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2101. The Institutional Setting of the NAFTA Debate in the United States

Author:
Miguel Ángel Valverde
Publication Date:
02-2003
Content Type:
Working Paper
Institution:
Centro de Investigación y Docencia Económicas
Abstract:
The objective of this paper is to analyze the institutional setting of the NAFTA debate in the United States, focusing on the interaction between the Presidency and Congress, in the formulation of foreign commercial policy. A series of arrangements have tamed confrontation between the Executive and Legislative powers, reconciling their institutional biases. THese arrangements channel and contain domestic demands for protectionism, favoring international trade liberalization negotiations.
Topic:
Economics, International Trade and Finance, and Treaties and Agreements
Political Geography:
Africa, United States, Asia, and North America

2102. American, European and Russian Cooperation: Security and Defence in the 21st century

Author:
Hella Pick
Publication Date:
04-2003
Content Type:
Working Paper
Institution:
EastWest Institute
Abstract:
The ramifications of the Iraq crisis are provoking a wholesale reassessment of the post-1945 system of multinational institutions ñ ranging from the United Nations to NATO and the European Union. Underlying such concerns is Americaís use of power and the role it defines for itself in managing its international relations.
Topic:
NATO and International Cooperation
Political Geography:
Russia, United States, Iraq, America, Europe, and Asia

2103. On the Frontline of an Epidemic: The Need for Urgency in Russia's Fight Against AIDS

Author:
John E. Tedstrom
Publication Date:
09-2003
Content Type:
Working Paper
Institution:
EastWest Institute
Abstract:
AIDS is a global threat that affects us all. Its destructive reach extends far beyond the sphere of public health, threatening social stability, economic performance, and national security. The United States has struggled with HIV/AIDS for over 20 years. At least 440,000 Americans have died from AIDS -related conditions, many more than would have if American political leaders had acted early in the 1980s to confront the epidemic in its initial stages. Over time, however, the commitment of the U.S. government to prevent the spread of HIV and treat people living with HIV/AIDS produced remarkable results. New infections have dropped from 150,000 per year to 40,000 per year, and AIDS -related deaths have been cut in half.
Topic:
Security, Human Welfare, and Science and Technology
Political Geography:
Russia, United States, America, Europe, and Asia

2104. In Search of 'Suitable Positions' in the Asia Pacific: Negotiating the U.S. China Relationship and Regional Security

Author:
Evelyn Goh
Publication Date:
09-2003
Content Type:
Working Paper
Institution:
Centre for Non-Traditional Security Studies, S. Rajaratnam School of International Studies
Abstract:
This paper argues that the crucial determinant of Asia-Pacific security is whether the US and China can negotiate their relationship and their relative positions and roles in such a way as to produce sustainable regional stability. It examines three alternative models to assess some of the possible processes and outcomes in negotiating Sino-American coexistence. (I) Power transition, in which there is a significant structural shift in the regional system as a rising China challenges US dominance, with a range of possible outcomes; (II) The maintenance of the status quo of US strategic dominance over the region, which China does not challenge concentrating instead on inernal consolidation and on developing its economic power; and (III) Negotiated change, by which the two powers coordinate to manage a more fundamental structural transformation, either through froming a concert (duet) of power, or by moving towards a regional security community. The paper suggests that Model II is likely for the short-to medium-term; Model III for the medium term; and Model I for the long term.
Topic:
Security
Political Geography:
United States, China, Israel, and Asia

2105. Truth, Justice and Reconciliation in a Post-Conflict Context

Author:
Eirin Mobekk
Publication Date:
11-2003
Content Type:
Working Paper
Institution:
Geneva Centre for Security Sector Governance (DCAF)
Abstract:
When the Indonesian government agreed to hold the ballot of independence in East Timor in August 1999, it led to a cascade of violence throughout the pre-ballot period by pro-integration militias and Indonesian security forces. The violence that was perpetrated in East Timor in 1999 has been defined as crimes against humanity. It included murder, rape, torture and inhuman and degrading treatment. After the result of the ballot was announced the violence accelerated out of control. The number of dead is estimated to be between 1,300 and 1,500, most of the population was displaced and 70% of the infrastructure destroyed. Re-construction, re-building and reconciliation were now on the agenda.
Topic:
Security, Human Welfare, and Peace Studies
Political Geography:
Asia

2106. Current Economic Conditions in Myanmar and Options for Sustainable Growth

Author:
David Dapice
Publication Date:
05-2003
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
In this paper, an extensive report on the economy of Myanmar prepared in 1998 is supplemented by more recent reports as of fall 2002 (included as appendices).
Topic:
Agriculture, Economics, and International Trade and Finance
Political Geography:
Asia

2107. The Plasticity of Participation: Evidence from a Participatory Governance Experiment

Author:
Subham Chaudhuri and Patrick Heller
Publication Date:
01-2003
Content Type:
Working Paper
Institution:
Institute for Social and Economic Research and Policy at Columbia University
Abstract:
Under the “People's Campaign for Decentralised Planning,” initiated by the government of the Indian state of Kerala in 1996, significant planning and budgetary functions that had previously been controlled by state-level ministries, were devolved to the lowest tier of government—municipalities in urban areas, and gram panchayats (village councils) in ural areas. A key element of the campaign was the requirement that every gram panchayat organize open village assemblies—called Gram Sabhas—twice a year through which citizens could participate in formulating planning priorities, goals and projects. Using data from the first two years of the campaign, on the levels and composition of participation in the Gram Sabhas in all of Kerala's 990 gram panchayats we empirically assess the explanatory power of the dominant existing paradigms of participation—social capital, rational choice, and social-historical. The basic patterns we document, as well as our more detailed analyses of the impact that a range of spatial, socioeconomic and political factors had on the levels and social depth of participation, provide broad support for a dynamic and contingent view of participation, a perspective that recognizes the “plasticity of participation.”
Topic:
Economics, Government, Human Welfare, and Governance
Political Geography:
Asia

2108. The United States, China, and Taiwan: A Future With Hope

Author:
James Lilley
Publication Date:
10-2003
Content Type:
Working Paper
Institution:
Public International Law Policy Group
Abstract:
You have clearly worked over the complicated relationship between Taiwan and China. I can only try to build on what Dr. Lin Chong--pin and Mr. Rostow have already described so lucidly. I would like to point out first that China chooses, for both tactical and emotional reasons, to place a special heavy emphasis on its relationship with Taiwan and to its point that Taiwan is part of China. Emotional, because this stirs up nationalism among a skeptical Chinese elite who have lost ideology. Tactical, because driving home the unity and sovereignty themes forces the U.S. on the defensive, i.e., the U.S. interferes in China's internal affairs, a cardinal sin in China's own lexicon. In reality, however, China has been practical. For almost fifty years Chinese propaganda has focused on Taiwan as a pure target, but objective circumstances have changed and so has China's strategy. China took over the Ta Chen Islands peacefully in 1954, its last significant territorial acquisition in the Taiwan Strait. Its later more militaristic approach against a well--defended Quemoy (Chin men) failed in 1958, and China retreated with much bluster and firing of cannons, many of them empty.
Topic:
Politics and Sovereignty
Political Geography:
United States, China, Taiwan, and Asia

2109. What is Sovereignty? The Cases of Taiwan and Micronesia

Author:
Peter R. Rosenblatt
Publication Date:
10-2003
Content Type:
Working Paper
Institution:
Public International Law Policy Group
Abstract:
The title of my contribution to this discussion raises a point that is easy to overlook in discussions relating to the legal status of the Republic of China (ROC) on Taiwan. The range of options across the Strait is not confined, as the title of this conference suggests, to the reunification of China or Taiwan's independence, although either of these is obviously a possibility. A more likely option, in my judgment, is some future status for the ROC which involves neither incorporation into the People's Republic of China nor the challenging step of a declaration of “independence” as the Republic of Taiwan. This third option embraces a multiplicity of status shadings involving a continuing evolution of the ROC's current status of de facto independence. It is this option that I would like to address.
Topic:
Politics and Sovereignty
Political Geography:
China, Taiwan, and Asia

2110. China and Emerging Asia: Comrades or Competitors?

Author:
John W. Schindler, John G. Fernald, Prakash Loungani, and Alan J. Ahearne
Publication Date:
12-2003
Content Type:
Working Paper
Institution:
Board of Governors of the Federal Reserve System
Abstract:
Do increases in China's exports reduce exports of other emerging Asian economies? We find that correlations between Chinese export growth and that of other emerging Asian economies are actually positive (though usually not significant), even after controlling for trading-partner income growth and real effective exchange rates. We also present results from a VAR estimation of aggregate trade equations on the relative importance of foreign income and exchange rates in determining Asian export growth. Although exchange rates do matter for export performance, the income growth of trading partners matters even more. In addition, we examine specific products and find evidence that a considerable shifting of trade patterns is taking place, consistent with a 'flying geese' pattern in which China and ASEAN-4 move into the product space vacated by the NIEs. Our results suggest that China and emerging Asia are both comrades (overall) and competitors (in specific products).
Topic:
Economics and Emerging Markets
Political Geography:
China and Asia

2111. Contagion: An Empirical Test

Author:
Jon Wongswan
Publication Date:
09-2003
Content Type:
Working Paper
Institution:
Board of Governors of the Federal Reserve System
Abstract:
Using the conditional Capital Asset Pricing Model (CAPM), this paper tests for the existence and pattern of contagion and capital market integration in global equity markets. Contagion is defined as significant excess conditional correlation among different countries' asset returns above what could be explained by economic fundamentals (systematic risks). Capital market integration is defined as the situation in which only systematic risks are priced. The paper uses a panel of sixteen countries, divided into three blocs: Asia, Latin America, and Germany-U.K.-U.S., for the period from 1990 through 1999. The results show evidence of contagion and capital market integration. In addition, contagion is found to be a regional phenomenon.
Topic:
International Relations, Economics, Globalization, and International Trade and Finance
Political Geography:
United States, United Kingdom, Asia, Germany, and Latin America

2112. Transmission of Information Across International Equity Markets

Author:
Jon Wongswan
Publication Date:
02-2003
Content Type:
Working Paper
Institution:
Board of Governors of the Federal Reserve System
Abstract:
This paper provides evidence of transmission of information from the U.S. and Japan to Korean and Thai equity markets during the period from 1995 through 2000. Information is defined as important macroeconomic announcements in the U.S., Japan, Korea, and Thailand. Using high-frequency intraday data, I focus the study on return volatility and trading volume because the implications of new information are much clearer than for returns. I find a large and significant association between emerging-economy equity volatility and trading volume and developed-economy macroeconomic announcements at short-time horizons. This is the first strong evidence of this sort of international information transmission. Previous studies' findings of at most weak evidence may be due to their use of lower frequency data and their focus on developed-economy financial market innovations as the measure of information.
Topic:
Economics and International Trade and Finance
Political Geography:
United States, Japan, Asia, Korea, and Thailand

2113. Central Asian Leadership Succession: When, Not If

Author:
Eugene B. Rumer
Publication Date:
12-2003
Content Type:
Working Paper
Abstract:
The Central Asian political landscape yields few signs of an impending storm in the near term. The absence of threats to the status quo, however, does not mean that it is acceptable or that it represents a stable political equilibrium in the region. Leadership succession in Central Asia bears watching for several reasons: as a precedent-setting process, it will provide the key missing element for the emerging political structures of the Central Asian states the tenure of the next generation will either make up for the shortcomings of its predecessors or aggravate them in the event of the latter, the stage will be set in Central Asia for more radical changes that could reverberate far beyond remote regional boundaries.
Topic:
Security, Development, and Government
Political Geography:
China and Asia

2114. The ROK—U.S. Alliance: Where Is It Headed?

Author:
Kim Dong Shin
Publication Date:
04-2003
Content Type:
Working Paper
Abstract:
The National Security Strategy of the United States of America (September 2002) provides an important framework from which to examine the current crisis on the Korean Peninsula and other challenges in Northeast Asia. With its focus on terrorism and weapons of mass destruction (WMD), this strategy is concerned with North Korea as much as, if not more than, any other state. In particular, North Korea poses a unique set of challenges in regard to WMD. North Korea stands in sharp contrast to the Republic of Korea (ROK) on issues such as human rights, democracy, and market economies. The National Security Strategy suggests that the United States should revitalize its alliance with South Korea, while encouraging North Korea to transform its political and economic system. Yet South Korea and the United States are currently having some difficulties in developing a consensus on how to approach Pyongyang, and appear to have no clear plan to operationalize the strategy to deal with North Korea.
Topic:
International Relations and Security
Political Geography:
United States, America, Asia, and North Korea

2115. 'Oil for the Lamps of China'—Beijing's 21st Century Search for Energy

Author:
Bernard D. Cole
Publication Date:
10-2003
Content Type:
Working Paper
Abstract:
In 1933, Alice Tisdale Hobart, wife of the Standard Oil Company of New Jersey manager in Nanking, published Oil for the Lamps of China. Hobart had traveled widely in China and proved to be a very observant imperialist. Her fictional account of her experiences, not surprisingly, focused on the role played by Western businessmen, especially those engaged in importing and selling petroleum products. One thread that runs through her work is Chinese dependence on foreign sources of energy supplies, which remains the case today. This dependence on foreign- controlled sources means that Beijing's efforts to ensure the availability of energy resources adequate to fuel the nation's economic growth have important national security implications.
Topic:
Emerging Markets, Energy Policy, and Environment
Political Geography:
China, Beijing, and Asia

2116. When Will Russia Really Enter Northeast Asia?

Author:
Gilbert Rozman
Publication Date:
08-2003
Content Type:
Working Paper
Institution:
Liechtenstein Institute on Self-Determination, Princeton University
Abstract:
Russia needs to open the Russian Far East for regional integration and make use of its dynamism and vast natural resources. Initiatives of the past decade have demonstrated great sensitivity to the dangers of foreign presence, but little forward thinking on their positive contributions. Putin has advanced beyond Yeltsin, but there is still no vision of regionalism. A reorientation of Sino-Russian relations from strategic goals associated with multipolarity to economic cooperation in a multilateral context offers hope that a new approach is coming. Under the umbrella of globalization including closer relations with the U.S., Putin can more easily pursue regional integration as well. In 2002-03, the nuclear standoff between North Korea and the U.S. put regionalism on hold, while energy security achieved a new profile that gave Putin the opportunity to weigh offers from China, Japan, and the U.S., while asserting control over oligarch Mikhail Khodorovsky and his oil behemoth Yukos. Clearly, Putin planned to take firm charge of managing all dimensions of regionalism, but it was less clear if he would encourage market forces.
Topic:
Civil Society and Politics
Political Geography:
Russia, United States, Japan, China, Asia, and North Korea

2117. Policies that increase vulnerability to corruption

Author:
Dwight Ink
Publication Date:
12-2003
Content Type:
Working Paper
Institution:
The National Academy of Public Administration (NAPA)
Abstract:
My comments on donor policies that increase vulnerability to corruption grow out of experience of directing the Agency for International Development programs in the Western Hemisphere, as well as assessing USAID missions in Africa, the Near East, and Asia. Following this work, I headed a non-profit organization, the Institute of Public Administration, which has been heavily involved in the transition of countries in Europe and Asia from dictatorships to market economies and democratic societies. I should point out, however, that my background is in management, not banking or economics.
Topic:
Development, Non-Governmental Organization, Poverty, and Third World
Political Geography:
Africa, Europe, and Asia

2118. Refugees and the Myth of the Borderless World

Author:
William Maley, Greg Fry, Alan Dupont, Jean-Pierre Fonteyne, James Jupp, and Thuy Do
Publication Date:
02-2002
Content Type:
Working Paper
Institution:
Australian National University Department of International Relations
Abstract:
Refugees are quintessentially victims of the states system. If the moral justification of the territorial state is to provide an authority accountable for the well-being of a designated citizenry, then the failure of individual states to discharge this task creates a responsibility on those who otherwise benefit from the system of states to aid those who suffer persecution in the territories in which they are nominally owed a primary duty of care. The number of refugees and other displaced persons in the world is extremely small—roughly 0.3 per cent of the world's population—but each is a precious being, and the way they are treated is a measure not of their worth, but of the moral capacity of those who are in a position to come to their assistance. Life chances in the present world order are to a significant degree arbitrarily determined by the accident of birthplace. Afghans and Iraqis, strongly represented in the world's present refugee population, are not refugees as punishment for their own failings. And ministers and bureaucrats in Western countries, typically enjoying lives of considerable luxury, are rarely well-off in recognition of their outstanding moral virtues; many simply had the good luck to be born in the right countries. If there is a global refugee crisis, it is not in terms of the number of refugees, but in terms of the willingness of wealthy and prosperous peoples to reach out to them. In the following paragraphs, I shall do three things. First, I offer brief overviews of the meaning of 'refugee' and of the current state of the world's refugees. Second, I outline the framework of institutions and measures which has evolved for the management of refugee protection and refugee needs. In conclusion, I offer some observations on the challenges which the refugee regime faces, and on the steps which need to be taken to improve the refugees' positions.
Topic:
Conflict Resolution and Government
Political Geography:
Afghanistan, Iraq, Asia, and Australia/Pacific

2119. Recommendations for Democratization Assistance in the Caspian Region

Author:
Vladimir Shkolnikov
Publication Date:
05-2002
Content Type:
Working Paper
Institution:
Belfer Center for Science and International Affairs, Harvard University
Abstract:
This paper discusses Western democratization assistance programs to Caspian states over the last ten years and the lessons policy makers should learn from these programs. It makes the following points: The euphoria of the early 1990s over the end of the Cold War caused Western organizations to have unrealistic expectations for democratic development in the former Soviet Union. Western democracy assistance programs have often failed to take the perspective of “the ordinary person on the street” in recipient countries into consideration. Instead, these programs usually reflect external, Western-imposed priorities. Western democracy-promoting organizations have often failed to appreciate the extent to which traditional institutions in Caspian societies (such as kinship networks) managed to survive the Soviet period and still influence the societies of the region. Western democracy-promoting organizations have failed to take into consideration the security challenges that Caspian states have had to confront during their first decade of independence. The war against global terrorism gives the West an opportunity to reevaluate its policies towards the Caspian region. Rather than relying solely on experiences of North American and Western European democracies, Western democracy-promoting organizations need to draw upon the recent experiences of new democracies of Central Europe in creating new models for the Caspian region.
Topic:
Democratization
Political Geography:
United States, Europe, Central Asia, Asia, Soviet Union, and North America

2120. Russia Watch No.7, March 2002

Author:
Duncan DeVille, Danielle Lussier, Melissa Carr, David Rekhviashvili, Annaliis Abrego, and John Grennan
Publication Date:
03-2002
Content Type:
Working Paper
Institution:
Belfer Center for Science and International Affairs, Harvard University
Abstract:
Russian support for U.S. efforts in the war on terrorism has surprised many Western observers. But this was not the only recent surprise from Moscow — Western advocates for the rule of law in Russia also had much to celebrate in the closing months of 2001. Under strong prodding by President Vladimir Putin, the Duma passed several impressive pieces of reform legislation, including an entirely new Criminal Procedure Code, a potentially revolutionary land reform law, new shareholder protections in amendments to the Joint Stock Company Law, and the first post-Soviet Labor Code.
Topic:
Security, Democratization, and Government
Political Geography:
Russia, United States, Europe, Asia, and Moscow

2121. Consequence Management in the 1995 Sarin Attacks on the Japanese Subway System

Author:
Robyn Pangi
Publication Date:
02-2002
Content Type:
Working Paper
Institution:
Belfer Center for Science and International Affairs, Harvard University
Abstract:
In the early to mid 1990s, a group known as Aum Shinrikyo amassed, and used against innocent civilians, an arsenal of chemical and biological weapons. A large body of literature details the evolution of Aum Shinrikyo, its shocking attacks on a housing complex in Matsumoto and on five subway lines in Tokyo using a chemical weapon, and Japanese society's reaction to the attacks. Not much analysis, however, has been done on the lessons learned about consequence management from the first significant terrorist attacks with weapons of mass destruction to occur in modern times. Recent events in the United States including the dispersal of anthrax spores through the mail and scores of hoaxes alleging use of anthrax have brought the issue of terrorism using weapons of mass destruction (WMD) closer to home. The handling of the Aum Shinrikyo attacks offers the opportunity for policymakers, emergency response personnel, and other relevant professionals to learn about WMD consequence management.
Topic:
National Security, Terrorism, and Weapons of Mass Destruction
Political Geography:
United States, Japan, Asia, Tokyo, and Matsumoto

2122. Enhancing Nuclear Security in the Counter-Terrorism Struggle: India and Pakistan as a New Region for Cooperation

Author:
Rose Gottemoeller and Rebecca Longsworth
Publication Date:
08-2002
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
THIS PAPER REPORTS THE RESULTS OF A STUDY of the potential to apply the principles and practice of threat reduction cooperation to countries beyond the territory of the former Soviet Union. The study, which was funded by the MacArthur Foundation, focused on the application of concepts and tools used in the former Soviet Union to the region of South Asia. The research was designed to explore what might be done cooperatively to enhance the security of the nuclear assets of India and Pakistan, lest they fall into the hands of terrorists or leaders of rogue states who would use them to threaten other states or peoples.
Topic:
Security, Terrorism, and Weapons of Mass Destruction
Political Geography:
Pakistan, South Asia, Asia, and Soviet Union

2123. A New Equation: U.S. Policy toward India and Pakistan after September 11

Author:
Lee Feinstein, David Albright, James C Clad, and Lewis A Dunn
Publication Date:
06-2002
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
The shifting geopolitical furniture on the subcontinent since last September's terrorist attacks has placed the United States in the unaccustomed position of having good relations with India and Pakistan at the same time. This has helped to forge a consensus in the United States on some of the core challenges India and Pakistan face, and on the approach Washington must pursue to advance its long-term goals for the region.
Topic:
Foreign Policy
Political Geography:
Pakistan, United States, South Asia, and Asia

2124. Russia's Decline and Uncertain Recovery

Author:
Thomas E. Jr. Graham
Publication Date:
05-2002
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
For much of the first decade after the collapse of the Soviet Union, the issue of reform—of transition to free-market democracy—dominated discussions of Russia in Russia itself and in the West. Russian president Boris Yeltsin advocated reform; Western governments declared their support and offered their assistance. This was particularly true of the U.S. government. President Clinton's administration came into office in 1993 determined to assist Russia in its transformation into “a normal, modern state—democratic in its governance, abiding by its own constitution and by its own laws, market-oriented and prosperous in its economic development, at peace with itself and the rest of the world,” as deputy secretary of state Strobe Talbott, the chief architect of the U.S. administration's Russia policy, was wont to put it.
Topic:
Economics and Government
Political Geography:
Russia, United States, Europe, Asia, and Soviet Union

2125. Lessons of the Euro for the Rest of the World

Author:
Barry Eichengreen
Publication Date:
12-2002
Content Type:
Working Paper
Institution:
Institute of European Studies (IES), UC Berkeley
Abstract:
Europe's single currency is widely invoked as a potential solution to the monetary and exchange rate problems of other regions, including Asia, Latin America, North America and even Africa. This lecture asks whether the Europe's experience in creating the euro is exportable. It argues that the single currency is the result of a larger integrationist project that has political as well as economic dimensions. The appetite for political integration being less in other parts of the world, the euro will not be easily emulated. Other regions will have to find different means of addressing the tension between domestic monetary autonomy and regional integration. Harmonized inflation targeting may be the best available solution.
Topic:
Economics, International Trade and Finance, and Political Economy
Political Geography:
Africa, Europe, Asia, and Latin America

2126. The Development of Europe's Linkages with East Asia: Hybrid Trans-Regionalism?

Author:
Julie Gilson
Publication Date:
12-2002
Content Type:
Working Paper
Institution:
Institute of European Studies (IES), UC Berkeley
Abstract:
This chapter argues that the EU-Asia trans-regional relationship is still very hard to measure but that there is developing both a notion of economic Asia, a desire to collectivise responses in the face of differentiated resource allocation and a growing dominance of the form of regionalism demonstrated by the EU.
Topic:
International Political Economy and International Trade and Finance
Political Geography:
Europe and Asia

2127. Mortgage Default Insurance in the U.S.: Implications for Russia

Author:
Raymond Struyk and Douglas E. Whiteley
Publication Date:
03-2002
Content Type:
Working Paper
Institution:
Urban Institute
Abstract:
The objective of this paper is to introduce the concept of mortgage default insurance as developed in the United States into the context of Russian mortgage lending. The first part of the paper discusses the broad principles and operations of mortgage default insurance offered by private companies as it works in the United States. The pricing of this product and the preconditions for offering such insurance are highlighted. The second section outlines the operation of the U.S. government-supported default insurance offered by the Federal Housing Administration (FHA). The final part applies the foregoing information to the situation in Russia today and concludes that the conditions necessary for launching mortgage default insurance do not currently exist in the country. Nevertheless, there are a number of essential actions that can and should be taken over the next several months to put Russia on the road to establishing such insurance in a few years. The paper finishes with a possible action plan for the next two years.
Topic:
Development, Government, and International Trade and Finance
Political Geography:
Russia, United States, Europe, and Asia

2128. International Bank Lending. Water Flowing Uphill?

Author:
John Hawkins
Publication Date:
04-2002
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
International bank lending is a major component of capital flows between advanced and emerging economies. However, in recent years these flows have been going the wrong way, like water flowing uphill. Even four years after the Asian crisis, there is a net flow of funds from emerging economies to banks in advanced economies. This paper looks at this phenomenon, starting by setting out the relevant data, and then looking at factors influencing these flows. These include both cyclical influences (both 'push' and 'pull') and structural changes within the banking industry. There is some evidence that international lenders are now discriminating more between the various emerging economies.
Topic:
Economics, Emerging Markets, and International Trade and Finance
Political Geography:
Asia

2129. One Third of the World's Growth and Inequality

Author:
Danny Quah
Publication Date:
03-2002
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
This paper studies growth and inequality in China and India—two economies that account for a third of the world's population. By modelling growth and inequality as components in a joint stochastic process, the paper calibrates the impact each has on different welfare indicators and on the personal income distribution across the joint population of the two countries. For personal income inequalities in a China-India universe, the forces assuming first-order importance are macroeconomic: Growing average incomes dominate all else. The relation between aggregate economic growth and within-country in- equality is insignificant for inequality dynamics.
Topic:
Development and Economics
Political Geography:
China, South Asia, India, and Asia

2130. How Optimal are the Extremes? Latin American Exchange Rate Policies During the Asian Crisis

Author:
Ricardo Ffrench-Davis and Guillermo Larraín
Publication Date:
01-2002
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
During the Asian crisis, intermediate exchange rate regimes vanished. It has been argued that those regimes were no longer useful and only the extremes remained valid. The paper analyses three foreign exchange regimes: Argentina (pegged), Chile (band) and Mexico (float). The Argentinean currency board delivered low financial volatility while it was credible, but even then it displayed high real volatility. Mexican float performed well in periods of instability isolating the real sector. The Chilean band delivered a mixed outcome as compared to Argentina and Mexico. This is linked apparently to a loss in the band's credibility, associated to policy mismanagement and an over-appreciation in the biennium before the crisis. Optimal exchange rate regimes vary across time and the conjuncture. Exit strategies are part of the election of the optimal system, including a flexible policy package rather than a single rigid policy tool.
Topic:
Development and International Trade and Finance
Political Geography:
Asia, Argentina, South America, Latin America, Mexico, and Chile

2131. From the Grabbing Hand to the Helping Hand: A Rent Seeking Model of China's Township-Village Enterprises

Author:
Jiahua Che
Publication Date:
01-2002
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
I present a study of ownership of firms under government rent seeking. Using its control of regulated inputs, a government agency extracts rents from a manager who undertakes an investment. Such a government rent seeking activity leads to a typical hold-up problem. Government ownership is shown to serve as a second best commitment mechanism through which the government agency will restrain itself from the rent seeking activity and even offer the manager support and favor such as tax breaks and subsidies. This mechanism works at a cost as government ownership compromises ex post managerial incentives and creates distortion in resource allocation. Nevertheless, government ownership may Pareto dominate private ownership under certain conditions. These conditions correspond to a host of stylized empirical observations concerning local government-owned firms (township-village enterprises) during China's transition to a market economy.
Topic:
Development, Emerging Markets, and Government
Political Geography:
China and Asia

2132. Household Income Dynamics in Rural China

Author:
Martin Ravallion and Jyotsna Jalan
Publication Date:
01-2002
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
It is well known in theory that certain forms of non-linear dynamics in household incomes can yield poverty traps and distribution-dependent growth. The potential implications for policy are dramatic: effective social protection from transient poverty will be an investment with lasting benefits, and pro-poor redistribution will promote aggregate economic growth. We test for non-linearity in the dynamics of household expenditures and incomes using panel data for rural south-west China. While we find evidence of non-linearity, there is no sign of a dynamic poverty trap. Existing private and social arrangements in this setting appear to protect vulnerable households from the risk of destitution. However, the concavity we find in the recursion diagram does imply that the speed of recovery from an income shock is lower for the poor, and that current inequality reduces growth in mean incomes.
Topic:
Development and Economics
Political Geography:
China and Asia

2133. Ratings since the Asian Crisis

Author:
Helmut Reisen
Publication Date:
01-2002
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
The increased importance of rating agencies for emerging-market finance has brought their work to the attention of a wider group of observers - and under criticism. This paper evaluates whether the importance of ratings for developing-country finance has changed since the Asian Crisis and whether rating agencies have modified the determinants for their rating decisions. It also provides an analysis on recent suggestions by the Basel Committee on Banking Supervision, as these are very important for gauging the future role of sovereign ratings for foreign debt finance in developing countries. While the explanatory power of conventional rating determinants has declined since the Asian crisis, recent rating performance for Argentina and Turkey can still be qualified as lagging the markets, as variables of financial-sector strength and the endogenous effects of capital flows on macroeconomic variables seem to remain underemphasized in rating assessments. The market impact of sovereign ratings is predicted to decline as agencies have started to modify their country ceiling policy and as market participants try to exploit bond trading opportunities arising from the lagged nature of ratings. The paper presents theory and evidence to suggest that the Basel II Accord will destabilise private capital flows to the developing countries, if the current proposal to link regulatory bank capital to sovereign ratings is maintained: Assigning fixed minimum capital to bank assets whose risk weights are in turn determined by market-lagging cyclically determined ratings will reinforce the tendency of the capital ratio to work in a pro-cyclical way.
Topic:
Development, Economics, and International Trade and Finance
Political Geography:
Turkey, Asia, and Argentina

2134. Human Rights and Foreign Policy Discourse in Today's Russia: Romantic Realism and Securitisation of Identity

Author:
Viatcheslav Morozov
Publication Date:
06-2002
Content Type:
Working Paper
Institution:
Danish Institute for International Studies (DIIS)
Abstract:
Most people writing on the subject recognise that within the Russian discourse, the concept of human rights is used somewhat differently compared to Western Europe or the United States. However, the nature of these differences is yet to be properly studied. It is not enough just to say that 'the Western notions of human rights undergo certain transformations when transplanted to the Russian soil. At a superficial glance, the post-Soviet notions of human rights are identical [to the Western ones], but upon a more curious consideration their content turns out to be somewhat different' (Chugrov 2001:3). The essentialist concept of 'the Russian soil' as different from the Western one is of little help since it takes cultural differences as given, and thus all the researcher has to do is to register the differences in political practice, while the explanations are known in advance. More sophisticated essentialist approaches do no more than provide labels for the cultural features (e.g. 'nominalism' of the Western culture and 'collectivism' of the East –see Panarin 1999), but are unable to account for the interaction of these two fundamental principles in the Russian political process. As far as foreign policy studies are concerned, there is also the handy realist option of reducing the differences to an assumed national interest, which, of course, in itself is a social construct that is to be studied, and not a conceptual tool for research of other matters.
Topic:
Security, Foreign Policy, Human Rights, and Nationalism
Political Geography:
Russia, Europe, and Asia

2135. Transformation of UN Peacekeeping: Role of the International Community in Peace-building Statement

Author:
Julian Harston
Publication Date:
09-2002
Content Type:
Working Paper
Abstract:
Distinguished Ladies and Gentlemen, Konichiwa. It is a pleasure to address this symposium, The Role of Peace Keeping Operation in the Process of Nation Building – Peace -building Experience in East Timor- , jointly sponsored by the Japan Institute of International Affairs (JIIA) and the United Nations University (UNU), especially in light of East Timor's imminent admission to the United Nations as a Member State later this month. While East Timor's journey to statehood is a testament to the courage and determination of its people, it also reflects positively on the emergence of multi- dimensional United Nations peacekeeping operations.
Topic:
Conflict Resolution, International Cooperation, and United Nations
Political Geography:
Asia

2136. Japan's Future Policies Towards the Middle East Peace Process: Recommendations

Publication Date:
07-2002
Content Type:
Working Paper
Abstract:
The prospects for Middle East peace remain very dim. The Palestinians feel a growing sense of despair at the continuing occupation and the poor prospects for peace, while the Israelis are extremely uneasy about the escalation of terrorism and the ultimate destination of the Middle East peace process. A wide gap separates the two groups' views on the objectives of peace, and bridging this gap is a central issue in today's peace process. The trust that the parties managed to cultivate from the early 1990s has vanished like mist, and there is significant mutual distrust between Chairman Arafat and Prime Minister Sharon.
Topic:
Conflict Resolution and Peace Studies
Political Geography:
Middle East and Asia

2137. Political Office, Kinship, and Household Wealth in Rural China

Author:
Andrew G. Walder and Litao Zhao
Publication Date:
12-2002
Content Type:
Working Paper
Institution:
Walter H. Shorenstein Asia-Pacific Research Center
Abstract:
For more than two decades after the demise of Maoist collectivism, a resurgent market economy has deeply transformed the social structure of rural China. By the mid-1980s, peasant households had already returned to historical marketing patterns of agricultural produce and other sidelines and services. By the turn of the century, almost 140 million individuals, or 30 percent of the rural labor force, earned regular incomes from wage labor outside agriculture. Twenty million rural households had registered individual family enterprises, and two million of them had already grown into substantial private firms. A massive rural industrial sector grew up under public ownership in the 1980s, employing more than 80 million at its height. It was then extensively privatized in the 1990s, and is now less than half its former size. While these developments have been widely noted in studies of rural industrialization and income inequality, it is still far from clear how they have altered the structure and wealth of village political and economic elites.
Topic:
Communism, Economics, and Politics
Political Geography:
China and Asia

2138. From Keiretsu to Startups: Japan's Push for High Tech Entrepreneurship

Author:
Henry Rowen and A. Maria Toyoda
Publication Date:
10-2002
Content Type:
Working Paper
Institution:
Walter H. Shorenstein Asia-Pacific Research Center
Abstract:
How much does it matter that Japan creates relatively few new high technology companies? Many observers estimate, or at least assume, that entrepreneurial dynamism and its associated innovations promote economic growth and in the long run are necessary for it. In recent years there has been much attention devoted to fostering such new firms in many countries, including Japan, with much of this interest derived from the example of Silicon Valley. Before the 1990s, after several decades of excellent performance by the Japanese industry, any observer noting that it had few new high tech companies would probably have met with indifference. Success spoke for itself. Now, after an economic plateau lasting over a decade, questions about the late and relatively small-scale emergence of high tech startups have become increasingly salient.
Topic:
Industrial Policy and Science and Technology
Political Geography:
Japan, Israel, East Asia, and Asia

2139. The Growth of Broadband Internet Connections in South Korea: Contributing Factors

Author:
Kyounglim Yun, Heejin Lee, and So-Hye Lim
Publication Date:
09-2002
Content Type:
Working Paper
Institution:
Walter H. Shorenstein Asia-Pacific Research Center
Abstract:
In recent years, Korea has seen a remarkable diffusion in broadband Internet connections. This paper explores the actions and factors contributing to this diffusion from three viewpoints: public sector, private sector, and social. We suggest that the matching of demand and supply is the most important factor in the fast diffusion of broadband in Korea. In particular, fierce infrastructure competition has led to quality services at a low fixed price. We also consider two challenges that lie ahead: take-up of retail e-commerce applications, and the need to bridge the digital divide.
Topic:
Economics, International Trade and Finance, and Science and Technology
Political Geography:
Asia, South Korea, and Korea

2140. Inaugural Oksenberg Lecture: The United States and China: A President's Perspective. An address by Jimmy Carter

Author:
Jimmy Carter
Publication Date:
08-2002
Content Type:
Working Paper
Institution:
Walter H. Shorenstein Asia-Pacific Research Center
Abstract:
The Oksenberg Lectures honor the legacy of Professor Michel Oksenberg (1938–2001), Senior Fellow at the Asia/Pacific Research Center, professor of political science, and a foremost authority on China.
Topic:
Development
Political Geography:
China, Israel, East Asia, and Asia

2141. Privatization and Elite Mobility: Rural China, 1979-1996

Author:
Andrew G. Walder
Publication Date:
07-2002
Content Type:
Working Paper
Institution:
Walter H. Shorenstein Asia-Pacific Research Center
Abstract:
The ideal types that motivate research on transitional economies have led to a neglect of the varied mechanisms that generate social change. One example is the implicit treatment of privatization as a single process whose initial impact will become more pronounced through time. Privatization in fact occurs via distinct mechanisms that have different consequences across types of assets and through time, as shown in an analysis of career trajectories over two decades in rural China. During the first decade, when privatization proceeded via the rapid expansion of household enterprise, ordinary individuals with nonagricultural work experience were the most likely to become private entrepreneurs. Village officials, their relatives, and public enterprise managers did not enter the private sector at rates higher than others. However, during the second decade the privatization of public enterprises began to transfer collective assets to individual ownership. During this period, public enterprise managers and the relatives of cadres emerged as the most likely to become private entrepreneurs. Private entrepreneurs, however, have yet to move into cadre posts, and cadres have yet to move into private entrepreneurship, at rates higher than others. Administrative elites have therefore proven resilient in the face of private-sector expansion, and the benefits of privatization have gradually shifted in their favor.
Topic:
Communism and Economics
Political Geography:
China and Asia

2142. Foreign Penetration of Japan's Investment-Banking Market: Will Japan Experience the "Wimbledon Effect"?

Author:
Nicole Pole
Publication Date:
07-2002
Content Type:
Working Paper
Institution:
Walter H. Shorenstein Asia-Pacific Research Center
Abstract:
Foreign banks have long faced difficulties in attempting to enter certain Japanese financial markets. This is due partly to regulatory practices and partly to specific Japanese socioeconomic conditions, for instance the system of relationship banking. While retail banking is still a sector in which almost no foreigners have been able to succeed, some foreign financial institutions have been able to gain market share in investment and wholesale banking.
Topic:
Economics and International Trade and Finance
Political Geography:
Japan, Israel, East Asia, and Asia

2143. Chinese and Indian Engineers and their Networks in Silicon Valley

Author:
Rafiq Dossani
Publication Date:
03-2002
Content Type:
Working Paper
Institution:
Walter H. Shorenstein Asia-Pacific Research Center
Abstract:
In recent years, Asian immigrants have played an important role in Silicon Valley's growth, as suppliers of both engineering and entrepreneurial talent. Given their relatively large numbers, the Indian and Chinese communities' contributions have been particularly noted. The Indians' presence became more marked toward the last few years of the century, bolstered by arrivals working on the Year 2000 (Y2K) problem. The Chinese, by contrast, had older roots set down amid long-standing political, economic, and educational links with Taiwan. Both communities have formed extensive ethnic professional networks, with large memberships and well-attended, regular "networking" events, such as monthly meetings and special interest group sessions. The popularity of these events suggests that members find them valuable. While some of the value is probably noneconomic, the avowedly economic mission (see below) and long-term popularity of these gatherings means that most members primarily derive economic benefits. These networks and their members are the subject of this paper. The author acknowledges the collaboration of Professor AnnaLee Saxenian of the University of California, Berkeley, in the design of and data collection for the survey which forms part of this paper. The survey was partially funded by the Public Policy Institute of California.
Topic:
International Trade and Finance and Science and Technology
Political Geography:
United States, India, Taiwan, Asia, California, and Berkeley

2144. Cosmopolitan Cities and Nation States: Open Economics,Urban Dynamics, and Government in East Asia

Author:
Thomas P. Rohlen
Publication Date:
02-2002
Content Type:
Working Paper
Institution:
Walter H. Shorenstein Asia-Pacific Research Center
Abstract:
This essay is about the pivotal role cities play in the current pattern of social, cultural, and political change in East Asia. Its starting premise is that the postwar era of nation state building and state-led change is ending and a different era—one that centers on global capitalism and new technological capacities—has been steadily emerging in the region over the last several decades. At the vortex of these new forces we find big, successful cities. In such cities, the forces of capitalism, cultural cosmopolitanism, and new technologies combine critically in a turbulent and heady new mix. As a result, while the effectiveness of state initiatives decreases, and government is under pressure to reform, privatize, and decentralize, the dynamic (and typically coastal) cities of East Asia are the center of powerful economic and cultural forces for change, and the source of alternative political agendas. Simultaneously, due to their rapid expansion, these cities have also become the locus of giant new problems for public management.
Topic:
Government, International Political Economy, and Sovereignty
Political Geography:
East Asia and Asia

2145. Terrorism Eclipses the Sunshine Policy: Inter-Korean Relations and the United States

Author:
Kongdan Oh
Publication Date:
03-2002
Content Type:
Working Paper
Institution:
Asia Society
Abstract:
A half-century of zero-sum confrontation between South and North Korea ended symbolically when the two leaders of divided Korea finally met on June 13, 2000. The 74-year-old Kim Dae-jung, president of South Korea (the Republic of Korea, or ROK), flew to Pyongyang, the capital of North Korea (the Democratic People's Republic of Korea, or DPRK), to meet his counterpart, 58-year-old Kim Jong-il, chairman of the National Defense Committee. At Sunan Airport, the two leaders embraced while thousands of mobilized North Koreans sent up rousing cheers. Tens of thousands more lined the motorcade route into the city, and millions around the world watched the television coverage, fighting to keep back tears of joy.
Topic:
Nuclear Weapons
Political Geography:
United States, Israel, East Asia, Asia, South Korea, North Korea, and Korea

2146. Russian Health and Social Welfare: Limited Progress

Author:
Judyth L. Twigg
Publication Date:
08-2002
Content Type:
Working Paper
Institution:
Aspen Institute
Abstract:
It has become routine for Russian policy makers to characterize their various health and social problems—rising male mortality, HIV/AIDS, illegal drug use, even pension system reform—as threats to the stability and national security of their country. Russia's importance to American national interests was thrown in sharp relief by the events of September 11 and their aftermath. A stable, prosperous Russia is a crucial partner in the war on terrorism. The fact that so many of Russia's health and social indicators remain stagnant or in decline, despite limited improvement along some dimensions, should therefore be troubling to the United States.
Topic:
Government, Health, Human Welfare, Science and Technology, and Terrorism
Political Geography:
Russia, United States, Europe, and Asia

2147. The Nuclear Dimension of U.S.-Russian Relations: Missile Defense, Arms Control and 'Loose Nukes'

Author:
Rose Gottemoeller
Publication Date:
08-2002
Content Type:
Working Paper
Institution:
Aspen Institute
Abstract:
The United States and Russia are entering an important stage following the Presidential summit of May 2002. Since Presidents Bush and Putin first started getting to know one another last year, they have been declaring the onset of a fundamentally new relationship, based on a new framework for strategic cooperation. Both leaders have declared that the Cold War is over and that our two countries can exist as friends.
Topic:
Cold War, Treaties and Agreements, and Weapons of Mass Destruction
Political Geography:
Russia, United States, Europe, and Asia

2148. The United States and Russia in Central Asia: Uzbekistan, Tajikistan, Afghanistan, Pakistan, and Iran

Author:
Fiona Hill
Publication Date:
08-2002
Content Type:
Working Paper
Institution:
Aspen Institute
Abstract:
Before 1991, the states of Central Asia were marginal backwaters, republics of the Soviet Union that played no major role in the Cold War relationship between the USSR and the United States, or in the Soviet Union's relationship with the principal regional powers of Turkey, Iran, and China. But, in the 1990s, the dissolution of the Soviet Union coincided with the re-discovery of the energy resources of the Caspian Sea, attracting a range of international oil companies including American majors to the region. Eventually, the Caspian Basin became a point of tension in U.S.-Russian relations. In addition, Central Asia emerged as a zone of conflict. Violent clashes erupted between ethnic groups in the region's Ferghana Valley. Civil war in Tajikistan, in 1992-1997, became entangled with war in Afghanistan. Faltering political and economic reforms, and mounting social problems provided a fertile ground for the germination of radical groups, the infiltration of foreign Islamic networks, and the spawning of militant organizations like the Islamic Movement of Uzbekistan (IMU). The IMU first sought to overthrow the government of President Islam Karimov in Uzbekistan, later espoused greater ambitions for the creation of an Islamic caliphate (state) across Central Asia, and eventually joined forces with the Taliban in Afghanistan. With the events of September 11, 2001 and their roots in the terrorist groups operating in Afghanistan, Central Asia came to the forefront of U.S. attention.
Topic:
Cold War and Religion
Political Geography:
Pakistan, Afghanistan, Russia, United States, China, Europe, Iran, Central Asia, Turkey, Asia, Tajikistan, Uzbekistan, Taliban, and Soviet Union

2149. U.S.-Russian Relations Ten Months After September 11

Author:
Robert Legvold
Publication Date:
08-2002
Content Type:
Working Paper
Institution:
Aspen Institute
Abstract:
When American Airlines #11 exploded into the North Tower of the World Trade Center on September 11, in one respect, it was like the neutron Enrico Fermi sent smashing into the core of a uranium atom in 1934, changing the world, but in ways only half-perceived. True, the scientific community recognized that the split atom released “nuclear energy” more powerful than a million steam engines, and so their minds turned to imagining industrial technology in a world of limitless electricity. As late as 1938, the year Fermi received his Nobel prize, thoughts were more of what Mussolini had lost in losing Fermi by way of industrial advances than, as one newspaper of the day put it, “the admittedly far-fetched potential for so-called 'nuclear bombs.' "
Topic:
Security and Terrorism
Political Geography:
Russia, United States, Europe, and Asia

2150. Indonesia Backgrounder: How The Jemaah Islamiyah Terrorist Network Operates

Publication Date:
12-2002
Content Type:
Working Paper
Institution:
International Crisis Group
Abstract:
As the Indonesian-led investigation proceeds, the Bali attack on 12 October 2002 looks more and more like the work of Jemaah Islamiyah (JI). But what exactly is Jemaah Islamiyah and how does it operate? It is one thing to describe, as many have by now, a network of Islamic radicals extending across Southeast Asia, led by Indonesian nationals, with a loose structure characterised by four territorial divisions known as mantiqis that cover peninsular Malaysia and Singapore; Java; Mindanao, Sabah, and Sulawesi; and Australia and Papua respectively.
Topic:
Conflict Resolution, Security, and Terrorism
Political Geography:
Indonesia, Malaysia, Asia, Australia, Singapore, Southeast Asia, and Papua