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101. Sustainable Energy through Green bonds in India

Author:
Olaf Weber and Vasundhara Saravade
Publication Date:
07-2020
Content Type:
Working Paper
Institution:
Gateway House: Indian Council on Global Relations
Abstract:
India’s energy future needs to be low-carbon, climate-resilient and protected against price fluctuation. It can meet these needs by investing in Canadian oil companies, given the country’s political stability and rule of law. India can also attract greater foreign direct investment at home through the issuance of green bonds, a climate finance debt instrument that addresses environmental and climate-related challenges. This paper explores the regulatory perspective of the green bond market.
Topic:
Climate Change, Energy Policy, Foreign Direct Investment, Rule of Law, and Renewable Energy
Political Geography:
South Asia, Canada, India, and North America

102. The Impact of COVID-19 on Vulnerable Mineral Supply Chains

Author:
Thomas J. Duesterberg
Publication Date:
07-2020
Content Type:
Special Report
Institution:
Hudson Institute
Abstract:
This report will concentrate on select examples of the growing US vulnerability to global competitors due to shortages of key mineral resources in our domestic supply base. Dependence on China for raw materials and competition with its manufacturing firms is also a key focus. Shortages do not always indicate a problem because our close allies in mineral-rich countries like Australia and Canada can mitigate gaps in domestic supply. However, China’s growing control over many basic materials, and its history of using that control as leverage for its own economic and political goals, makes this a cause of concern for the continued strength of the US manufacturing economy.
Topic:
Natural Resources, Economy, COVID-19, and Minerals
Political Geography:
China, Canada, Australia, North America, and United States of America

103. National interests and the impact of student mobility: the case of Canada and Brazil

Author:
W. E. (Ted) Hewitt
Publication Date:
12-2020
Content Type:
Journal Article
Journal:
Revista Brasileira de Política Internacional (RBPI)
Institution:
Instituto Brasileiro de Relações Internacionais (IBRI)
Abstract:
While there is a growing literature on the trend towards international student mobility, few if any studies have focused on the relative impact of student exchange for promoting national interests and relationship building between specific countries. This study seeks to address this gap through an in-depth analysis of Brazil’s Science Without Borders programme and its implications for the country’s relationship with Canada. The study reveals that student mobility between the two countries effected by this programme provide significant advantage to both countries, not least of which will likely have positive implications for Canadian-Brazilian interaction.
Topic:
Science and Technology, Mobility, Higher Education, and Students
Political Geography:
Canada, Brazil, South America, and North America

104. Prices, Profits, Proxies, and Production

Author:
Victor H. Aguiar, Roy Allen, and Nail Kashaev
Publication Date:
03-2020
Content Type:
Working Paper
Institution:
Centre for Human Capital and Productivity (CHCP), Western University
Abstract:
This paper studies nonparametric identification and counterfactual bounds for heterogeneous firms that can be ranked in terms of productivity. Our approach works when quantities and prices are latent rendering standard approaches inapplicable. Instead, we require observation of profits or other optimizing-values such as costs or revenues, and either prices or price proxies of flexibly chosen variables. We extend classical duality results for price-taking firms to a setup with discrete heterogeneity, endogeneity, and limited variation in possibly latent prices. Finally, we show that convergence results for nonparametric estimators may be directly converted to convergence results for production sets.
Topic:
Economics, Human Capital, Profit, Productivity, and Price
Political Geography:
Canada and Global Focus

105. Marriage, Children, and Labor Supply: Beliefs and Outcomes

Author:
Yifan Gong, Todd Stinebrickner, and Ralph Stinebrickner
Publication Date:
04-2020
Content Type:
Working Paper
Institution:
Centre for Human Capital and Productivity (CHCP), Western University
Abstract:
While a large literature is interested in the relationship between family and labor supply outcomes, little is known about the expectations of these objects at earlier stages. We examine these expectations, taking advantage of unique data from the Berea Panel Study. In addition to characterizing expectations, starting during college, the data details outcomes for ten years after graduation. Methodological contributions come from approaches to validate quality of survey expectations data and the recognition that expectations data, along with longitudinal data, can potentially help address endogeneity issues arising in the estimation of the causal effect of family on labor supply.
Topic:
Economics, Labor Issues, Human Capital, Family, Labor Market, and Productivity
Political Geography:
Canada and Global Focus

106. One Nation, One Language? Domestic Language Diversity, Trade and Welfare

Author:
Tamara Gurevitch, Peter R. Herman, Farid Toubal, and Yoto V. Yotov
Publication Date:
12-2020
Content Type:
Working Paper
Institution:
Centre d'Etudes Prospectives et d'Informations Internationales (CEPII)
Abstract:
Using new data on linguistic diversity across and within countries, we examine novel channels though which language affects trade patterns and economic welfare. We find that linguistic similarity within a country accounts for about 10 percent of estimated `home bias', demonstrating the importance of shared languages for domestic integration. To highlight the general equilibrium implications of domestic language proximity, we simulate the repeal of Quebec's Bill 101, which made French an official language in Canada and established fundamental language rights for Frenchspeakers. The analysis demonstrates that domestic language diversity has significant implications for Canada's welfare but also sizable economic consequences that stretch far beyond its borders.
Topic:
Economics, Global Political Economy, Economic Growth, Linguistics, and Trade
Political Geography:
Canada and Quebec

107. Toward Agile Procurement for National Defence: Matching the Pace of Technological Change

Author:
William Richardson, Kalen Bennett, Douglas Dempster, Philippe Dumas, Caroline Leprince, Kim Richard Nossal, David Perry, Elinor Sloan, and J. Craig Stone
Publication Date:
06-2020
Content Type:
Working Paper
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
In the fall of 2019, the procurement theme of the Canadian Defence and Security Network (CDSN) convened a workshop on the challenges facing high technology defence acquisitions. The workshop brought together practitioners from the Department of National Defence and Canadian Armed Forces and researchers from universities and think tanks, including graduate students. The aim of this workshop was to give these researchers a chance to understand how those working in defence procurement are tackling the problem of acquiring high technological capabilities that are not obsolete before they are even delivered. The researchers, in turn, have prepared this report, in collaboration with the Canadian Global Affairs Institute (CGAI), on bringing greater agility to defence procurement in Canada. As the authors note, this should be a key part of the defence procurement debate in Canada once Canada and the world emerge from COVID-19 emergency.
Topic:
Defense Policy, Science and Technology, Armed Forces, and Procurement
Political Geography:
Canada and North America

108. Reviewing Bill C-59, An Act Respecting National Security Matters 2017: What’s new, what’s out, and what’s different from Bill C-51, A National Security Act 2015?

Author:
Michael Nesbitt
Publication Date:
05-2020
Content Type:
Working Paper
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
In 2015, Canada’s national security law landscape received some long-overdue attention in the form of Bill C-51, the Anti-Terrorism Act. It was the culmination of a series of smaller initiatives that had brought attention to national security law in Canada, but also a direct response to two terrorist attacks that left two Canadians dead in October 2014. Bill C-51 did indeed reinvigorate discussions around national security law in Canada, but it became a lightning rod for criticism. Bill C-59, An Act Respecting National Security Matters 2017 was not passed until June 2019, but it was nevertheless a direct response to Bill C-51 and the criticisms it faced. Yet for the most part, Bill C-59 amended but did not repeal the important new powers, or even the most controversial ones, found in Bill C-51. Instead, Bill C-59 can be seen, in part, as a technical-legal bill that largely entrenched the powers first conceived of in Bill C-51 by putting them on firmer constitutional footing. But Bill C-59 was also much more than a series of legal/constitutional improvements: its legislative scope went much further afield from the Bill C-51 regime, amending the authorities of agencies – such as the Communications Security Establishment – that had been untouched by Bill C-51, while also greatly expanding national security oversight and review through the creation of important new bodies. The purpose of this paper is to compare these two important pieces of national security legislation with a view to explaining what these legislation reforms did, why the reforms were undertaken, and to identify the relative strengths and weaknesses of the most controversial of the reforms under each bill. The idea is to explain where Canada stands today, in the wake of this massive legislative overhaul. By identifying what has already been addressed, we can identify next steps and, in particular, where the focus of future legislative reforms in national security should be. Three recommendations flow from this conclusion. First, national security legislation must be reformed with greater consistency than in the past. Second, as an immediate priority, Canada must address its “intelligence-to-evidence” problem; that is, the system by which it converts – or fails to convert – raw intelligence into the sort of evidence usable by courts of law. Third, enforcement of Canada’s national security laws must now take priority, in particular by prosecuting returning foreign fighters and far-right extremists where their activities meet the threshold of a terrorism offence, as well as terrorist financing, to a greater degree than Canada has seen to date.
Topic:
Intelligence, National Security, Terrorism, and Legislation
Political Geography:
Canada and North America

109. Preferential Trade Agreements vs. Multilateralism: In the New Trump-World, Does Canada Face an Impossible Choice?

Author:
Judit Fabian
Publication Date:
03-2020
Content Type:
Working Paper
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
International trade is often framed in starkly divergent terms: either countries choose multilateral trade agreements (MTAs) and advance the cause of global economic liberalization, or they choose preferred trade agreements (PTAs) and put the entire system at risk. Canada has a long track record of pursuing PTAs and with the Trump administration’s opposition to multilateralism, and longstanding opposition in elements of the Republican and Democratic parties, this trend will likely continue. The question is whether progress will come at the expense of the global trade system. Some economists believe PTAs to be trade-diverting, reducing trade with more efficient producers outside the agreement. Others insist that PTAs can create trade by shifting production to lower-cost producers in one of the participating countries. One prominent contrary argument holds that PTAs lead to discontinuities in tariff regimes between countries and regions, increasing transaction costs, disrupting supply chains, creating opportunities for corruption and harming global welfare, especially in developing nations. While debate continues about the effects of PTAs, a closer examination suggests that worries are overblown about their negative impacts on global trade flows. Evidence indicates that they support rather than harm the international trading system. Countries shut out of PTAs are more motivated to seek out agreements in new markets, increasing liberalization overall. They may also seek a reduction in most-favoured nation (MFN) tariffs, which would deprive PTAs of their major tariff benefits. Studies have found complementarity between preferential and MFN tariffs, revealing that PTAs promote external trade liberalization. Even if a PTA reduces a given country’s incentive to push for multilateral liberalization, it raises the odds of that country liberalizing its trade to avoid getting left behind. PTAs are a response to the difficulties of securing sweeping multilateral agreements. The World Trade Organization (WTO) Agreements authorize them under GATT Article XXIV, GATS Article V, and the enabling clause, and the WTO facilitates a degree of governance over PTAs through its dispute settlement process. Over the past 25 years, countries have adopted these deals at a rapid pace. Between 1994 and 2005, the number of PTAs increased from 50 to 200. By April 2018, 336 were in effect. At the same time, global trade has increased significantly. Between 1994 and 2010, the volume of world merchandise exports more than doubled. The proliferation of PTAs has resulted in a rise in international trade governance, because the countries involved shape their relationships in line with the WTO agreements. This juridification makes PTAs subordinate to the international system rather than giving them room to dissolve it. Canada should therefore have no fear of pursuing PTAs within the larger framework of the effort to achieve multilateral trade liberalization.
Topic:
International Trade and Finance, Multilateralism, Trade, and Donald Trump
Political Geography:
Canada, North America, and United States of America

110. Northern Populism: Causes and Consequences of the New Ordered Outlook

Author:
Frank Graves and Jeff Smith
Publication Date:
06-2020
Content Type:
Working Paper
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
Canada has not been left untouched by a new authoritarian, or ordered, populism that has seen the election of Donald Trump as U.S. president and the United Kingdom vote to leave the European Union. Based on measurements of public opinion and other means developed to assess the phenomenon, this paper finds that populism in Canada is a significant political force, replacing the traditional left-right political spectrum. Not only has northern populism created a heightened partisan polarization in Canada, but it also proved to be a strong predictor of the outcome of the 2019 federal election. The authors’ research shows that 34 per cent of Canadians maintain a populist outlook. Older, less-educated, working-class Canadians are the most likely to sympathize with ordered populism, and it is more prevalent in Alberta and Saskatchewan. It is also more closely aligned with Canadians whose political sympathies lie with conservative political parties. A number of factors have contributed to the rise of ordered populism. These include economic stagnation, the growing disparity between the wealthy and the middle and working classes, a sense that society is headed in the wrong direction and a backlash against the loss of traditional core values. Ordered populism rests on the belief in a corrupt elite, and the idea that power needs to be wrested from this elite and returned to the people. Oriented toward authoritarianism, ordered populism emphasizes obedience, hostility toward outgroups, a desire to turn back the clock to a time of greater order in society, and a search for a strongman type to lead the return to a better time. Nothing about ordered populism serves the public interest. Instead, its anti-democratic nature makes it incapable of solving the problems that spawned its rise in the first place. Ordered populism is xenophobic, mistrustful of science and journalism, and unsympathetic to equality and gender issues. Arising out of fear and anger, ordered populism is ultimately unhealthy for Western democracies and their societies and economies. Canada has yet to accord the rise of ordered populism the attention it deserves, although this paper explains why it is a critical force in this country that needs to be addressed. Currently, attitudes toward ordered populism are generally limited to sneering, derisiveness and denial, all of which do nothing to address the problem. Solving it requires understanding its roots. And if its origins lie in the collapse of the middle-class dream, then policy-makers will need to focus on creating a new economics of hope. Ordered populism is at the heart of stark divisions in Canada, and the 2019 federal election did little, if anything, to mend the rupture. Dissatisfaction with the election’s results could forecast an even worse polarization in the near future, and increase the appeal of authoritarianism, if populism is left unaddressed.
Topic:
Politics, Authoritarianism, Elections, Populism, and Ideology
Political Geography:
Canada, North America, and United States of America