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111. Humanizing security? The EU's responsibility to protect in the Libyan crisis

Author:
Marlene Gottwald
Publication Date:
04-2012
Content Type:
Working Paper
Institution:
Finnish Institute of International Affairs
Abstract:
The European Union's response to the Libyan crisis, ranging from the use of humanitarian aid to the option of a military intervention, can be regarded as a first test case for the Common Security and Defence Policy (CSDP) after the Lisbon Treaty. Although aimed at improving the coherence and effectiveness of the EU's foreign and security policy, it has come as no surprise that the expectations shed by the Lisbon Treaty and its newly created institutions such as the European Union External Action Service (EEAS) were premature. As a consequence, a gap opened up between the EU's rhetoric and the actual actions taken during the Libyan crisis.
Topic:
Regime Change
Political Geography:
Europe, Libya, Arabia, North Africa, and Lisbon

112. The corporate benefits of the euro: Finnish companies cannot live without a common currency

Author:
Timo korkeamäki
Publication Date:
04-2012
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The costs of euro membership have been a topic of lively political debate in recent years, and they have received ample media attention. In contrast, numerical estimates on the benefits of the euro have been practically non-existent. While the corporate benefits of the euro have been widely documented in the academic literature, the practical value of those publications has suffered from their technical complexity. Several experts have linked the fast growth of corporate bond markets in Europe since 1999 to the introduction of the euro. With growing arm's length credit markets in Europe, companies' access to financing has improved significantly. Companies from countries with small and unstable legacy currencies, such as Finland, have benefited comparably more from the widened financial markets. The cost savings due to the lowered cost of debt are non-trivial. For a set of large Finnish companies alone, the narrowing spread between their interest expenses and those of their German counterparties has resulted in after-tax cost savings of over €400 million each year. Sweden, Norway, and Denmark may have received some free-rider benefits while staying outside the currency union. However, it is difficult to estimate whether such benefits would have been obtainable had Finland chosen to keep its own currency. Reductions in the cost of financing should increase companies' ability to invest, and thus these savings are likely to have multiplicative effects on the economy for years to come.
Topic:
Economics, International Trade and Finance, Markets, and Monetary Policy
Political Geography:
Europe

113. A rocky road towards Europe: The prospects for the EU's Eastern Partnership Association Agreements

Author:
Kristi Raik
Publication Date:
06-2012
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The EU has a strategic goal to build political association and economic integration with the six countries included in its Eastern Partnership policy. To reach this goal, it has invented a new model of association agreement that includes deep and comprehensive free trade. At best, three out of six Eastern partners are likely to sign the agreements within the next couple of years.
Topic:
Democratization, Economics, and Regional Cooperation
Political Geography:
Europe

114. Ripe and ready for Rio+20? The UN conference on sustainable development and the European Union

Author:
Marikki Stocchetti
Publication Date:
06-2012
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The UN Conference on Sustainable Development (Rio+20) marks a historic opportunity to address unsustainable trends in economic, social and environmental development multilaterally. Still, on the eve of Rio+20, the international community lacks consensus and leadership. The European Union has taken a very proactive and constructive role in the preparations for Rio+20. However, the EU's commitment to the sustainable development agenda is not shared equally across its policies or member states. This weakens the EU's strategic position in the negotiations. Disagreements between Rio+20 parties cut across all the main items on the agenda. In particular, the topic of the “Green Economy” brings old clashes between developing economies and post-industrialized countries back to the fore. The key question relates, on the one hand, to the right to determine development strategies, and on the other hand, to the division of responsibilities between countries. On a more optimistic note, the need for institutional reform and joint sustainable development objectives has been widely acknowledged. In addition, much progress can still be made in the 15 thematic areas of sustainable development. This may compensate for the lack of unanimity on grand paradigms. It is of utmost importance for a successful outcome that the Union works in unison, with clear negotiation mandates, and coordinates its views effectively throughout the process. Success at Rio+20 may also help to increase the EU's own coherence with regard to sustainable development in the future.
Topic:
Development, Economics, and Environment
Political Geography:
Europe

115. Between conditionality and engagement: Revisiting the EU's democracy promotion in the Eastern neighbourhood

Author:
Kristi Raik
Publication Date:
04-2011
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The EU needs to place a stronger emphasis on promoting democracy in its Eastern neighbourhood. A new approach should combine limited, focused conditionality with increased openness and multi-level linkages. Conditionality is often effective in promoting faster and better reforms where the home-grown will to democratise is present (as in Moldova, for example). It is not likely to work as a transformative policy, bringing about change from authoritarianism to democracy in the neighbourhood. The goal of tying neighbours to Europe should prevail over the principle of political conditionality. Economic integration and visa freedom have to be pursued with all neighbouring countries. This makes democratisation more likely to occur in the longer term. Engagement, providing it is not limited to political leaders, can be a successful strategy to push for democratic change. Cooperation with (semi-)authoritarian governments has to be accompanied by strong support for civil society and multiple links with the populations. Ukraine is a test case of the EU's ability to use association agreements as a tool for democracy promotion. The involvement of neighbours in the negotiation process offers a possibility to shape their domestic agendas. At the same time, there must be 'red lines': the EU should emphasize that it will not sign the agreements with countries having major problems with democracy.
Topic:
Democratization
Political Geography:
Europe and Arabia

116. Getting cold in the Caucasus: Can the EU prevent the freezing of the Georgian-Russian conflict?

Author:
Teemu Sinkkonen
Publication Date:
03-2011
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
Since the stabilization of the Georgian-Russian conflict, no further progress has been achieved and the conflict is in danger of freezing again. Leaders on both sides are taking full advantage of the tension that exists between them, while the people living on the boundary line are paying a heavy price because of the conflict. The EU has assumed considerable responsibility for the resolution of the conflict, but due to insufficient coordination at the operational level and a lack of coherent political support, it has been increasingly ignored by both parties. The Georgian-Russian conflict offers a great window of opportunity for the EU to define its overall strategy for the conflict management it so desperately needs.
Topic:
Conflict Resolution and Territorial Disputes
Political Geography:
Europe, Asia, and Georgia

117. Divided we fail: Time for the EU to speak with one voice to Belarus

Author:
Anaïs Marin
Publication Date:
06-2011
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The West has come to admit that the Belarusian regime is indifferent to incentives and sanctions alike. The crackdown on the opposition that has been ongoing since Alexander Lukashenka's last fraudulent re-election shows that Belarus is drifting ever further away from democratic values and the EU's “ring of friends”. Reversing this trend requires EU member states to acknowledge that they bear part of the responsibility for the failure of the engagement policy launched in October 2008.
Topic:
Conflict Resolution, Democratization, and Diplomacy
Political Geography:
Europe and Brussels

118. Guardians of subsidiarity: National parliaments strive to control EU decision-making

Author:
Kaisa Korhonen
Publication Date:
05-2011
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
The Lisbon Treaty encourages national parliaments to jointly forge a new node in the EU institutional architecture. National parliaments are given the right to control certain aspects of EU decision-making without the involvement of member state governments. Most importantly, national parliaments share the responsibility for ensuring that the subsidiarity principle is respected in all legislative matters of the Union.
Topic:
Regional Cooperation, Treaties and Agreements, and Governance
Political Geography:
Europe

119. Much ado about nothing: The EU's transport dialogue with Russia

Author:
Katri Pynnöniemi
Publication Date:
06-2011
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
Transport is one of those few topics where the EU and Russia seem to have come to an agreement. The common understanding is that further integration of the transport systems and the removal of bottle necks serves the interests of both parties in the face of the expected increase in traffic volumes.
Topic:
Democratization, Diplomacy, Regional Cooperation, and Foreign Direct Investment
Political Geography:
Russia and Europe

120. Swimming in murky waters: Challenges in developing the EU's external representation

Author:
Piotr Maciej Kaczyński
Publication Date:
09-2011
Content Type:
Policy Brief
Institution:
Finnish Institute of International Affairs
Abstract:
In the area of external affairs, the Treaty of Lisbon has introduced a number of innovations into the functioning of the European Union. The initial phase of these innovations was in 2010 when two parallel processes took place. First, the set-up of the European External Action Service (EEAS) was negotiated and subsequently implemented. Second, a number of developments have taken place in the sphere of the EU's external representation. Soon after December 2009, when the new treaty entered into force, it became clear that it was wide open to interpretation. Since most actors continued to interpret the treaty provisions in their favour, the EU had to engage in difficult negotiations on several occasions. In fact, the new treaty impacts not only EU relations with third states and within international organizations, it also has a significant impact on the member states' relations with third states as well as on their representation within international organizations.
Topic:
Foreign Policy, Regional Cooperation, and Treaties and Agreements
Political Geography:
Europe