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4041. No Exit from the Joint Decision Trap? Can German Federalism Reform Itself?

Author:
Fritz W. Scharpf
Publication Date:
09-2005
Content Type:
Working Paper
Institution:
European Research Papers Archive
Abstract:
Germany's unique institutions of a 'unitary federal state', long considered part of the country's post-war success story, are now generally perceived as a 'joint decision trap' impeding effective policy responses to new economic and demographic challenges at both levels of government. Nevertheless, a high powered bi-cameral Commission set up in Autumn 2003 failed to reach agreement on constitutional reforms. The paper analyses the misguided procedural and substantive choices that explain the failure of reform, and it discusses the possibility of asymmetric constitutional solutions that might enhance the capacity for autonomous action at both levels.
Topic:
Conflict Resolution, Demographics, and Economics
Political Geography:
Europe and Germany

4042. Timely Demise for Free Trade Area of the Americas

Author:
Laura Carlsen
Publication Date:
11-2005
Content Type:
Policy Brief
Institution:
Foreign Policy In Focus
Abstract:
The stage was set for a showdown. When the Bush cabinet announced intentions to revive the moribund Free Trade Area of the Americas at the Fourth Summit of the Americas in Mar del Plata, the countries of the Southern Common Market closed ranks to prevent it. What followed was a diplomatic melee that reflects not so much divisions within Latin America, as a growing resistance to the current free trade model throughout the developing world.
Topic:
Economics and International Trade and Finance
Political Geography:
South America, Latin America, and North America

4043. Dark Armies, Secret Bases, and Rummy, Oh My!

Author:
Conn Hallinan
Publication Date:
11-2005
Content Type:
Policy Brief
Institution:
Foreign Policy In Focus
Abstract:
It would be easy to make fun of President Bush's recent fiasco at the 4th Summit of the Americas in Mar del Plata, Argentina. His grand plan for a free trade zone reaching from the Artic Circle to Tierra del Fuego was soundly rejected by nations fed up with the economic and social chaos wrought by neoliberalism. At a press conference, South American journalists asked him rude questions about Karl Rove. And the President ended the whole debacle by uttering what may be the most trenchant observation the man has ever made on Latin America: "Wow! Brazil is big!"
Topic:
Economics and Government
Political Geography:
United States, Argentina, South America, and Latin America

4044. The G-8 Debt Deal: First Step On A Long Journey

Author:
Debayani Kar and Neil Watkins
Publication Date:
06-2005
Content Type:
Policy Brief
Institution:
Foreign Policy In Focus
Abstract:
Jubilee campaigns and debt cancellation advocates can be proud of their efforts. The Finance Ministers of the eight rich country governments as represented at the Group of 8 (G-8) have announced a deal on 100% debt cancellation of International Monetary Fund (IMF), World Bank, and African Development Fund debt for some impoverished nations.
Topic:
Foreign Policy, Debt, Development, and Economics
Political Geography:
Africa

4045. Policy Space for Development in the WTO and Beyond: The Case of Intellectual Property Rights

Author:
Ken Shadlen
Publication Date:
11-2005
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
Global governance in intellectual property (IP) has changed dramatically in the last two decades, and these changes have profound - and worrying - implications for late development. What was once principally an instrument of national policy is now increasingly subject to international disciplines, as the world moves ever-closer to harmonization in the area of IP management. But moving toward harmonization and achieving harmonization are different matters, and it is essential to keep in mind that the former and not the latter describes contemporary arrangements: the trend is toward a reduction in policy space, a feature that many scholars and activists point to with great concern (Gallagher, 2005), but the outcome remains one where countries retain space for autonomous IP management.
Topic:
Economics, Globalization, International Trade and Finance, and Treaties and Agreements

4046. The Shrinking Gains from Trade: A Critical Assessment of Doha Round Projections

Author:
Ken Shadlen
Publication Date:
10-2005
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
Computable general equilibrium (CGE) models of world trade, often presented as demonstrating the benefits of trade liberalization, now make much more modest forecasts than they did just a few years ago. The estimated benefits are not only small in the aggregate, but also skewed toward developed countries; the expected contribution of trade liberalization to economic development and poverty alleviation is extremely limited. Related calculations, for the expected benefits of services liberalization, trade facilitation measures, and long-term productivity gains from trade liberalization, remain problematical and/or speculative. The empirical limitations of CGE forecasts rest on broader theoretical weaknesses: the models are largely locked within a static framework, and remarkably assume that trade policy causes no changes in total employment, up or down. Models built on more adequate theories, which have only begun to appear, would paint a very different picture of the effects of trade liberalization.
Topic:
Economics, Globalization, International Trade and Finance, and Treaties and Agreements

4047. Class Formation or Fragmentation? Allegiances and Divisions Among Managers and Workers in State-Owned Enterprises

Author:
Kun-Chin Lin
Publication Date:
03-2005
Content Type:
Working Paper
Institution:
Kellogg Institute for International Studies
Abstract:
This essay argues that crosscutting allegiances between managers and workers, and between existing workers and ex-workers, have formed strong social and psychological bases for sustained collective action and inaction during a period of organizational transformation in contemporary China. This thesis challenges the conventional wisdom that implies either class formation during marketization or the failure of such as an explanation for the alleged limits of the working class in mobilizing to defend its social contract against the central state. Through in-depth case studies of Chinese oilfields and refineries, I identify patterns of fragmentation deriving from intergenerational differences among the workers, managerial incentive structures, and the continuing reworking of patron-client relations between subgroups of workers and managers. I conclude that managers' and workers' passive and active responses to the state's rapid dismantling of the socialist notion of “class” in a self-sufficient work unit have placed a tangible social limit on authoritarian institutional innovation.
Topic:
Economics, Emerging Markets, and Government
Political Geography:
China

4048. Development Aid and Economic Freedom: Are They Related?

Author:
Benjamin Powell and Matt Ryan
Publication Date:
05-2005
Content Type:
Working Paper
Institution:
Independent Institute
Abstract:
For more than 50 years individual countries and international agencies have given aid to third world countries to promote economic development, yet poverty still persists in many recipient nations. In recent years development economists and agencies have increasingly recognized the importance of institutions that support property rights and economic freedom in promoting development. Nevertheless, nations continue to provide aid to less developed countries. This raises two important questions. Does the receipt of aid lead to increases or decreases in economic freedom, and are increases in economic freedom rewarded with more aid or punished with reduced aid?
Topic:
Development, Economics, Government, and Poverty

4049. Government and the Economy: The World Wars

Author:
Robert Higgs
Publication Date:
04-2005
Content Type:
Working Paper
Institution:
Independent Institute
Abstract:
U.S participation in the world wars gave rise to massive increases in the extent of government involvement in economic life and brought about many important, enduring changes in the government\'s relations with private economic actors. In both wars, the federal government expanded enormously the amount of its expenditure, taxation, and regulation as well as its direct participation in productive activities, creating what contemporaries described during World War I as "war socialism." Each of these great experiences left a multitude of legacies—fiscal, institutional, and ideological—many of which continue to shape the country\'s political economy. As William Graham Sumner wisely observed, "it is not possible to experiment with a society and just drop the experiment whenever we choose. The experiment enters into the life of the society and never can be got out again" (Sumner 1934, II, 473). The world wars certainly are among the greatest "experiments" that American society ever endured.
Topic:
Economics, Government, and Industrial Policy
Political Geography:
United States

4050. Unequal Prospects: Disparities in the Quantity and Quality of Labour Supply in Sub-Saharan Africa

Author:
Christopher Cramer and John Sender
Publication Date:
03-2005
Content Type:
Working Paper
Institution:
School of Oriental and African Studies - University of London
Abstract:
The issue of labour supply in Sub-Sahara n Africa, like so many other economic and social issues in the region, is often discussed as if the whole sub-continent faced essentially similar, overwhelming and intractable problem s. This pessimistic and over-generalised literature has been criticized elsewhere (Sender, 1999). By contrast, this paper stresses the importance of differences between and within Sub-Saharan African economies in the quantity and quality of labour supplies, and highlights the scope for policies to overcome constraints on employment prospects. The paper also points to the dangers of one-size-fits-all policy recommendations for the labour market, while at the same time identifying certain similarities in the characteristics of the most disadvantaged labour market entrants in many Sub-Saharan African economies. The aim is to begin to isolate the sub-set of policies that might be most relevant for these entrants, if donors and governments wish to re-allocate resources to improve prospects for the poorest Africans.
Topic:
International Relations, Development, Economics, and International Political Economy