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8741. The Culture-Promotion Effect of Multinationals on Trade: the IKEA case

Author:
Dylan Bourny, Daniel Mirza, and Jamel Saadaoui
Publication Date:
07-2022
Content Type:
Working Paper
Institution:
Centre d'Etudes Prospectives et d'Informations Internationales (CEPII)
Abstract:
In this paper, we investigate how some MNEs which spread their home culture over time and space to the rest of the world are affecting, in turn, trade flows from home. By selling products embodying cultural information related to their country of origin, those MNEs embrace the role of ambassadors of their home country. We argue that IKEA offers an ideal case to identify a multinational's culture-promotion effect on trade. We build a dataset on IKEA's presence in foreign markets between 1995 and 2015 and merge it with disaggregated product level trade between pairs of countries. We find solid evidence of an externality linked to IKEA: a setting of an IKEA new store in a destination increases trade flows by around 2% from Sweden for products that resemble to what the multinational offers (despite being completely unrelated to that multinational). This result is driven primarily by the products identified to encompass a high-cultural content. Other robustness checks and tests seem to be very much consistent with the hypothesis of IKEA promoting the Swedish culture to the world.
Topic:
Globalization, International Trade and Finance, Culture, and Multinational Corporations
Political Geography:
Global Focus

8742. Not all political relation shocks are alike: Assessing the impacts of US-China tensions on the oil market

Author:
Yifei Cai, Valérie Mignon, and Jamel Saadaoui
Publication Date:
08-2022
Content Type:
Working Paper
Institution:
Centre d'Etudes Prospectives et d'Informations Internationales (CEPII)
Abstract:
This paper assesses the effects of US-China political tensions on the oil market. Relying on a quantitative measure of these relationships, we investigate how their dynamics impact oil demand, supply, and prices over various periods, starting from 1971 to 2019. To this end, we estimate a structural vector autoregressive model as well as local projections and show that political tensions between the two countries pull down oil demand and raise supply at medium- and long-run horizons. Overall, our findings show that conflicting relationships between these two major players in the oil market may have crucial impacts, such as the development of new strategic partnerships.
Topic:
Security, Oil, Conflict, Rivalry, and Energy Crisis
Political Geography:
China, Asia, North America, and United States of America

8743. Regional Diffusion of Foreign Demand Shocks Through Trade and Ownership Networks

Author:
Lionel Fontagné and Gianluca Santoni
Publication Date:
09-2022
Content Type:
Working Paper
Institution:
Centre d'Etudes Prospectives et d'Informations Internationales (CEPII)
Abstract:
International demand shocks are transmitted within the trade and ownership firms' networks and impact directly or indirectly domestic firm productivity and labor misallocation. Considering manufacturing firms for Italy, Spain and France over the period 2009-2017, we quantify these transmission channels from the global economy to the domestic firms, and within the domestic economy across locations, sectors and firms. We compute in a shift share fashion international demand shock at the district-sector-year level as plausibly exogenous to individual firms. Our results confirm that global shocks are transmitted through trade networks and that this transmission is largely mediated by firms' ownership networks both across and within the borders of the three countries.
Topic:
Economics, International Trade and Finance, Demand, and Productivity
Political Geography:
Europe, France, Spain, and Italy

8744. The Heterogenous Effects of Employers’ Concentration on Wages: Better Sorting or Uneven Rent Extracting?

Author:
Axelle Arquie and Julia Bertin
Publication Date:
10-2022
Content Type:
Working Paper
Institution:
Centre d'Etudes Prospectives et d'Informations Internationales (CEPII)
Abstract:
We show empirically for France that labor market concentration decreases wages heterogeneously, with the lowest earners being the most vulnerable, and increases local wage inequality within occupations. If concentration allows employers to improve worker selection, both inequality and efficiency gains could materialize. However, based on a simple formalization, we interpret the findings that employer concentration increases within-firm inequality and decreases between-firm inequality as evidence against such a sorting mechanism. We also find evidence that employer concentration does not increase positive assortative matching. The results therefore suggest that concentration increases inequality through the relatively reduced bargaining position of the lowest earners.
Topic:
Labor Issues, Inequality, Labor Market, and Wages
Political Geography:
Europe and France

8745. The Usual Suspects: Offender Origin, Media Reporting and Natives’ Attitudes Towards Immigration

Author:
Sekou Keita, Thomas Renault, and Jerome Valette
Publication Date:
10-2022
Content Type:
Working Paper
Institution:
Centre d'Etudes Prospectives et d'Informations Internationales (CEPII)
Abstract:
This paper analyses whether the systematic disclosure of criminals’ origins in the press affects natives’ attitudes towards immigration. It takes advantage of the unilateral change in reporting policy announced by the German newspaper Sächsische Zeitung in July, 2016. Combining individual-level panel data from the German Socio-Economic Panel from 2014 to 2018 with 402,819 crime-related articles in German newspapers and those newspapers’ market shares, we find that systematically mentioning the origins of criminals increases the relative salience of natives’ criminality and reduces natives’ concerns about immigration, breaking the implicit link between immigration and crime.
Topic:
Media, Immigrants, Discrimination, and Nativism
Political Geography:
Europe and Germany

8746. Skilled Immigration, Task Allocation and the Innovation of Firms

Author:
Anna Maria Mayda, Gianluca Orefice, and Gianluca Santoni
Publication Date:
11-2022
Content Type:
Working Paper
Institution:
Centre d'Etudes Prospectives et d'Informations Internationales (CEPII)
Abstract:
This paper analyses the impact of skilled migrants on the innovation (patenting) activity of French firms between 1995 and 2010, and investigates the underlying mechanism. We present district-level and firm-level estimates and address endogeneity using a modified version of the shift-share instrument. Skilled migrants increase the number of patents at both the district and firm level. Large, high-productivity and capital-intensive firms benefit the most, in terms of innovation activity, from skilled immigrant workers. Importantly, we provide evidence that one channel through which the effect works is task specialization (as in Peri and Sparber, 2009). The arrival of skilled immigrants drives French skilled workers towards language-intensive, managerial tasks while foreign skilled workers specialize in technical, research-oriented tasks. This mechanism manifests itself in the estimated increase in the share of foreign inventors in patenting teams as a consequence of skilled migration. Through this channel, greater innovation is the result of productivity gains from specialization.
Topic:
Business, Immigrants, Innovation, and Skilled Labor
Political Geography:
Europe and France

8747. Current Account Balances’ Divergence in the Euro Area: an Appraisal of the Underlying Forces

Author:
Emmanuelle Faure, Carl Grekou, and Valérie Mignon
Publication Date:
12-2022
Content Type:
Working Paper
Institution:
Centre d'Etudes Prospectives et d'Informations Internationales (CEPII)
Abstract:
This paper revisits the crucial issue of current account imbalances and focuses on the determinants of their gaps between eurozone Member States. We conduct robust estimations of the current account balances for a panel of ten founding euro area economies and construct a measure that allows us to diagnose why some countries have started to diverge from the eurozone mean in the last two decades. Our findings show evidence of remaining differences in countries’ economic development, meaning that real macroeconomic convergence has failed in the zone. Price and cost competitiveness, as well as fiscal balances, have also participated in this growing macroeconomic divergence. Overall, while the European authorities cannot influence the part of the current account gaps due to demographic factors, the role of fiscal redistribution and investment at the euro area level could help achieve macroeconomic convergence and thus reduce current accounts’ divergence in the zone.
Topic:
Economics, Regional Cooperation, European Union, Eurozone, and Regionalism
Political Geography:
Europe

8748. Estonia as an Area of Russian Influence: Analysis and Synthesis of the Kremlin’s Methodology of Exerting Influence on Tallinn’s Political and Social Stability

Author:
Jacek Bil
Publication Date:
03-2022
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
Russia's hostile actions against the Estonian state structures take the form of soft power, which can be observed in such areas as the activities of the Russian-speaking minority, media coverage, or through the use of coercion when it comes to fuel sales. This article presents qualitative methods of measuring Russian influence on Estonia. An observable trend in international relations is replacing hard power with soft power, commonly used against states within the sphere of interest of certain geopolitical entities. It is more difficult to identify the latter and prove it results from an aggressor's deliberate actions. Information warfare, including disinformation and propaganda, is one of the means Russia uses to exert political influence. By accepting the offer of a political and military alliance with the Western world, the Baltic States have become a threat to the Kremlin's imperialist aspirations. Russia's direct military actions against Estonia and the other Baltic states would have provoked a strong reaction and could even have led to military confrontation. However, the Russian government wishes to avoid it and, for the time being, limits itself to soft power measures.
Topic:
Hegemony, Regionalism, Strategic Stability, Foreign Interference, and Influence
Political Geography:
Russia, Europe, Eastern Europe, and Estonia

8749. Russia Against Ukraine Before the European Court of Human Rights. The Empire Strikes Back?

Author:
Milena Ingelevic-Citak
Publication Date:
03-2022
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
In July 2021, Russia submitted its first inter-state complaint against Ukraine to the European Court of Human Rights. It was an unexpected and intriguing step of the Russian government, especially since many of the presented allegations are linked to the events that initiated the Russian-Ukrainian conflict. Referring to the hostilities that began in 2014, the international community was, in principle, unanimous in assessing who the aggressor was. The focus of this research is the strategy of the Russian Federation in its recently initiated legal battle before the Strasbourg Court. This paper presents an attempt to outline the possible motives for taking such a step. Moscow's position on this case is particularly puzzling, as some of the allegations concern the Crimean Peninsula, widely recognized under international law as territory occupied by Russia. In spite of that, doubt arises about the strategic objectives of the Russian authorities in the conflict with Ukraine; the question is whether the actions taken by Russia fall within the scope of its previous strategy or if there has been a new turn in the matter. The first part of this paper outlines the background of the given conflict, the second details Russian policy after the annexation of Crimea, and the third, which is crucial for the formulating of conclusions, presents considerations on Russia's possible motivation and goals in filing a complaint to the European Court Human Rights. The research was conducted mainly based on the merits of the complaint, the statements of the representatives of Russia and Ukraine in the matter, the author's observations, and practitioners' considerations.
Topic:
Security, Conflict, Regionalism, European Court of Human Rights (ECtHR), and Russia-Ukraine War
Political Geography:
Russia, Europe, and Ukraine

8750. Hybrid Warfare or Hybrid Threat – The Weaponization of Migration as an Example of the Use of Lawfare – Case Study of Poland

Author:
Piotr Lubinski
Publication Date:
03-2022
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
This article aims to address the issue of alleged hybrid warfare attacks on Lithuania, Latvia, and Poland. The scope of the article covers the Belarus operations conducted in 2021. Firstly, the author addresses the issue of pushing migrants from a descriptive perspective. Secondly, he debates whether Belarus operation was conducted within the scope of hybrid warfare, hybrid threat, and lawfare? The author concludes that the Republic of Belarus has operated lawfare falling within the hybrid threat spectrum. It means that the situation is not to be classified under the law of armed conflict from the perspective of international and non-international armed conflicts and ius ad bellum violation. Thirdly, the author claims that Belarus has violated international law, so certain legal redress is appropriate and justified. Belarus's actions may result in a court proceeding before the International Court of Justice and before other international institutions.
Topic:
Migration, Law, Hybrid Warfare, and Hybrid Threats
Political Geography:
Europe and Poland

8751. Psychological Determinants of Individual Radicalisation

Author:
Elzbieta Posluszna
Publication Date:
03-2022
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
The paper aims to define the psychological foundations of lone wolf activism. The analysis that facilitated attaining this goal was based on the Nietzschean concept of resentment theory of compensatory revaluating values that explain the relationships between inferiority and fundamentalism, fanaticism, and ideologically motivated violence. Based on a phenomenological examination of the phenomenon, the author demonstrates that lone wolf activism is founded on two psychologically and sociologically determined successive processes. The first one occurs when a sense of personal inferiority becomes the source of an envy-based hostile attitude toward the world. Later on, this feeling, due to personality defence mechanisms, which bring about the falsification of “primary desires” and the generation of “secondary desires”, transforms into fundamentalism. The second process takes place when, as the result of fundamentalist legitimisation that arise on the level of social rivalry, given fundamentalism is destituted, resulting in fanaticism. The author believes that the knowledge of both processes is necessary to recognise and combat the terrorist activity of lone ideologically motivated individuals.
Topic:
Terrorism, Radicalization, Psychology, Legitimacy, and Social Order
Political Geography:
Global Focus

8752. Strategic Ambiguity in US-Taiwan Relations During the Donald Trump Administration

Author:
Filip Grzegorzewski
Publication Date:
03-2022
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
Strategic ambiguity, or the deliberate policy of uncertainty as to whether the United States would use force to defend Taiwan against an invasion by the People's Republic of China, has been the centrepiece of US policy towards the Taiwan issue for decades. This paper discusses the factors driving the redefinition of strategic ambiguity and its recalibration throughout Donald Trump's presidency (2017–2021). The fundamental driver of this change was to balance the rising power of the People’s Republic of China (PRC). The paper applied offensive realism as a theoretical framework for its analysis. Under President Donald Trump, Washington modified its policy of strategic ambiguity, explicitly framing relations with Taiwan within a broader Indo-Pacific strategy. While the US retained key elements of strategic ambiguity, including the 'One China' policy, it added new features to deploy it offensively against Beijing's growing regional hegemony. The increased dynamism and unpredictability of relations with Taiwan were matched by a welcoming attitude towards strengthening Taiwanese identity and highlighting the systemic differences between communist China and democratic Taiwan. America stepped up arms sales and encouraged Taiwan to build its self-defence capabilities. Washington engaged in countering Chinese attempts to isolate Taiwan internationally and included it in restructuring global supply chains. Although the United States has not formally revised the boundaries of the 'One China' policy, the modification of strategic ambiguity increased Taiwan's prominence in US-China power competition and pushed back the prospect of peaceful unification.
Topic:
Security, International Cooperation, Bilateral Relations, and Leadership
Political Geography:
Taiwan, Asia, North America, and United States of America

8753. Extraordinary Legal Measures and Their Application as a Response of States to the First Wave of the COVID-19 Pandemic

Author:
Boguslaw Stanislaw Przywora and Karol Dobrzeniecki
Publication Date:
03-2022
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
The topic of the present article is the response of states to the first wave of the COVID-19 pandemic by using extraordinary legal measures provided for in their constitutions and legislation. By reference to the research project's findings, the authors characterise the legal solutions in selected jurisdictions and attempt to demonstrate the relationship between the application of emergency measures and the specific political system of states. By doing so, the authors consider such factors as the territory, population, or type of political regime.
Topic:
Governance, Pandemic, COVID-19, Health Crisis, and Legal Sector
Political Geography:
Global Focus

8754. European Security Management at the National Level. A Comparative Analysis of Strategies for the Development of Defence Capability in the United Kingdom and Poland

Author:
Joanna Iwancz and Bartłomiej H. Toszek
Publication Date:
03-2022
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
The article presents the positions of the UK and Polish governments on the importance of European security management as a factor influencing and shaping the defence doctrine in both states. Building on the systemic nature of European security, security management concepts, as defined in UK and Poland’s strategies for developing defence capabilities, have been examined using a system analysis. The assessment of the issue from the perspective of the UK and Polish governments is based on a decision-making analysis, while differences in the approach to European security are demonstrated through a comparative method. The authors have shown that the actual perception of European security as part of the global order is a factor determining the current involvement of the UK Government in the process of security management. However, the Polish government has shown interest in similar actions only to the extent these are convergent with national security.
Topic:
Security, Defense Policy, Military Strategy, and Governance
Political Geography:
United Kingdom, Europe, and Poland

8755. Ancillary Units as a Tool of Sublocal Governance in the Polish Major Cities

Author:
Malgorzata Madej
Publication Date:
03-2022
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
After the post-communist transition, decentralisation and subsidiarity have become one of Poland's major principles of political organisation. Moreover, especially the original 1990 reform and establishment of self-governing communes are regarded as a success story, not only in improving the quality of governance and public service provision but also in the civil society and citizen participation, as evidenced by the development of modern urban movements. The article explores legal possibilities for further decentralisation of municipalities, analysing the role of ancillary units in regional capitals. Ancillary units in Poland have developed differently in the countryside and urban communes. Relying on publicly available information and data provided by the respective municipal offices, the article describes the ancillary units' statutory role, competencies, and actual activities. The findings enable the assessment of the application of the sublocal decentralisation solution in Polish cities and the identification of its benefits and shortcomings.
Topic:
Civil Society, Governance, Urban, Local, and Post-Soviet Space
Political Geography:
Europe and Poland

8756. Forms of the Government Administration’s Impact on the Activities of Local Governments During the COVID-19 Pandemic

Author:
Maciej Serowaniec and Piotr Paczka
Publication Date:
03-2022
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
The primary burden of tackling the pandemic COVID-19 lies with the state as the entity responsible for protecting the health and life of its citizens. Hence, it can be argued that the focus of the pandemic-induced changes to the Polish legal order was on administrative law, which not only sets out the principles of the functioning of the State as the executive power but also governs the relations between the government, local government and citizens, which had to be significantly modified during the pandemic. It would be impossible to analyse and discuss all the emergency measures that appeared in Poland’s administrative law due to the threats posed by the pandemic. The subject matter of the present study is the analysis of the legal solutions adopted in the Republic of Poland in the sphere of public law in connection with the spread of the virus and particular provisions shaping relationships between the two basic structural branches of Polish public administration, viz. the government administration and the local-government administration. The following part of this study will accordingly be devoted to the analysis of the legislative solution contained in Article 11h of the COVID-19 Act, establishing a legal framework for issuing binding instructions to, among others, the various bodies of local governments, local-government legal persons and local-government organisational entities without legal personality.
Topic:
Governance, Leadership, Local, Pandemic, and COVID-19
Political Geography:
Europe and Poland

8757. Risks and Benefits of i-Voting in Public Opinion: Evidence from Poland

Author:
Izabela Kapsa and Magdalena Musial-Karg
Publication Date:
03-2022
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
Apart from benefits, internet voting security is most frequently discussed by opponents and supporters of this form of electoral participation. Although this voting method is not available in Poland, the debate on the implementation of i-voting appears in each election. The COVID-19 pandemic showed a great need to implement additional remote voting methods in the elections, and increasingly more countries are considering the introduction of i-vote in the future. Although there is no plan for the nearest future in Poland, citizens' opinions suggest that this voting procedure would meet many of its users. The paper's main aim is to analyse Poles' opinions about the risks and benefits of internet voting. The results of our own studies are based on a survey among Poles regarding their views on internet voting. The main goal is to verify if Poles more often highlight the benefits than risks of i-voting, and if the opinions about risks and benefits of i-voting differ depending on respondents’ sex, age, education and domicile.
Topic:
Security, Elections, Voting, Innovation, and Political Participation
Political Geography:
Europe and Poland

8758. Cities, Transnational Law, and COVID-19

Author:
Agnieszka Szpak and Joanna Modrzynska
Publication Date:
03-2022
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
This paper aims to point to the transition from international law to transnational law that, on the one hand, is caused, and on the other, is strengthened by the growing role of cities in the fight against COVID-19. Various interactions between cities and other international actors give rise to new trends and challenges on the international plane. One of such terms, transnational law, refers to developments beyond the nation-state and includes “all law which regulates actions or events that transcend national frontiers”. It is characterized by a plurality of overlapping normative systems and a growing role of new actors in the international arena, which are cities. The authors give examples of cities bypassing or complementing states with special emphasis on European cities (Polish including) as well as of cities’ transnational cooperation to fight COVID-19 pandemic, filling the gaps in inter-governmental multilateral cooperation.
Topic:
transnationalism, Cities, Pandemic, and COVID-19
Political Geography:
Europe

8759. Migration and Foreign Aid as Factors Restraining Regional Cooperation in the South Pacific

Author:
Joanna Siekiera
Publication Date:
06-2022
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
Cooperation in the South Pacific region is unique due to the characteristics of its participants. Following the period of decolonization (1962-1980), countries in Oceania have radically changed. Achieving independence gave those nations international legal personality, yet complete independence from their former colonial powers. The following consequence was gaining an opportunity to draft, adopt and execute own laws in national and foreign policy. PICT (Pacific island countries and territories) have been expanding connections, political and trade ones, within the region since the 1960s when permanent migration of islanders and intra-regional transactions began. Migrations along with foreign aid are considered as the distinctive characteristics of the Pacific Ocean basin. Since the 1980s, the regional integration in Oceania, through establishing regional groupings and increasing the regional trade agreements number, took on pace and scope. The MIRAB synthetic measure (migration, remittances, aid, bureaucracy) has been used in analyzing the Oceania developing microeconomies. Last but not least, migration and foreign aid have been retaining the region from a deeper and more effective stage of regionalism.
Topic:
Migration, Regional Cooperation, Foreign Aid, and Regionalism
Political Geography:
Oceania and South Pacific

8760. COVID-19 as a Green Light for the Regeneration of ISIS’ Forces in North-East Syria

Author:
Oskar Schaefer
Publication Date:
07-2022
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
Following the fall of the so-called Islamic State in March 2019, tens of thousands of its fighters, along with their wives and children, were captured and detained in facilities controlled by Syrian Democratic Forces in northeast Syria. Many of which were European. Based on the information provided by scientific institutes and journalists, the outbreak of the Covid-19 pandemic had had a significant impact on the functioning of those facilities. Not only did it aggravate an already severe humanitarian crisis, pushing the detainees to reinforce their attempts of escaping and rioting against the guards, but it also lowered the security level in the controlled facilities, allowing a flourishing of criminal activities. Furthermore, the detainment of ISIS followers turned into a political game between the Kurdish coalition and the United States. The global health crisis put to the test the strategy of many Western governments of keeping European ISIS fighters in the Middle East while pressuring the international community to rethink its approach towards this crescent problem.
Topic:
Military Strategy, ISIS, Pandemic, and COVID-19
Political Geography:
Middle East and Syria