Search

Begin New Search Topic Development Political Geography Vietnam

1. Productivity Effects of Viet Nam’s Rice Land Restrictions

Author:
Peter Warr and Huy Quynh Nguyen
Publication Date:
03-2023
Content Type:
Working Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
Viet Nam’s 1986 programme of market-oriented economic reforms did not include the freedom of farmers to choose their crops independently. Large areas of land remain restricted to rice production. This paper studies the effects of this policy on agricultural productivity, using panel data from the Viet Nam Access to Resources Household Survey (VARHS), covering the years 2008 to 2016. The econometrics uses fixed effects methods with and without the additional use of instrumental variable methods to allow for the possible statistical endogeneity of the restrictions. The findings are that the crop choice restrictions reduced the overall productivity of annual crop land by about 5%, reduced the overall productivity of farm labour by about 8% and reduced the mean incomes of farm households by 5%–6%, implying increased levels of rural poverty. Moreover, rice output would have been no lower if the restrictions were removed.
Topic:
Agriculture, Development, Governance, Regulation, Land, and Productivity
Political Geography:
Vietnam and Southeast Asia

2. Understanding Quality Energy-Related Infrastructure Development in the Mekong Subregion: Key Drivers and Policy Implications

Author:
Han Phoumin, Sopheak Meas, and Hatda Pich An
Publication Date:
03-2021
Content Type:
Research Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
Many players have supported infrastructure development in the Mekong Subregion, bridging the missing links in Southeast Asia. While the influx of energy-related infrastructure development investments to the region has improved the livelihoods of millions of people on the one hand, it has brought about a myriad of challenges to the wider region in guiding investments for quality infrastructure and for promoting a low-carbon economy, and energy access and affordability, on the other hand. Besides reviewing key regional initiatives for infrastructure investment and development, this paper examines energy demand and supply, and forecasts energy consumption in the subregion during 2017–2050 using energy modelling scenario analysis. The study found that to satisfy growing energy demand in the subregion, huge power generation infrastructure investment, estimated at around $190 billion–$220 billion, is necessary between 2017 and 2050 and that such an investment will need to be guided by appropriate policy. We argue that without redesigning energy policy towards high-quality energy infrastructure, it is very likely that the increasing use of coal upon which the region greatly depends will lead to the widespread construction of coal-fired power plants, which could result in increased greenhouse gas and carbon dioxide emissions.
Topic:
Development, Energy Policy, Infrastructure, Renewable Energy, and Carbon Emissions
Political Geography:
China, Asia, Vietnam, Burma, Cambodia, Thailand, Southeast Asia, Laos, and Myanmar

3. Technology Imports and Employment in Developing Countries: Evidence from Viet Nam

Author:
Thu Thu Vu and Duc Anh Dang
Publication Date:
08-2020
Content Type:
Working Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
Advanced machines and technology replace workers through automation. However, capital–labour substitution need not reduce aggregate labour demand, as it induces simultaneous contrasting effects within industries. To explore these effects, we examine the relationship between employment in Vietnamese manufacturing firms and imported capital goods in 2011–2017. To solve the problem of potential endogeneity and measurement errors, we used Association of Southeast Asian Nations (ASEAN) imported capital goods as an instrument variable for imported capital goods in Viet Nam. We found that imported capital goods do not displace employment and even increase employment and labour productivity. The impacts of imported advanced technology are more pronounced in large firms. More imported technology increases labour productivity in state-owned enterprises and the number of workers in large firms and firms in industrial zones. However, the increase in the level of employment is lower in industries and firms intensively using machines.
Topic:
Development, Science and Technology, Employment, and Imports
Political Geography:
Asia and Vietnam

4. The Role of Innovation in Skill Development: Evidence from Small and Medium-Sized Enterprises in Viet Nam

Author:
Duc Anh Dang and Vuong Ahn Dang
Publication Date:
12-2020
Content Type:
Working Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
Using the Small and Medium Enterprise Survey in Vietnam and three proxies of innovation, we study the impact of firm innovation on on-the-job training in the manufacturing sector from 2007 through 2015. To address potential measurement errors and omitted variable problems, we use the average level of innovation in the same sector in other districts as an instrument for firms’ innovations. We find that firms provide additional training for existing workers when introducing new technology, and high-value-added firms provide additional training for existing workers. Moreover, government assistance may not be the main reason that encourages firms to provide training. The results also show that firms hire more skilled workers when implementing innovations.
Topic:
Development, Training, Innovation, and Skilled Labor
Political Geography:
Asia and Vietnam

5. Enhancing Inter-Firm Linkages through Clusters and Digitalisation for Productivity Growth

Author:
Vo Tri Tranh
Publication Date:
01-2020
Content Type:
Working Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
This paper examines the policies for industrial cluster development in Viet Nam. The first export processing zone was established in 1991. Since 1994, Viet Nam has focused more on developing domestic productive capacity and thus various types of industrial estates were established. The key actors in industrial cluster policy are the government, Prime Minister, ministries, provincial people’s committees, and management boards of industrial and economic zones. The choice of industrial estate is often determined by factors such as geographic location, land, labour, infrastructure, industry, business environment, and incentives. Viet Nam has provided various incentives to industrial estates of various types, but the scope and extent of preferential policy support for firms in general and those operating in industrial and economic zones are rather modest. The industrial estates have contributed significantly to attracting foreign direct investment, to exports, to productivity improvement, etc. Looking forward, Viet Nam needs further efforts on industrial cluster development, including development of statistics, analysis of cluster policy impacts, and provision of FTA-consistent incentives.
Topic:
Development, Industrial Policy, Governance, Leadership, and Management
Political Geography:
Asia and Vietnam

6. The Mekong Matters for America/America Matters for the Mekong

Author:
East-West Center and Stimson Center
Publication Date:
12-2020
Content Type:
Special Report
Institution:
East-West Center
Abstract:
This report explores the trade, investment, business, diplomacy, security, education,and people-to-people connections between the United States and the five countries of mainland Southeast Asia referred to as the Mekong region. Myanmar, Thailand, Laos, Cambodia, and Vietnam are bound together and geographically defined by the Mekong River, which has historically provided a rich, natural bounty of fish, agricultural productivity, physical connectivity, and key environmental services to more than 60 million people living in the river basin. The Mekong’s importance has only grown as the region’s social, economic, and diplomatic ties export the river’s bounty to the rest of the world. As the region develops, urbanization, infrastructure development, and climate change—among other changes—are all impacting the river, its resources, and the millions who depend on the mighty Mekong. This publication was produced in partnership with the Stimson Center Southeast Asia Program.
Topic:
Climate Change, Development, Environment, Natural Resources, Infrastructure, and Urbanization
Political Geography:
Vietnam, Cambodia, Thailand, Southeast Asia, Laos, Myanmar, and United States of America

7. Forward the Mekong-U.S. Partnership

Author:
Brian Eyler and Courtney Weatherby
Publication Date:
10-2020
Content Type:
Special Report
Institution:
East-West Center
Abstract:
On September 11, 2020 the United States, Cambodia, Laos, Myanmar, Thailand, Vietnam, and the ASEAN Secretariat launched the Mekong-US Partnership, a regional cooperation framework which upgrades the Obama-era Lower Mekong Initiative (LMI). The U.S. Department of State says the Partnership will expand on the success of the LMI “by strengthening the autonomy, economic independence, and sustainable development of the Mekong partner countries and promote a transparent, rules-based approach to transboundary challenges.” The new Partnership comes with an initial pledge of more than $150 million of U.S. funded programming to support COVID-19 recovery, counter transnational crimes, develop efficient energy markets, and counter trafficking in persons. A revitalization and upscaling of U.S. engagement in the Mekong is long overdue, particularly given China’s increasing engagement in the region and the economic challenges that Mekong countries will struggle with as a result of the coronavirus pandemic and chronic drought conditions. While the Partnership is still in its formative stages, there are several actions that would go a long way towards bolstering its effectiveness.
Topic:
International Relations, Development, Partnerships, and ASEAN
Political Geography:
Vietnam, Cambodia, Thailand, Southeast Asia, Laos, Myanmar, United States of America, and Mekong River

8. Women, Peace and Security in ASEAN: New Issues

Author:
Noeleen Heyzer
Publication Date:
11-2020
Content Type:
Commentary and Analysis
Institution:
Centre for Non-Traditional Security Studies, S. Rajaratnam School of International Studies
Abstract:
With Vietnam, the ASEAN Chair, and Indonesia in the UN Security Council, the Women, Peace and Security Agenda has advanced in ASEAN. However, new issues need to be addressed in its implementation given the changing peace, security and development landscape.
Topic:
Security, Development, United Nations, Peace, UN Security Council, and ASEAN
Political Geography:
Indonesia, Vietnam, and Southeast Asia

9. Sustainable Energy Futures in Southeast Asia

Author:
Murray Hiebert, Ernest Z. Bower, David Pumphrey, Gregory B. Poling, and Molly A. Walton
Publication Date:
12-2012
Content Type:
Working Paper
Institution:
Center for Strategic and International Studies (CSIS)
Abstract:
Southeast Asia will be the next big growth engine in Asia. Indonesia, Malaysia, the Philippines, Thailand, and Vietnam, with a population of 525 million and a combined GDP of $2.8 trillion (when measured by purchasing power parity), are expected to grow almost 6 percent between now and 2030, according to the Asian Development Bank. For years, they have been eclipsed by China and India, but now their combined GDP is catching up with India and they could overtake Japan in less than two decades. For U.S. firms, these five members of the Association of South East Asian Nations—hereafter the ASEAN-5—are a trade, energy, and environment story.
Topic:
Development, Economics, Energy Policy, International Trade and Finance, and Oil
Political Geography:
Indonesia, Malaysia, Asia, Vietnam, Philippines, Thailand, and Southeast Asia

10. Rent(s) Asunder: Sectoral Rent Extraction Possibilities and Bribery by Multinational Corporations

Author:
Nathan Jensen, Edmund Malesky, and Dimitar Gueorgiev
Publication Date:
11-2011
Content Type:
Working Paper
Institution:
East-West Center
Abstract:
We argue that openness to foreign investment can have differential effects on corruption, even within the same country and under the exact same domestic institutions over time. Our theoretical approach departs from standard political economy by attributing corruption motives to firms as well as officials. Rather than interpreting bribes solely as a coercive “tax” imposed on business activities, we allow for the possibility that firms may be complicit in using bribes to enter protected sectors. Thus, we expect variation in bribe propensity across sectors according to expected profitability which we proxy with investment restrictions. Specifically, we argue that foreign investment will not be associated with corruption in sectors with fewer restrictions and more competition, but will increase dramatically as firms seek to enter restricted and uncompetitive sectors that offer higher rents. We test this effect using a list experiment, a technique drawn from applied psychology, embedded in a nationally representative survey of 10,000 foreign and domestic businesses in Vietnam. Our findings show that the impact of domestic reforms and economic openness on corruption is conditional on polices that restrict competition by limiting entry into the sector.
Topic:
Development, Industrial Policy, International Trade and Finance, Political Economy, and Foreign Direct Investment
Political Geography:
Israel and Vietnam