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18281. Are Russians Undemocratic?

Author:
Michael McFaul and Timothy J. Colton
Publication Date:
06-2001
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
A NEW NARRATIVE ABOUT POST -S OVIET R USSIA is taking hold in policy, media, and academic circles and shows signs of entrenching as a new conventional wisdom. By this reading, Russia's experiment with democracy has flat-out failed. So misconceived and mismanaged were the political and economic reforms of the 1990s that they have fueled mass disenchantment with democratic norms and brought authoritarianism back into repute. Russians, in short, are said to be giving up on democracy.
Topic:
Democratization and Government
Political Geography:
Russia, Europe, and Asia

18282. Pitfalls on the Road to Fiscal Decentralization

Author:
Vito Tanzi
Publication Date:
04-2001
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
IN PAST YEARS, the subject of fiscal decentralization interested mainly specialists—even though several countries, including the United States, came into existence through the political and economic integration of already existing political entities, such as states or principalities. Recently, however, fiscal decentralization has been attracting more general attention, largely because of pressures for greater fiscal decentralization in many countries around the world. The purpose of this paper is to discuss a range of issues related to fiscal decentralization, focusing in particular on possible alternatives to decentralization and various pitfalls that may be associated with it. Unlike much of the previous literature on the subject, therefore, this paper will pay less attention to the actual processes of decentralization and more on whether decentralization is the right direction for a country to choose.
Topic:
Economics, Government, and International Trade and Finance
Political Geography:
United States

18283. The Myth of Output Collapse after Communism

Author:
Anders Åslund
Publication Date:
03-2001
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
According to official statistics, output plunged in almost all Soviet-type countries toward the end of communism. Then in the first year of transition, the plunges turned even more dramatic, continuing for years. The total registered declines in GDP range from 13 percent in the Czech Republic from 1989 to 1992 to 77 percent in Georgia from 1989 to 1994. This collapse has been widely proclaimed as the worst depression in the industrialized world, exceeding the Great Depression of 1929–33. Both communist and post-communist statistics are deeply flawed, however—and in different ways.
Topic:
Communism and Economics
Political Geography:
Eastern Europe

18284. The Anti-Terrorism Coalition: Don't Pay an Excessive Price

Author:
Charles V. Peña
Publication Date:
12-2001
Content Type:
Working Paper
Institution:
The Cato Institute
Abstract:
To prosecute the war on terrorism, President Bush has assembled a diverse coalition of countries for political, diplomatic, and military support. Some of those countries are long-standing friends and allies of the United States. Others have new or changing relationships with the United States. Although there may be a price for their support, America should not pay an excessive price—one that could be detrimental to longer-term U.S. national security interests. And though it may be necessary to provide a certain amount of immediate aid (directly or indirectly) as a quid pro quo for the support of other nations in our war on terrorism, the United States needs to avoid longer-term entanglements, open-ended commitments, and the potential for an extreme anti-American backlash.
Topic:
Security, Religion, and Terrorism
Political Geography:
Russia, United States, America, Europe, Middle East, and Asia

18285. Report from Havana: Time for a Reality Check on U.S. Policy toward Cuba

Author:
Jonathan G. Clarke and William Ratliff
Publication Date:
10-2001
Content Type:
Working Paper
Institution:
The Cato Institute
Abstract:
Official U.S. and Cuban depictions of the effects of the U.S. embargo differ notably from Cuban economic reality. This report, based on the authors' recent visits to Havana and interviews with top Cuban officials, dissidents, and other private citizens, shows that the embargo is not responsible for Cuba's poor economic condition—as Havana claims—nor has it been effective at achieving Washington's goal of isolating the Cuban regime.
Topic:
Economics, International Political Economy, and International Trade and Finance
Political Geography:
United States, Cuba, Latin America, Caribbean, and Havana

18286. The Case for Open Capital Markets

Author:
Robert Krol
Publication Date:
03-2001
Content Type:
Working Paper
Institution:
The Cato Institute
Abstract:
Recent financial problems in emerging economies have led to calls for a new international financial architecture. Proposals include restricting short-term capital flows and extending the International Monetary Fund's role to that of an international lender of last resort. Both “reforms” would be mistakes.
Topic:
Economics, Emerging Markets, International Organization, and International Trade and Finance

18287. Instability in the Philippines: A Case Study for U.S. Disengagement

Author:
Doug Bandow
Publication Date:
03-2001
Content Type:
Working Paper
Institution:
The Cato Institute
Abstract:
As the world becomes a less dangerous place for America, U.S. officials work more desperately to preserve America's pervasive international military presence. This policy is evident in the Philippines, with which Washington recently concluded a Visiting Forces Agreement.
Topic:
Foreign Policy and Politics
Political Geography:
United States, Asia, Philippines, and Southeast Asia

18288. Why is there no mad cow disease in the United States? Comparing the politics of food safety in Europe and the U.S.

Author:
Christoph Strünck
Publication Date:
12-2001
Content Type:
Working Paper
Institution:
Institute of European Studies (IES), UC Berkeley
Abstract:
This paper compares approaches towards food safety regulation in Europe and the United States. It focuses on mad cow disease and examines how the British Government and the European Union handled the first big crisis in the nineties, juxtaposed to the American response. This worst public health disaster in Europe has led to new agencies and policies. However, these institutional changes do not abolish fragmentation, but extend the existing landscape regulatory bodies. The paper emphasizes that fragmentation-as the American case shows despite its shortcomings-prevents science from being captured by the state, allows interest groups broader access and ensures a distinct pattern of checks and balances.
Topic:
Science and Technology
Political Geography:
United States, America, and Europe

18289. Strengthening Local Administration of Social Assistance in Russia

Author:
Raymond J. Struyk and L. Jerome Gallagher
Publication Date:
11-2001
Content Type:
Working Paper
Institution:
Urban Institute
Abstract:
A hallmark of the administration of social assistance under the socialist regimes in Eastern Europe and the USSR was the universal nature of eligibility for benefits, either to all citizens or to categories of deserving citizens, e.g., the physically handicapped. During the transition period since the collapse of the Soviet Union, the Russian Federation has taken limited steps to improve the targeting of benefits. The challenge to improvement is acute because the administration of the great majority of programs rests with agencies of local government. The question addressed here is how amenable local program administration is to improved targeting and more progressive program administration in general. Presented is an analysis of the results of assessments of two pilot programs implemented in two Russian cities in 2000–2001. The “school lunch pilot” introduced means testing in the school lunch program on a citywide basis; eligible families receive cash payments and all children pay the same price for their lunches in cash. The “jobs pilot” is a new, local means-tested program that provides cash support to families while unemployed workers search for work; continued receipt of funds is conditional on a minimum job search effort. We find that both programs were successfully implemented and that there was little resistance to the sharper targeting. On the other hand, a variety of problems with program administration were identified—problems that need to be addressed if program integrity and credibility are to be maintained.
Topic:
Economics, Government, and Human Welfare
Political Geography:
Russia, Europe, and Asia

18290. Russian Nonprofits as Contracted Providers of Municipal Social Services: Initial Experience

Author:
Raymond J. Struyk and Kirill Chagin
Publication Date:
08-2001
Content Type:
Working Paper
Institution:
Urban Institute
Abstract:
In the Russian Federation the delivery of social services to deserving population groups is mostly the responsibility of municipalities and other local governments. Services are delivered by municipal agencies. One way to inject competition into the delivery system is for local government to hold competitions to contract for social service delivery. The competitions can be open to nonprofit organizations (NPOs), some of which have been providing assistance in recent years to needy individuals and families similar to those that would be contracted.
Topic:
Economics, Human Welfare, and Non-Governmental Organization
Political Geography:
Russia, Europe, and Asia

18291. Australian Unemployment Protection: Challenges and New Directions

Author:
Wayne Vroman and Vera Brusentsev
Publication Date:
07-2001
Content Type:
Working Paper
Institution:
Urban Institute
Abstract:
This paper examines Australia's scheme of unemployment protection and makes some comparisons with unemployment protection in the United States of America. A major concern of the paper is to understand the differences in unemployment duration between these two economies. Policies followed in the United States intended to reduce duration are reviewed for possible applicability in Australia.
Topic:
Economics, Government, and Human Welfare
Political Geography:
United States, Australia, and Southeast Asia

18292. The Integration of Immigrant Families in the United States

Author:
Michael Fix, Wendy Zimmermann, and Jeffrey Passel
Publication Date:
07-2001
Content Type:
Working Paper
Institution:
Urban Institute
Abstract:
What do we know about the integration of immigrant families within the United States—the progress these families are making and their reception in the communities where they settle? How are immigrants affected by the nation's integration policies or lack thereof? What directions might immigrant integration and the policies governing it take in the future?
Topic:
Government, Human Welfare, and Migration
Political Geography:
United States

18293. Are Immigrants Leaving California? Settlement Patterns of Immigrants in the Late 1990s

Author:
Wendy Zimmermann and Jeffrey S. Passel
Publication Date:
04-2001
Content Type:
Working Paper
Institution:
Urban Institute
Abstract:
For at least the last century and a half, the immigrant population in the United States has been highly concentrated in a handful of states. Even at the beginning of the 20th century, when the foreign-born population was less than half its current size, just over half of all immigrants lived in only six states. By 1990, that share had increased to nearly three-quarters. But, between 1990 and 1999, the geographic concentration of immigrants began to wane slightly, as the foreign-born population grew substantially faster in states that have not traditionally received large numbers of immigrants. This dispersal of the immigrant population is particularly noteworthy in the face of dramatically increased numbers, especially in the new settlement areas, and policy changes surrounding the noncitizen population.
Topic:
Demographics, Economics, and Migration
Political Geography:
United States and California

18294. Hardship Among Children of Immigrants: Findings From the 1999 National Survey of American Families

Author:
Randy Capps
Publication Date:
02-2001
Content Type:
Working Paper
Institution:
Urban Institute
Abstract:
The 1999 National Survey of America's Families (NSAF) reveals that hardship is greater for children of immigrants than for children of U.S. natives in three areas of basic need: food, housing, and health care. The data also indicate that the relative generosity of differing state policies on noncitizens' access to public benefits generally corresponds with hardship levels. Because the NSAF cross-sectional data do not allow assessment of changes over time, these hardship levels cannot necessarily be ascribed to federal welfare reform or state policies. Nonetheless, these findings reinforce observations on the vulnerability of a population whose access to the social safety net has been diminished by recent policy changes. This analysis is one of the first studies based on nationally representative data to examine hardship among immigrant families in the post-welfare-reform era.
Topic:
Human Welfare, Migration, and Poverty
Political Geography:
United States

18295. The Politics of Pensions in European Social Insurance Countries

Author:
Martin Schludi
Publication Date:
11-2001
Content Type:
Working Paper
Institution:
Max Planck Institute for the Study of Societies
Abstract:
This paper analyzes national processes of pension reform in countries with systems of old-age provision largely following the Bismarckian type (Austria, France, Germany, Italy, Sweden). Operating on a defined benefit/pay-as-you-go basis and mainly financed out of wage-based social contributions, pension systems in these countries are highly vulnerable to demographic and economic pressures. Therefore, pension reform has emerged as a major issue in these countries since the early 1990s. Although there are substantial similarities in the direction of reform, the degree of policy change varies considerably even among countries with similar legacies in pension policy. As a closer inspection of national patterns of pension policy-making shows, the political feasibility of pension reforms and the degree of adjustment in pension policy critically depends on the government's ability to orchestrate a reform consensus either with the parliamentary opposition or with the trade unions. The paper tries to identify the conditions under which a “pension pact” between those actors is likely to emerge.
Topic:
Economics, Government, and International Trade and Finance

18296. Do Affluent Countries Face an Incomes-Jobs Tradeoff?

Author:
Lane Kenworthy
Publication Date:
10-2001
Content Type:
Working Paper
Institution:
Max Planck Institute for the Study of Societies
Abstract:
A commonly-held view suggests that affluent nations face a tradeoff between incomes and jobs. According to this view, in the United States pay for workers at the bottom of the earnings distribution (relative to those in the middle) is very low and government unemployment-related benefits (the “replacement rate”) are stingy, but this facilitates the creation of lots of new jobs and encourages such individuals to take those jobs. The result is a high rate of employment and low unemployment. In much of Western Europe relative pay levels are higher for those at the bottom and benefits are more generous, but this is said to discourage job creation and to reduce the willingness of the unemployed to accept low-wage jobs. The consequence is low employment and high unemployment. I undertake a comparative assessment of this tradeoff view, based on pooled cross-section time-series analyses of 14 OECD countries in the 1980s and 1990s. The findings suggest that greater pay equality and a higher replacement rate do reduce employment growth in low-productivity private-sector service industries and in the economy as a whole. However, these effects are relatively weak. The results point to a variety of viable options for countries wishing to maintain or move toward a desirable combination of jobs and equality.
Topic:
Economics and International Trade and Finance
Political Geography:
United States and Europe

18297. Global Markets, National Tax Systems, and Domestic Politics: Rebalancing Efficiency and Equity in Open States' Income Taxation

Author:
Steffen Ganghof
Publication Date:
09-2001
Content Type:
Working Paper
Institution:
Max Planck Institute for the Study of Societies
Abstract:
Competitive pressure on some capital income tax rates reinforces a generic "quadrilemma" or a four-way tradeoff in domestic income taxation. To maintain competitiveness, governments have to cut some tax rates on capital income down to "international standards." If these cuts lead to a de-alignment of different rates on capital income, domestic allocation becomes more inefficient, all else being equal. Cutting all tax rates on capital income to a uniform low level, while maintaining high and progressive tax rates on labor incomes, avoids this inefficiency, but sacrifices comprehensive income taxation, that is, joint and equal taxation of capital and labor incomes. Finally, reducing all income tax rates to international standards, including top rates on labor income, implies a strong significant reduction in the progressiveness of labor income taxation (and/or significant revenue losses). As a result, governments that aim at all four goals” competitiveness, allocative efficiency, horizontal equity (comprehensive income taxation) and progressivity – and want to maintain a given revenue level cannot avoid seriously compromising one of them. This paper analyzes how this income tax quadrilemma has played out in seven OECD countries: Australia, Denmark, Finland, Germany, New Zealand, Norway, and Sweden. Combining the results of this matched comparison with exploratory data analysis for all OECD countries, the paper discusses the general implications of the quadrilemma for the domestic political economy of tax competition and the future of "domestic compensation" in open states.
Topic:
Economics, International Trade and Finance, and Political Economy
Political Geography:
Finland, Norway, Denmark, Georgia, Australia, Sweden, and New Zealand

18298. The Effects of Convergence: Internationalisation and the Changing Distribution of Net Value Added in Large German Firms

Author:
Anke Hassel and Jürgen Beyer
Publication Date:
11-2001
Content Type:
Working Paper
Institution:
Max Planck Institute for the Study of Societies
Abstract:
The paper examines whether and how the increasing internationalisation of firms impacts on the operation of a co-ordinated market economy. Following the tenets of agency theory it assumes that an emerging market for corporate control changes the monitoring mechanisms that oversee management. Since Anglo- American forms of monitoring are usually associated with a higher return for investors compared with Continental European firms, a change in the distribution of the net value added of firms is expected. Using financial data on 59 large German companies, the paper shows that the emerging convergence of German corporate governance practices to Anglo-American standards has had a weak, but significant, impact on the distribution of net value added. This is in contrast to the impact of the internationalisation of firms on product markets, which does not have an effect. Since the market for corporate control is, however, still underdeveloped in Germany, the main effects remain to be seen.
Topic:
Economics, Emerging Markets, and International Trade and Finance
Political Geography:
America, Europe, and Germany

18299. Institutional Change and the Uses and Limits of Path Dependency: The Case of German Finance

Author:
Richard Deeg
Publication Date:
06-2001
Content Type:
Working Paper
Institution:
Max Planck Institute for the Study of Societies
Abstract:
How can we determine when an existing institutional path or trajectory is ending and being replaced with a new one? How does such a process take place? How can we distinguish between institutional innovation within an existing trajectory and a switchover to a new trajectory or path? This paper explores these questions by examining the pattern of institutional change in the German financial system. The paper advances four theoretical claims: First, that endogenous developments can disrupt an institutional path and lead to a new one. Second, that an event sequence involving a move to a new institutional path may not follow from a contingent event yet may nonetheless be marked by increasing returns processes. Third, that increasing returns in politics are not automatic and must be cultivated by actors in order to be realized. Finally, that the concept of path is still in need of a measurable conceptualization before any further advances in path dependent arguments can be made.
Topic:
Economics and International Trade and Finance
Political Geography:
Germany

18300. Corporate Governance in Transition: Ten Empirical Findings on Shareholder Value and Industrial Relations in Germany

Author:
Martin Hopner
Publication Date:
05-2001
Content Type:
Working Paper
Institution:
Max Planck Institute for the Study of Societies
Abstract:
Within the context of debates over national “varieties” of capitalism, this paper discusses the shareholder value orientation of the 40 largest listed German companies. Three dimensions of shareholder value are distinguished: the communicative dimension, the operative dimension and the dimension of managerial compensation. A shareholder value index compiling data on accounting, investor relations, variable top-management compensation and the implementation of profitability goals makes it possible to compare the shareholder orientations of the companies. The shareholder value phenomenon is explained first by the exposure to markets – the international product market, capital market pressures and the market for corporate control – and, secondly, by internal developments – changing management careers, increasing management compensation and reduced monitoring by banks and corporate networks – which cause external impulses to increase shareholder value to fall on fertile ground. Conflicts over shareholder orientation result in changing coalitions between shareholders, management, and employees. Shareholder value does not make companies opt out of central collective agreements or endanger the existence of employees' codetermination, but it does lead to more market-driven industrial relations.
Topic:
Economics, Industrial Policy, and International Trade and Finance
Political Geography:
Germany