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111. Too Far, Too Fast: Sochi, Tourism and Conflict in the Caucasus

Publication Date:
01-2014
Content Type:
Working Paper
Institution:
International Crisis Group
Abstract:
Russia has invested extensive resources and prestige in the Winter Olympics to be held in the Black Sea resort of Sochi, 7-23 February 2014. The tab, an estimated $51 billion, does not include a nationwide security operation to protect the venue against attack by a resilient and ruthless armed jihadi movement. A spate of bombings, including two in December in the southern city of Volgograd, show that North Caucasus Islamist terrorists are determined to strike opportunistically across the country to mar the games and challenge President Vladimir Putin, who has promised a "safe, enjoyable and memorable" Olympic experience. If ripple effects of security for Sochi and the ambitious regional tourism project the games are meant to inaugurate are not to worsen the situation in the war-to rn North Caucasus, local communities must be assured they will benefit from the development plans, not fall victims to rapacious local elites or the abuses allegedly accompanying the Games. Equally important, they will need guaranteed long-term security, not simply oppressive security regimes.
Topic:
Security, Islam, International Affairs, Insurgency, and Governance
Political Geography:
Russia, Caucasus, and Sochi

112. The South Caucasus: Obama's Failed Russia "Reset" And The Putin Doctrine In Practice

Author:
Mahir Khalifa-Zadeh
Publication Date:
09-2014
Content Type:
Journal Article
Journal:
Middle East Review of International Affairs
Institution:
Global Research in International Affairs Center, Interdisciplinary Center
Abstract:
Since 2009, under President Barack Obama, the U.S. has pursued a "Russian reset" policy, promising a fresh start to previously tense relations. Yet this policy has failed to improve American interests, particularly in the South Caucasus region, which is strategically important for both Israeli and U.S. policy towards the greater Middle East and the post-Soviet space. This article examines the priorities of both the Obama administration and President Vladimir Putin's doctrine and evaluates the implications of the Crimean crisis for the South Caucasus. Finally, it demonstrates that in light of this failure, new U.S. initiatives are urgently needed to enforce peace along international borders and America's strategic interests in the South Caucasus and throughout Central Asia.
Political Geography:
Russia, America, Central Asia, and Caucasus

113. Institutions of the Russian fiscal federalism: 20 years of evolution

Author:
Elena Jarocinska
Publication Date:
06-2014
Content Type:
Policy Brief
Institution:
Center for Social and Economic Research - CASE
Abstract:
In this brief, Elena Jarocinska summarizes the main thrust of Russian federal fiscal institutions and discusses their specific features. She describes the evolution of federal fiscal regulations since the establishment of the Russian federal state. As a conclusion, she offers the following policy recommendations: tax autonomy of subnational governments which is currently very limited should be increased; federal aid should be further formalized and made more transparent; regulations should not be changed from year to year to provide for a more stable environment; and subnational interests should be better protected at the institutional level.
Topic:
Monetary Policy, Reform, Tax Systems, Institutions, Fiscal Policy, Trade, and Post-Socialist Economies
Political Geography:
Russia, Europe, Central Asia, Caucasus, and Eastern Europe

114. Future scenarios for the development of the European labour force

Author:
Anna Ruzik-Sierdzińska
Publication Date:
02-2014
Content Type:
Policy Brief
Institution:
Center for Social and Economic Research - CASE
Abstract:
The future size and quality of the European labour force are important production factors for future economic growth in the region. The performance of many systems such as social security and health depends on the population of future potential tax payers. Older workers are an important and increasing share of the employment in Europe. Due to lower fertility and longer life expectancy, today, a larger than ever share of the population is over 50. Eurostat projections show that the share of people between the ages of 50 and 74 in the population aged 20-74 will increase in the EU27 countries from the current 40 per cent to 47 per cent in 2050. However, countries differ in terms of elderly activity. Existing studies show that this is related to various factors, including labour market institutions. As demographic ageing is expected to continue in the future, it is important to know more about these factors in order to recommend policies that could be efficient for the development of future labour markets and the economy as a whole. The aim of the described part of the project was to assess the impact of ageing on the labour market, especially on the structure of the labour force and labour productivity. We looked at this from various angles. First, we examined it via the determinants of the transition from work to retirement (see: Riedel and Hofer, 2013) with a broader analysis of non-labour market activities at older ages (Styczyńska et al., 2013). Then, we tried to answer the question about how individual productivity changes with age in different countries and if lifelong learning can contribute to higher labour productivity in the future (Ruzik-Sierdzińska et al., 2013). Finally, we looked at the demand for labour in the perspective of ageing societies, i.e. at employers' policies, attitudes and behaviours towards older workers and retirement (van Dalen et al., 2013).
Topic:
Demographics, Markets, Labor Issues, Social Policy, Public Policy, and Aging
Political Geography:
Europe, Central Asia, Caucasus, Eastern Europe, and European Union

115. Tableau de bord des pays d’Europe centrale et orientale et d’Eurasie 2014 (Volume 2 : Eurasie)

Author:
Jean-Pierre Pagé, Anne De Tinguy, Jacques Sapir, Julien Vercueil, Vitaly Denysyuk, Raphaël Jozan, David Teurtrie, and Faruk Ülgen
Publication Date:
12-2014
Content Type:
Special Report
Institution:
Centre d'Etudes et de Recherches Internationales (CERI)
Abstract:
Le lecteur ne s’étonnera pas de ce que, en 2014, le conflit en Ukraine soit au cœur des préoccupations des pays d'Europe centrale, orientale et de l'Eurasie, même si ses incidences sont diversement ressenties selon les régions considérées. Les pays d’Europe centrale et orientale sont divisés dans leur appréhension politique des événements, et leurs économies ne sont pas directement concernées par les retombées du conflit en Ukraine. On pouvait craindre en revanche qu’elles subissent l’atonie de la zone euro, et son incapacité à retrouver des taux de croissance stimulant la demande extérieure. Cependant – et c’est là une heureuse surprise –, plusieurs d’entre elles ont trouvé la parade en tirant parti des fonds que l’Union européenne leur destine généreusement pour relancer leur demande domestique. Et les effets positifs de cette tactique portent des fruits spectaculaires, d’autant qu’elle se combine avec les incidences de la faible hausse des prix sur le pouvoir d’achat des consommateurs. Il y a là des enseignements à tirer pour la politique économique de l’Europe Occidentale ! Les pays de l’espace eurasiatique sont eux directement aux prises avec les développements du conflit ukrainien. Les incidences en sont multiples : les sanctions et contre-sanctions entre la Russie et l’Union européenne influent grandement sur les économies périphériques, de grands projets comme le gazoduc South Stream sont annulés, les relations des pays d’Asie centrale et du Caucase avec l’Union européenne sont observées avec vigilance par la Russie… La crise ukrainienne, c’est un fait, porte son ombre sur le grand projet de Vladimir Poutine d’instauration d’une Union économique eurasiatique.
Topic:
Economics, Energy Policy, International Organization, Markets, Political Economy, War, Natural Resources, Finance, Regional Integration, Transnational Actors, and Emerging States
Political Geography:
Russia, Central Asia, Ukraine, Caucasus, Moldova, Kazakhstan, Kyrgyzstan, Tajikistan, Uzbekistan, Armenia, Azerbaijan, Turkmenistan, Georgia, and Belarus

116. Forecasting Financial Stress and the Economic Sensitivity in CEE Countries

Author:
Grzegorz Poniatowski and Maciej Krzak
Publication Date:
07-2014
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
This paper presents forecasts for the Financial Stress Index (FSI) and the Economic Sensitivity Index (ESI) for the period 2015-2015 for six countries in the region, namely the Czech Republic, Estonia, Hungary, Latvia, Lithuania and Poland. It is a continuation of the endeavor to construct synthetic indices measuring financial stress and economic sensitivity for twelve Central and East European countries using the Principal Component Analysis. In order to obtain forecasts of the FSI, we estimated Vector Autoregression (VAR) models on monthly data for the period 2001-2012 separately for all the countries. Using quarterly historical values of ESI and FSI, we estimated Dynamic Panel Data Model for the complete sample of countries. Parameters of the model were later used for forecasting the ESI. Obtained results suggest that the FSI will start to rise in 2014 in the Czech Republic, Lithuania, and Estonia. For Latvia and Hungary, we observed a conversion in the trend, i.e. at the beginning of 2015, when the index should start to fall. According to our forecasts, the ESI will be rising in the next two years, except for Hungary, where we predict a continuous decrease in economic sensitivity.
Topic:
Economics, Financial Crisis, and Macroeconomics
Political Geography:
Europe, Central Asia, Caucasus, Eastern Europe, Poland, Lithuania, Estonia, Hungary, Latvia, and Czech Republic

117. EU cooperation with non-member neighboring countries: the principle of variable geometry

Author:
Marek Dabrowski
Publication Date:
09-2014
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
In this study the author analyzes the experience of the European Union in cooperation with non-member neighboring countries, to which the EU’s integration process and institutions are both available. On the one hand, several non-member countries are interested in close cooperation or integration with the organization because of their future membership aspirations or simply because they consider the EU an important economic and political partner. On the other hand, the EU itself is also interested in building such close relations, for economic but often also for geopolitical and security reasons.
Topic:
Globalization, European Union, Trade, and Economic Integration
Political Geography:
Europe, Central Asia, Caucasus, and Eastern Europe

118. Russian Support for Assad's Regime: Is There a Red Line?

Author:
Nikolay Kozhanov
Publication Date:
06-2013
Content Type:
Journal Article
Journal:
The International Spectator
Institution:
Istituto Affari Internazionali
Abstract:
The Russian government sincerely believes that Assad's removal from power would trigger the expansion of jihadism and instability in the Caucasus and southern Russia. Moscow is deeply concerned about the rise of Islamists in the Middle East, including Qatar and Saudi Arabia's efforts to support the most radical factions in Syria. At the same time, the obvious absence of the ideological background behind current Russian-Syrian relations makes them a trade item. Thus, official guarantees that the jihadists will not export their revolution elsewhere accompanied by promises to preserve some Russian economic positions in post-Assad Syria will probably create the necessary ground for the emergence of a compromise stance on Syria (including the issue of foreign intervention).
Topic:
Economics and Government
Political Geography:
Russia, Caucasus, Arabia, and Syria

119. The North Caucasus: The Challenges of Integration (III), Governance, Elections, Rule of Law

Publication Date:
09-2013
Content Type:
Working Paper
Institution:
International Crisis Group
Abstract:
Armed conflict in the North Caucasus is the most violent in Europe today. At least 1,225 people were its victims in 2012 (7 00 killed, 525 wounded), and at least 242 were killed and 253 wounded in the first six months of 2013. The violence is greatest in Dagestan, then in Chechnya and Ingushetia, and the latter situation deteriorated in 2012. Unresolved disputes over territory, administrative boundaries, land and resources are important root causes of the violence, along with ethnic and religious tensions, the state's incapacity to ensure fair political representation, rule of law, governance and economic growth. The region's internal fragmentation and insufficient integration with the rest of the Russian Federation contribute to the political and social alienation of its residents.
Topic:
Conflict Resolution, Political Violence, Ethnic Conflict, Territorial Disputes, and Sectarian violence
Political Geography:
Caucasus

120. Armenia and Azerbaijan: A Season of Risks

Publication Date:
09-2013
Content Type:
Policy Brief
Institution:
International Crisis Group
Abstract:
Confrontation, low-intensity but volatile, between Azerbaijan and Armenia has entered a period of heightened sensitivity. Peace talks on Nagorno-Karabakh bogged down in 2011, accelerating an arms race and intensifying strident rhetoric. Terms like “Blitzkrieg'', “pre-emptive strike'' and ''total war” have gained currency with both sides' planners. An immediate concern is military miscalculation, with implications that could far exceed those of a localised post-Soviet frozen conflict, as the South Caucasus, a region where big powers meet and compete, is now also a major energy corridor. Clashes increasingly occur along the Azerbaijani-Armenian frontier far from Nagorno-Karabakh, the conflict's original focus. Tensions have also spread to areas along the border with the Azerbaijani exclave of Nakhichevan where Azerbaijani and Turkish exercised in July. A subsequent firefight produced casualties, and Armenia staged its own war games near the Azerbaijan border in September. Vigorous international engagement is needed to lessen chances of violent escalation during coming weeks and months.
Topic:
Conflict Resolution, Political Violence, International Cooperation, and War
Political Geography:
Caucasus, Armenia, and Azerbaijan