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741. The Link Between Global Value Chain Activity and Local Human Capital: Evidence from Indonesia’s Manufacturing Sector

Author:
Rashesh Shrestha and Deborah Winkler
Publication Date:
02-2021
Content Type:
Research Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
For developing countries, participation in global value chains (GVCs) provides an opportunity to expand domestic human capital. Since GVC firms require qualified workers to meet high production standards, they have an incentive to invest directly in their workers’ skills or to raise the demand for skilled workers, which indirectly creates an incentive for workers to enrol in vocational education. This paper explores the relationship between GVC activity and workers’ skills in Indonesia. It combines National Labor Force Survey (SAKERNAS) data with the Large/Medium Industry Survey (IBS) to construct a pooled cross-sectional data set of Indonesian manufacturing workers which takes into account measures of GVC activity at the district-sector-year level. The findings suggest that higher GVC activity in a worker’s district-sector-year is linked to a higher likelihood of vocational education of individual workers. A separate panel data analysis at the district level confirms the positive relationship between GVC activity and human capital. Finally, the results indicate that the wage premium for vocational education is higher in districts with greater intensity of GVC activity.
Topic:
Development, Education, Training, Manufacturing, Industry, and Global Value Chains
Political Geography:
Indonesia, Asia, and Southeast Asia

742. 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

743. Aviation Market Development in the New Normal Post the COVID-19 Pandemic: An Analysis of Air Connectivity and Business Travel

Author:
Xiaowen Fu, David A. Hensher, Nicole T. T. Chen, and Junbiao Su
Publication Date:
09-2021
Content Type:
Research Paper
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
This study quantifies the effects introduced by the COVID-19 pandemic on air connectivity and passenger travel behaviour. Our analysis suggests that the pandemic has led to significant connectivity loss at all airports, especially at large hubs and tourism destinations. Low-cost carriers’ operations at these airports, whose main targets are price-sensitive, non-business travellers, have been significantly reduced, too. There is preliminary evidence that network carriers at hub airports played more important roles amid the pandemic, likely due to the benefits associated with their hub-and-spoke networks. Connectivity losses at the smallest airports tended to be temporary and limited. These airports had limited aviation services to start with and, thus, it was not too costly to maintain the minimum connectivity. Empirical results obtained from a passenger preference study indicate that traveller subgroups are impacted in different ways. When there is no online meeting option, nearly 80% of the respondents prefer, and are willing to pay for, pandemic control measures. These ‘pro-control’ passengers perceive such measures and the associated high costs/fares as valuable and necessary to lower the health-related risks during air travel. When there is an online meeting option, the share of such passengers decreases to 44.5%, with the remaining 55.5% exhibiting disutility for the increased price and time associated with pandemic control measures. The average willingness-to-pay for pandemic control measures decreases significantly, whereas the value of time saved at health checkpoints increases significantly. The aviation industry thus faces a ‘double-hit’ problem: operation costs will increase due to pandemic control measures, and the resultant inconvenience and extra time and costs further reduce travel demand. Unlike previous short pandemics, business travel is likely to suffer with an extended decline until the pandemic is fully controlled. These results call for financial and operational support for aviation services, especially at major airports and tourism destinations. Because these large airports are expected to be profitable post the pandemic, they may resort to low-cost finance from the capital market in the short term. Because the value of time saved at checkpoints is very high, it is more important for government agencies to make the pandemic control and health measures efficient and smooth. For operations such as vaccination records, stakeholders in different countries should cooperate to facilitate seamless control and pleasant air travel experiences.
Topic:
Development, Financial Markets, Business, Public Health, Pandemic, COVID-19, and Travel
Political Geography:
Asia and Southeast Asia

744. China's Ties with Southeast Asia : From Green Shoots to Sustained Recovery

Author:
Kensuke Tanaka
Publication Date:
01-2021
Content Type:
Policy Brief
Institution:
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
China's rebound happened relatively quickly owing to a large extent to timely macroeconomic policy responses to the crisis. Lagging somewhat behind China, most Southeast Asian countries have now entered the transition from recession to recovery. Some export-dependent Southeast Asian countries shifted their export destination to China to benefit from its early recovery. This switch of export destination to China illustrates China's important role in leading the recovery of the region. Enhancing regional macroeconomic co-operation would help reduce vulnerability of the region and ensure a sustained recovery. Regional macroeconomic co-operation remains at an early stage in Southeast Asia, but possibilities for further co-operation should be explored.
Topic:
Development, Economics, International Cooperation, International Trade and Finance, and Economic Recovery
Political Geography:
China, Asia, and Southeast Asia

745. Cybersecurity Policy Dev elopement and Capacity Building - Increasing Regional Cooperation in the Western Balkans

Author:
Drazen Maravic
Publication Date:
05-2021
Content Type:
Research Paper
Institution:
Geneva Centre for Security Sector Governance (DCAF)
Abstract:
Increased cooperation between Western Balkan economies in the face of continuously increasing cyberattacks, cybercrime and hybrid threats present a key goal of numerous recent European declarations and initiatives. The Declaration of the 2020 Zagreb Summit between the European Union and Western Balkan leaders notes that so-called hybrid activities originating from third-state actors, including disinformation around COVID-19, have become increasingly prevalent in the Western Balkans and calls for increased cooperation to address such threats. Additionally, The Digital and Green Agenda for the Western Balkans, the Regional Cooperation Council, the Regional School of Public Administration and other regional initiatives provide a general framework for enhanced cooperation. In addressing these important issues, this paper identifies the ways in which closer regional collaboration is beneficial for building resilience, enhancing regional cybersecurity and enhancing strategic communication, collaboration and partnerships. The cybersecurity workforce shortage, skills gap and slow progress in public administration reforms are significant concerns for economic development and national security in the region, especially given the rapid digitization of global and regional economies.
Topic:
Security, Development, Regional Cooperation, and Cybersecurity
Political Geography:
Europe and Balkans

746. The Contribution of Parliament's to Sustainable Development Goal 16 Through Security Sector Governance and Reform

Author:
Merle Jasper
Publication Date:
11-2021
Content Type:
Case Study
Institution:
Geneva Centre for Security Sector Governance (DCAF)
Abstract:
The United Nations’ 2030 Agenda is a global action plan for sustainable development and a key priority for the UN and its member states. Within the 2030 Agenda, SDG 16 has a pivotal role highlighting the security-development nexus and emphasizing the need for strong institutions which adhere to good governance principles. The achievement of SDG 16 requires that national security sectors are well governed, subject to civilian oversight, and respectful of human rights and the rule of law. Against this background, this case study compilation circles in on parliaments, as key oversight actors, and questions how they contribute to SDG 16 through their role in security sector governance and reform. It is based on an explorative review of four country studies on Colombian, Georgia, Nigeria and the Philippines, written by regional experts. Their observations form the foundation for a comparative analysis of common challenges and effective practices of parliaments contributing to the achievement of SDG 16.
Topic:
Security, Development, Governance, Reform, Sustainable Development Goals, Sustainability, and Parliamentarism
Political Geography:
Africa, Europe, Asia, Philippines, Colombia, South America, Georgia, Nigeria, and Oceania

747. Manifestations of Chinese Development Aid and Its Hidden Meanings

Author:
Anna Kobierecka
Publication Date:
01-2021
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
The People’s Republic of China is one of the states focusing intensively on building its soft power and shaping its international image. However, China’s image is still negative and primarily based on stereotypes. In recent years, this country is willing to change such perceptions and present itself as an efficient, intensively developing, capable country that is much more than just a global production plant. The article aims to review China’s different manifestations of development aid regarding changing this type of public diplomacy and its meaning to the Chinese government. Is it only motivated by good intentions, or maybe its goal is to only provide an advantage to China? It is evident that owing to significant development, China needs to expand its economic contacts. However, the tested hypothesis states that behind Chinese development aid, political motivation is hidden as well. The research is based on content analysis of official documents and Foreign Ministry’s statements referring to development aid.
Topic:
Development, Diplomacy, International Cooperation, and Development Aid
Political Geography:
China and Asia

748. Poland's Reason of State in the Creation of a New International Order. Foreign Policy as Poland's Reason of State in the 21st Century

Author:
Piotr Lewandowski
Publication Date:
01-2021
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
The article analyzes the Polish reason of state in changing international order understood as the loss of hegemon position by the United States. The author defines the reason of state as an analytical operant and relates it to the security and sovereignty of a state in the international environment. The text also outlines possibilities of development of Poland's reason of state in the region and global geopolitics.
Topic:
Security, Development, Diplomacy, International Cooperation, and Strategic Interests
Political Geography:
Europe and Poland

749. United Nations’ Sustainable Development Goals and the Most Important Utilitarian Values. Social Security Approach

Author:
Paweł Gromek and Tadeusz Keson
Publication Date:
01-2021
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
2030 Agenda constitutes a comprehensive framework for sustainable development. Nevertheless, not all sustainable development goals properly match the most important utilitarian values (human life and health). It is especially noticeable in terms of disasters and crises, which commonly determine social security. The research objective is to indicate the placement of the values in the particular goals. The systematic literature review indicates 47 information sources. That enables an in-depth analysis of the goals and social security specification elements, highlighting the direct or indirect character of relevant relations. The gaps can be identified considering the social character of the goals, characteristic hazards, danger to human life, and health and urgency of the response. In most cases, the relations between the goals and the values are indirect. They can be improved with a potentially positive influence on sustainable development in all circumstances (including the most dangerous ones). The goals specification states many references for the improvement in a synergistic way respecting the most important utilitarian values, especially in zero hunger, good health and well-being, sustainable cities and communities, climate action, partnership for the goals.
Topic:
Development, United Nations, Social Security, Social Services, and Sustainability
Political Geography:
Global Focus

750. The Impact of Conflicts on Natural Resources – The Case of Sudanese Darfur Region

Author:
Nagmeldin Karamalla-Gaiballa
Publication Date:
01-2021
Content Type:
Journal Article
Journal:
Polish Political Science Yearbook
Institution:
Polish Political Science Association (PPSA)
Abstract:
This research paper explores the impact of sociological perspectives on the relationship between natural resources and conflicts. From these theoretical perspectives, many fundamental sources of conflict over natural resources are identified and defined. This research takes the approach of a case study in which the researchers investigate and analyze the sources of conflict happening in the Darfur region of Sudan. This case study explores the demographic changes, economic development, and social inequality among some factors contributing to conflict over resources in this region. The research findings demonstrated that various factors play a vital role in the availability of natural resources, which is the main reason sides other reasons flaring conflict in the Darfur region in Sudan. These factors are related to climate change, destruction of ecosystems, immigration, demographic change, and political changes. Even though various factors could impact the conflict of resources in the Darfur region in Sudan, these researchers focused in this research paper on the sociological perspective only.
Topic:
Development, Economics, Natural Resources, Inequality, and Conflict
Political Geography:
Africa and Sudan