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11. Do Trade and Investment (Agreements) Foster Development or Inequality?

Author:
Pierre Kohler and Francis Cripps
Publication Date:
10-2018
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
This paper proposes to revisit the debate on trade and investment agreements (TIAs), development and inequality, looking at the role of Global Value Chains (GVCs) and trans- national corporations (TNCs). It first presents stylized facts about trade and investment (agreements), declining global economic growth and rising inequality under the latest round of globalization. It then provides a long-run perspective on the mixed blessings of external opening, summarizing some key contributions of the mainstream literature, which are converging with long-standing research findings of more heterodox economists, and the eroding consensus today. Based on this stock-taking, it takes a fresh critical look at the TIAs-GVCs-TNCs nexus and their impact. Using data on value-added in trade and new firm-level data from the consolidated financial statements of the top 2000 TNCs going back to 1995, it examines whether the fragmentation of production along GVCs led to positive structural change or rather stimulated unsustainable trends in extractive and FIRE sectors. It then turns to the role of TNC-driven GVCs as a vehicle for economic concentration. Finally, it presents evidence linking TIAs and their correlates to rising inequality. Key findings include the fact that the ratio of top 2000 TNCs profits over revenues increased by 58 percent between 1995 and 2015. Moreover, the rise in top 2000 TNCs profits accounts for 69 percent of the 2.5 percentage points decline in the global labour income share between 1995 and 2015, with the correlation coefficient between annual changes in both variables as high as 0.82. The paper concludes by calling for a less ideological policy debate on TIAs, which acknowledges the mixed blessings of external financial and trade opening, especially their negative distributional impact and destabilizing macro-financial feedback effects, which both call for policy intervention. As an alternative to short-sighted protectionism, it further discusses possible options for anticipating undesirable effects arising from TIAs (e.g. rising carbon emissions, economic instability, inequality, etc.) and addressing those in TIAs themselves.
Topic:
Inequality, Investment, Trade, and transnationalism
Political Geography:
Global Focus

12. Turkey’s presidential system and the Kurds: Increased resentment, fragmentation, or deal-making?

Author:
Toni Alaranta
Publication Date:
11-2018
Content Type:
Working Paper
Institution:
Finnish Institute of International Affairs
Abstract:
The Kurds are an ethnic group of approximately 35 million people, half of whom live inside the Republic of Turkey, where the conflict between the state and the Kurdish separatist PKK organization has now lasted for over three decades. After a promising peace process in 2009–2015, the AKP government under President Recep Tayyip Erdoğan has now reduced Turkey’s Kurdish question to anti-terror operations, and marginalized the legal Kurdish HDP party, echoing the failed policy of the 1990s. Turkey is now a presidential system where power is tightly concentrated in the hands of President Erdoğan, a development directly opposed to Kurdish demands for greater local autonomy in the Kurdish-majority districts. Through the PKK network and transnational Kurdish sympathies, the fate of Syria’s and Turkey’s Kurds is now inextricably intertwined. The current way of building the new regime in Turkey is likely to produce more PKK attacks, but also widespread resentment among ordinary Kurds, including those opposing the PKK.
Topic:
Authoritarianism, Ethnicity, Separatism, and transnationalism
Political Geography:
Europe, Turkey, Asia, and Kurdistan

13. The impact of the 1949 Chinese Revolution on a Latin American Chinese community: shifting power relations in Havana’s Chinatown

Author:
Albert Manke
Publication Date:
12-2018
Content Type:
Journal Article
Journal:
Revista Brasileira de Política Internacional (RBPI)
Institution:
Brazilian Journal of African Studies
Abstract:
This article argues that, while initially constrained by U.S. Cold War policies both in the Americas and in Asia, China’s 1949 Communist Revolution could finally have a transformative impact on Latin American Chinese overseas community after the Cuban Revolution opened up new avenues for socialist influence in Latin America. By using new archival sources and interviews, we will analyze this changing impact by highlighting the intertwined layers of shifting power structures with a specific focus on the Chinese community in Cuba.
Topic:
Cold War, Communism, History, Diaspora, Revolution, and transnationalism
Political Geography:
China, Cuba, Latin America, and United States of America

14. Critical Perspectives on Transnational Criminality in West Africa

Author:
Kwesi Aning and Lydia Amedzrator
Publication Date:
10-2016
Content Type:
Working Paper
Institution:
Centre for Military, Security and Strategic Studies
Abstract:
This is an overview of the impact and challenge of transnational organized crime which often overlaps with Islamist insurgency in West Africa. Although these developments threaten the foundations of the state in West Africa, the regional Economic Community of West African States (ECOWAS) has been unable to deal with the situation. Canadian policy makers pondering a troop commitment to Mali should pay particular attention to this piece.
Topic:
Crime, Insurgency, Fragile States, and transnationalism
Political Geography:
Africa, West Africa, and Mali

15. Brazilian Foreign Policy and Investments in Angola

Author:
Pietro Carlos De Souza Rodrigues and Sonia Delindro Goncalces
Publication Date:
06-2016
Content Type:
Journal Article
Journal:
AUSTRAL: Brazilian Journal of Strategy International Relations
Institution:
Postgraduate Program in International Strategic Studies, Universidade Federal do Rio Grande do Sul
Abstract:
The literature has given increasing attention to the role played by Brazilian transnational companies in its international insertion. In this context, special attention has been given to Brazilian private activities in Africa and, in particular, in Angola. Some countries in Sub-Saharan Africa are understood as potential markets for investments, especially given the similarities of the challenges for development and expertise of some of the Brazilian firms in sectors as agriculture, mining and civil construction. The objective of this paper is to try to capture possible relations between Brazil-Angola bilateral relations over the international operations of Brazilian firms. Our argument is that the business environment to investments has been favoured by a simultaneous international political alignment, as a consequence of the changes in the Brazilian foreign policy orientation.
Topic:
Foreign Policy, Agriculture, International Cooperation, Foreign Direct Investment, Mining, and transnationalism
Political Geography:
Africa, Brazil, South America, and Angola