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Begin New Search Topic Inequality Political Geography Asia

21. Racism, a Challenge For An Increasingly Global China: Confronting a Problem the PRC Does Not Know it Has

Author:
Bonnie Girard
Publication Date:
03-2021
Content Type:
Journal Article
Journal:
Brown Journal of World Affairs
Institution:
Brown Journal of World Affairs
Abstract:
As I lay on a gurney in an examining room in Peking Union Medical College Hospital (Xiehe Yiyuan) in central Beijing—pleading with the doctor to give me something, anything for the pain coursing through my head—I could not help but wonder why it was taking so long for hospital staff to give me relief. The diagnosis could come later, I thought, but right now I want either morphine or a gun. The year was 1990. Martial law imposed on Beijing during the aftermath of the massacre that occurred as the culmination of the Tiananmen Square demon- strations of 1989, had only just been lifted five months earlier. The city remained on edge. We were quickly approaching the 1 October Chinese National Day holiday, which would typically celebrate the founding of the People’s Republic of China (PRC) with fanfare and tens of thousands of people in Tiananmen Square itself. The tanks sent to break up the student protests months earlier had rolled by on East Chang’an Avenue only 800 meters away; doctors and nurses in Peking Union had treated survivors and dealt with the dead.
Topic:
Inequality, Chinese Communist Party (CCP), and Racism
Political Geography:
China and Asia

22. The Poverty-Reducing Effects of Financial Inclusion: Evidence from Cambodia

Author:
Kimty Seng
Publication Date:
09-2020
Content Type:
Working Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
This study analyses the effects of financial inclusion on poverty in terms of household income per capita in Cambodia, with data from the FinScope Survey carried out in 2015. The analysis describes the effects via financial literacy, accounting for endogenous selection bias resulting from unobserved confounders and for structural differences between users and non-users of financial services in terms of income functions. The findings suggest that the use of financial services is very likely to make a great contribution to reducing household budget deficits and poverty if the users, female in particular, have at least basic financial knowledge.
Topic:
Poverty, Inequality, Finance, and Financial Services
Political Geography:
Asia and Cambodia

23. From Bad To Worse? The Impact(s) of Covid-19 On Conflict Dynamics

Author:
Katariina Mustasilta
Publication Date:
06-2020
Content Type:
Policy Brief
Institution:
European Union Institute for Security Studies
Abstract:
In December 2019, when the novel strain of coronavirus first hit the headlines, 12 countries in the world were experiencing organised violence on an extensive scale, with more than 100 incidents of violence and attacks against civilians recorded in that month. To most of these countries, the virus seemed a distant threat at the time. Yet, a few months and over 7 million recorded Covid-19 cases later, it has evolved from a distant threat to a stark reality. The global crisis – which has unleashed an emergency in the world’s public health, political, and economic systems simultaneously – has subjected even the most stable societies to unprecedented disruption. In conflict-affected countries, i.e. countries with ongoing conflicts or a high risk of relapse into conflict, and countries emerging from conflicts, the pandemic has added another layer on top of often multiple existing layers of crisis. Against the backdrop of expert warnings over the particular vulnerabilities of conflict-affected countries to Covid-19, this Brief analyses key emerging dynamics and repercussions in conflict-affected countries in general, and in five countries in particular: Colombia, Libya, Sudan, Ukraine and Yemen. The focus here is especially on conflicts and countries previously covered by our Conflict Series, so as to build on already accumulated analysis. The Brief identifies three main ways in which the global crisis impacts conflict-affected countries. First, the pandemic itself risks exacerbating inequalities and further burdening already vulnerable groups within conflict-affected societies. Second, local and external conflict parties are quick to capitalise on various opportunities arising from the policy responses to the crisis which also complicate peace and crisis management efforts. Third, the economic fallout puts severe strain on already weak state institutions and undermines governance outcomes (thus increasing the risk of conflict). Of these three dimensions, the policy responses and distraction created by the pandemic have thus far had the most significant repercussions for conflict dynamics, unfortunately often for the worse. The global scale of the crisis and its continuing evolution complicate efforts to seize momentum for peace and set the pandemic apart from previous catastrophic/disruptive events, such as the tsunami in 2004, that in some cases led to a positive shift in local conflict dynamics. The Brief is structured as follows: the main text analyses the emerging trends catalysed by the pandemic crisis in conflict-affected contexts, while the case study boxes discuss the unfolding processes in specific countries. The last section discusses the policy options for preventing further escalatory repercussions.
Topic:
War, Inequality, Conflict, Crisis Management, and COVID-19
Political Geography:
Russia, Middle East, Asia, South America, North Africa, North America, and Africa

24. Public Transfers and Inequality in China

Author:
Wang Feng
Publication Date:
11-2020
Content Type:
Video
Institution:
Weatherhead East Asian Institute, Columbia University
Abstract:
On October 7, 2020, Wang Feng, Professor of Sociology at UC Irvine joined Columbia's Qin Gao, Professor of Social Policy and Social Work and director of the China Center for Social Policy for an event: "Public Transfers and Inequality in China." With expanded fiscal capacity and rising concerns over economic inequality, the Chinese government in the last decade and a half has vastly rebuilt and expanded its social welfare regime. Using the National Transfer Accounts (NTA) methodology and both micro-level survey data and macro-level government statistics, this study examines the distribution of public transfers in education, health care and pension across generations and income groups in 2014 and compare it with those in 2010. While per capita public transfers in absolute terms remained in favor of higher-income groups and the elderly in 2014, as in 2010, the gap in receiving public transfers between the rich and the poor was reduced notably in this short time period. Public transfers also became more progressive in relative terms, with the bottom income group receiving much higher public transfers relative to their per capita household income than the wealthier groups. These results reveal that although the unequal distribution of public transfers continues and it in part results from the fragmented program design and the legacies of socialist inequalities, China’s expanded social welfare programs have contributed to narrowing the vast income inequality in this country.
Topic:
Economics, Government, Inequality, and Welfare
Political Geography:
China and Asia

25. Social Interventions, Health and Wellbeing: The Long-Term and Intergenerational Effects of a School Construction Program

Author:
Bhashkar Mazumder, Maria Rosales-Rueda, and Margaret Triyana
Publication Date:
12-2020
Content Type:
Working Paper
Institution:
Kellogg Institute for International Studies
Abstract:
We analyze the long-run and intergenerational effects of a large-scale school building project (INPRES) that took place in Indonesia between 1974 and 1979. Specifically, we link the geographic rollout of INPRES to longitudinal data from the Indonesian Family Life Survey covering two generations. We find that individuals exposed to the program have better health later in life along multiple measures. We also find that the children of those exposed experience improved health and educational outcomes and that these effects are generally stronger for maternal exposure than paternal exposure. We find some evidence that household resources, neighborhood quality, and assortative mating may explain a portion of our results. Our findings highlight the importance of considering the long-run and multigenerational benefits when evaluating the costs and benefits of social interventions in a middle-income country.
Topic:
Education, Health, Poverty, Inequality, Economic Growth, and Economic Development
Political Geography:
Indonesia and Asia

26. Examining World Bank Lending to China: Graduation or Modulation?

Author:
Scott Morris and Gailyn Portelance
Publication Date:
01-2019
Content Type:
Working Paper
Institution:
Center for Global Development (CGD)
Abstract:
Under the World Bank’s 2018 capital agreement, borrowing countries are expected to gradually reduce their portfolios once a base income threshold—the Graduation Discussion Income (GDI)—is reached. However, the agreement also affirms the case for ongoing lending to these countries. One justification is tied to external value beyond the borrowing country’s borders (global public goods, or GPGs). Another is tied to building capacity within the borrowing country, which can mean a focus on sub-regions where poverty remains high and capacity weak. In this paper, we examine World Bank graduation policies and lending through the lens of China, which maintains a large portfolio of World Bank projects. China currently exceeds the GDI thresholds for IBRD borrowing at the national level, while income inequality within the country leaves many noncoastal provinces below the GDI per capita threshold. Aggregate and provincial-level analysis of World Bank lending in China shows that less than half of China’s portfolio comprises activities clearly linked to GPGs, while a slight majority of projects are based in provinces with per capita income below the GDI threshold. A substantial number of World Bank projects in China focus on climate change mitigation and transportation infrastructure construction, while a smaller number relate to capacity building. Overall, we find evidence that China’s borrowing is broadly consistent with the 2018 principles of institutional capacity strengthening and GPG-related engagement, although significant areas of bank engagement do not appear to fall within the parameters of these principles.
Topic:
Poverty, Infrastructure, World Bank, and Inequality
Political Geography:
China and Asia

27. The Impact of Global Value Chain Integration on Wages: Evidence from Matched Worker-Industry Data in Thailand

Author:
Sasiwimon W. Paweenawat
Publication Date:
08-2019
Content Type:
Working Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
Using a two-stage estimation of matched worker-industry data from 2000 to 2011, this study investigates the impact of global value chain (GVC) integration on wages and the skill premium in 32 industries in Thailand, a country with recent heavy involvement in GVCs. This study employs foreign value added in both final and intermediate goods exports as a proxy for the degree of industry integration in GVCs and applies a panel fixed effects estimation on constructed panel data to investigate its relationship with wages. The main finding indicates that a higher level of industry integration with GVCs leads to higher wages and a higher skill premium, confirming the positive effect of GVC involvement on wages and the complementary effect of high demand for skilled workers in GVC-oriented industries in Thailand. Workers in industries with positions close to the end of the value chain (downstream position) will earn a higher wage than those working in the upstream position. These results have significant policy implications. The Thai government should not only attempt to increase industry involvement in GVCs overall, but also aim to lift industries to higher positions in the GVC to gain the most benefits for Thai workers and the country overall.
Topic:
Labor Issues, Inequality, Wage Subsidies, and Global Value Chains
Political Geography:
Asia and Thailand

28. Globalisation and Economic Development: Malaysia's Experience

Author:
Cassey Lee
Publication Date:
12-2019
Content Type:
Working Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
The economic development of Malaysia has been strongly driven and shaped by globalisation, from the pre-colonial to the post-independence period. The country has harnessed trade, foreign capital, and foreign labour to grow and has transformed its economy from one that was highly dependent on primary commodities (tin and rubber) into one driven by manufactured exports. The impact of globalisation on the Malaysian economy has changed through the various phases of its development experience. The early phases of the country’s engagement with globalisation reduced poverty and inequality. In later stages, excessive dependence on low-skilled foreign labour, although beneficial initially, may have compromised the competitiveness of the economy. Malaysia’s multi-ethnic society has also posed considerable challenges in the balancing of domestic needs and benefits with greater engagement with globalisation. The openness of the Malaysian economy has also made it vulnerable to global economic shocks.
Topic:
Globalization, International Trade and Finance, Inequality, and Economic Development
Political Geography:
Malaysia and Asia

29. Labor Laws and Manufacturing Performance in India: How Priors Trump Evidence and Progress Gets Stalled

Author:
Servaas Storm
Publication Date:
02-2019
Content Type:
Working Paper
Institution:
Institute for New Economic Thinking (INET)
Abstract:
Strong labor protections for ordinary workers are often portrayed as a ‘luxury developing countries cannot afford’. No study has been more influential in propagating this perversity trope in the context of the Indian economy than the QJE article of Besley and Burgess (2004). Their article provides econometric evidence that pro-worker regulation resulted in lower output, employment, investment and productivity in India’s registered manufacturing sector. This paper reviews existing critiques of Besley and Burgess (2004), which highlight conceptual and measurement errors and uncover econometric weaknesses. The paper takes a step beyond these: it reports a failure to replicate Besley and Burgess’ findings and demonstrate the nonrobustness of their results. My deconstruction is not only about the econometrics, however. I show that Besley and Burgess’ findings are not just inconsistent with their theoretical priors, but also internally contradictory and empirically implausible, taxing any person’s capacity for belief. The paper, written by two ‘useful economists’, exhibits a gratuitous empiricism in which priors trump evidence. On all counts, it fails the test of being useful to the purpose of ‘evidence-based’ public policy advice.mp Evidence and Progress Gets Stalled
Topic:
Economics, Political Economy, Labor Issues, Inequality, and Labor Policies
Political Geography:
India and Asia

30. Income and consumption inequality in China: A comparative approach with India

Author:
Carlos Gradín and Binbin Wu
Publication Date:
08-2019
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
We analyse income and expenditure distribution in China in a comparative perspective with India. These countries represent extreme cases in the relationship of inequality to both wellbeing indicators. Income is more highly concentrated than expenditure in India, especially at the top of the distribution. Both types of inequality are similar in China, although expenditure is more unequally distributed than income in urban areas. China has a much stronger correlation in individual ranks and levels between the two wellbeing distributions. As a result, expenditure inequality is higher in China than in India, but income inequality much lower. This results partially from differences in population composition, such as China being more urbanized and having smaller households, but mostly from differences in conditional income distributions, especially by attained education of the household head. We show that hybrid measures of wellbeing combining income and expenditure can be useful for such cross-country comparison.
Topic:
Inequality, Income Inequality, and Consumerism
Political Geography:
China, South Asia, India, and Asia