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1. Assuring Taiwan’s Innovation Future

Author:
Evan A. Feigenbaum
Publication Date:
01-2020
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
Innovation has been a source of comparative advantage for Taiwan historically. It has also been an important basis for U.S. firms, investors, and government to support Taiwan’s development while expanding mutually beneficial linkages. Yet, both Taiwan’s innovation advantage and the prospect of jointly developed, technologically disruptive collaborations face challenges. For one, Taiwan’s technology ecosystem has been hollowed out in recent decades as personal computing (PC), component systems, and mobile device manufacturing moved across the Taiwan Strait to mainland China. Meanwhile, Taiwan’s innovation ecosystem has struggled to foster subsequent generations of startups to replace these losses in electronics manufacturing. Despite a freewheeling startup culture, internationalization has been a persistent challenge for Taiwan-based firms. Technological change and political challenges from Beijing present additional risks to Taiwan’s innovation future. In this context, it is essential that Taiwan get back to basics if it is to assure its innovation advantage. One piece of this will involve taking a hard look at the domestic policy environment in Taiwan to ensure a steady pipeline of next-generation engineering talent. Yet Taiwan also needs to address several structural and policy factors that, over the last decade, have eroded its enviable innovation advantage.
Topic:
Science and Technology, Partnerships, Investment, and Innovation
Political Geography:
Taiwan and United States of America

2. Occupational change, artificial intelligence and the geography of EU labour markets

Author:
Sybrand Brekelmans and Georgios Petropoulos
Publication Date:
06-2020
Content Type:
Working Paper
Institution:
Bruegel
Abstract:
From 2002 up to 2009, the economies of European Union countries went through a skill upgrading, rather than a polarisation between low-skill and high-skill jobs. After 2009, this changed, with declining real wages and a significant increase in the share of workers in low-skill jobs. This assessment evaluates these changes in connection with labour market variables, population densities and the emergence of machine learning and artificial intelligence.
Topic:
Labor Issues, European Union, Economy, Innovation, Artificial Intelligence, Strategic Competition, and Geography
Political Geography:
Europe

3. Racing against COVID-19: a vaccines strategy for Europe

Author:
Reinhilde Veugelers and Georg Zachmann
Publication Date:
04-2020
Content Type:
Policy Brief
Institution:
Bruegel
Abstract:
This Policy Contribution proposes a staged support scheme to tackle the COVID-19 vaccine challenge and a moon shot programme to meet the challenge of future pandemics.
Topic:
Health, Science and Technology, Innovation, Vaccine, and COVID-19
Political Geography:
Europe

4. A post-Brexit agreement for research and innovation

Author:
Michael Leigh, Beth Thompson, and Reinhilde Veugelers
Publication Date:
01-2020
Content Type:
Special Report
Institution:
Bruegel
Abstract:
This report sets out what the Wellcome Trust and Bruegel have learned from a project to simulate a negotiation process between the UK and EU to create a post-Brexit research and innovation agreement. Our negotiating scenario assumed that the UK had left the EU with a withdrawal agreement, and that the negotiation was taking place during a ‘standstill’ transition period.
Topic:
Treaties and Agreements, Governance, European Union, Research, Brexit, Macroeconomics, Innovation, and Transition
Political Geography:
United Kingdom and Europe

5. THE HISTORY OF BRICS’ INTERNATIONAL RELATIONS (2009-2019): DISCOURSES, INNOVATION AND SENSITIVITIES

Author:
Thiago Gehre
Publication Date:
01-2020
Content Type:
Journal Article
Journal:
Conjuntura Austral: Journal of the Global South
Institution:
Conjuntura Austral: Journal of the Global South
Abstract:
The BRICS is a group of countries formed by Brazil, Russia, India, China and South Africa that began to operate formally in 2009 as a legitimate, efficient and durable agent of governance in the world order (ACHARYA 2016: 1-27). Scholars all over the world –many of them cited here in this article –have painted the image of the BRICS as an ‘economic colossus’, assuming an underdeveloped intra-bloc cooperation restricted to economic issues. Nonetheless, from an economic starting point, the BRICS has evolved in the last years expanding its cooperation capabilities to a huge array of issues that encapsulates innovation and sensitivity.
Topic:
International Relations, International Affairs, Geopolitics, and Innovation
Political Geography:
Russia, China, India, South Africa, and Brazil

6. A strategic concept for countering Russian and Chinese hybrid threats

Author:
Lauren Speranza
Publication Date:
07-2020
Content Type:
Special Report
Institution:
Atlantic Council
Abstract:
Tackling hybrid threats, particularly from state actors such as Russia and China, remains one of the greatest challenges for the transatlantic community. Hybrid threats have gained more traction among policymakers and publics across Europe and the United States, especially in a world with COVID-19. Over the last five years, Euro-Atlantic nations and institutions, such as NATO and the European Union (EU), have taken important steps to respond to hybrid issues. But, as hybrid threats become more prominent in the future, policymakers must move toward a more coherent, effective, and proactive strategy for countering Russian and Chinese hybrid threats. To develop such a transatlantic counter-hybrid strategy for Russia and China, this paper argues that two major things need to happen. First, transatlantic policymakers have to build a common strategic concept to guide collective thinking on hybrid threats. Second, transatlantic policymakers need to take a range of practical actions in service of that strategic concept. In a strategic concept for countering Russian and Chinese hybrid threats, Lauren Speranza offers five strategic priorities that could form the basis of this strategic concept and presents a series of constructive steps that NATO, the EU, and nations can take, in cooperation with the private sector and civil society, to enhance their counter-hybrid capabilities against Russia and China.
Topic:
Security, Defense Policy, NATO, Diplomacy, Politics, Science and Technology, European Union, Innovation, Resilience, and Non-Traditional Threats
Political Geography:
Russia, China, Europe, Eurasia, and Asia

7. The reverse cascade: Enforcing security on the global IoT supply chain

Author:
Nathaniel Kim, Trey Herr, and Bruce Schneier
Publication Date:
06-2020
Content Type:
Special Report
Institution:
Atlantic Council
Abstract:
The Internet of Things (IoT) refers to the increasing convergence of the physical and digital worlds. Hundreds of “things” are being connected to the Internet and each other, with more than fifty billion devices expected to be connected by 2030. 1 These devices vary from Internet-connected power-generation equipment to wearable health trackers and smart home appliances, and generally offer some combination of new functionality, greater convenience, or cost savings to users. The Internet of Things (IoT) refers to the increasing convergence of the physical and digital worlds. Hundreds of “things” are being connected to the Internet and each other, with more than fifty billion devices expected to be connected by 2030. 1 These devices vary from Internet-connected power-generation equipment to wearable health trackers and smart home appliances, and generally offer some combination of new functionality, greater convenience, or cost savings to users.
Topic:
Security, Science and Technology, Cybersecurity, Internet, and Innovation
Political Geography:
Global Focus

8. A framework for an open, trusted, and resilient 5G global telecommunications network

Author:
John T. Watts
Publication Date:
03-2020
Content Type:
Special Report
Institution:
Atlantic Council
Abstract:
Recent events have seen an acceleration in the rise of reemerging great powers. This has had a profound impact on global economic, technological, and political assumptions and has created new technological realities. The potential impact and implications of artificial intelligence (AI), biotechnology innovation, and the dark sides of social media have raised new concerns for social norms. No issue is more emblematic of the competition between liberal, free-market nations and authoritarian command-economy principles than the evolution of fifth-generation (5G) telecommunications. Generational shifts between cellular telecommunications networks have profound implications for national and global economies. As data become increasingly central to every aspect of a modern economy, the shift to the next generation of cellular networks will be of even greater significance. The Chinese government identified the importance of this transition and has, for years, been aggressively investing around the world to be the purveyor of 5G infrastructure that will carry that data in the coming decades. Chinese-backed firms are currently better positioned to exploit the vast opportunity that 5G represents more effectively than corporations within free markets, for several reasons. The most significant is the high infrastructure cost of legacy cellular models and uncertain consumer demand in the short term. Capital costs are driven predominately by the technical requirements of 5G, which—in return for far higher speeds and ultra-low latency—require new hardware to be installed in many more locations than previous networks. Moreover, the legacy infrastructure model relied on proprietary and incompatible hardware components that are best suited to large, single-manufacture companies that can provide comprehensive end-to-end solutions. While consumer demand is predicted to be high, businesses are cautious in deploying such large amounts of money for unproven speculative demand. The lack of a concrete user base creates an opening that vertically integrated Chinese companies, heavily backed by the state, are exploiting by deploying the 5G technology and services at a discount of about 25 percent, along with loss-leading financing terms. Given that end-to-end network solutions can cost $10–100 billion, or more, 25-percent discounts have a major impact. While the 25-percent discount is financially enticing, the longer-term consequences are often hidden, and can include vulnerability to foreign espionage, economic leverage, and forced compliance to conditions underpinned by authoritarian principles. For the Chinese government, the financial cost is a small investment in return for potential control of the world’s data backbone for the next several decades. The reality is that questions revolving around security, as defined from the perspective of traditional “cyber” or “network security,” are ancillary to the critical challenge. If a nation builds a telecommunications network with equipment supplied from Chinese tech giants such as Huawei or ZTE, those networks will inherently be subject to Chinese laws that require compliance with many principles’ anathema to free-market, liberal views. Moreover, these networks, by design, must be managed and maintained by large services organizations, likely staffed by a vast workforce of Chinese citizens, who also must comply with Chinese law and can provide local human intelligence back to the Chinese state. These are terms that countries should not have to accept, and to which their citizens should not be involuntarily subjected. An open, innovative, safe, and reliable alternative is needed, so that people have a realistic option that allows them to freely communicate and consume information. 5G is emblematic of the competition between the new authoritarianism and free-market, liberal principles. China has executed its plan well over the last five years by driving the standards discussion, developing the leading vertically integrated solution, deploying national export finance to subsidize their offerings, and building the largest and most effective services organization in the market. Free-market economies have spent far less on research and development (R&D), have only limited export finance options, rely on semiconductor dominance, deploy severely limited services organizations, and have no integrated national or international strategy. Few governments or companies were prepared for the level of sophistication of the product and export finance offering of the authoritarian-backed commercial players.
Topic:
Science and Technology, Cybersecurity, Innovation, and 5G
Political Geography:
Global Focus

9. Transcending History’s Heavy Hand The Future in Economic Action

Author:
Jens Beckert and Timur Ergen
Publication Date:
03-2020
Content Type:
Working Paper
Institution:
Max Planck Institute for the Study of Societies
Abstract:
This paper discusses sociological analyses of the formation and role of expectations in the economy. Recognition of the social constitution of expectations advances the understand- ing of economic action under conditions of uncertainty and helps to explain core features of modern capitalist societies. The range of applications of the analytical perspective is il- lustrated by closer examination of three core spheres of capitalist societies: consumption, investment, and innovation. To provide an idea of core challenges of the approach, three major research questions for the sociological analysis of expectations are presented.
Topic:
Economics, Markets, Sociology, Capitalism, and Innovation
Political Geography:
Global Focus

10. 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