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111. Development Banks and Regional Powers: An Analytical Framework

Author:
Stefano Palestini
Publication Date:
11-2016
Content Type:
Working Paper
Institution:
The Kolleg-Forschergruppe (KFG)
Abstract:
Why do regional powers such as Brazil, South Africa, or Russia undertake different collective strategies to supply public goods in their regions of influence? When do those states prefer to delegate competences to existent multilateral financial institutions, such as regional development banks (RDBs), and when do they prefer to make use of their own national financial instruments? Why do those states create new RDBs that challenge the existing ones? The article builds and tests a set of hypotheses based on the interplay between capabilities and legitimacy to help answer these questions using contemporary South America as a case study. Through a process tracing analysis carried out for the period 2000–15, the article explains the different strategies undertaken by two states, Brazil and Venezuela, to supply infrastructure in the region, ranging from the use of the Brazilian National Development Bank to the creation of a new Bank of the South. It is suggested that the low capabilities and legitimacy expectations of both states explain the rising importance of external actors in the supply of regional public goods that we are currently witnessing in South America.
Topic:
Development, Regional Cooperation, Banks, Regionalism, and Financial Institutions
Political Geography:
Brazil, South America, Venezuela, and Global South

112. Urban Sanitation in India – Why Brazil Matters

Author:
Anjali Chikersal and Aditya Bhol
Publication Date:
01-2016
Content Type:
Special Report
Institution:
Centre for Policy Research, India
Abstract:
Since the launch of the Swachh Bharat Mission in October 2014, sanitation issues in India are receiving immense attention from policymakers, media and civil society alike. The sector however received enormous funds even before this scheme with little positive results. This paper argues that the translation of the current hype into the right policies and practical schemes for amelioration of the poor conditions depends upon a complete rethinking of the entire approach to the issue. Brazil has gone through a series of transformations in the sector that provide a useful lens to India to examine the issue with. It will need similar radical changes, starting from recognition of sanitation as a basic human right to effective regulation, for India to begin to address this massive challenge.
Topic:
Human Rights, Infrastructure, Regulation, Social Policy, Urban, and Sanitation
Political Geography:
South Asia, India, Brazil, and South America

113. Latin America’s New Turbulence: Crisis and Integrity in Brazil

Author:
Marcus Andre Melo
Publication Date:
04-2016
Content Type:
Journal Article
Journal:
Journal of Democracy
Institution:
National Endowment for Democracy
Abstract:
For Brazil’s young democracy, this might seem to be the worst of times. The country’s once-booming economy has taken a nosedive along with global commodity prices; a monster public-corruption scandal is engulfing much of the political class and infuriating millions of ordinary Brazilians; and a president who barely won reelection only to abandon her basic fiscal-policy approach now teeters on the brink of impeachment and expulsion from office. Yet these storm clouds have a silver lining. For, grave as they are, they have put on vivid display the strength, independence, and public trust enjoyed by the country’s web of judicial and public-accountability institutions and attested to the free and energetic nature of the media in a country that only three decades ago was held under lockdown by a military dictatorship. Politics and the economy are in a crisis, but looking beneath the turmoil we can glimpse the power of the rule of law and see Brazilian constitutional democracy’s institutional resilience and fortitude.
Topic:
Democracy, Economy, State Building, and Dictatorship
Political Geography:
Brazil and South America

114. Beyond Elitism: The Possibilities of Labour-Centred Development

Author:
Benjamin Selwyn
Publication Date:
04-2016
Content Type:
Working Paper
Institution:
Centre for Global Political Economy, University of Sussex
Abstract:
This article outlines the theory and practice of Labour Centred Development (LCD). Much development thinking is elitist, positing states and corporations as primary agents in the development process. This article argues, by contrast, that collective actions by labouring classes can generate tangible developmental gains, and therefore, that under certain circumstances they can be considered primary development actors. Examples of LCD discussed here include shack-dweller’s movements in South Africa, the landless labourer’s movement in Brazil, unemployed worker’s movements in Argentina and large-scale collective actions by formal sector workers across East Asia. The article also considers future prospects for LCD.
Topic:
Development, Economics, International Political Economy, Labor Issues, and International Development
Political Geography:
East Asia, South Africa, Brazil, and Argentina

115. Bringing Home the Gold? A Review of the Economic Impact of Hosting Mega-Events

Author:
Douglas Barrios, Stuart Russell, and Matt Andrews
Publication Date:
07-2016
Content Type:
Working Paper
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
There is perhaps no larger sports policy decision than the decision to host or bid to host a mega-event like the FIFA World Cup or the Summer Olympics. Hosts and bidders usually justify their decisions by touting their potential impact. Many organizers and promoters either fund or widely disseminate ex-ante studies that tend to highlight the positive effects of the event. For instance, the consultancy firm Ernst & Young produced a 2010 report prior to the 2014 World Cup in Brazil that painted an optimistic picture of the event’s potential legacy. It estimated that an additional R$ 142.39 billion (4.91% of 2010 GDP) would flow through the Brazilian economy over the 2010-2014 period, generating 3.63 million jobs per year, R$ 63.48 billion (2.17% of 2010 GDP) of income for the population and additional tax collection of R$ 18.13 billion (0.62% of 2010 GDP) for the local, state and federal governments. Ernst & Young estimated that during the same period 2.98 million additional visitors would travel to Brazil, increasing the international tourist inflow up to 79%. Such results, if true, would clearly attractive for governments considering a bid, but these expected impacts don’t always materialize. Moreover, hosting mega-events requires significant investments - and the cost of these investments is rising. Zimbalist notes emerging economies like China, Brazil, and South Africa have increasingly perceived "mega-events as a sort of coming-out party signaling that [they are] now a modernized economy, ready to make [their] presence felt in world trade and politics" (Zimbalist 2015). Their intentions may be noble, but the intention of using mega-events as a "coming-out party" means developing countries hoping to host them need to make massive investments. They are confronted by significant obstacles in that they lack sufficient stadiums, accommodations, transportation systems, and other sports-related infrastructure. As a result, each of the mega-events hosted by emerging economies has been exorbitantly expensive. The 2014 World Cup cost Brazil between USD 15 billion and USD 20 billion, while Beijing reportedly spent USD 40 billion prior to the 2008 Summer Olympic (Zimbalist 2015). Additionally, as the debt-ridden 1976 Summer Olympics in Montreal demonstrates, expensive mega-events are not limited to emerging economies alone. Flyvbjerg and Stewart have even shown that every Olympics since 1960 has gone over budget (Flyvbjerg and Stewart 2012). Such incredible figures, in terms of both costs and benefits, beget the question: are mega-events worth it? Which type of reports should governments focus their attention on? What economic consequences should a government reasonably expect? With such high stakes, policymakers need to choose wisely. We attempt to answer these questions and aid the decisions of policymakers by providing a concise review of the rich academic literature on mega-events. For the purposes of this paper, we mainly focus on the Summer Olympic Games and the FIFA World Cup as mega-events. However, we also leverage information regarding events like the Winter Olympic Games, the UEFA football championships, and the Commonwealth Games. These events are organized on a smaller scale than the previous two, but they might provide some insights on how to best understand mega-events. We focus on claims surrounding the direct or indirect mechanisms that facilitate the impact that ex-ante studies predict. We provide a review of these claims and their validity according to the existing literature. Section 1 focuses on the argument that mega-events lead to increased economic activity in the host economy. Specifically, we evaluate whether or not mega-events leads to access to previously inaccessible funds and increased investments. These investments could theoretically come from supranational organizations, private stakeholders, or public stakeholders. We also consider whether or not these new expenditures and investments have the multiplicative effect that many ex-ante studies assume they have. We finally investigate if the economic activity surrounding mega-events leads to increased revenues and tax collection for host governments. Overall, the existing academic literature suggests that any increased economic activity resulting from the event is routinely dwarfed by additional public budgetary commitments. Moreover, the arguments regarding multiplicative effects and increased revenues also tend to be exaggerated. Section 2 shifts the focus to the potential impact of mega-events on a specific industry: tourism. We explore the effect of mega-events on the number of tourists visiting the host region and their spending habits. We explore this channel both for analyses specific to a single mega-event and for cross-country evaluations incorporating many events. Next, we consider the impact of a mega-event on a region’s brand and image in the international community with the idea of testing if hosting the competition will impact future tourism. Finally, we consider if mega-events lead to increases in the capacity of a city or country to welcome future tourists as a result of improved airport infrastructure, accommodations, and/or transportation systems. As was true in Section 1, the academic literature suggests that the claims of many ex-ante studies are misleading. Our review finds that there is some evidence for increases in tourist arrivals to certain events, but those increases are far smaller than what is generally predicted beforehand. These effects are also usually dependent on factors, such as the timing of the competition, that are specific to the host region and the event itself. Section 3 briefly discusses other potential qualitative and social impacts of mega-events such as international business relations, crime reduction, and the "feel-good effect." In the penultimate section, Section 4, we discuss how these conclusions should impact the decision-making of policymakers. Finally, in a short conclusion, we summarize the findings of our review.
Topic:
Infrastructure, Sports, Economy, Olympics, and World Cup
Political Geography:
China, South Africa, Brazil, and Global Focus

116. SITREP: What We Talk About When We Talk About Brazil

Author:
Dick Virden
Publication Date:
05-2016
Content Type:
Journal Article
Journal:
American Diplomacy
Institution:
American Diplomacy
Abstract:
Just a few years ago Brazil was a feel good story. Its economy was soaring at a rate to rival China’s. Its charismatic president, Luiz Inacio “Lula” da Silva, was among the most popular leaders anywhere, a rags-to-riches phenomenon. In 2014, when the Council on Foreign Relations chose its “Great Decisions” topics for the next year, one was “Brazil in Metamorphosis.” Unfortunately, the country has slipped back into its cocoon. The Samba music has stopped. Instead of being on a roll, Brazil is mired in an awful slump. Or as Frank Sinatra put it, riding high in April, shot down in May. What sort of country is this anyway?
Topic:
Foreign Policy, Corruption, Government, Economy, and Domestic politics
Political Geography:
Brazil, South America, North America, and United States of America

117. Cross-National Responses to Discrimination: A Q&A with Michèle Lamont

Author:
Michelle Nicholasen
Publication Date:
10-2016
Content Type:
Working Paper
Institution:
Weatherhead Center for International Affairs, Harvard University
Abstract:
Racism and discrimination are daily realities for members of marginalized groups. But what does it look like at the ground level, and how do individuals from various groups and countries respond to such experiences? Drawing on more than 400 in-depth interviews with middle class and working class men and women residing in the multi-ethnic suburbs of New York, Rio, and Tel Aviv, and representing five different racial “groups,” a team of sociologists examine how people deal with and make sense of the various forms of exclusion that are ever present in their lives.
Topic:
Race, Women, Discrimination, and Marginalization
Political Geography:
United States, Middle East, Israel, Brazil, South America, and North America

118. Could the G-20 Become Coherent on Climate?

Author:
Gwynne Taraska and Henry Kellison
Publication Date:
08-2016
Content Type:
Working Paper
Institution:
Center for American Progress - CAP
Abstract:
The G-20—a forum of 20 of the world’s largest economies—has a record of ambivalence on the topic of climate change. One case in point is the disconnect between the group’s efforts to address climate risks and its efforts to reduce the shortfall in global infrastructure investment. On one hand, the G-20 is aware that investing in projects that are high-carbon or vulnerable to the physical effects of rising temperatures carries risks that could have a destabilizing influence on the global economy. On the other hand, the G-20 is seeking to narrow the infrastructure gap in the absence of a guiding principle that infrastructure investments must be climate-compatible. Members of the G-20 Argentina Australia Brazil Canada China European Union France Germany India Indonesia Italy Japan Korea Mexico Russia Saudi Arabia South Africa Turkey United Kingdom United States In September 2016, world leaders will convene for the G-20 summit in Hangzhou, China. One focus of the climate agenda will be ensuring that the Paris Agreement takes effect in the near term. Negotiated by more than 190 nations and finalized in December 2015, the agreement set many collective goals, including limiting global warming to 1.5 degrees Celsius above preindustrial levels and ensuring that global financial flows are compatible with low-greenhouse gas development.
Topic:
Climate Change, Energy Policy, Environment, and International Cooperation
Political Geography:
Russia, United States, Japan, China, United Kingdom, Indonesia, Turkey, India, South Korea, France, Brazil, Argentina, Germany, Saudi Arabia, Australia, Italy, and Mexico

119. Postmaterialism and Political Elites: The Value Priorities of Brazilian Federal Legislators

Author:
Malu A.C. Gatto and Timothy J. Power
Publication Date:
04-2016
Content Type:
Journal Article
Institution:
German Institute of Global and Area Studies
Abstract:
We examine the distribution and consequences of postmaterialist value orientations among national legislators in Brazil. Using data collected in the Brazilian Legislative Survey in 2013, we undertake the first systematic study of postmaterialism within the National Congress and the party system and map the materialist/postmaterialist scale onto other salient divisions within the political class. We present five main findings. First, political elites evince vastly higher commitment to postmaterialism than the mass public. Second, Brazilian political elites drawn from constituencies with higher human development are more postmaterialist than their counterparts in other constituencies. Third, within the political class, the materialist/post- materialist cleavage overlaps in important ways with the left–right cleavage. Fourth, although postmaterialism successfully predicts elite attitudes on a number of “new politics” issues that are unrelated to the construction of the postmaterialist scale itself, postmaterialism is a poor predictor of voting behavior on the Congressional floor. Fifth, as others before us, we find institutional factors to be better predictors of legislative voting behavior in the Brazilian context.
Topic:
Legislation, Elites, Postmaterialism, and Political Class
Political Geography:
Brazil, South America, and Latin America

120. The Limits of Labor Legislation Reforms: Rigidity, Growth, and Employment in Brazil

Author:
Jean Francois Mayer
Publication Date:
04-2016
Content Type:
Journal Article
Institution:
German Institute of Global and Area Studies
Abstract:
The literature addressing market dynamics typically assumes that reforming labor legislation has a direct impact on economic perfor- mance, the configuration of labor markets, and the strength of labor organizations. Within this literature one prevalent school of thought advocates flexibilizing labor laws as the key to creating economic pros- perity, enhancing labor productivity, increasing formal sector employ- ment, and successfully fighting poverty and socioeconomic inequality. I test these assumptions by analyzing the case of Brazil between 1995 and 2010. My findings suggest that reforms seeking to flexibilize the Brazilian labor code do not significantly change the country’s labor market or economy. I propose that transformations in international economic con- texts as well as differing policy orientations of successive Brazilian feder- al governments may hold more explanatory power in accounting for labor market changes during this time period.
Topic:
Labor Issues, Reform, Employment, and Legislation
Political Geography:
Brazil, South America, and Latin America