism, the international transmission of demand, supply and energy shocks through global linkages helps us to match the behavior of the USD/Euro exchange rate. The quantification exercise yields four key findings. First, negative supply shocks to factors of production, labor and intermediate inputs, initially sparked inflation in 2020–2021. Global supply chains and complementarities in production played an amplification role in this initial phase. Second, positive aggregate demand shocks, due to stimulative policies, widened demand-supply imbalances, amplifying inflation further during 2021–2022. Third, the reallocation of consumption between goods and service sectors, a relative sector-level demand shock, played a role in transmitting these imbalances across countries through the global trade and production network. Fourth, global energy shocks have differential impacts on the US relative to other countries’ inflation rates. Further, complementarities between energy and other inputs to production play a particularly important role in the quantitative impact of these shocks on inflation.
Topic:: Economy, Inflation, Pandemic, COVID-19, and Supply Chains
Political Geography:: Global Focus and United States of America

354. Towards a Sustainable Recovery for Lebanon’s Economy

Author:: Ricardo Hausmann, Ugo Panizza, Carmen Reinhart, Douglas Barrios, and Clement Brenot
Publication Date:: 11-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: Lebanon’s current economic crisis ranks among the worst in recent history. GDP has collapsed by 38% in real terms. The Lebanese lira, which was fixed to the dollar in 1997, has lost more than 98% of its value on the parallel market. The government has defaulted on its debt, and depositors are unable to access their funds held at commercial banks. Consolidated public sector debt, including both government debt and commercial banks’ claims on the Banque du Liban (BdL), represents more than seven times the current GDP. Public services delivery has crumbled. In short, the country is undergoing a debt crisis, a banking crisis, a currency crisis, and a growth collapse. Four years into the crisis, a resolution remains elusive, and each passing day increases the economic and social burdens faced by the population. Given the increasing cost of delaying a resolution, we propose a strategy for Lebanon’s economic recovery that addresses all the dimensions of the crisis while recognizing the need to rapidly kick-start the economic recovery.
Topic:: Debt, GDP, Economy, and Crisis Management
Political Geography:: Middle East and Lebanon

355. How Pratham Learns While Scaling: A Case Study of Adaptive Design and Evaluation

Author:: Jossie Fahsbender, Siddhant Gokhale, and Michael Walton
Publication Date:: 11-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: Developing scalable innovations is a central challenge in development. Organizations that succeed in scaling often prioritize measurement, learning, and evaluation, but how this is done is poorly understood. This paper explores the case of Pratham, one of the largest NGOs in primary education and an exceptional learning organization. While Pratham is renowned for its randomized control trial sequence with J-PAL, we underscore this is just one aspect of a wider array of learning activities. These include an iterative process to continuously refine and protocolize solutions as they scale, the use of on-field qualitative insights and quantitative tracking, open feedback channels between the field, state, and central offices, information exchange among content and evaluation teams, and a nationwide assessment of learning levels (ASER). The RCTs were effective because they were embedded within this broader learning process and culture. Pratham learns at three levels: learning to improve children's basic skills, learning as an organization about what does and doesn’t work, and fostering learning by others in the system. Its learning capacity is rooted in deep-seated values and a culture of openness, trust, problem-solving, and the freedom to experiment and learn from failure, inculcated and nurtured by its leadership. Throughout, we use the prism of an Adaptive Evaluation to provide a systematic framework for mirroring and understanding Pratham's organic learning processes (as affirmed by its own leadership). Pratham actively engages with the three main pillars of an Adaptive Evaluation, involving understanding systems, theorizing how to effect change, and iterating its designs. While Pratham’s culture will often not be transferable, the systematic analysis of how Pratham learns can provide a framework for other organizations aspiring to replicate Pratham's success as a learning institution.
Topic:: Development, Economy, Innovation, and Adaptation
Political Geography:: Global Focus

356. What Combination of Features Are Associated With Scalable and Sustainable Last-Mile Service Delivery Models? A Qualitative Comparative Analysis

Author:: Siddhant Gokale and Ojas
Publication Date:: 10-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: This study explores the features of successful last-mile service delivery models for the poor. We define success in terms of two main outcomes — the scale of impact and the sustainability of the business model. Through a Qualitative Comparative Analysis (QCA) of 35 organizations across a variety of sectors, such as agriculture, health, education, finance, energy, and water and sanitation, we arrive at a two-fold conclusion about the most prevalent combination of business model features associated with scale and sustainability. For achieving scale, a combination of four features was sufficient (but not necessary) — a pull product, an asset-light capital investment strategy, a narrow customer base, and a vertically integrated business model. For achieving sustainability, a wide customer base was sufficient (but not necessary). Together, these reveal a tradeoff between sustainability and scaling, especially around customer segments. The QCA is supplemented by an in-depth qualitative case study analysis of three selected organizations to uncover additional factors behind the success of alternate models that deviate from the QCA results. We find that clarity in vision, blending technology with people, evidence-driven decision-making and adaptive learning, and strong value propositions for multiple stakeholders were key characteristics of successful last-mile delivery models with features different from the QCA conclusions.
Topic:: Economy, Business, Investment, and Sustainability
Political Geography:: Global Focus

357. Inequality in Chile: Perceptions and Patterns

Author:: Ignacia Lecaros, Daniela Paz Cruzat, Ricardo Pommer Muñoz, Pablo Tillan, and Michael Walton
Publication Date:: 09-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: Chile has pioneered many things: a market-oriented, “neoliberal” approach to development; an impressive transition from authoritarianism to democracy; innovations in social policy; and an extraordinary series of street protests between 2006 and 2019. While often lauded as a model of economic and social development, the protests reflect acute concerns over perceived failures in the Chilean political, economic and cultural system, concerns that were profoundly inflected with issues of inequality and lack of fairness. To inform this contrast, this paper undertakes a systematic assessment of the perceptions and perspectives of Chilean citizens, both in the context of the protests and in their broader expressed views in surveys. The core theme is that “the street was right”, in the specific sense that the protests reflected much wider sentiments across social classes over perceived inequities in economic advancement, social provisioning, and the undignified “treatment” by state actors and elites. The paper then compares these perceptions with some of the “objective” measures of inequality. While alternative measures indicate modest declines in some measures of inequality, Chile remains a very high inequality society, in relation to income, wealth, and education. These perceptions and patterns are central to Chile’s current development challenges, in ways that resonate with the position of many countries in today’s polarized environment. This is the first of two papers, with the sequel exploring the underlying drivers of inequality and implications for policy direction.
Topic:: Education, Health, Inequality, Protests, State, Perception, and Fairness
Political Geography:: South America and Chile

358. Housing in Wyoming: Constraints and Solutions

Author:: Thảo-Nguyên Bùi, Tim Freeman, Ricardo Hausmann, Farah Kaddah, Lucas Lamby, Tim O'Brien, and Eric Protzer
Publication Date:: 04-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: Quantitative evidence supports the contention that Wyoming’s housing market is constrained, to a greater degree than many other parts of the US. Prices are persistently above expectations given economic fundamentals in most parts of the state, and the supply of new housing in Wyoming is on average less responsive to price increases than in other US counties. This has undermined natural population growth and contributed to a low amount of population density close to city centers in Wyoming, as compared to other US cities with comparable population levels. Importantly, this phenomenon is not simply the result of pandemic-era economic frictions. The evidence shows that these constraints have durably persisted in Wyoming. This housing constraint weighs heavily on the broader Wyoming’s economy, and chokes off growth in new industries that could add to the Wyoming economy beyond its natural resource base. Businesses consistently report a lack of access to workforce as a leading problem that ultimately results from a lack of housing. Some businesses have even tried to create their own housing for employees, and news reports abound of teachers and nurses who secure jobs in Wyoming communities but then have to leave because they cannot find housing. Key problems behind Wyoming’s housing constraints include excessive regulations concerning housing density and insufficient investment in arterial infrastructure. For example, there is evidence that over-regulated minimum lot sizes in Wyoming are blocking the creation of supply to match free-market demand for houses with smaller amounts of land. Other areas of over-regulation include those concerning allowable housing types, building height, parking spaces per dwelling, and the housing approval process itself. This may be seen as surprising given Wyoming’s reputation as a low-regulation state, but Wyoming maintains restrictions that other states and countries have discarded as outdated and highly counterproductive. Besides outright restrictions on housing development, we find that the most common cost driver undermining the housing development has to do with low public investment in needed arterial infrastructure, especially water systems. Land supply as well as material and construction costs are not primary constraints to housing development across the state, but may matter for select communities. We suggest a portfolio of policy changes for the state of Wyoming to explore in order to solve its housing constraints. One category of changes is regulatory, and focuses on deregulation, reducing bureaucratic overhead, and shifting from veto-cratic to democratic housing approval procedures. Another category is focused on investment on infrastructure to support housing, and exploration of state-local funding structures to facilitate continuous infrastructure improvement. If implemented, these changes will not only help to solve Wyoming’s housing constraints but also facilitate housing development in a way that combats urban sprawl, and in doing so protects open spaces outside of cities that Wyomingites value.
Topic:: Development, Economics, Public Policy, and Housing
Political Geography:: North America and United States of America

359. Growth Through Inclusion in South Africa

Author:: Ricardo Hausmann, Tim O'Brien, Andrés Fortunato, Alexia Lochmann, and Kishan Shah
Publication Date:: 11-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: It is painfully clear that South Africa is performing poorly, exacerbating problems such as inequality and exclusion. The economy’s ability to create jobs is slowing, worsening South Africa’s extreme levels of unemployment and inequality. South Africans are deeply disappointed with social progress and dislike the direction where the country seems to be heading. Despite its enviable productive capabilities, the national economy is losing international competitiveness. As the economy staggers, South Africa faces deteriorating social indicators and declining levels of public satisfaction with the status quo. After 15 years, attempts to stimulate the economy through fiscal policy and to address exclusion through social grants have failed to achieve their goals. Instead, they have sacrificed the country's investment grade, increasing the cost of capital to the whole economy, with little social progress to show for it. The underlying capabilities to achieve sustained growth by leveraging the full capability of its people, companies, assets, and knowhow remain underutilized. Three decades after the end of apartheid, the economy is defined by stagnation and exclusion, and current strategies are not achieving inclusion and empowerment in practice. This report asks the question of why. Why is the economy growing far slower than any reasonable comparator countries? Why is exclusion so extraordinarily high, even after decades of various policies that have aimed to support socio-economic transformation? What would it take for South Africa to include more of its people, capabilities, assets, and ideas in the functioning of the economy, and why aren’t such actions being undertaken already? The Growth Lab has completed a deep diagnostic of potential causes of South Africa’s prolonged underperformance over a two-year research project. Building on the findings of nine papers and widespread collaboration with government, academics, business and NGOs, this report documents the project’s central findings. Bluntly speaking, the report finds that South Africa is not accomplishing its goals of inclusion, empowerment and transformation, and new strategies and instruments will be needed to do so. We found two broad classes of problems that undermine inclusive growth in the Rainbow Nation: collapsing state capacity and spatial exclusion.
Topic:: Inequality, Economic Growth, Unemployment, and Inclusion
Political Geography:: Africa and South Africa

360. Process and Implementation Evaluations: A Primer

Author:: Patricia J. Rogers and Michael Woolcock
Publication Date:: 05-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: Beyond assessing whether or not interventions have achieved their stated goals, evaluations can also provide greater understanding—in real-time and at completion—about how, where, for whom, over what time frame, and which aspects of an intervention may (or may not) have succeeded, and thus where improvements might be sought. Moreover, to the extent any intervention is only as good as its implementation, evaluations can also help identify where breakdowns in the delivery system may have occurred and spaces wherein frontline implementers were able to find innovative solutions to local (“binding constraint”) problems. Process and implementation evaluations thus serve the vital purpose of jointly promoting accountability and learning, thereby expanding the common perception of evaluations as external instruments of compliance and discipline to internal procedures for promoting partnerships, innovation, and improvement (organizationally or technically). In this chapter, we describe six different types of process and implementation evaluations and describe their respective strengths and weaknesses in various contexts, for various purposes. As part of collective efforts to enhance the effectiveness of all classes of interventions, impact and process evaluations should be regarded as necessary complements.
Topic:: Development, Accountability, and Intervention
Political Geography:: Global Focus

361. A Growth Perspective on Wyoming

Author:: Thảo-Nguyên Bùi, Tim Freeman, Farah Kaddah, Lucas Lamby, and Yang Li
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: This report sets out to understand if the economy of the State of Wyoming is positioned to grow into the future. To do this, the report begins by investigating the past. To know where the state economy could be headed, and how that direction may be improved, it is critical to understand how the state developed the economic structure and drivers that it has today. Thus, Wyoming’s economic trajectory is explored over the long, medium, and short term. From this investigation, we find that Wyoming faces an overall growth problem, but we also find a high degree of variation in economic engines and growth prospects across the state. The problem that this report identifies is that the composition of economic activities is not positioned to sustain a high quality of life across all parts of the state. “Across all parts of the state” is an essential part of the problem statement for Wyoming. While some local and regional economies in the state are growing and bumping up against identifiable constraints, other local and regional economies are experiencing sustained contractions and will require new sources of growth in order to retain (or expand) population and high quality of life. Since economic dynamics vary significantly across the state, analysis is conducted in as much geographic detail as possible. By combining historical and geographic dimensions of growth, this report aims to inform pathways for sustained and inclusive prosperity across the of Wyoming.
Topic:: Economy, Economic Growth, Telework, and Green Economy
Political Geography:: North America and United States of America

362. Facilitating learning and discovery oriented industrial policy in Albania

Author:: Matt Andrews and Peter Harrington
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: Industrial policy initiatives demand a lot of knowledge from policymakers. Knowledge is often limited, however, especially when policies emerge from top-down technical experts or outsiders with limited contextual experience. Such policies are prone to mistakes. These can, however, be avoided by developing policies through collaborative ‘discovery processes’. Establishing organizations to do ‘discovery’ work is challenging, however, especially when challenges are urgent, resources lacking, and corruption concerns rife. In such settings, it may be more practical and effective to build listening and response capabilities into incumbent policy systems through rapid, temporary discovery processes. This paper provides a case narrative of an experiment with this idea, recounting the story of a problem-driven learning and discovery-oriented approach undertaken to reinvigorate a struggling sector in Albania in 2014.
Topic:: Development, Industrial Policy, Economy, and Business
Political Geography:: Eastern Europe and Albania

363. Seeing the Forest for More than the Trees: A Policy Strategy to Curb Deforestation and Advance Shared Prosperity in the Colombian Amazon

Author:: Timothy Cheston, Patricio Goldstein, Timothy Freeman, Alejandro Rueda-Sanz, and Ricardo Hausmann
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: Does economic prosperity in the Colombian Amazon require sacrificing the forest? This research compendium of a series of studies on the Colombian Amazon finds the answer to this question is no: the perceived trade-off between economic growth and forest protection is a false dichotomy. The drivers of deforestation and prosperity are distinct – as they happen in different places. Deforestation occurs at the agricultural frontier, in destroying some of the world’s most complex biodiversity by some of the least economically complex activities, particularly cattle-ranching. By contrast, the economic drivers in the Amazon are its urban areas often located far from the forest edge, including in non-forested piedmont regions. These cities offer greater economic complexity by accessing a wider range of productive capabilities in higher-income activities with little presence of those activities driving deforestation. Perhaps the most underappreciated facet of life in each of the three Amazonian regions studied, Caquetá, Guaviare, and Putumayo, is that the majority of people live in urban areas. This is a telling fact of economic geography: that even in the remote parts of the Amazon, people want to come together to live in densely populated areas. This corroborates the findings of our global research over the past two decades that prosperity results from expanding the productive capabilities available locally to diversify production to do more, and more complex, activities.
Topic:: Economic Growth, Deforestation, and Green Economy
Political Geography:: Colombia, South America, Latin America, and Amazon Basin

364. Estimation of Nonlinear Exchange Rate Dynamics in Evolving Regimes

Author:: Jeffrey Frankel, Yao Hou, and Danxia Xie
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: This paper develops a new econometric framework to estimate and classify exchange rate regimes. They are classified into four distinct categories: fixed exchange rates, BBC (band, basket and crawl), managed floating, and freely floating. The procedure captures the patterns of exchange rate dynamics and the interventions by authorities under each of the regimes. We pay particular attention to the BBC and offer a new approach to parameter estimation by utilizing a three-regime Threshold Auto Regressive (TAR) model to reveal the nonlinear nature of exchange rate dynamics. We further extend our benchmark framework to allow the evolution of exchange rate regimes over time by adopting the minimum description length (MDL) principle, to overcome the challenge of simultaneous two-dimensional inference of nonlinearity in the state dimension and structural breaks in the time dimension. We apply our framework to 26 countries. The results suggest that exchange rate dynamics under different regimes are well captured by our new framework.
Topic:: Economy, Econometrics, and Exchange Rates
Political Geography:: Global Focus

365. Adaptive Evaluation: A Complexity-Based Approach to Systematic Learning for Innovation and Scaling in Development

Author:: Siddhant Gokhale and Michael Walton
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: Nearly all challenges in international development tend to be complex because they depend on constantly evolving human behaviour, systems, and contexts, involving multiple actors, entities, and processes. As a result, both the discovery and scaling of innovations to address challenges in development often involve changes in system behaviour or even system-level transformation. This is rarely a linear process over time and can result in unexpected outcomes. Existing evaluation techniques commonly used in international development, including Randomized Control Trials (RCT) and quasi-experimental methods, are good at assessing specific effects of interventions but are not designed for the change processes inherent to innovation and scaling within a system. There is a need to reconstruct how we use existing measurement tools, techniques, and methodologies so that they capture the complexity of the environment in which an intervention or change occurs. We introduce Adaptive Evaluation, designed to learn at various levels of complexity while supporting the transformation needed to foster sustainable change. An Adaptive Evaluation uses three main approaches to work with complex questions—systems diagnosis, theory-based assessment of change processes, and iterative designs. An Adaptive Evaluation typically builds hypotheses from field-based interactions, emphasizes learning over testing, advocates open-mindedness with techniques, and appreciates the value of dialogue and participation in navigating complex processes. It can use RCT or similar techniques to analyse specific processes within a system or a development cycle, but these are embedded in a broader approach to assessment and interpretation. It is designed to be flexible and adjust to shifting contexts. Finally, an Adaptive Evaluation can be applied at any stage in a complex intervention's lifecycle, from the interpretation of the system and change processes to rapid experimentation, prototyping, and testing of select interventions, and then adaptation to different settings for impact at scale. This paper provides the theoretical basis for an Adaptive Evaluation—the main approaches, core ideology, process, and applications.
Topic:: Scaling, Economic Complexity, Innovation, and Adaptive Evaluation
Political Geography:: Global Focus

366. A Growth Diagnostic of Kazakhstan

Author:: Ricardo Hausmann, Nikita Taniparti, Clement Brenot, Douglas Barrios, and Can Soylu
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: This Growth Diagnostic Report was generated as part of a research engagement between the Growth Lab at Harvard University and the Astana International Financial Centre (AIFC) between June 2021 and December 2022. The purpose of the engagement was to formulate evidence-based policy options to address critical issues facing the economy of Kazakhstan through innovative frameworks such as growth diagnostics and economic complexity. This report is accompanied by the Economic Complexity Report that applies findings from this report on economy-wide challenges to growth and diversification in order to formulate attractive and feasible opportunities for diversification. Kazakhstan faces multifaceted challenges to sustainable and inclusive growth: macroeconomic uncertainty, an uneven economic playing field, and difficulties in acquiring productive capabilities, agglomerating them locally, and accessing export markets. Underlying Kazakhstan’s transformational growth in the last two decades—during which real GDP per capita multiplied by 2.5x—are two periods that underscore how Kazakhstan’s growth trajectory has been correlated with oil and gas dynamics. The early and mid-2000s characterized by the global commodity supercycle led to an expansion of the economy upwards of 8% annually, with a mild slowdown during the global financial crisis. In 2014, Kazakhstan’s growth slowed with the collapse of commodity prices, and alternative engines of growth have not been strong enough to fend against volatility since. These trends, along with growing uncertainty in the long-run demand of oil and gas, continue to highlight the limitations of relying on natural resources to drive development. As in the experience of other major oil producers, diversification of Kazakhstan’s non-oil economy is a critical pathway to drive a new era of sustainable and inclusive growth and mitigate the impacts of commodity price shocks on the country’s economy. Kazakhstan’s growth trajectory demonstrates that the country has enough oil to suffer symptoms of Dutch disease, but not enough to position it as a reliable engine of growth in the future. Development of non-oil activities has been a policy objective of the government of Kazakhstan for some time, but previous efforts for target sectors have failed to generate sufficient exports and investments to produce alternative engines of growth. This report characterizes the relationship between growth, industrial policy, and the constraints to diversification in Kazakhstan. It utilizes the growth diagnostics framework to understand why efforts to diversify into non-oil tradables has been challenging. The report proposes a growth syndrome to explain the constraints preventing Kazakhstan from achieving productive diversification and sustainable growth. This report is organized in six sections, including a brief introduction. Section 2 provides an overview of the methodological approach to the Growth Diagnostics analysis. Section 3 describes Kazakhstan’s growth trajectory and macroeconomic performance, as well as the motivations behind pursuing a diversification strategy to strengthen the non-oil economy. Section 4 summarizes three features of the country that manifest in a set of economy-wide constraints to growth and diversification. Section 5 analyzes each of the identified constraints in detail, describing their dynamics and breaking down the aspects that appear to be binding. Section 6 concludes by suggesting potential policy guidelines towards alleviation of the identified constraints.
Topic:: Economic Growth, Diversification, Sustainability, and Inclusion
Political Geography:: Central Asia and Kazakhstan

367. The Economic Complexity of Kazakhstan: A Roadmap for Sustainable and Inclusive Growth

Author:: Ricardo Hausmann, Douglas Barrios, Clement Brenot, Nikita Taniparti, Eric Protzer, and Sophia Henn
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: The John F. Kennedy School of Government at Harvard University
Abstract:: Since the end of the 1990s, Kazakhstan has relied on oil and gas as the main drivers of economic growth. While this has led to rapid development of the country, especially during years of high oil prices, it has also subjected the economy to more severe downturns during oil shocks, bouts of currency overvaluation, and procyclicality in growth and public spending. Stronger economic diversification has the potential to drive a new era of sustainable growth by supporting new sources of value added and export revenue, creating new and better jobs, and making the economy more resistant to fluctuations in oil dynamics. However, repeated efforts to stimulate alternative, non-oil engines of growth have so far been inconclusive. This report introduces a new framework to identify opportunities for economic diversification in Kazakhstan. This framework attempts to improve upon previous methods, notably by building country and region-specific challenges to the development of the non-oil economy directly into the framework to identify feasible and attractive opportunities. These challenges are presented in detail in the Growth Diagnostic of Kazakhstan and are summarized along three high-level constraints: (i) an uneven economic playing field dominated by government-related public and private-entities; (ii) difficulties in acquiring productive capabilities, agglomerating them locally, and accessing export markets; and (iii) ongoing macroeconomic factors lowering external competitiveness lower and making the economy less stable. Our approach applies the economic complexity paradigm to identify what specific products and industries are most feasible for diversification, based on the existing productive capabilities demonstrated in the economy. We examine Kazakhstan's economic complexity at the national but also subnational levels, highlighting the heterogeneity of export baskets across regions that makes an analysis of opportunities at the subnational level essential.
Topic:: Economic Growth, Economic Complexity, Sustainability, and Inclusion
Political Geography:: Central Asia and Kazakhstan

368. Brinkmanship and Nuclear Threat in the Ukraine War

Author:: Carl Conetta
Publication Date:: 05-2023
Content Type:: Working Paper
Institution:: Project on Defense Alternatives
Abstract:: Western leaders and Kyiv pledge to “stay the course” despite Russian nuclear threats. But does western brinkmanship in the Ukraine war depend on denying there is a brink? This short article examines “nuclear threat denialism” and its function in war policy. It explores Moscow’s most likely but occluded nuclear option and the unique danger it represents. And the post examines the relevance of the Cuban Missile Crisis to the current conflict.
Topic:: Conflict Prevention, Nuclear Weapons, and Russia-Ukraine War
Political Geography:: Russia, Europe, and Ukraine

369. “Nuclear Blackmail” – Misdirection in the Ukraine War Debate

Author:: Carl Conetta
Publication Date:: 05-2023
Content Type:: Working Paper
Institution:: Project on Defense Alternatives
Abstract:: Moscow’s repeated warnings about possible world war and nuclear conflict in response to Western support for Ukraine’s fighting forces have elicited calls in the West to resist “nuclear blackmail.”[1] Some observers go further to claim that moderating Western policy in light of nuclear dangers would actually increase the likelihood of nuclear war, if not now then in the future.[2] Prof Timothy Snyder (Yale University) advances the argument succinctly. He writes: “All of you who are saying that we have to give in to [Russian] nuclear blackmail are making nuclear war more likely. Please stop. When you give in to it, you empower dictators to do it again, encourage worldwide nuclear proliferation, and make nuclear war much, much more likely.”[3] The stratagem of this argument is to turn concern about nuclear war against itself; To see the concern itself as the problem. This is wrong headed. There are a variety of effective and sensible ways to inhibit nuclear weapons proliferation, but categorically daring nuclear threats made by nuclear weapon superpowers fighting wars on their borders is not one of them.
Topic:: Conflict Prevention, Nuclear Weapons, and Russia-Ukraine War
Political Geography:: Europe and Ukraine

370. Catastrophe: The Global Cost of the Ukraine War

Author:: Carl Conetta
Publication Date:: 05-2023
Content Type:: Working Paper
Institution:: Project on Defense Alternatives
Abstract:: The war has been a disaster for Ukraine, but also a calamity for the world. This brief article provides a concise overview of the war’s profound global effects, beginning with the combatants’ cost in lives and treasure. Beyond this it assesses the war’s impact on global trade and economy; energy and food price inflation and their effects on poverty, hunger, and mortality; the redirection of humanitarian and official development assistance; the total sum of aid to the Ukrainian war effort, and the estimated cost of postwar reconstruction and recovery. Also examined is the war’s effect on global defense spending. The article also provides copious citations to support further inquiry.
Topic:: Economy, Trade, and Russia-Ukraine War
Political Geography:: Europe and Ukraine

371. Tempting Armageddon: The Likelihood of Russian Nuclear Use is Misconstrued in Western Policy

Author:: Carl Conetta
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Project on Defense Alternatives
Abstract:: This article tracks and assesses the evolution of Russian nuclear threats in the Ukraine crisis, the related interplay between Moscow and Washington, the factors driving Russian thinking on nuclear use, the nuclear options available to Russia, and why US-NATO leaders and hawkish observers dismiss these options as impracticable. We conclude that the probability of Russian nuclear use, although conditionally modest, is rising as Ukraine’s armed forces push forward toward Crimea and the Russian border while also increasing their retaliatory attacks on recognized Russian territory. On its present trajectory, the crisis will soon run a risk of nuclear conflict greater than that experienced during the 1962 Cuban Missile Crisis.
Topic:: NATO, Nuclear Weapons, Armed Forces, and Russia-Ukraine War
Political Geography:: Russia, Europe, and Ukraine

372. Sultan’s Landmark Speech to the Majlis Oman: A Window into Oman’s Economic Reforms

Author:: Jonathan Campbell-James
Publication Date:: 11-2023
Content Type:: Working Paper
Institution:: The Washington Institute for Near East Policy
Abstract:: As he approaches the third anniversary of his ascension to the throne in Oman, on November 14 Sultan Haitham addressed the opening of the 8th session of the Majlis Oman, a parliament that combines both the appointed Majlis ad-Dawla and the wholly elected Majlis al-Shura. This was the first occasion at which Sultan Haitham had made such a speech since assuming the throne, a formal stock-take of the progress he has made in implementing his vision for Oman. Unlike, for example, the King’s speech to the combined U.K. Houses of Parliament, where the government of the day writes the speech which the King merely reads, on this occasion the Sultan owned this speech himself[1]. It outlined both what as sovereign he had set out to achieve, and what as prime minister he had delivered. On display when he gave his speech, Haitham’s presentation is calm and understated, authoritative but less effervescent and more managerial than the style of his predecessor Sultan Qaboos. But nonetheless, he sketched out remarkable progress achieved over the last three years.
Topic:: Politics, Reform, Economy, and Energy
Political Geography:: Oman and Gulf Nations

373. The Fate of Flat Tax in the EU countries

Author:: Krassen Stanchev
Publication Date:: 12-2023
Content Type:: Working Paper
Institution:: Center for Social and Economic Research - CASE
Abstract:: Since 1989, flat tax (FT) reforms have been attempted in Europe and the EU only by ex-communist countries and Iceland. In the 1990s all ex-communist countries lowered and simplified their income taxes, often starting with corporate taxes. In the late 1990s and early 2000s they also reformed their social security systems. In many respects the tax reforms have never stopped, but with regard to income taxation they are less radical than in the 1990s and at the turn of this century. Even when there were reforms re-establishing progressive taxation, they have almost never returned to complex sets of nominal rates and a steep vertical ladder of progressive thresholds. This report attempts to reconstruct the reasons why EU countries moved to introduce proportional taxation on either corporate or personal income, or both, as well as the reasons behind five of them returning to progressive taxation. These reforms happened in different political and economic contexts. It would be difficult to identify unequivocal causality between flattening taxes and economic performance. However, the report compares the dynamics of economic growth and factors related to competitiveness for periods before and after the reforms were launched. The same effort has been made for indicators of wealth and disposable income. The analysis allows for a discussion of lessons learnt and of the prospects for further reforms. The report concludes that it seems impossible to prove that FT systems have been a key contributor to higher economic growth. However, it does seem that, if the social security contributions remain relatively stable and are financed by other tax revenues, they have a positive impact on fiscal performance and general welfare.
Topic:: Reform, European Union, Economic Growth, Tax Systems, Corporate Tax, and Flat Tax
Political Geography:: Europe and Post-Soviet Europe

374. Place of crowdfunding in financing investment projects in Poland

Author:: Marcin Czugan, Michał Karwasiński, Jarosław Mizera, and Ewa Balcerowicz
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: Center for Social and Economic Research - CASE
Abstract:: Crowdfunding for business ventures, commonly referred to interchangeably as investment crowdfunding or equity crowdfunding, is a young practice. It first appeared in the USA (in 2009), and is now a rapidly expanding market in developed economies. The first case of investment crowdfunding in Poland, historically the first issuance, took place in 2012, barely three years later than in the United States. Such crowdfunding is a form of raising capital from the market (from investors) for the development of companies by entrepreneurs or owners, acting as the issuers. Specialised companies (fintechs) creating so-called crowdfunding platforms for matching demand with supply – and where offerings are announced and transactions carried out – are the market’s intermediaries. The report we are releasing discusses the specifics of investment crowdfunding, or in other words how this form of raising funds differs from older forms of external financing for businesses. It also presents the potential and the role of crowdfunding for the development of the capital market in Poland, describing demand for this type of financing, the level of interest among investors, and what both demand and interest depend on. In November 2021, European regulations were introduced specifically for this new market. Our authors analyse how these regulations will affect the future of equity crowdfunding in Poland. This issue of mBank-CASE Seminar Proceedings, on crowdfunding in Poland, follows on from a seminar held in March 2022. Three guests at the seminar were experts participating directly in the development of this new component of Poland’s capital market, therefore possessing unique knowledge of the specifics of crowdfunding, and its strengths and limitations.
Topic:: Finance, Innovation, Economic Development, Private Sector, Knowledge Economy, and Crowdfunding
Political Geography:: Europe and Poland

375. Poverty of Circumstances and Poverty of Opportunity

Author:: Anirudh Krishna and Sujeet Kumar
Publication Date:: 01-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: Ordinary people in rural Bihar and in Patna and Delhi have virtually no opportunity to be tested for a hidden talent, be it for athletics or singing or chess or mathematics or art. Not one of more than 800 young people we interviewed has ever competed at the national, state or district level in any of eight activities of different kinds. Alternative careers pass them by. Future champions can remain unidentified and unrewarded. Something better is necessary to make equality of opportunity less a slogan and more a reality. Examples from across the world show what can be done.
Topic:: Poverty, Economic Inequality, and Opportunity
Political Geography:: South Asia and India

376. Cooperative Federalism in India: Statutory Regulatory Authorities and the Federal System in India

Author:: K. P. Krishnan, Amrita Pillai, and Karan Gulati
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: Since the 1990s, there has been a marked expansion of the regulatory state in India. Statutory Regulatory Authorities (SRAs) are empowered to create and enforce regulations in their respective fields and often have the authority to issue licenses, conduct inspections, and take enforcement action against individuals or organisations that violate their regulations. This essay recognises the twin-deficit issue with SRAs in India. It focuses on the federal deficit issue and resists exploring the more obvious democratic deficit in them. Our analysis shows that over the twenty-three-year period between 1999 and 2022, the Rajya Sabha (Council of States) has reviewed 4 regulations by SRAs. For context, the securities regulator has issued 661 regulations since its inception in 1992. Such a federal deficit of a lack of State representation disallows decentralisation and restricts means for individuals and communities to have a greater say in the decisions that affect their lives.
Topic:: Governance, Regulation, Deficit, Domestic Policy, and Cooperative Federalism
Political Geography:: South Asia and India

377. Cooperative Federalism in India: Resetting the Fiscal Architecture: Lessons for India

Author:: Kandarp Patel and Anoop Singh
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: The COVID-19 pandemic brought significant challenges to public finances, raising global debt to record-high levels and necessitating the suspension of fiscal rules across the globe. As we approach the aftermath of the pandemic, the challenge is to reset the pillars of the fiscal architecture and better manage public finances across all levels of government—as the lynchpin of any successful growth strategy in a post-pandemic world. This situation offers an opportunity to rethink fiscal rules and make fiscal policy more agile in responding to crises, without undermining fiscal sustainability. A risk-based medium-term fiscal framework that combines standards, rules, and strengthened institutions would strike a better balance between flexibility and credibility. Overall, for India to achieve its full potential for economic growth and development, it needs to improve the quality and efficiency of public spending and financial management across all levels of government. In doing this, India should consider moving toward a new principle-based fiscal strategy, complemented with public financial management reforms and setting up an independent fiscal institution. This process will need to be undertaken in close collaboration with the States.
Topic:: Finance, Economic Growth, COVID-19, and Public Debt
Political Geography:: South Asia and India

378. Cooperative Federalism in India: Towards an Inter-State Migration Council

Author:: Chinmay Tumbe
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: Migration in India has tended to create friction—between the Union government and State governments, and between different State governments. This chapter reviews the nature of migration in India and its relationship with nativist sentiments and political conflicts. It argues for the establishment of an inter-State migration council, either nested within the existing framework of the Inter-State Council or led by the Ministry of Labour and Employment, that would uphold the constitutional provisions on mobility, lead on the collection and dissemination of statistics on inter-State migration, promote the portability of social security benefits, and work towards resolving migration-related disputes in the federal system
Topic:: Migration, Labor Issues, Employment, and Cooperative Federalism
Political Geography:: South Asia and India

379. Cooperative Federalism in India: Institutions of Political Migration: The Office of the Governor

Author:: Chakshu Roy and M. R. Madhavan
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: Governors occupy a critical position in India’s constitutional framework as a critical mechanism through which tensions between the central and state governments can be negotiated and managed. In fact, their powers have grown over time as other institutions intended to foster centre-state cooperation and coordination have atrophied. This chapter documents the de jure powers and de facto workings of the office of the Governor since Independence in 1947. It reveals the continuing contestation over Governors’ independent decision-making, a matter which has been debated since the time of the Constituent Assembly. The unresolved matter of how Governors can independently exercise their discretion without acting, or being seeing to act, merely as instruments of the centre remains a vexed issue in the contemporary era.
Topic:: Migration, Institutions, Local Government, and Cooperative Federalism
Political Geography:: South Asia and India

380. Cooperative Federalism in India: The Adjudication of Federal Disputes

Author:: Raeesa Vakil
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: The Indian Supreme Court has the jurisdiction to adjudicate federal disputes, i.e. disputes between states, or between the centre and states. This jurisdiction has been rarely invoked – until recently. A group of new cases will require judges to re-examine doctrines that they have evolved to limit their own ability to adjudicate federal conflict, and consequently, will require the court to re-evaluate its own function within Indian federalism.
Topic:: Supreme Court, Disputes, and Cooperative Federalism
Political Geography:: South Asia and India

381. Cooperative Federalism in India: Parallel Streams: Political Federalism and Economic Integration in India

Author:: Niranjan Rajadhyaksha and Prakhar Misra
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: Economic integration is an important component of the design of political federations, a fact that was evident to the framers of the Indian constitution, but has been given inadequate attention in much of the subsequent literature on Indian federalism. In this paper, we examine the slow progress of economic integration in India, revisit the policy debates on the need for fewer barriers on interstate trade, and end with a set of unfulfilled recommendations to further strengthen cooperative federalism in India.
Topic:: Constitution, Economic Integration, and Cooperative Federalism
Political Geography:: South Asia and India

382. Cooperative Federalism in India: The Goods and Services Tax Council: Dialectics and Design

Author:: Haseeb A. Drabu
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: This paper explores the origins of the GST Council, examines its impacts on federalism in India, and considers the road ahead for the institution. It also addresses key arguments that have been put forth about the design and functioning of the Council. The GST Council, despite its shortccomings, has the potential to evolve as the centrepiece of a new federal architecture in India. It has changed the institutional architecture of fiscal federalism in India and can potentially change the dynamics of Centre-state relations. However, India’s evolving political economy threatens to derail the federal compact that underlay its formation.
Topic:: Political Economy, Tax Systems, Domestic Policy, and Cooperative Federalism
Political Geography:: South Asia and India

383. Cooperative Federalism in Indi: Federal Aspects of India's Emerging Internal Migration Governance Frameworks

Author:: Mukta Naik
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: The exodus of millions of migrants during the 2020 Covid lockdowns resulted in an uptick in migrant-inclusive policy initiatives. Leaning on concepts developed in migration studies and organizational theory, this paper analyses emergent policy responses with a focus on the role of government. Without a coherent and explicit approach to governing migration from the Centre, State governments have actively worked towards improving governance responses to migrants. The location of initiatives outside of the nodal State labour department, convergence between departments and bilateral arrangements between States demonstrate how horizontal and vertical boundaries within the governance system were bridged innovatively by temporary orders, enterprising bureaucrats, state-society collaborations and by leveraging hitherto under-utilized provisions in existing schemes. The paper highlights migration governance as an example where the rearrangement of federal relationships under crisis conditions has offered new policy imaginations. A nascent transition away from a centralist model of migration governance has emerged, which can be accelerated and sustained by institutionalizing successful initiatives, including boundary-spanning mechanisms.
Topic:: Migration, Labor Issues, Governance, and Cooperative Federalism
Political Geography:: South Asia and India

384. Cooperative Federalism in Indi: The Rise and Resilience of Fiscal Transfers Amidst Party System Change

Author:: Suyash Rai and Milan Vaishnav
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: Has political centralization induced fiscal centralization in India? This paper examines this question through an institutional analysis of India’s Finance Commission, a constitutional body tasked with determining fiscal transfers from the Union government to the States, and through an analysis of Union government incentives to make discretionary transfers under various schemes. It finds no simple correspondence between political centralization and fiscal devolution. In recent years, despite the presence of a dominant party and considerable centralization of power, fiscal transfers from the Centre to the States have not undergone the sharp reversal that many expected. We argue that a nuanced understanding of the Finance Commission’s unique position is central to understanding India’s institutional landscape more generally. We also argue that understanding the interplay between political contestations and the pursuit of efficiency in the fiscal relations between the Union government and the sub-national governments can help shed new light on how centre-state relations are evolving.
Topic:: Resilience, Cooperative Federalism, and Fiscal Transfers
Political Geography:: South Asia and India

385. India’s Regulatory Shift: An Examination of Five Agencies of the Post- Liberalisation Era

Author:: Arkaja Singh
Publication Date:: 02-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: This paper explores the design of Indian regulatory agencies established post-liberalisation from an administrative perspective. Regulatory agencies were set up to replace state inefficiencies, and to discipline profligate state agencies, even as much as they were a response to state-market reorganisations and the challenge of privatization. Regulation provided an opportunity for upper levels of the Indian bureaucratic state to recast their power, with the idea that it would provide a framework for economic rationality, independence and technical specialization to take centre-stage. In actual practice however, the design of each of the regulatory agencies is shaped largely by pre-existing legal frameworks and institutions, and the agencies have remained quite tied in with their counterpart departments and on retired bureaucrats. However, in spite of these limitations, these agencies have some common features imbued by legislative mandate and organisational design which are unique in the context of the Indian state. They have focus and stability, a degree of functional independence, and most importantly, a concentration of power, which enables them to think through and implement complex policy transitions from multi-year and context-specific perspectives. The paper builds on learnings from a series of conversations with regulatory agency chairpersons in order to identify what regulatory governance is, in terms of the powers and mandate of the regulatory agencies and what makes them distinctive from the rest of public administration.
Topic:: Markets, Governance, Regulation, Bureaucracy, and Liberalization
Political Geography:: South Asia and India

386. Organisation Through Neglect: Understanding Field Administration in India

Author:: Rashmi Sharma
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: This paper analyses the structure and processes of field administration in India and matches these with the outcomes on the ground. It highlights features of the administrative structure, human resources, and organisational culture that result in the sub-optimal delivery of social services and policy implementation. Recognizing the importance of historical antecedents, the paper provides a brief account of how field administration has developed over time. Subsequently, it presents the findings of a case study of a district situated in Madhya Pradesh. This is followed by a delineation of the key areas for reform and some possible strategies, though these need to be formulated after rigorous debate. The paper traces the roots of the present-day field administration to the colonial era, when the existing decentralised and diffused field administration system was changed to achieve the government’s goals to maximise revenue from land and forests and maintain order. The district became the key administrative unit in the field, and the district collector (DC) the overall administrative head. After Independence, government goals shifted dramatically, and socio-economic development became a central concern. However, the basic administrative structure was retained, while several departmentalorganisations were added.
Topic:: Governance, Colonialism, Human Resources, and Administration
Political Geography:: South Asia and India

387. Frontline Functionaries in India: The Absent Policy

Author:: Rashmi Sharma
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: In the context of a high level of dissatisfaction with the delivery of government services in India, this paper traces the evolution of policy regarding key actors in this process— frontline functionaries or street-level bureaucrats. Frontline functionaries form a special subset of the bureaucracy as they come in close contact with citizens, and negotiate government policy with specific citizen needs. The paper provides a historical background illustrating the continuity of colonial era ideas with the current policy regarding frontline functionaries, and also examines it against broader developments in policy and the administrative structure. The policy regarding frontline functionaries is scrutinised against their three roles: as government employees, as professionals or skilled workers in specific fields, and as workers serving the community. The paper shows that frontline functionaries, only loosely connected to the government before colonization, subsequently became government employees, as the government sought to increase the efficiency of revenue collection from land and forests, and to maintain order. Because the colonial government minimized administrative costs, it paid frontline functionaries very poorly, placed them near the bottom of an extremely hierarchical bureaucratic structure and provided them with minimal promotion avenues. Frontline functionaries were not considered worthy of serious responsibility, expected to follow orders, had little education and training and were treated harshly by senior officials. Consequently, their performance was unsatisfactory. They were often corrupt and exploited the community.
Topic:: Government, Decolonization, and Bureaucracy
Political Geography:: South Asia and India

388. Regulating Air Quality at an Airshed Level in India

Author:: Shibani Ghosh, Bhargav Krishna, and Abinaya Sekar
Publication Date:: 08-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: Air pollution is a pan-India problem, and whether viewed in terms of pollution sources or exposure, there is no reason to continue an urban-focus in air pollution mitigation measures. It is imperative for air quality governance in India to transition from a city-centric approach to an airshed approach. As resources to address the pollution crisis are scarce, a coordinated effort across a region, that supports consistent and uniform measures against similar pollution sources, is likely to lead to greater gains in terms of air quality. In this Paper, we unpack some of the key issues relating to airshed-level governance and what is required to make that transition in India. The current regulatory set-up is designed to primarily focus on point sources, and the jurisdictional mandate of regulatory bodies aligns with state or city boundaries. To effectively regulate pollution and reduce pollution exposure, changes need to be introduced to this regulatory architecture, making it adopt an airshed-level approach. To begin with, airsheds have to be demarcated based on several criteria. However, there is sufficient literature available to initiate necessary reform measures, and the transition to an airshed or regional approach is not contingent on perfect airshed demarcation. We propose that airsheds be notified under the Air Act by the State Governments as ‘air pollution control areas’, and the Union Government may constitute, through notification, multi-stakeholder institutions for each airshed under the EP Act. We have outlined the composition of such an institution, its powers, roles, and responsibilities. It will be a focal point for standard setting, policy guidance, planning and knowledge generation for the airshed, while not being involved in enforcement. A key ingredient for successful airshed-level governance is effective accountability mechanisms that ensure compliance by actors across the region. We envisage a role for the Union Government under the EP Act as well as for the National Green Tribunal in this regard.
Topic:: Governance, Regulation, Domestic Policy, and Air Pollution
Political Geography:: South Asia and India

389. A Health-Centred Framework for Establishing Ambient Air Quality Standards

Author:: Bhargav Krishna and Abinaya Sekar
Publication Date:: 09-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: Air quality standards are primarily health-based standards that define the ambient concentration of air pollution to which the public can be exposed without suffering harm to their health. In India, the Central Pollution Control Board (CPCB) is tasked with setting the National Ambient Air Quality Standards (NAAQS) under the Air (Prevention and Control of Pollution) Act of 1981. The NAAQS were first established in 1982 for four pollutants (suspended particulate matter, nitrogen dioxide, sulphur dioxide and carbon monoxide) and subsequently revised in 1994 and 1998 to include several more. The current iteration of the NAAQS were notified in 2009 and were aligned with the World Health Organization’s (WHO) interim air quality guidelines. The most recent revision of the WHO guidelines for ambient air quality in September 2021 rendered the NAAQS as substantially weaker in comparison. The alignment of the NAAQS with these global guidelines will require integration of the wealth of new health data generated since 2009 on the deleterious effects of air pollution on health both locally and globally. The 2009 NAAQS revisions were notified through the Gazette of India with no contextual information provided on the composition of the committee tasked with the revisions, or on the kind of data or information used by the committee to draw its conclusions on the acceptable levels of exposure to various pollutants. In August 2021, the CPCB convened a committee to review and update the NAAQS. The committee’s wide-ranging remit includes an assessment of the health risks of air pollution, establishing guidelines for monitoring, identifying non-attainment areas, and revising the Air Quality Index (AQI) through which health risks are communicated to the public.
Topic:: Regulation, Public Health, and Air Pollution
Political Geography:: South Asia and India

390. Understanding Enablers and Barriers to Social Protection of Sanitation Workers

Author:: Anju Dwivedi, Abhinav Kumar, and Shubhagato Dasgupta
Publication Date:: 07-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: There has been a strong focus on improving the sanitation situation in the last decade in India due to the Government of India’s flagship program called Swachh Bharat Mission. In the last decade, the country witnessed an increase in the number of toilets, Sewer Treatment Plants and Faecal Sludge Treatment plants. The demand for sanitation services has spotlighted the issue of sanitation workers too. Sanitation workers are vital to the provision of safe sanitation for all the residents in the city. However, hazardous work conditions and low social status, coupled with discrimination, long working hours, and lack of social protection, accentuate their vulnerabilities. Recognizing the high level of social and economic vulnerability and discrimination faced by sanitation workers, the Government of India (GoI) and several state governments have initiated many programs and schemes, including social protection measures for Sanitation workers. The main objective of the research is to identify the enablers and barriers to availing social protection benefits (in the form of healthcare, insurance, pensions, and allowances) for sanitation workers. The study examines the social protection coverage of formal and informal sanitation workers in Dhenkanal, Odisha. Semi-structured interviews with Sanitation workers employed with ULB, private contractors and Area Level Federation were conducted to understand the challenges faced by Sanitation workers in accessing social protection. In addition, key informant interviews were also carried out with leaders from employee unions of sanitation workers, ULB officials, and other stakeholders, including private contractors. The study recognizes enablers such as a favourable policy environment, capacity enhancement, collaboration with other stakeholders, and barriers like low awareness, inadequate capacities, and lack of institutional convergence mechanisms to improve socioeconomic well-being and promote sanitation workers’ safety, dignity, and social protection. This study highlights the disparity in working conditions and employment benefits received by regular and contractual sanitation workers, the need for creating a formal grievance redressal mechanism and undertaking measures to build the capacity of sanitation workers. The report presents key recommendations emerging from the study, such as greater involvement of employee unions, convergence with other departments providing welfare benefits to sanitation workers, improving grievance redressal mechanisms, and creating more awareness and information dissemination to sanitation workers on different social protection measures.
Topic:: Labor Issues, Protection, and Sanitation Workers
Political Geography:: South Asia and India

391. Gender and Just Transition: Envisioning a Gender-transformative Pathway to Energy Transition in India’s Coal States

Author:: Suravee Nayak and Ashwini K. Swain
Publication Date:: 04-2023
Content Type:: Working Paper
Institution:: Centre for Policy Research, India
Abstract:: Entrenched gender biases and injustices in the coal political economy cannot be wished away with the ongoing shift from coal to renewable energy. Rather, the energy transition must seek to unwind these entrenched patterns in the 20th century energy system while creating an equal role for and participation of women in the 21st century energy system. To do so, just transition planning must proactively engage with gender questions in coal communities and envision a gender-transformative pathway to the transition in India’s coal states. Analysing the forms of exclusions faced by women in coal economies, this brief argues that women face four structural barriers – entry barrier, distribution barrier, wage barrier and representation barrier – that are consequential for their social and economic status and agency. The combined effects of these barriers, the masculine nature of the coal industry and existing social norms marginalise women in India’s coal communities and confines them to three observed patterns of engagement: 1) social reproductive labour, 2) informal casual labour and coal scavenging, and 3) formal but menial labour in coal mines. The ongoing shifts in our energy foundations offer an opportunity to unwind the gender inequities and injustices of the coal economy and envision a gender equal energy future. In this direction, the brief suggests four immediate steps to engage with the gender question as part of just transition planning. Recognise women labour force in the coal economy through an intersectionality-informed analytical and assessment framework. Ensure women’s representation in just transition planning at different tiers of governance and decision making. Promote gender inclusive economic diversification in coal regions, with particular attention to women- centric and women-led economic opportunities. Treat women as change agents in the energy transition harnessing their potential role in smoothening the disruptions of the transition.
Topic:: Political Economy, Women, Coal, Inclusion, Gender, and Energy Transition
Political Geography:: South Asia and India

392. Dispatches: Life Beyond the Borders

Author:: Shano Mohammed
Publication Date:: 08-2023
Content Type:: Working Paper
Institution:: Center for Contemporary Arab Studies (CCAS)
Abstract:: I was born in March 1991, at the back of a lorry carrying nearly 100 women and children fleeing the horrors of Saddam Hussein’s regime. My life started amid the Kurdish uprising in Iraq, during which my family sought refuge in the Kurdish region of neighboring Iran. Being born under these circumstances, in war-torn, conflict-ridden, indeed blood-soaked Kurdistan, shaped my life and colored my personality in ways that I continue to discover every day. My mother was forced into a marriage at the age of twelve, to an older man, who abused her for sport. My faint memory of home is of the recurring cries, screams, aches, and pains of mother and daughters abused by father and brother, while outside the confines of my so-called home, everyday life teemed with loud explosions and airstrikes. Everyone seemed to proceed with their ordinary lives, but I could not.
Topic:: War, Kurds, and Memoir
Political Geography:: Iraq and Middle East

393. The EU and CT-P/CVE in its external action

Author:: Dylan Macchiarini Crosson, Tatjana Stankovic, Pernille Rieker, and Steven Blockmans
Publication Date:: 07-2023
Content Type:: Working Paper
Institution:: Centre for European Policy Studies (CEPS)
Abstract:: This article re-frames the ongoing democracy versus security debate surrounding the European Union’s (EU) policies to counter terrorism and prevent/counter violent extremism (CT-P/CVE). Indeed, extant literature has primarily focused on how the EU’s CTP/CVE-specific emphasis on security concerns has come at the expense of attention towards good governance and social justice, thereby undermining the effectiveness of its approach. After reviewing general concepts discerned from previous research on the EU’s CT-P/CVE policy, tracing its approach over time, analysing key documents, and conducting interviews with policymakers, this analysis finds that the EU – in its words, funding, and policy implementation – also pays significant CT-P/CVE-relevant attention to the structural causes of radicalisation to violent extremism and terrorism by mobilising significant developmentoriented resources and diplomatic energy. By doing so, the EU’s CT-P/CVE policies balance an emphasis on security concerns and broader socio-economic and diplomatic engagement. However, the EU simultaneously de-emphasises good governance and peacebuilding, which must be reinforced and mainstreamed across its primary developmental engagement for the EU’s CT-P/CVE approach to be considered fully fit-for-purpose.
Topic:: Security, Terrorism, Governance, Violent Extremism, European Union, Democracy, and Peacebuilding
Political Geography:: Europe

394. One year of war in Ukraine

Author:: Christian Leffler
Publication Date:: 03-2023
Content Type:: Working Paper
Institution:: Centre for European Policy Studies (CEPS)
Abstract:: It has been just over one year since Russia began its brutal war of aggression against Ukraine. In that year, the EU has stepped up and provided copious amounts of support to Ukraine – economic and military, as well as providing a safe haven for millions of Ukrainians who have fled the fighting. As the conflict has now entered its second year, this CEPS Explainer dives deep to analyse what has defined the first year and then expands on what the EU needs to concretely do in the second if Ukraine is to have any hope of triumphing over the invaders. This will require vision, courage and boldness from European leaders. The alternative if they fail? A rules-based international order replaced by a ruthless multipolar world defined by competing spheres of influence.
Topic:: European Union, Armed Conflict, International Order, and Russia-Ukraine War
Political Geography:: Russia, Europe, and Ukraine

395. The Sunshine Problem: Climate Change and Managed Decline in the European Union

Author:: Timur Ergen and Luuk Schmitz
Publication Date:: 12-2023
Content Type:: Working Paper
Institution:: Max Planck Sciences Po Center on Coping with Instability in Market Societies (MaxPo)
Abstract:: Decarbonization requires the winding down of – economically – fully viable, if not highly prosperous, lines of economic activity. Different from past episodes of industrial restructuring revolving around the managed decline of sunset industries, accelerating climate change requires reallocation away from economic activities where the metaphorical sun is still shining. Firms, owners, workers, regions, and polities structurally rely on these sources of prosperity and have interwoven their past and future lives with them. We argue that this problem has created a space for state actors to experiment with vertical industrial policies to manage the reallocation of resources from polluting to non-polluting activities. We illustrate this dynamic by investigating the least-likely case of the European Union, a polity heavily tilted towards market governance. European climate policymakers, we argue, have incrementally moved away from the primacy of regulatory, market-making tools and have introduced a plethora of vertical instruments to shift resources away from climate-harming fields. This experimentation with vertical policies unfolds against the backdrop of a thirtyyear institutional legacy of single market-oriented policy in the energy field.
Topic:: Climate Change, Industrial Policy, European Union, Social Cohesion, and Green Transition
Political Geography:: Europe

396. A Bitter Adjustment for German Family Capitalism: Succession and a Changing Ownership Transfer Regime

Author:: Isabell Stamm and Allan Sandham
Publication Date:: 11-2023
Content Type:: Working Paper
Institution:: Max Planck Sciences Po Center on Coping with Instability in Market Societies (MaxPo)
Abstract:: Germany is known for its family-owned businesses that transfer ownership across generations. However, business owners in Germany increasingly envision selling their business beyond the family, which fundamentally changes the institutionalized way private ownership of businesses is transferred. In this paper, we analyze and explain this fundamental change in German family capitalism since the 1990s. Drawing on a sociology of ownership, we view family succession as a transfer regime and show how this regime has been problematized and gradually reframed. Based on analysis of a rich corpus of documents, archival materials, and twenty-seven expert interviews, we show how a new transfer regime – the exit regime – emerges, which coordinates ownership transfer among founders through matchmaking. Our study contributes to research on family capitalism and succession by demonstrating how family capital moves toward the financial sector without becoming financial capital as it loses the family and gains the founder as personalized points of reference.
Topic:: Regime Change, Capitalism, Family, Succession, and Ownership
Political Geography:: Europe and Germany

397. What Growth Strategies Do Citizens Want? Evidence from a New Survey

Author:: Lucio Baccaro, Bjorn Bremer, and Erik Neimanns
Publication Date:: 08-2023
Content Type:: Working Paper
Institution:: Max Planck Sciences Po Center on Coping with Instability in Market Societies (MaxPo)
Abstract:: While research on the economic characteristics of growth models across countries is now extensive, research on the politics of growth models is still in its infancy, even though governments routinely pursue different strategies to generate growth. In particular, we lack evidence on (1) whether citizens have coherent preferences towards growth strategies, (2) what growth strategies citizens prefer, and (3) what shapes their preferences. We address these questions through a new survey of public opinion in Germany, Italy, Sweden, and the United Kingdom, which exemplify different models. We find that preferences for growth strategies are consistent with other policy preferences and are meaningfully structured by class and retirement status, and to a lesser extent by sector of employment. At the same time, differences across class and sector are small, and a large majority of respondents across countries favor wage-led growth. This suggests there is a “representation gap,” since this particular growth strategy is in crisis everywhere.
Topic:: Public Opinion, Economic Growth, Representation, Macroeconomics, Comparative Capitalism, and Growth Models
Political Geography:: United Kingdom, Europe, Germany, Italy, and Sweden

398. Paradigm Shifts in Macrosociology

Author:: Renate Mayntz
Publication Date:: 06-2023
Content Type:: Working Paper
Institution:: Max Planck Sciences Po Center on Coping with Instability in Market Societies (MaxPo)
Abstract:: This paper looks at changes in macrosociological paradigms for social development that traditionally stretch from the primitive society through the stratified medieval society to the image of a functionally differentiated modern society. Changing the perspective from a systems theoretical view of societies to an actor perspective, I focus on populations of individual actors and organizations as collective actors. Over recent decades, important structural changes in the nature of populations and of organizations have taken place in the Western world. The most important relate to economic globalization and financial internationalization. An increasingly flexible population and narrowly goal-specific organizations produce a situation of societal instability that appears to characterize the present, though its causes reach back half a century.
Topic:: Development, Conflict, Integration, and Financial Globalization
Political Geography:: Global Focus

399. Turning No Tides: Union Effects on Partisan Preferences and the Working-Class Metamorphosis

Author:: Sinisa Hadziabdic
Publication Date:: 05-2023
Content Type:: Working Paper
Institution:: Max Planck Sciences Po Center on Coping with Instability in Market Societies (MaxPo)
Abstract:: Relying on panel data for Germany, Switzerland, the United Kingdom, and the United States, the paper examines the impact of union membership on partisan preferences. By leveraging panel data to control for time-invariant selection effects, we show that unions exert a small consistent left‑wing influence on the average wage earner who becomes affiliated, but they are no longer able to modify the preferences of working-class members. A longitudinal approach reveals that changes in partisan preferences can be linked to members’ preexisting predispositions and to the prevalent political views within unions. Unions mainly attract individuals who already share their political inclinations before joining. These preexisting left-wing convictions allow an additional left-wing shift to take place through a value congruence mechanism provoked by interactions with long-term union members who are even more left-wing oriented than the newcomers. Symmetrically, working-class joiners exhibit less pronounced left-wing inclinations before becoming affiliated, a gap that widens further after they join as a consequence of their unmet expectations.
Topic:: Politics, Class, Political Parties, Data, and Trade Unions
Political Geography:: Europe and North America

400. Top Wealth and Its Historical Origins: An Analysis of Germany’s Largest Privately Held Fortunes in 2019

Author:: Daria Tisch and Emma Ischinsky
Publication Date:: 04-2023
Content Type:: Working Paper
Institution:: Max Planck Sciences Po Center on Coping with Instability in Market Societies (MaxPo)
Abstract:: Rising wealth inequality is both a topic in recent policy discussion and in the social sciences. Despite the general interest in wealth concentration, we know only little about the largest privately held fortunes. To help fill this gap we analyze the historical origins of Germany’s 1,032 largest fortunes in 2019. In particular, we identify the share of entrenched fortunes – fortunes which date back to the beginning of the twentieth century – and ask to what extent they differ from more recently established ones. Furthermore, we examine in an exploratory way if entrenched fortunes are connected to fortunes with more recent origins through family lines. We use a journalistic rich list published by the manager magazin in 2019, which we link with both rich lists from 1912/1914 and Wikidata. We find that about eight percent of today’s fortunes can be traced back to fortunes held by the same families in 1913. Regression analyses show that entrenched fortunes rank on average higher on the rich list than the remaining ones. Descriptive network analyses indicate that some of today’s largest fortunes are intertwined through marital lines, hinting at social closure at the top. Our findings indicate that the accumulation and perpetuation of fortunes over many generations is an important feature of top wealth in Germany.
Topic:: Inequality, Family, Elites, Wealth, Inheritance, and Network Analysis
Political Geography:: Europe and Global Focus

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COLUMBIA UNIVERSITY PRESS