Number of results to display per page
Search Results
1102. Vietnam: Basic data
- Publication Date:
- 04-2023
- Content Type:
- Country Data and Maps
- Institution:
- Economist Intelligence Unit
- Abstract:
- No abstract is available.
- Topic:
- Summary, Basic Data, Economy, and Background
- Political Geography:
- Viet Nam
1103. Vietnam: Economic structure
- Publication Date:
- 04-2023
- Content Type:
- Country Data and Maps
- Institution:
- Economist Intelligence Unit
- Abstract:
- No abstract is available.
- Topic:
- Economy, Economic structure, Charts and tables, and Monthly trends charts
- Political Geography:
- Viet Nam
1104. Is Foreign Direct Investment Losing Clout in Development?
- Author:
- Axel Berger and Alexandros Ragoussis
- Publication Date:
- 01-2022
- Content Type:
- Policy Brief
- Institution:
- German Institute of Development and Sustainability (IDOS)
- Abstract:
- Over the last decade, only a single projection of foreign direct investment (FDI) flows by the United Nations influential “World Investment Report” has proposed a negative outlook in the medium term. Based partly on surveys of business executives, these forecasts reflect ex¬pecta¬tions of investment growth which, however, have repeated¬ly failed to materialise. In fact, FDI flows to develop¬ing countries have remained stagnant over the past decade. Such wishful thinking is nurtured by a long series of positive narratives and facts about foreign investment. FDI has been one of the pillars of international development efforts for over 70 years. Its promise has not been limited to critical finance, but extends to longer term competitiveness through access to better technology, managerial know-how and, above all, prosperity through more and better paid jobs in the formal sector. From the old prescriptions of the so-called Washington Consensus to the hopeful Addis Ababa Action Agenda, the dominant development narrative has therefore favoured a rather indiscriminate pursuit of investment volume. This brief calls for rethinking of narratives and policies that help to improve the impact of FDI, based on secular trends that challenge our expectations. Four such trends stand out: First, while other sources of finance for development have grown considerably over the last decades, foreign invest¬ment has not followed the trend. Second, the kind of investment that is associated with stronger gains and longer term commitment in host economies – greenfield FDI – has also been in consistent decline as a share of total invest¬ment, while mergers and acquisitions and project finance have gained in importance. Third, the top 100 multinational enterprises (MNEs), accounting for nearly a quarter of global FDI stock, rely less on employment today than they used to in order to grow their foreign presence. Job creation, knowledge transfer and spillovers are therefore less likely to materialise through the presence of mega-firms and their corresponding investment at scale. Fourth, the growth of Chinese outward FDI within a strategic expan¬sionary political agenda stands to change rules and attitudes towards foreign investment moving forwards. We argue that, collectively, these trends invite a renewed conversation around the kind of foreign investment we want and expectations of this source of finance for develop¬ment. These facts obscure neither the broad benefits of FDI to developing countries, nor the value proposition of FDI attraction. Rather, they raise questions about expectations, priorities and the alignment of investment policy with the realities experienced across develop¬ing countries. To that end, we propose four priorities that stand to make a difference in the current context. We call for policy-makers to: 1) Place additional emphasis on retention of investment and linkages with the domestic economy. 2) Try new approaches for FDI attraction that focus on improving domestic investment facilitation frameworks. 3) Be selective as to investment sources and activities in order to mitigate political risks and align inward investment better with sustainable development. 4) Add evidence to improve our understanding of invest¬ment and inform decision-making. Overall, it is critical to engage in a serious multi-stakeholder conversation around expectations, actors and solutions that respond to the investment reality of today.
- Topic:
- Development, United Nations, Foreign Direct Investment, and Economy
- Political Geography:
- Global Focus
1105. Inequality and Social Cohesion in Africa: Theoretical Insights and an Exploratory Empirical Investigation
- Author:
- Francesco Burchi and Gabriela Zapata-Román
- Publication Date:
- 01-2022
- Content Type:
- Working Paper
- Institution:
- German Institute of Development and Sustainability (IDOS)
- Abstract:
- Inequality is bad per se and has adverse effects, among other things, on economic development and the environment. It is also often argued that high and increasing inequalities put societies under stress, which increases the likelihood of social conflicts. However, the literature on this topic is scarce and some of the conclusions are not adequately supported by empirical evidence. This is mainly because there are different definitions and measurements of social cohesion. Moreover, some definitions of social cohesion incorporate inequality, thus making it impossible to examine how these two phenomena interact with one another. This paper analyses both theoretically and empirically, the relationship between inequality and social cohesion. To do so, it employs a recent definition of social cohesion provided by Leininger et al. (2021). According to this definition, social cohesion is composed of three core attributes, namely trust, inclusive identity and cooperation for the common good. These attributes are examined in two dimensions, namely the horizontal (relationship among individuals) and vertical (relationship between individuals and state institutions) dimensions of social cohesion. This paper provides an overview of the empirical evidence regarding the relationship between inequality and the three attributes of social cohesion. We find that while inequality is likely to have a negative effect on all three attributes, the intensity of the relationship may depend on some key mediating factors. Moreover, we highlight the main pathways through which inequality could affect each of the three key attributes. The empirical analysis focuses on Africa. While there is some work in this field in Europe and Asia, to the best of our knowledge, there has not been any related empirical work thus far that has focused on African countries. To measure the three attributes of social cohesion, we use a database generated by Leininger et al. (2021), which is based on data from Afrobarometer and the V-Dem Institute. Inequality is mainly measured by the Gini coefficient and data are sourced from the World Income Distribution dataset. As expected, our analysis shows that countries with higher inequality usually have lower levels of social cohesion, which is measured by an aggregate index. This negative correlation holds when we analyse the relationship between the Gini coefficient and the three attributes separately; however, the intensity varies. It is stronger for trust (rho=0.25) compared with the other two attributes (both of which have a rho equal to approximately 0.1). Additional investigations point to substantially different results for the horizontal and vertical dimensions of social cohesion. Higher levels of inequality are associated with lower levels of horizontal trust and horizontal cooperation. On the other hand, higher levels of inequality are associated with higher levels of vertical trust and are essentially uncorrelated with vertical cooperation. These relationships remain substantially unchanged when we use measures of income inequality other than the Gini coefficient. Further analyses that aim to explain the puzzling results for the vertical dimension of social cohesion reveal that our findings are not clearly driven by trust in a specific institution and are also not an artefact of the specific data we used. Indeed, we obtain similar results using data from the World Values Survey. At the same time, it appears that the positive relationship between inequality and vertical trust is visible only among African countries, whereas it is not observed at the global level or for other regions. Further research is needed to confirm whether Africa is truly exceptional in this regard, and if so, why that may be the case.
- Topic:
- Development, Inequality, Economy, and Social Cohesion
- Political Geography:
- Africa
1106. Just Transitions: A Review of How to Decarbonise Energy Systems While Addressing Poverty and Inequality Reduction
- Author:
- Daniele Malerba
- Publication Date:
- 01-2022
- Content Type:
- Working Paper
- Institution:
- German Institute of Development and Sustainability (IDOS)
- Abstract:
- Germany promotes “just transition” as a guiding principle for the global transition to a socially and environmentally sustainable economy that incorporates the necessary climate, environmental and energy policy measures. This includes the urgent transformation of economies to become emission neutral while ensuring a process whereby poverty and inequality are reduced, and no one is left behind. The German Development Institute / Deutsches Institut für Entwicklungspolitik (DIE), the World Bank and the German Federal Ministry for Economic Cooperation and Development (BMZ) worked together to explore ways to implement the concept of just transition in German development cooperation. The two papers that have resulted from this process outline approaches to a “just transition for all” and highlight its potential to reduce poverty and inequality (SDG 1 and SDG 10). In recent decades, the interdependencies between social and ecological development have become clear: negative effects of climate change particularly affect vulnerable and marginalised groups living in poverty. At the same time, social inequalities contribute to an exacerbation of climate change. A just transition must effectively address the consequences at the international, national, regional and local levels. Both papers provide an overview of existing approaches and challenges to foster a “just transition for all”. They offer different but complementary perspectives on an increasingly important complex of topics. This first paper, by DIE, takes a broad perspective by considering the decarbonisation of the energy sector as a whole, outlining the connections between just transition, poverty and inequality, and exploring how to ensure a just transition (for both workers and consumers) through the use of different social protection mechanisms. It argues that it is possible to make energy transitions just, but that properly designed combinations of socio-economic and climate policies are needed. A second paper, by the World Bank, zooms in on the transition away from coal. It lays out key social and community impacts resulting from the decommissioning of coal assets, based on experience gained from World Bank operations and from industrialised countries, and articulates an enhanced approach to supporting the coal transition. Both provide practical recommendations for international development cooperation in general, and for German development cooperation in particular.
- Topic:
- Development, Poverty, Inequality, Economy, and Decarbonization
- Political Geography:
- Europe and Germany
1107. Where is China heading?
- Author:
- Jean-Pierre Cabestan
- Publication Date:
- 10-2022
- Content Type:
- Policy Brief
- Institution:
- Robert Schuman Foundation (RSF)
- Abstract:
- China is ambitious, it is making this known and everyone is beginning to realise it. So much so that today a growing number of observers fear that it will take greater risks to achieve its objectives and fall into the famous "Thucydides' trap"; in short, that it will launch into a war, notably around Taiwan, which would inevitably involve the United States. Isn't its goal to supplant America and become the world's leading power? If, by 2028 or 2030, the Chinese economy were to exceed the US economy in terms of GDP, it is doubtful that it will succeed in removing the US from its pedestal. This is likely to be lower and more contested. But rather than a power transition, the world is witnessing the emergence of new, permanently asymmetrical bipolarity and, no doubt, a new Cold War[1].
- Topic:
- Foreign Policy, Geopolitics, Economy, and Multipolarity
- Political Geography:
- China and Asia
1108. COVID-19 and the Health of Banking Sector in Japan and South Korea: A Comparative Study
- Author:
- Munim Kumar Barai
- Publication Date:
- 07-2022
- Content Type:
- Working Paper
- Institution:
- Korea Institute for International Economic Policy (KIEP)
- Abstract:
- The economies of Japan and South Korea are dominated by banks. Both countries have created a complex financial structure, including a well-established banking industry at their heart that supports economic operations. However, both countries’ banking sectors have previously faced crises such as the Asian Financial Crisis (mostly in South Korea), the Japanese economic slowdown, and the financial crisis of 2007-08 (both). While the Bank of Japan (BOJ) approved the quantitative easing (QE) monetary policy and lowered interest rates to manage the crises, the Bank of Korea (BOK) pursued interest and financial restructuring as well as banking system digitization to overcome the crises. Covid-19 has disrupted the normal operation of banks, and the central banks and governments of both countries have implemented a variety of monetary and other measures to mitigate its economic and financial consequences. This study aims to identify and assess the health of domestic banks in Japan and South Korea for the Covid-19 ex-ante and interim periods. Several important variables, i.e., portfolios of assets and liabilities, asset productivity, stockholders' equity, profitability, and operating efficiency, have been included to evaluate the health of their banks. This compari-son of health metrics for 2010 to 2020 could help identify changes or shifts in the banking sector of Japan and Korea. The study has used ex-ploratory and descriptive methodologies to undertake qualitative and quantitative evaluations of important bank health indicators in the ex-ante and interim periods of Covid-19. It also used a hybrid method to produce research goals and arguments, including a framework based on what was already known in the field.
- Topic:
- Financial Crisis, Economy, COVID-19, and Banking
- Political Geography:
- Japan, Asia, and South Korea
1109. Accelerating Transitions towards a Circular Economy and Policy Implications for Korea
- Author:
- Jinyoung Moon, Youngseok Park, Seung Kwon Na, Sunghee Lee, and Eunmi Kim
- Publication Date:
- 08-2022
- Content Type:
- Policy Brief
- Institution:
- Korea Institute for International Economic Policy (KIEP)
- Abstract:
- This study analyzes global efforts to transition to a circular economy, and analyzes each country's responses and major issues to the stages of waste generation and management, which decisively distinguish the existing economic system from the circular economy. In addition, this study examines cases of private-sector-led cooperation for sup-porting developing countries in terms of international cooperation and linking with international trade, and also analyzes the implications of information-based environmental policies in response to the circular economy. Finally, based on the results of these analyses, this study proposes policy measures to prepare for the circular economy.
- Topic:
- Development, International Cooperation, Economy, Trade, Private Sector, and Management
- Political Geography:
- Asia and South Korea
1110. A Review of the First Decade of the Korea-EU FTA
- Author:
- Dong-Hee Joe
- Publication Date:
- 07-2022
- Content Type:
- Policy Brief
- Institution:
- Korea Institute for International Economic Policy (KIEP)
- Abstract:
- Last year marked the tenth anniversary of the Free Trade Agreement (FTA) between the European Union (EU) and Korea, which entered into force in 2011. The EU is the world's largest economy and Korea's third largest trade partner, only after China and the United States. Back when the FTA nego-tiations began in 2007, the EU was Korea's second largest export destination, from which Korea enjoyed the largest surplus. Al-so, more than 35 per cent of Korea's foreign direct investment came from the member states of the EU. Korea is also a major econ-omy and a major trade partner of the EU, especially in Asia. The FTA with Korea was the first case of the EU's “next generation” FTAs, and is considered to have served as a benchmark for the EU's bilateral trade agreements thereafter (Kang 2016). As for Korea, it was the first FTA with a major economy, even before the US, its traditional ally, and China, its closest neighbor. Because of its importance, the Korea-EU FTA has received attention from economics and trade policy. KIEP also took a look at the first decade of its implementation last year (Joe et al. 2021). This Brief introduces some of the findings in Joe et al. (2021), fo-cusing on the impact of the FTA on the bi-lateral economic relationship between the two sides.
- Topic:
- European Union, Economy, Free Trade, and Trade
- Political Geography:
- Europe, Asia, and South Korea
1111. Internationalization of the Korean Won in the Light of RMB Internationalization
- Author:
- Hyo Sang Kim, Young Sik Jeong, Ji Young Moon, and Da Young Yang
- Publication Date:
- 07-2022
- Content Type:
- Policy Brief
- Institution:
- Korea Institute for International Economic Policy (KIEP)
- Abstract:
- While China has risen to become a global superpower with a growing impact on the world economy, its currency, the Renminbi (RMB), has a limited role in the existing international financial system. China has made significant progress and will continue to push for the internationalization of the RMB, which can disrupt the global financial system, dominated by the US dollar. Under such circumstances, Korea must find a new direction for the internationalization of the Korean Won. The internationalization of the Korean won will provide new opportunities for the economy to take a further step through financial advancement.
- Topic:
- Economy, Currency, Internationalization, and Financial Development
- Political Geography:
- China, Asia, and South Korea
1112. Australia’s Strategic Responses to the US-China Rivalry and Implications to Korea
- Author:
- Ina Choi, Sunhyung Lee, Jaeho Lee, and So Eun Kim
- Publication Date:
- 08-2022
- Content Type:
- Policy Brief
- Institution:
- Korea Institute for International Economic Policy (KIEP)
- Abstract:
- As in other Asia-Pacific countries, boosting trade with China has provided a growth engine for Australia's economy. Australia shared concerns over security threats posed by China’s military expansion, but up until the mid-2010s hard balancing against China did not seem to be an option for Australia. Australia’s recent moves against China, however, signal that Canberra has reset its China policy, with an overhaul of its national security and defense strategy. The shift of Australia’s China policy is an interesting case to explore how the regional order is likely to evolve in the growing US-China competition. Assessing Australia’s recent foreign policy is also relevant to Korea, both in terms of navigating Korea’s relations with the US and China and enhancing strategic ties between Australia and Korea. Against this backdrop, this study unravels Australia’s strategic responses to the changing regional order and draw implications for Korea's foreign policy.
- Topic:
- Security, Foreign Policy, National Security, Economy, Trade, and Rivalry
- Political Geography:
- China, South Korea, Australia, Asia-Pacific, and United States of America
1113. Reassessing Recruitment Costs in a Changing World of Labor Migration
- Author:
- Kate Hooper
- Publication Date:
- 11-2022
- Content Type:
- Policy Brief
- Institution:
- Migration Policy Institute (MPI)
- Abstract:
- Recent years have seen national governments, multilateral organizations, civil society, and private-sector groups take steps to promote the fair and ethical recruitment of migrant workers, including efforts to reduce or eliminate recruitment costs. High recruitment costs can result in workers taking on a financial burden that can only be serviced through high-interest loans or debt bondage, placing them in a more vulnerable position and curtailing the income they can then save or send to loved ones via remittances. Still, progress to address recruitment costs has been uneven to date, and the pandemic has been a major setback. The public-health crisis has seen some existing costs rise or fluctuate wildly and new ones emerge (e.g., fees associated with COVID-19 testing and quarantine), with particularly pronounced effects in low- and middle-skilled sectors and informal employment. This has put working abroad out of reach for some would-be migrants while exposing others who travel abroad for work to new risks. This policy brief explores how the pandemic has affected costs for migrant workers at every stage of their journey, with a focus on new public-health measures and other additional expenses. It also reflects on what these developments mean for future efforts to promote fair and ethical recruitment. The brief is the first publication resulting from a multiyear research partnership between MPI and the SDC’s Thematic Section Migration and Forced Displacement to support the development of global solutions for migration-related challenges.
- Topic:
- International Cooperation, International Organization, Labor Issues, Governance, Employment, Economy, COVID-19, Recruitment, Immigration Policy, and Recession
- Political Geography:
- Global Focus
1114. From Fear to Solidarity: The Difficulty in Shifting Public Narratives about Refugees
- Author:
- Natalia Banulescu-Bogdan
- Publication Date:
- 05-2022
- Content Type:
- Special Report
- Institution:
- Migration Policy Institute (MPI)
- Abstract:
- Refugees and asylum seekers are alternatively depicted as heroes or security threats, victims or exceptional workers, exemplary neighbors or opportunists. And though public narratives are sometimes described as a binary, in reality, people can hold multiple, competing beliefs and opinions about forced migration and its impacts on society. They may, for example, experience pride in their country’s humanitarian response and compassion for refugees alongside anxiety over changing cultural norms or fear of competition for scarce jobs, each of which can become more or less salient under different circumstances. These public attitudes can create or constrain the space needed for sensible and creative policy responses, as well as community cohesion. As a result, governments, international organizations, and advocates have invested in myriad programs and campaigns to bolster solidarity and defuse negative reactions to forced migrants. Yet, as this study discusses, changing people’s minds is far from straightforward. This report—the first in the Beyond Territorial Asylum: Making Protection Work in a Bordered World initiative led by MPI and the Robert Bosch Stiftung—examines the different narratives that tend to emerge in communities welcoming forced migrants, looking at a variety of geographic, socioeconomic, and historical contexts. It also explores two categories of interventions that aim to address negative narratives about refugees and asylum seekers: information campaigns that aim to defuse threat narratives and “contact-building” initiatives that seek to build connections between refugees and host communities. The report concludes by offering strategies to promote solidarity and mitigate tensions.
- Topic:
- Immigration, Employment, Refugees, Economy, Asylum, Integration, Social Cohesion, COVID-19, and Labor Market
- Political Geography:
- Europe
1115. The War Economy of the Fragmented Healthcare System in Syria
- Author:
- Omar Dewachi, Duncan McLean, and Aula Abbara
- Publication Date:
- 02-2022
- Content Type:
- Video
- Institution:
- Center for Security, Race and Rights (CSRR), Rutgers University School of Law
- Abstract:
- This devastating conflict that has had a profound impact in Syria, the region and beyond, caused immense suffering. At least 400,000 Syrians have lost their lives. More than 6 million refugees, out of a pre-war population of 22 million, have fled the country and 6.7 million are internally displaced. Over 13 million people continue to need assistance, and yet Syria seems to have dropped off the radar. In this panel discussion, hosted by the Centre for Security, Race and Rights (CSRR) at Rutgers University, experts with in-depth knowledge of Syria and the region will examine some of the challenges humanitarian organisations faced as consequence of the war in Syria. Panellists will examine the relationship between health-care provision on the one hand, and the state’s claim to sovereignty and legitimacy on the other, and how the humanitarian response became quickly entangled into the polarized sides of the Syria war. They will look at how the protracted conflict in Syria has fragmented the country’s health system. They will also describe how, in the absence of a meaningful foreign policy, aid delivery came to fuel Syria’s war economy raising troubling questions as to the limits humanitarian organizations are prepared to accept when operating in a broader system of corruption, predation and denial of access. Guest speakers all contributed separate chapters to the book on Syria edited by MSF “Everybody’s war: politics of aid in the Syria crisis”
- Topic:
- Sovereignty, Economy, Syrian War, Humanitarian Organizations, and Healthcare System
- Political Geography:
- Middle East and Syria
1116. Software Power The Economic and Geopolitical Implications of Open Source Software
- Author:
- Alice Pannier
- Publication Date:
- 12-2022
- Content Type:
- Special Report
- Institution:
- Institut français des relations internationales (IFRI)
- Abstract:
- Open source plays a central role in software development, both in parallel with proprietary software and increasingly intertwined with it. It has become a major factor for companies’ innovation processes and for the success and popularity of their products. For users, using open source software can alleviate risks stemming from proprietary solutions, including data privacy concerns or trade restrictions. Beyond that, open source is the foundation of critical software bricks and Internet languages and protocols. However, open source is a victim of its own success. It suffers of a lack of resources dedicated to the maintenance of open source components, even though vulnerabilities in open source code can have serious consequences, as illustrated by the Log4Shell vulnerability in December 2021. For these reasons, private companies are investing ever more money and human resources in the development and maintenance of open source software, and acquiring structuring roles in the governance of the ecosystem. This support, however, is not without risk for the open source ecosystem, which is increasingly shaped by the private interests of Big Tech companies. Meanwhile, governments are getting increasingly concerned with the cybersecurity implications of open source software, and with risks not only of accidental vulnerabilities, but also manipulation of codes by criminals and foreign agents. The interest of governments in open source is not new, but it is evolving: governments are no longer only seeking to adopt open source or to develop software solutions, but also to contribute to the financing or even the governance of open source ecosystems, at the national and/or global level. An analysis of the United States, Chinese and European cases show that government involvement in open source is not only pragmatic; it is increasingly politicized, and serves to uphold governments’ ambitions for national security, international influence, or digital sovereignty. The study highlights the dilemmas that emerge, for public authorities, from the tensions between the desire to secure universally used, critical open source components, the desire to develop “sovereign” technologies, and the risk of encroaching on the horizontal and decentralized functioning of open source.
- Topic:
- European Union, Cybersecurity, Geopolitics, Economy, Software, and Open Source
- Political Geography:
- China, Europe, and United States of America
1117. Five Years after China’s Plastic Import Ban Have Europeans Taken Responsibility?
- Author:
- Eugénie Joltreau
- Publication Date:
- 07-2022
- Content Type:
- Special Report
- Institution:
- Institut français des relations internationales (IFRI)
- Abstract:
- After the 2017 Chinese waste import ban, the international and European Union (EU) legislative framework on waste exports has been revised. • The amendment to the Basel Convention is stricter on the possibility to export plastic waste outside the EU, which has integrated the amendment in the waste shipment regulation (WSR) and is considering further export restrictions. Moreover, a Directive to reduce the use of single-use plastics and stimulate local demand for recycled plastics has been adopted. • The recycling rate of plastic packaging has been deteriorating since 2016 in view of the growing quantities of plastic packaging waste and limited export outlets, despite an increase in the tonnage recycled. Exports of plastic waste from the European Union have been reduced and partly redirected, with some negative environmental impacts reported. The EU demand for certain recycled plastics has boomed, encouraged by the new regulation, yet overall, EU plastic packaging consumption keeps increasing. • The debate on the export ban opposes a view of responsibility for the treatment of waste with the promotion of international waste trade as a means to achieve a global circular economy (for plastics). However, there is no evidence that the waste trade enables to increase the global recycling rate, reduces the use of virgin plastic, and reinforces sustainability. • The European Commission (EC) has released a new legislative proposal that tightens up waste export possibilities but does not ban it.
- Topic:
- Climate Change, Economy, Recycling, Waste, Imports, and Plastic
- Political Geography:
- China and Europe
1118. Reckless Abandon: Why Tunisia Can No Longer Delay a Border Free Trade Zone
- Author:
- Hamza Meddeb
- Publication Date:
- 09-2022
- Content Type:
- Working Paper
- Institution:
- Carnegie Endowment for International Peace
- Abstract:
- In 2012, Tunisia announced the establishment of a free trade and logistics zone (FTZ) in Ben Guerdane, near the Libyan border. The aim is to develop marginalized southeastern border regions and formalize informal economic actors. However, the plan has stalled due to institutional resistance, political divisions, and an incapacity to exploit international geopolitical rivalries. If this persists, the project may become irrelevant because of emerging FTZs in Libya, denying Tunisia revenues its ailing economy needs.
- Topic:
- Geopolitics, Economy, Borders, and Free Trade
- Political Geography:
- Libya, North Africa, and Tunisia
1119. The Pitfalls of Saudi Arabia’s Security-Centric Strategy in Yemen
- Author:
- Ahmed Nagi
- Publication Date:
- 10-2022
- Content Type:
- Working Paper
- Institution:
- Carnegie Endowment for International Peace
- Abstract:
- Saudi Arabia’s security-oriented approach to Yemen has foundered. The Saudi-led coalition has failed to defeat the Houthis militarily or to restore the government the group toppled. Moreover, Saudi militarization of the border with Yemen has damaged the Yemeni economy—with negative consequences for Saudi Arabia. Crucially, Saudi Arabia’s security is contingent on Yemen’s stability and economic prosperity. As such, Riyadh should contribute to reviving Yemen’s moribund economy, both in the borderlands and in the inland agricultural sector.
- Topic:
- Security, Agriculture, Economy, Conflict, and Instability
- Political Geography:
- Middle East, Yemen, and Saudi Arabia
1120. Why Brazil Sought Chinese Investments to Diversify Its Manufacturing Economy
- Author:
- Celo Hiratuka
- Publication Date:
- 10-2022
- Content Type:
- Working Paper
- Institution:
- Carnegie Endowment for International Peace
- Abstract:
- Since the beginning of the twenty-first century, economic relations between Brazil and China have grown significantly. The main driver of this process has been China’s enormous demand for agricultural, energy, and mineral commodities. On the one hand, Brazil’s strong competitiveness in these products has helped the country consolidate its role as an important supplier to China, increasing exports and turning China into the main destination for Brazilian exports since 2009.1 On the other hand, China, by virtue of its status as the “factory of the world,” has established itself as the main supplier of manufactured products to Brazil.2 Nonetheless, Brazilian scholars, think tanks, and private manufacturing firms have raised concerns. They have done so despite the great boost in bilateral trade flows; the favorable trade balance for Brazil; and the leveraging of businesses in several Brazilian sectors such as soybeans, iron ore, and oil. These concerns are related to the excessive concentration of Brazilian exports in a few products, the environmental impacts of these exporting activities, and the effects of strong Chinese manufacturing competition on Brazil’s domestic market. These worries have become more significant when one considers the growing importance of manufacturing changes with the diffusion of Fourth Industrial Revolution technologies and the search for new renewable energy sources and environmental sustainability. For Brazil, this matter reflects a need to advance bilateral relations beyond existing export trade volumes and toward new drivers of more diversified economic growth that will help the country escape a specialization in commodities. The fortunes of the Chinese company BYD in Brazil are highly relevant to these trends. BYD is a company that has diversified from the production of batteries into different innovative industrial sectors, such as renewable energy and electric vehicles. BYD has also been expanding rapidly in international markets, and in that process it chose Brazil as an important market, where it has built factories to produce electric bus chassis, photovoltaic panels, and batteries for electric buses. BYD’s trajectory in Brazil certainly has not been smooth. On the contrary, the firm has had to adapt to market fluctuations and, above all, to changes in the Brazilian government’s economic policies, which have made the company’s experience in the country quite turbulent. Despite this, BYD survived its first years in Brazil and more recently has been showing signs of continuing to invest in the Brazilian market. Analysis of BYD’s experience in Brazil shows, on the one hand, that there are important possibilities for new economic relations with China that go beyond trade in commodities, with productive investments that can potentially help Brazil simultaneously incorporate more knowledge-intensive activities and drive positive environmental impacts by generating renewable energy and reducing carbon emissions. On the other hand, the story of BYD also shows that the transformation of these possibilities into effective benefits requires coordinated actions on the part of Brazilian policymakers to offer a long-term horizon for Chinese investments. In that spirit, Brazil must craft a long-term strategy for its economic relationship with China to increase the odds that bilateral engagement can advance in a new and more sustainable, mutually beneficial direction.
- Topic:
- Bilateral Relations, Economy, Investment, Manufacturing, and Engagement
- Political Geography:
- China, Asia, Brazil, and South America
1121. Hard Cash and Soft Power: When Chinese Firms Win EU Contracts
- Author:
- Allison Carragher
- Publication Date:
- 11-2022
- Content Type:
- Working Paper
- Institution:
- Carnegie Endowment for International Peace
- Abstract:
- The European Union is a committed defender of open markets. This extends to its public procurement mechanisms, which remain open to all bidders. EU policymakers have developed tools intended to defend the bloc’s interests in the face of increased economic and strategic competition from the People’s Republic of China (PRC), but few policymakers understand how the European public views the debate. As the first major EU-funded, China-built infrastructure project, the Pelješac Bridge in Croatia provides a unique opportunity to conduct a thorough analysis of European public opinion toward EU tendering policy and Chinese companies. Brussels has labelled the PRC a partner for cooperation and negotiation, an economic competitor, and a systemic rival,1 but the nuances of this policy remain difficult to ascertain. Projects and policies presented by China as “cooperation” often contain elements of economic competition or are leveraged by the PRC for strategic gain. However, this dichotomy has not filtered down to citizens. Extensive polling reveals that Croatians share very few of the concerns of EU policymakers. Furthermore, the PRC state-owned construction firm enjoys more visibility than the EU, which provided hundreds of millions of euros for the project. In terms of soft power, which is here defined as the ability of a country to shape the narrative, the Pelješac Bridge has been a resounding success for the PRC. The Croatian public has largely embraced the PRC’s preferred image of itself as a reliable and trustworthy economic partner and a benign power that does not interfere in domestic affairs. This opinion diverges from official EU policy and glosses over evidence of the PRC’s unfair economic practices, environmental and labor shortcomings, and interference in European democracies. Notably, the PRC’s soft-power gains were achieved on the EU’s own dime. It is not in the EU’s interest to bankroll the economic and soft-power ambitions of its systemic rival. As a democratic institution, the EU has a responsibility to both respond to public opinion and educate its citizenry when EU interests are at stake. In this case, the EU should recalibrate its tendering policy to be fairer and better aligned with its own economic and strategic interests. This process is currently underway, but it should also be extended to co-financing arrangements like the Team Europe approach, which combines traditional EU assistance with support from individual EU member states and international financial institutions. These policies must also be paired with renewed efforts at visibility and branding. Lastly, there is a need to collect and publish better data on the end users of EU funds in order to evaluate successes and identify future issues.
- Topic:
- Infrastructure, European Union, Economy, Business, Soft Power, and Strategic Competition
- Political Geography:
- China and Asia
1122. India in the Indo-Pacific: Pursuing Prosperity and Security
- Author:
- Christopher Conte
- Publication Date:
- 02-2022
- Content Type:
- Research Paper
- Institution:
- Gateway House: Indian Council on Global Relations
- Abstract:
- Research Papers in this compendium include: India, the Blue Economy and the Indo-Pacific’s Future (Amb. Rajiv Bhatia); Green Hydrogen: Securing the Energy Supply Chain in the Indo-Pacific (Amit Bhandari); Enhancing Regional Financial Intermediation in the Indo-Pacific (David Rasquinha); India’s Diaspora: Soft Power in the Indo-Pacific Countries (Sifra Lentin); India in the Resilient Supply Chain Initiative: Opportunities, Challenges & Possible Collaborations (Roger C. Liu); India’s Indispensable Role in Human and Economic Security in the Indo-Pacific (Cleo Paskal); Extending India’s Maritime Security Strategy in the Indo-Pacific (Cdr. Amrut Godbole); India’s Current and Potential Contribution to Cyber Resilience in the Indo-Pacific (Sameer Patil); Digital Public Goods for the Indo-Pacific: A Techno-legal Approach to Data Empowerment & Protection (Sanjay Anandaram & Manjeet Kripalani); India’s Role in Equipping Earth Observation Satellites for the Indo-Pacific (Dr. Chaitanya Giri).
- Topic:
- Security, Foreign Policy, Science and Technology, Cybersecurity, Economy, Maritime, Prosperity, Supply Chains, Hydrogen, and Satellite
- Political Geography:
- South Asia, India, and Indo-Pacific
1123. Achieving the Promise of Hydrogen for India and the World
- Author:
- Amit Bhandari, Chaitanya Giri, and Saeeduddin Faridi
- Publication Date:
- 03-2022
- Content Type:
- Research Paper
- Institution:
- Gateway House: Indian Council on Global Relations
- Abstract:
- On February 17, India launched the Green Hydrogen Policy which facilitates the production of hydrogen and ammonia to replace fossil fuels. Produced from water by electrolysis, green hydrogen offers a way to store renewable energy in bulk. This paper analyses the viability of green hydrogen in India as a vehicle fuel and industrial gas, and makes recommendations for the usage of this clean energy source by companies, entrepreneurs, and policy-makers.
- Topic:
- Entrepreneurship, Economy, Renewable Energy, Fossil Fuels, and Hydrogen
- Political Geography:
- South Asia and India
1124. Baltic Perspectives on Germany’s Role in NATO
- Author:
- Justinas Juozaitis
- Publication Date:
- 01-2022
- Content Type:
- Policy Brief
- Institution:
- International Centre for Defence and Security - ICDS
- Abstract:
- In the second brief in our “Germany and the Security of the Baltic States” series, Justinas Juozaitis considers Germany’s contribution to NATO from a Baltic perspective and looks at what might change under Chancellor Olaf Scholz. Germany’s contribution to NATO’s collective defence and deterrence, including in the Baltic region, is substantial, but does not match what might be expected given its economic strength. The Bundeswehr already struggles to meet its commitments to the Alliance and recent increases in the defence budget have not translated into major improvements in capability. Germany will most likely not meet in full the promises it has made to enhancing collective defence. Even then, the new government will have to face decisions that will be unpopular with the public, and within their own coalition. Germany’s continued political support for deterrence in the Baltic region will likely continue, but its own military contribution will probably be smaller than promised.
- Topic:
- Security, Defense Policy, NATO, Economy, Regional Integration, and Deterrence
- Political Geography:
- Europe, Germany, and Baltic States
1125. How Will China Respond to the Russia-Ukraine Crisis?
- Author:
- Chris Miller
- Publication Date:
- 01-2022
- Content Type:
- Special Report
- Institution:
- Foreign Policy Research Institute
- Abstract:
- How will China respond to a potential Russian military escalation against Ukraine? Relations between Russia and China have intensified in recent years, with Vladimir Putin and Xi Jinping holding regular summits and the two countries’ militaries participating in joint exercises and cooperating in some defense industrial efforts. Ties between Moscow and Beijing are now closer than any time since the days of Stalin and Mao, driven by a shared perception that the United States is each country’s primary foreign policy challenge. One top Russian official told media in December 2021 that the relationship now “exceeds an alliance.”[1] Chinese state media, meanwhile, have vocally backed Russia in arguing that the current crisis stems from the US “using NATO as a tool to cannibalize and squeeze Russia’s strategic space.”[2] The 2014 war in Ukraine and annexation of Crimea was an important factor driving Russia and China closer to each other, as Russia sought to reduce post-Crimea international isolation and as Beijing realized it could drive a hard bargain in its bilateral relationship with Russia on issues like energy. China’s response to the 2014 war, however, was generally to avoid taking sides. China accepted a narrative that placed blame on the West for causing the crisis, with top diplomats citing Western “foreign interference for causing the crisis,” but didn’t approve of Russia’s seizure of Crimea or its military actions in the Donbas.[3] China abstained from voting on the key United Nations resolutions regarding Crimea, for example, and it still declines to recognize Crimea as Russian territory. Similarly, it verbally rejected US and European sanctions on Russia though it let Chinese firms, including the country’s big state-owned banks, abide by these sanctions to avoid being cut off from US financial markets and the international banking system. Compared to 2014, however, China may find it more difficult to avoid involvement in an escalating crisis. Leaders in Beijing and around the world will see the US response to any military escalation against Ukraine as sending signals about whether the US could effectively respond to future crises in the Taiwan Strait or East or South China Seas. The success or failure of US efforts to impose meaningful costs on Russia if it escalates will be seen as a test of whether the US could do something similar in Asia. Moreover, after repeated summits between Chinese President Xi Jinping and Russian President Vladimir Putin, including Xi’s description of Putin as his “best friend,” China’s approach to Russia amid a crisis will also be interpreted as sending signals about China’s own capabilities and influence. Because of this, China will not see a new phase of war between Russia and Ukraine as a peripheral issue in its foreign policy, even though China has no core issues at stake in Ukraine itself. China is most likely to be implicated in the crisis by potential Western sanctions on Russia, which in contrast to 2014 will impose substantially more pressure on Beijing to take sides. China’s decision either to adhere to new Western sanctions or to help Russia avoid them will shape escalation pathways and determine the magnitude of economic and political isolation that sanctions impose.
- Topic:
- Foreign Policy, Politics, Sanctions, Military Affairs, Economy, Crisis Management, and Escalation
- Political Geography:
- Russia, China, Europe, Eurasia, Ukraine, and Asia
1126. Security Challenges in the Eastern Mediterranean
- Author:
- Leah Pedro and Aaron Stein
- Publication Date:
- 06-2022
- Content Type:
- Special Report
- Institution:
- Foreign Policy Research Institute
- Abstract:
- On May 2–3 2022, the Konrad-Adenauer-Stiftung Syria/Iraq Office and the Foreign Policy Research Institute convened a panel of foreign policy experts for a dialogue on security challenges present in the Eastern Mediterranean. The first day addressed state fragility in the region and how this phenomenon intersects with systemic security issues, including climate change, maritime issues, and migration. The second day of dialogue addressed military issues, including Russian naval modernization, US-Russian regional retrenchment, and how each country views the other’s long-term regional ambitions. Additionally, the conversations in the second day covered European regional security views and how the broader US-Russia rivalry impacts thinking on the continent amidst the current crisis landscape. In each panel, two guest speakers shared their subject matter expertise on the focus topic and a dialogue followed brief presentations. The entirety of the event was conducted under Chatham House Rule, wherein the participants could share views and opinions freely. As a result, findings from these conversations can be more transparent than traditional formal dialogues in traditional diplomatic channels. In this report, we share the consensus highlights and points of contention which came from the discussions. As the nature of Chatham House Rule protects the identity of our participants, below are a few areas of expertise found among those involved in the dialogue.
- Topic:
- Security, Foreign Policy, Climate Change, Diplomacy, Migration, National Security, Economy, and Conflict
- Political Geography:
- Mediterranean
1127. 'Win Without Fighting': The Chinese Communist Party's Political and Institutional Warfare Against the West
- Author:
- John Lee and Lavina Lee
- Publication Date:
- 05-2022
- Content Type:
- Special Report
- Institution:
- Hudson Institute
- Abstract:
- When compared to Western forms of diplomatic conversation and strategic discussion, phrases emanating from Beijing and the Chinese Communist Party (CCP) can appear peculiar, platitudinous, and so ambiguous as to be devoid of practical content. China’s paramount leader Xi Jinping speaks frequently about a ‘community of shared future,’ a ‘common destiny for mankind’ as part of his ‘China dream,’ or of his country’s ‘rejuvenation.’ He promises to pursue and achieve a ‘new type of great-power relations’ with the United States that will ‘expand the converging interests of all and build a big global family of harmony and cooperation.’ Yielding to the temptation to dismiss these phrases as glib and meaningless or as empty promises to the world would be a serious mistake. Emerging as the victorious side after the world was reshaped in the aftermath of the Second World War, and, more recently, the formal end of the Cold War, the United States and its allies have generally enjoyed dominance in all forms of power. The challenge and threat of China is largely understood in the context of its increase in material power, which is relatively easy to understand and quantify. In contrast, far less attention is being paid to non-material power, which is, admittedly, more nebulous and difficult to assess. However, China’s focus has been on relentlessly building its ‘comprehensive national power’ (CNP), that is, the sum-total of its powers and strengths—economic, military affair, science and technology, education, and resource—and influence. Thus, CNP encompasses both material and non-material power, and China’s buildup of both of these forms of power best explains its strategic and diplomatic successes. Chinese ‘rejuvenation’ is also not just about building GDP or having the world’s largest naval fleet. Rather, the CCP’s vision of a ‘community of shared future for mankind’ is very much about displacing the dominance enjoyed by the US and other advanced democracies in shaping global discourse and conversations, norms and standards, and influence within and through institutions. The advanced democracies have taken these less obvious forms of power for granted, a complacency that Beijing has exploited. As the CCP recognizes, “In the final analysis, the rise of a great power is a cultural phenomenon. It (that power) must be accepted by the international community. Be accommodated by the international system, rely on the international system, and be recognised by international norms.” To be sure, there is a rich and growing literature on the CCP’s various information, influence, and institutional resources and activities, and this report does not seek to reproduce the excellent work already in the public domain. Rather, it begins from the uncomfortable but growing realization that the CCP believes it has long been at war with the US and its allies, even though kinetic force has been used in only a few instances. It looks at why this war is being waged, what the hallmarks of success for Beijing look like, and how the use of non-material strategies in the form of political and institutional warfare complements and augments China’s better known material approaches in the CCP’s determined attempts to win this ongoing war or struggle. The report seeks to emphasize that, in understanding the challenge and threat of China, political and institutional warfare should not be treated as optional or interesting adjuncts to traditional notions of warfare or that their effects are peripheral to core strategic and even military objectives. On the contrary, non-material approaches are essential to the Chinese strategy and have real-world outcomes that are often the same ones that the use of force or economic coercion is intended to achieve. Just as the CCP views comprehensive power as encompassing material and non-material elements, its notion of waging and winning a war may or may not include a military element. We need to do the same when countering, deterring, and, if necessary, defeating Chinese strategies and actions. Moreover, the CCP’s approach is not just about putting its views forward in overt or veiled ways in the hope that it will change our minds about various issues. Instead, Beijing’s strategy is much more proactive and profound than that. The CCP’s political and institutional approaches are about fundamentally changing and shaping even the way we begin to think about or analyze an issue or what we perceive to be its ‘first principles.’ It is designed to shape the way we talk (or do not talk) about an issue, the presumptive and analytical frameworks we employ to do so, and the discourse regarding it that is accepted and deemed acceptable. At first glance, such a deeply cognitive approach might seem fanciful and impossible to implement. However, this report offers two recent case studies of instances where the CCP enjoyed considerable success in melding the material and the cognitive—with tangible and real-world results. This report then offers a summary of the real-world strategic effects and their impacts on the tactical decision-making of countries and their elites that should concern those in charge of our political, economic, military, and diplomatic policies and activities. In conclusion, it suggests some general responses to the CCP’s strategy, approach, and actions in these contexts.
- Topic:
- Foreign Policy, Politics, Economy, Institutions, Strategic Competition, and Chinese Communist Party (CCP)
- Political Geography:
- China, Asia, North America, and United States of America
1128. Restarting the Post-Pandemic Indian Economy
- Author:
- Aparna Pande, Eric B. Brown, and Thomas J. Duesterberg
- Publication Date:
- 07-2022
- Content Type:
- Special Report
- Institution:
- Hudson Institute
- Abstract:
- This report is a result of a Takshashila-Hudson Roundtable Series that brought together experts, policymakers, and academics from India and the United States in November and December 2021 to discuss opportunities for the two nation-states to collaborate in a fast-changing global order. This section summarizes key recommendations for policymakers based on deliberations at the Takshashila-Hudson roundtable series Restarting the Post-Pandemic Indian Economy. The recommendations are divided into four themes for India-US Collaboration: Trade, Investments, Technology, and Human Capital Movement.
- Topic:
- Science and Technology, Immigration, Economy, Investment, Human Capital, Trade, and Supply Chains
- Political Geography:
- South Asia, India, North America, and United States of America
1129. Ana María Otero-Cleves and writing about the Global from the Periphery: Interview with the Winner of the Toynbee First Book Manuscript Workshop Competition
- Author:
- Ana María Otero-Cleves and Nicole CuUnjieng Aboitiz
- Publication Date:
- 09-2022
- Content Type:
- Commentary and Analysis
- Institution:
- The Toynbee Prize Foundation
- Abstract:
- Ana María Otero-Cleves’s book manuscript examines how Colombian peasants, artisans, formerly enslaved people, bogas (river boatmen), market women, and small landholders became the largest consumers of foreign commodities between the mid-nineteenth century and early twentieth century (1850–1910). It is the first study to argue that the consumption of foreign goods was not solely, nor primarily, an upper-class phenomenon and that the tastes and demands of the country’s popular sectors changed nineteenth-century patterns of production abroad. The manuscript demonstrates that far from being indigenous, the material culture of broad sections of the country’s population was inextricably intertwined with global trends by the end of the nineteenth century. It shows that the appropriation of imported commodities by Colombian popular sectors was in great part due to foreign manufacturers’ willingness to alter or redesign their products to satisfy their demands. Thus, by following the preferences of the popular sectors for English textiles, American machetes, and French patent medicines, among many other foreign commodities, the book demonstrates how, in their capacity as free citizens, Latin American consumers became active agents in the construction of the nation’s marketplace as well as dynamic participants in the global circulation of modern commodities. By methodologically and narratively shifting from the periphery to the centre, the book offers an exciting and original perspective on global interconnectivity in the nineteenth century, where the taste of the popular sectors of apparently isolated countries, such as Colombia, played a key part. Historians, scholars, and students interested in the global history of consumption will find this seemingly marginal case study ideal for testing theories proposed by social scientists on global relationships and on the ability of “peripheral” subjects to transform global dynamics. By examining how popular consumers’ demands affected patterns of exchange and production in Europe and the United States, Otero-Cleves contests the presumption that Colombia’s global relationships in the nineteenth century were dictated solely by outsiders and, even more so, the country’s elites. Moreover, this case study forcefully challenges ongoing stereotypes about Latin America’s peripheral role in the world economy and its unquestionable “dependency” and, furthermore, the lack of agency in the marketplace of the popular classes. By showing how popular consumption was a key broker between political economy and citizenship in the mid-nineteenth century, the manuscript also engages with the burgeoning historiography on subaltern groups and popular politics in nineteenth-century Latin America. The manuscript shows how popular sectors participated in the market economy not only as part of the country’s labour force but as individuals engaged in the consumption and adoption of new needs and comforts; it also explores the extent to which their role as consumers shaped ideas and practices of citizenship in mid-nineteenth-century Colombia. The study not only suggests that citizenship was formed, contested, and recognised in fairs, streets, plazas, tiendas, and local markets but argues that men’s and women’s entry into the market economy and their pursuit of material betterment gave meaning to ideas of citizenship and fashioned practices of political recognition in the second half of the century.
- Topic:
- History, Citizenship, Economy, Commodities, and Historiography
- Political Geography:
- Colombia, South America, and Latin America
1130. Energy in a World in Transition: Challenges, Opportunities and Perspectives
- Author:
- Jorge Camargo, Pedro Malan, Winston Fritsch, Clarissa Lins, and Alessandra Amaral
- Publication Date:
- 05-2022
- Content Type:
- Special Report
- Institution:
- Brazilian Center for International Relations (CEBRI)
- Abstract:
- The Energy Transition process is complex and multifaceted, with substantial impacts on the energy industries’ business models. In order to contribute with a greater understanding of this trend, CEBRI, in partnership with BMA, organized a collection of articles that analyzes the main implications of this process, which is well positioned to be one of the major drivers of economic transformation in this historic period. Published in English and Portuguese, the collection is structured around the theme “Energy in a World in Transition”, and assesses a global process from a Brazilian perspective. The first edition, published in June, included important reflections on the future of Brazilian energy.
- Topic:
- Economy, Business, Industry, Energy, and Green Transition
- Political Geography:
- Brazil, South America, and Global Focus
1131. Democratic-values against authoritarianism? In the end it will be [again] the economy, stupid!
- Author:
- Ekrem Eddy Güzeldere
- Publication Date:
- 07-2022
- Content Type:
- Policy Brief
- Institution:
- Hellenic Foundation for European and Foreign Policy (ELIAMEP)
- Abstract:
- Opposition parties around the world (e.g., in Hungary, Poland, Brazil and Turkey) have started to form alliances against authoritarian and illiberal leaders. The introduction of a presidential system in Turkey in 2018 made political parties join forces, since 50+1% would be needed to win the presidential elections. Since May 2018, first four and now six opposition parties have formed the so-called “Millet [Nation] Alliance”; almost all the polls place the Alliance well ahead of the government AKP-MHP alliance. In 2019, Millet Alliance candidates were able to win the municipal elections in Istanbul and Ankara. In May 2022, the Millet Alliance published ten clear, value-based principles, ranging from non-discrimination to freedom of the press, religion and thought through to the independence of the judiciary. The parties of the Millet Alliance are not remembered for defending democratic values in the past, but will they now? On topics like the Kurdish issue or refugees, the Millet Alliance is often harsher and more exclusionary than the government. However, the economic situation and the candidate put forward by the Millet Alliance More will be more decisive for the elections than a debate over values. Turkey does not have a choice between black and white, but rather between different shades of gray
- Topic:
- Authoritarianism, Democracy, Economy, Domestic Politics, and AKP
- Political Geography:
- Turkey and Middle East
1132. German strengths and weaknesses in the Russo-Ukrainian war
- Author:
- Emmanuel Comte
- Publication Date:
- 06-2022
- Content Type:
- Policy Brief
- Institution:
- Hellenic Foundation for European and Foreign Policy (ELIAMEP)
- Abstract:
- The Russian attack on Ukraine has activated a series of tropes about the international balance of power in Europe. Most mainstream opinion outlets have published criticisms of Germany for supposedly being dependent on Russia and threatening the European security system by hesitating when decisive action is required. The following points serve to reintroduce some facts into the conversation. The current war in Ukraine is primarily the result of German-Russian rivalry. The war is a case of an established power, Russia, miscalculating in its efforts to prevent a rising power, Germany, from absorbing a nation within its sphere of cooperation: Ukraine. Germany’s strategy has been subtle, seeking to manage through economic interdependence an international conflict predicated upon balance of power considerations. Since circa 1900, Turkey has also played a key role in the German security system in the Black Sea region. With the benefit of hindsight, Germany’s strategy has been the most appropriate to the situation, given that Russia has been completely isolated while Germany is surrounded by allies. Germany’s problems today are not in its Russian policy, but rather in self-defeating ideologies which include the “Green” movement and economic statism.
- Topic:
- Security, Foreign Policy, Economy, Regional Politics, and Russia-Ukraine War
- Political Geography:
- Russia, Europe, Ukraine, and Germany
1133. The return of inflation: Can we protect real incomes?
- Author:
- Manos Matsaganis and Sotiria Theodoropoulou
- Publication Date:
- 11-2022
- Content Type:
- Working Paper
- Institution:
- Hellenic Foundation for European and Foreign Policy (ELIAMEP)
- Abstract:
- High inflation, virtually unknown in advanced economies since the 1980s, has made a comeback. In this policy paper, we first explain where inflation comes from, and describe how the policy context for dealing with it was shaped after Keynesian demand management proved unable to defeat stagflation. We then critically examine the various policy options. Generally speaking, policy makers may attempt to (i) contain inflation by raising interest rates or, more directly, by controlling prices, (ii) alleviate the impact of inflation on household budgets through price subsidies or income transfers, and (iii) protect workers’ real incomes via wage indexation and social pacts. We conclude by assessing the merits, costs, and distributional implications of each option in turn.
- Topic:
- Economy, Inflation, and Income
- Political Geography:
- Europe and Global Focus
1134. Cooperation against the odds: Getting small firms to work together in unfavourable circumstances
- Author:
- Kira Gartzou-Katsouyanni
- Publication Date:
- 11-2022
- Content Type:
- Working Paper
- Institution:
- Hellenic Foundation for European and Foreign Policy (ELIAMEP)
- Abstract:
- How can we get small firms to work together in order to achieve mutually beneficial outcomes, despite adverse circumstances? This policy paper provides an answer to this question that could be useful both to policymakers and to local stakeholders seeking to undertake innovative, cooperative economic activities in their area. Based on evidence from eight case studies within the Greek agri-food and tourism sectors, I argue that a small group of local actors, whom I call ‘institutional entrepreneurs’, usually play a key role in catalysing the emergence of cooperation at the local level. Their strategies and experiences carry valuable insights. I also outline the characteristics that macro-level institutional frameworks need to have if they are to facilitate local cooperation. These characteristics can inform the design of institutions at both the domestic and the EU level. The paper’s findings could be relevant to people interested in local development, but also to those concerned with boosting the productivity and export orientation of the Greek economy as a whole. After all, cooperation can improve the performance of small firms, and it is thus an important ingredient for inclusive growth in countries with a lot of small firms, such as Greece.
- Topic:
- Development, Economy, Business, and Production
- Political Geography:
- Europe and Greece
1135. Using RRF resources to kick-start a job-rich recovery in Greece
- Author:
- Manos Matsaganis and Georgios Manalis
- Publication Date:
- 10-2022
- Content Type:
- Working Paper
- Institution:
- Hellenic Foundation for European and Foreign Policy (ELIAMEP)
- Abstract:
- The Recovery and Resilience Facility (RRF) is a golden opportunity for those member states that were most badly hit first by the debt crisis then by the pandemic. Greece, one of the largest beneficiaries in per capita terms, is due to receive very significant resources that can help arrest the decline of the 2010s. Can these resources be spent wisely and efficiently enough to kickstart the process of inclusive and sustainable growth? This paper briefly reviews the Greek National Recovery and Resilience Plan (Greece 2.0), assessing its potential contribution to upgrading the economy’s growth model, enhancing skills, and boosting employment. In 2007-19, total investment in Greece shrank by a stunning 70% in real terms. Over the same period, public investment fell by 62%, business investment by 44%, and household investment (on housing, mostly) by 89%. Under-investment constrains growth and undermines the future prospects of the Greek economy. The Recovery and Resilience Facility offers Greece a unique opportunity to bridge the investment gap, giving a boost to the sustainable recovery of the Greek economy. Technically, Greece 2.0, the country’s National Recovery and Resilience Plan is competently drafted, as its favourable reception by the European Commission indicates. Still, critical issues abound. In this sense, Greece 2.0 embodies the contradictions of the current juncture. On the one hand, there is a consensus that the Greek economy should rebalance, by pursuing a growth strategy that relies much more on exports than in the recent past, and much less on domestic consumer demand fuelled by debt. On the other hand, the legacy of the past weighs heavily on social and political actors, limiting their room for manoeuvre. The list is daunting. It remains to be seen how the above will play out over the next few years.
- Topic:
- Debt, Economy, Crisis Management, Resilience, and Economic Recovery
- Political Geography:
- Europe and Greece
1136. Georgian-Greek Relations: Building a Strategic Dimension
- Author:
- Ioannis N. Grigoriadis and Mariam Gugulashvili
- Publication Date:
- 10-2022
- Content Type:
- Working Paper
- Institution:
- Hellenic Foundation for European and Foreign Policy (ELIAMEP)
- Abstract:
- The cordial bilateral relations between Greece and Georgia are mostly centered on the culture and education domains, with less progress achieved in the areas of the economy, foreign policy, and security. Greece can emerge as Georgia’s key supporter in its EU membership aspirations, with Greek experts and diplomatic circles contributing their experience to the country’s EU integration process. This support can be realized at both high and low levels, through EU Twinning projects and results-oriented memoranda between state institutions to import best practices, so Georgia can successfully carry out the required democratization reforms and implement the EU Association Agreement effectively. As the international system becomes more multipolar and the strategic significance of the Black Sea and Caucasus regions increases, Greece and Georgia should work to deepen their ties and build interest-oriented synergies in order to forge a strategic alliance. The promotion of Western and European interests can be significantly aided by a democratic Georgia on the road to European integration and a resurgent Greece with a stronger regional presence in the Black Sea and Caucasus.
- Topic:
- Security, Foreign Policy, Bilateral Relations, European Union, and Economy
- Political Geography:
- Europe, Greece, and Georgia
1137. Free Trade Agreement (FTA) through economic diplomacy strategy. Study of Indonesia-Japan Economic Partnership Agreement
- Author:
- Shanti Darmastuti, Arry Bainus, Widya Setiabudi, and Dudy Heryadi
- Publication Date:
- 01-2022
- Content Type:
- Journal Article
- Journal:
- Revista UNISCI/UNISCI Journal
- Institution:
- Unidad de investigación sobre seguridad y cooperación (UNISCI)
- Abstract:
- Free trade is considered to make a positive contribution to both domestic and international economy because of the removal of trade barriers. The importance of free trade can be seen from the increasing free trade agreements between developed and developing countries. The involvement of developing countries in free trade agreements enables them to make efficiency and maximize the benefits of implementing free trade agreements. Developing countries however often do not get results that are as expected in the Free Trade Agreement (FTA). For example, Indonesia has not yet obtained the outcomes that were expected in the implementation of the Indonesia-Japan Economic Partnership Agreement (IJEPA). The results highlight that one fundamental factor for obtaining optimal benefits from a trade agreement is internal coordination prior to the negotiation process.
- Topic:
- Diplomacy, Treaties and Agreements, Partnerships, Economy, Policy Implementation, and Free Trade
- Political Geography:
- Japan, Indonesia, and Asia
1138. Rusia en África. Nuevas dinámicas desde el Kremlin
- Author:
- Sebastián Ruiz-Cabrera
- Publication Date:
- 10-2022
- Content Type:
- Journal Article
- Journal:
- Revista UNISCI/UNISCI Journal
- Institution:
- Unidad de investigación sobre seguridad y cooperación (UNISCI)
- Abstract:
- Hace menos de una década, el continente africano era prácticamente la última prioridad de la política exterior de Rusia. Atrás quedaron las décadas doradas en las que el peso de la URSS se hacía notar en niveles como la ideología, las infraestructuras, la economía, la política o el sector educativo. Ahora bien, ante el creciente aislamiento internacional, Rusia vuelve a apostar por el apoyo del continente mientras Occidente mira con preocupación tales esfuerzos. En 2019 tuvo lugar en Sochi (Rusia) el primer foro económico entre la potencia dirigida por Putin y África, un foro en el que se definieron las líneas maestras en política exterior del Kremlin. Era un claro anuncio: Rusia estaba de vuelta en el continente africano después de una larga ausencia, en concreto desde la disolución de la Unión Soviética en 1991. El artículo analiza si su presencia en África es una presencia tan alarmista como se presenta por la Unión Europea o la Casa Blanca.
- Topic:
- Foreign Policy, History, Infrastructure, Neoimperialism, and Economy
- Political Geography:
- Africa, Russia, and Soviet Union
1139. After Russia’s invasion of Ukraine: Unity is good, but ambition is better
- Author:
- Sophie Pornschlegel and Ilke Toygür
- Publication Date:
- 06-2022
- Content Type:
- Working Paper
- Institution:
- European Policy Centre (EPC)
- Abstract:
- In view of the volatile geopolitical environment, EU leaders no longer have the luxury of waiting for all 27 member states to find a consensus. In order to lead the way to a Union that is apt for future challenges, the EU should become more ambitious and embrace alternatives, such as differentiated integration, in the coming months and years. Rather than returning to the status quo ante, the EU should use this momentum to progress in five policy fields: economic governance, with a new recovery package and a reform of the fiscal rules; security and defence, with improved EU–NATO cooperation and a stronger ‘European pillar’; energy policy, by quickly steering member states away from dependence on Russian fossil fuels while simultaneously ensuring admissible energy prices for consumers and respecting the climate targets; enlargement and neighbourhood policy, by rethinking its aims and creating options for countries that are unlikely to become EU members in the foreseeable future; and the rule of law, to safeguard the Union’s values ‘at home’. Both the COVID-19 pandemic and the Russian invasion revealed that the EU institutions and leaders are capable of managing crises swiftly and decisively. This reality certainly increases its legitimacy in the eyes of its citizens as well as its allies. The European Union could use this moment of change to increase its ambition for reforms and for moving European integration forward. This should encourage leaders to think about all the options for designing the Union’s future. This is not a time for black and white thinking – Treaty change or nothing –, but rather a time to explore all the shades of grey for securing necessary reforms. If like-minded countries could lead the way, others may also follow. The changing and evolving positions in the EU could help secure more inclusive alliances for moving forward. The political momentum to do so is finally here.
- Topic:
- Security, Energy Policy, European Union, Geopolitics, Economy, Rule of Law, Regional Politics, and Russia-Ukraine War
- Political Geography:
- Russia, Europe, and Ukraine
1140. Strengthening the impact of EU sanctions against Russian aggression in Ukraine
- Author:
- Svitlana Taran
- Publication Date:
- 10-2022
- Content Type:
- Working Paper
- Institution:
- European Policy Centre (EPC)
- Abstract:
- As Russia’s largest trade and economic partner, the European Union (EU) has significant leverage to expand the current sanctions regime. Yet, EU countries continue to rely heavily on Russia for their energy, raw materials, and agricultural fertilisers. This dependency reduces the EU’s economic resilience and exposes it to supply chain disruptions. Much more should be done to turn the tide on this dependency. The EU has so far adopted eight sanction packages against Russia, which already impacted the country’s economy. However, these restrictions will have an even greater impact when all sanctions are in full effect, and Western supply chains reduce their reliance on Russian products. This Discussion Paper identifies five measures the EU can take to increase the impact of sanctions against Russia and end the war as soon as possible. Extending the scope of sanctions on Russian export revenues: A large part of Russian trade flow remains unsanctioned. Russia is receiving record revenues from energy exports due to rising prices. Even though Russia’s exports are likely to drop significantly after the implementation of the EU oil embargo, the impact of sanctions can be further increased. By expanding their scope to other sectors, such as the diamond industry, and placing embargoes on all iron and steel supplies, the EU can significantly impact Russia’s economy. Expanding and aligning export restrictions among the coalition countries: Many exports from the EU to Russia are not restricted. Sanctions should first target products that Moscow would find difficult to replace. EU and coalition partners (such as G7 members and other allies) should align their sanctions regimes to make it harder for Russia to redirect its trade to other markets and substitute its critical imports. Encouraging more company-level self-sanctions: Voluntary restrictions by companies can have a greater impact on Russian trade and investment flows than compulsory country-level sanctions. Self-sanctions by international companies should be encouraged in sectors unaffected by country-level sanctions, with public pressure serving as an effective catalyst for their trade and investment withdrawal from Russia. Preventing sanctions circumvention: Loopholes in the current sanction regime should be addressed. Sanctioning countries should take stronger enforcement actions, among others, against countries and foreign companies that facilitate sanctions evasion. The EU must work more closely with its allies to monitor and enforce the imposed sanctions. Prolonging renewal periods for economic sanctions: The current six-month period for renewing sanctions against Russia could lead to calls for lifting them, threatening EU unity. To avoid this and increase the sanctions’ impact, the EU should consider prolonging their renewal period until Russian troops leave the Ukrainian territory. Russia’s war of aggression has caused disastrous economic effects and devastating infrastructure damage to Ukraine. EU and Western sanctions against Russia should reflect the extent and consequences of these actions. Closing loopholes and widening the scope of sanctions must be a priority for the EU and its allies to strengthen their impact and curtail Russia’s capacity to continue its war. At the same time, existing possibilities for replacing Russian products with Ukrainian ones should be exploited. While maintaining EU unity over sanctions is a challenge, staying united will be crucial for sustaining the credibility of EU policies, accelerating the end of the war, and securing long-term peace in Europe.
- Topic:
- Sanctions, European Union, Economy, Exports, and Russia-Ukraine War
- Political Geography:
- Russia and Europe
1141. Reboot: Framework for a New American Industrial Policy
- Author:
- Martijn Rasser, Megan Lamberth, Hannah Kelley, and Ryan Johnson
- Publication Date:
- 05-2022
- Content Type:
- Special Report
- Institution:
- Center for a New American Security (CNAS)
- Abstract:
- This paper presents an initial framework for a new American industrial policy, a blueprint for what is needed to ensure the United States has the vision, goals, plans, and resources for an era of sustained strategic competition. The concept, informed by an overarching national technology strategy and a supply chain resilience strategy, is the initial contribution in a larger effort to provide policymakers with a comprehensive toolkit to navigate competition with China and engage with countries around the world, friend and foe alike.4 To provide tangible real-world examples of a new sensible American industrial policy and to illustrate how policies would vary by sector and over time, subsequent reports will detail what a new American industrial policy would look like in action for three key sectors: biotechnology, semiconductors, and green technologies.
- Topic:
- Economy, Green Technology, Strategic Competition, Industry, Biotechnology, and Semiconductors
- Political Geography:
- China, North America, and United States of America
1142. Operationalizing the Quad
- Author:
- Lisa Curtis, Jacob Stokes, Joshua Fitt, and Andrew J. Adams
- Publication Date:
- 06-2022
- Content Type:
- Special Report
- Institution:
- Center for a New American Security (CNAS)
- Abstract:
- This paper assesses Quad activities and the progress the group has made toward its stated objective of promoting a free and open Indo-Pacific. It also provides policy recommendations for strengthening Quad cooperation across the six identified priority areas (vaccines, critical and emerging technologies, climate change, infrastructure, space, and cybersecurity) as well as on trade and economics and security and defense.
- Topic:
- Security, Defense Policy, International Cooperation, Science and Technology, Economy, Trade, and Quad Alliance
- Political Geography:
- Japan, India, Australia, United States of America, and Indo-Pacific
1143. Things to watch in Asia in 2023
- Publication Date:
- 11-2022
- Content Type:
- Country Data and Maps
- Institution:
- Economist Intelligence Unit
- Abstract:
- No abstract is available.
- Topic:
- Economy, Outlook, Forecast, and Country outlook
- Political Geography:
- Pakistan, Afghanistan, Bangladesh, Japan, China, Indonesia, Malaysia, India, Mongolia, South Korea, North Korea, Philippines, Sri Lanka, Cambodia, Nepal, Australia, Solomon Islands, Timor-Leste, Singapore, Thailand, New Zealand, Hong Kong, Laos, Myanmar, Samoa, Tonga, Vanuatu, Bhutan, Brunei, Maldives, Papua New Guinea, Fiji, New Caledonia, Taiwan, Province of China, Viet Nam, and Macau
1144. A Critical Analysis of Degrowth Debates Through the Lens of Gross National Happiness (GNH): Refraining from the Conventional View of Plurality*
- Author:
- Katsu Masaki
- Publication Date:
- 03-2022
- Content Type:
- Journal Article
- Journal:
- Journal of Bhutan Studies
- Institution:
- Centre for Bhutan & GNH Studies (CBS)
- Abstract:
- This study problematises degrowth’s goal of abandoning economic growth as a policy objective on the grounds that its advocates base their arguments on a binary growth/no-growth dichotomy and unwittingly activate the same economistic frame as the growth paradigm. To explore a remedy against this pitfall arising from the conventional view of plurality that segregates study materials into distinctive categories and prioritises one of them, Bhutan’s policy of Gross National Happiness (GNH) is taken up. The policy does not lapse into the growth/degrowth trap, refrains from rejecting economic growth of all kinds, and instead ascertains its potentially diverse connotations. GNH accordingly weighs growth-related indicators on equal terms with various others concerning social, cultural, spiritual and emotional contentment. The holistic approach of GNH helps rectify the prevailing hegemony of economic growth and thus provides a more effective pathway for attaining a postgrowth order.
- Topic:
- Economy, Economic Growth, Degrowth, and Gross National Happiness (GNH)
- Political Geography:
- South Asia and Bhutan
1145. Levelling up: what England thinks
- Author:
- Suzanne Hall, Will Jennings, Lawrence McKay, Sophie Stowers, Paula Surridge, and Alan Wager
- Publication Date:
- 10-2022
- Content Type:
- Special Report
- Institution:
- UK in a Changing Europe, King's College London
- Abstract:
- For all the discussion there has been about ‘levelling up’ and the problem of regional inequality in the UK, little energy has been expended in finding out how people feel about their areas, what could and should be done to improve them, and who they trust to actually do it. The following report aims to fill this gap. UK in a Changing Europe partnered with YouGov to carry out a survey of over 20,000 people from across England. This was the first survey of its kind on levelling up and regional inequality, and the first to assess the impact of changes to how England is governed, including the effect of the introduction of Metro Mayors. This survey was accompanied by a series of focus groups conducted by NatCen and King’s College London’s Policy Institute in Barking and Dagenham, Blackpool, Nottingham, Blyth and Barnsley – designed to capture the views of metropolitan boroughs, rural towns and coastal communities. The aim was to find out how people in England feel about their local communities, what policies they feel would be most effective when it comes to ‘levelling up’ the country, how they would like these policies to be delivered, and who they trust to deliver them.
- Topic:
- Public Opinion, Inequality, Economy, and Public Policy
- Political Geography:
- United Kingdom and Europe
1146. Manufacturing after Brexit
- Author:
- David Bailey and Ivan Rajic
- Publication Date:
- 01-2022
- Content Type:
- Special Report
- Institution:
- UK in a Changing Europe, King's College London
- Abstract:
- In mid-2020, UK in a Changing Europe published its report on the effects of Brexit on UK manufacturing, and the likely effects after the end of the transition period. The present report is an updated view of where UK manufacturing stands after Brexit. The report finds: The Trade and Cooperation Agreement (TCA) helped avoid tariff barriers. However, non-tariff barriers have returned, and the end of the transition period has brought adverse impacts for UK manufacturing. The TCA does not fully replace the frictionless trade and market integration that existed before it. The main adverse effects have been: administrative barriers to trade (e.g. customs formalities, proving rules-of-origin requirements) disruptions to labour flows, both affecting certain manufacturing sectors directly (e.g. food and drinks) and indirectly harming manufacturing by damaging service sectors (e.g. logistics) that support it. The adverse impacts are for now mainly showing through reduced exports and imports to and from the EU (around 15% less for both, as compared to a no-Brexit scenario), and through some production disruptions. The ongoing conflicts around Northern Ireland probably represent the biggest risk to UK-EU relations, with the potential to affect the entire TCA in case they escalate. Potential benefits from Brexit have yet to be felt: – There has been some redirection of exports towards non-EU countries, but this has not compensated for the reduction in trade with the EU. The UK has signed only two truly new trade agreements, with New Zealand and Australia, the former still only ‘in principle’. Both countries account for a small fraction of total UK trade, and the expected benefits of the trade agreements with them are minor. Trade negotiations with the US are currently stalled. Whether there is more progress on the trade front in the future remains to be seen. If there is more regulatory divergence from the EU going forward, it will become possible to see whether it will bring benefits or disruptions to UK manufacturers. Any benefits that may potentially arise out of Brexit will not happen automatically. The UK needs an active, integrated, and well-funded industrial policy, within a stronger devolution framework, if UK manufacturing is to benefit from future growth opportunities. This is especially the case in the context of net zero, industry 4.0 and levelling up. The impact of Brexit on manufacturing is likely to be most profound in regions in the north and midlands. That in turn will make levelling up more challenging.
- Topic:
- Treaties and Agreements, European Union, Economy, Brexit, Manufacturing, and Trade
- Political Geography:
- United Kingdom and Europe
1147. Responding to Afghanistan’s Humanitarian Crisis: The Potential Role of Digital Payments
- Author:
- Michael Pisa
- Publication Date:
- 05-2022
- Content Type:
- Policy Brief
- Institution:
- Center for Global Development
- Abstract:
- Afghanistan’s humanitarian crisis continues to worsen, with the World Food Programme (WFP) reporting that 22.8 million people—more than half the country’s population—are projected to be acutely food insecure in 2022, including 8.7 million at risk of famine-like conditions.[1] Even before the Taliban took over the country on August 15, 2021, Afghanistan’s economy was buckling under the weight of the country’s worst drought in decades, a deteriorating security situation, and the COVID-19 pandemic.[2] Financial flows into Afghanistan collapsed immediately after the Taliban takeover, as foreign aid was cut, private sector activity fell sharply, and foreign banks and money service providers (collectively: “financial service providers” or FSPs) refused to process payments into the country for fear of inadvertently violating sanctions and anti-money laundering and the countering the financing of terrorism (AML/CFT) regulations. The exceptional nature of the situation hampers efforts to resume normal financial flows to Afghanistan. Never before has an organization designated as a terrorist group by the United States assumed control of an entire jurisdiction.[3] The United States and other countries responded to this novel circumstance by freezing the country’s foreign exchange reserves held abroad; keeping in place sanctions that criminalize most transactions with the Taliban; and denying official recognition of the Taliban as the legitimate head of the Afghan state, which has prevented the Afghan central bank (Da Afghanistan Bank or DAB) from maintaining correspondent accounts with foreign banks. Cumulatively, these measures have limited access to US dollars in the Afghan economy, leaving Afghans unable to pay for the food, fuel, and imported intermediate inputs their economy relies on.
- Topic:
- Security, Economy, Humanitarian Crisis, and Digitalization
- Political Geography:
- Afghanistan and Middle East
1148. Virgin Islands (British): Basic data
- Publication Date:
- 12-2022
- Content Type:
- Country Data and Maps
- Institution:
- Economist Intelligence Unit
- Abstract:
- No abstract is available.
- Topic:
- Summary, Basic Data, Economy, and Background
- Political Geography:
- Virgin Islands and British
1149. What to watch in Ireland in 2023
- Publication Date:
- 12-2022
- Content Type:
- Country Data and Maps
- Institution:
- Economist Intelligence Unit
- Abstract:
- No abstract is available.
- Topic:
- Economy, Outlook, Forecast, and Country outlook
- Political Geography:
- Ireland
1150. Things to watch in Ghana in 2023
- Publication Date:
- 12-2022
- Content Type:
- Country Data and Maps
- Institution:
- Economist Intelligence Unit
- Abstract:
- No abstract is available.
- Topic:
- Economy, Outlook, Forecast, and Country outlook
- Political Geography:
- Ghana