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Abstract : Many observers agree that the multilateral liberalization of service trade was a response to the intense lobbying efforts of financial service companies. In contrast, many of the firms that were affected by the General Agreement on the Trade of Services did not know where their interests lay in the multilateral negotiations and only began to work with their governments very late in the process. This paper shows that the preference evolution of service companies - both the first movers and the late comers - cannot be explained with reference to material rationality only. As a radically new trade issue, service trade was a realm of great uncertainty for business and they relied on social devices rather than pure economic calculations to determine how to position themselves on liberalization. In times of uncertainty, the differential logic of social embeddedness and the institutional constraints of a firm's national setting are therefore a more appropriate indicator for business demands than material incentives arising from the global economy.
This article examines the importance of action-theoretical considerations in European studies. By outlining the notion of ‘usage’ of the European Union, we argue for a more systematically sociological consideration of strategic action in the study of European transformations. The recent turns towards constructivism and comparative political sociology allow analyzing the rationality of political actors without falling in the trap of overly reductionist rational choice assumptions. Concentrating on intentional action helps to reveal the importance of three aspects of the multi-level polity: (1) informal and non-constraining procedures; (2) the effects of ways in which actors move in between the different levels of the European political system; and (3) the ambiguous and often surprising coalitions that come together despite often considerable disagreement over their final goals.
White–Black relations have historically been the defining form of intergroup relations in the study of prejudice and discrimination. The present article suggests that there are limitations to applying this model to understanding bias toward other groups and proposes that a comprehensive view of the dynamics of the Anglos’ bias toward Latinos requires consideration of the distinctive elements of this form of intergroup relations. In four empirical studies, we experimentally document discrimination against Latinos (Study 1), explore the potential dimensions that underlie bias against Latinos (Study 2), and examine the effect of a particular social identity cue, accentedness, on perceptions of acceptance and belongingness of Latinos and members of other groups (Studies 3 and 4). These studies consider general processes of prejudice and identify how particular facets of bias against Latinos can shape their experiences and, taken together, illustrate how understanding bias against Latinos can reciprocally inform contemporary theories of prejudice.
Advancing the business & human rights agenda: Dialogue, empowerment and constructive engagement
(2010)
As corporations are going global, they are increasingly confronted with human rights challenges. As such, new ways to deal with human rights challenges in corporate operations must be developed as traditional governance mechanisms are not always able to tackle them. This article presents five different views on innovative solutions for the relationships between business and human rights that all build on empowerment, dialogue and constructive engagement. The different approaches highlight an emerging trend toward a more active role for corporations in the protection of human rights. The first examines the need for enhanced dialogue between corporations and their stakeholders. The next three each examine a different facet of empowerment, a critical factor for the respect and protection of human rights: empowerment of the poor, of communities, and of consumers. The final one presents a case study of constructive corporate engagement in Myanmar (Burma). Altogether, these research projects provide insight into the complex relationships between corporate operations and human rights, by highlighting the importance of stakeholder dialogue and empowerment. All the five projects were presented during the Second Swiss Master Class in Corporate Social Responsibility, held in Lausanne, Switzerland on December 12, 2008. The audience for this conference, which examined business and human rights, was composed of researchers, governmental representatives, and business and non-governmental organization practitioners.
Recent research on international trade focuses on firm‐product‐level heterogeneity and the role of uncertainty in shaping international trade. This article contributes to the literature by examining product‐level dynamics within firms in the context of Mexican trade integration under NAFTA. The data show intense product churning within firms and confirm the existence of within‐firm product heterogeneity. The data indicate that new exporters enter foreign markets with a small number of varieties, most of which were previously sold at home, and with a small export small volume. The data also suggest that export discoveries are relatively rare and are imitated within a short period of time.
In the study of risk regulation, grid‐group cultural theory has attracted considerable interest. There has, however, been a lack of a systematic interest in its claims and in methodological issues. In this article, we present five claims that are drawn from cultural theory and assess them in the light of failure in meat inspections in Germany. These claims are assessed through the analysis of argumentation as recorded in newspapers. In the light of its empirical findings, this article argues that the claims and methodology employed offer a promising avenue for further work to investigate the usefulness of this particular theoretical approach.
How does trade liberalization that raises a country’s import competition affect the innovative activity of its firms? We exploit the strong growth of Chinese exports resulting from China’s entry into the World Trade Organization in 2001 as a competitive shock to, specifically, Mexican manufacturing firms. Innovation is captured through information on the adoption of specific production techniques such as just in time inventory methods, quality control, and job rotation. Our results indicate that China’s rise in global trade did not affect by much Mexico’s rate of innovation, which contrasts with the substantial gains that others have found in the case of bilateral liberalization. At the same time, there is a striking heterogeneity in the responses across firms: productive firms innovate more while less productive firms innovate less. This leads to positive selection in that initial differences in firm performance are sharpened by the advent of new competition. We discuss the implications of these findings for theories of trade and innovation.
In this article, we study how firm heterogeneity influences productivity catching up using plant-level data from Mexico. The article addresses three issues: first, it evaluates the process of convergence towards the global versus the local technological frontier in a middle-income country such as Mexico. Second, it systematically evaluates the role of technological efforts in determining the speed of convergence towards each of these technological frontiers. Third, it assesses the role of openness and trade integration in determining the speed of convergence and presents a horse race between integration and technological effort in explaining the determinants of heterogeneity in influencing the process of convergence toward both the domestic and the global technological frontier. Our results suggest that building firm-level technological capabilities is important for catching up with the global frontier. A policy focused on trade alone will facilitate convergence towards the best technological practices available locally, but it will fall short of encouraging convergence with the global frontier.
The decision to establish direct elections to the European Parliament was intended by many to establish a direct link between the individual citizen and decision making at the European level. Elections were meant to help to establish a common identity among the peoples of Europe, to legitimise policy through the normal electoral processes and provide a public space within which Europeans could exert a more direct control over their collective future. Critics disagreed, arguing that direct elections to the European Parliament would further undermine the sovereignty of member states, and may not deliver on the promise that so many were making on behalf of that process. In particular, some wondered whether elections alone could mobilise European publics to take a much greater interest in European matters, with the possibility of European elections being contested simply on national matters. Evaluating these divergent views, the subject of this article is to review the literature on direct elections to the European Parliament in the context of the role these elections play in governance of the European Union. The seminal work by Reif and Schmitt serves as the starting point of our review. These authors were the first to discuss elections to the European Parliament as second-order national elections. Results of second-order elections are influenced not only by second-order factors, but also by the situation in the first-order arena at the time of the second-order election. In the 30 years and six more sets of European Parliament elections since the publication of their work, the concept has become the dominant one in any academic discussion of European elections. In this article we review that work in order to assess the continuing value of the second-order national election concept today, and to consider some of the more fruitful areas for research which might build on the advance made by Reif and Schmitt. While the concept has proven useful in studies of a range of elections beyond just those for the European Parliament, including those for regional and local assemblies as well as referendums, this review will concentrate solely on EP elections. Concluding that Reif and Schmitt’s characterisation remains broadly valid today, the article allows that while this does not mean there is necessarily a democratic deficit within the EU, there may be changes that could be made to encourage a more effective electoral process.
Negotiated “policy-arrangements” and their institutionalization are at the heart of global governance. This chapter focuses on the European Union (EU) as one particular arena that produces binding decisions beyond the nation state. For scholars of global governance, the EU constitutes an interesting but idiosyncratic case: the EU’s system of decision-making and enforcement is highly institutionalized; the EU covers a broad policy-remit, touching upon core areas of national sovereignty such as monetary policy or border control; and the EU is exceptionally intrusive and effective, producing binding laws that are widely complied with in its member states. At the same time, the nature of supranational governance – famously described as “less than a federation, more than a regime” (Wallace 1983) – remains open and undefined. For scholars of argumentation, deliberation and persuasion, the European Union is an equally fruitful object of study: the EU’s deliberative decision-style is used to explain compliance with European law (Neyer 2004); the EU is conceptualized as an actor that projects “normative” rather than military power (Manners 2002) and the supranational decision-process serves as testing ground for theories of deliberation (Eriksen and Fossum 2000; Joerges and Neyer 1997a, 1997b), argumentation (Naurin 2010), problem-solving (Elgström and Jönsson 2000), rhetorical action (Schimmelfennig 2001) and judgment (Kornprobst 2008).
Economic Policy
(2010)
Written by four recognized experts with senior experience in research and government, this text is the first comprehensive survival kit for students and practitioners of economic policy. It is set to become an indispensable resource for everyone involved or interested in modern economic policy. Academic scholars willing to engage in policy discussions and students at graduate or advanced undergraduate levels will find it an essential bridge to the policy world.
What makes the book unique is that it combines like no other, facts-based analysis, state-of-the art theories and models, and insights from first-hand policy experience at national and international levels. The book has grown out of ten years of experience teaching economic policy at the graduate level. It provides an intellectually coherent framework to understand the potentialities and limits of economic policy. It addresses positive dimensions (how do policies impact on modern economies?), normative dimensions (what should policymakers aim to achieve and against what should their action be judged?) and political-economy constraints (which are the limits and obstacles to public intervention?). It fills an important gap by reconciling in each major policy area stylized facts of recent economic history, key questions faced by contemporary policymakers, and essential lessons from theory which are captured and explained in a clear, concise, and self-contained way.
All major areas of domestic and international policymaking are covered: fiscal policy, monetary policy, international finance and exchange-rate policy, tax policy, and long-term growth policies. The book concludes with a special chapter on the lessons of the financial crisis.
The authors are intellectually non-partisan and they draw examples from various countries and experiences; from emerging markets to developing economies, shedding light when necessary on local specificities such as European Union rules and instruments. Economic Policy: Theory and Practice is the essential guide to economic policy in the new post-crisis context.
This article examines the domestic impact of supranational human rights litigation on acknowledgment of state violence in the context of macroprocesses of global governance. The article's argument is that the impact of supranational human rights litigation on the process of acknowledgment must be seen through counternarratives on state violence. The article undertakes a detailed textual analysis of the truth claims and denial strategies that emerged from the European Court of Human Rights proceedings on state violence during Turkey's struggle against the armed group the Kurdistan Workers Party (PKK). It assesses these in the context of the human rights reforms that were created following pressure from European-level governance processes. The article argues that attention must be paid to agency in acknowledgment and truth-telling processes, and points to the limits of technical-bureaucratic forms of human rights reform interventions in the context of state violence.
Reserve Prices as Reference Points : Evidence from Auctions for Football Players at Hattrick.org
(2010)
We study the impact of sellers’ reserve prices on transfer prices in online auctions of virtual football players at Hattrick.org. We introduce an empirical model that distinguishes between two separate effects from public reserve prices: (1) a mechanical effect, which is driven by the design of the English auction and (2) a psychological reference-dependence effect through reserve prices serving as reference points. The psychological effect has recently been introduced in behavioral models of situations where agents are uncertain about their own willingness-to-pay, while the mechanical effect is well captured by standard auction theory. Controlling for censoring when players are not sold, both effects are observed. Once we account for the potential endogeneity of reserve prices, however, we do not find evidence for reference dependence in Hattrick auctions.
This paper incorporates tax morale into the Allingham and Sandmo (1972) model of income tax evasion. Tax morale is modeled as a social norm for tax compliance. The strength of the norm is shaped endogenously, depending on the share of evaders in the society. Taxpayers act conditionally cooperative as their evasion depends on the others' compliance. We characterize the equilibrium which accounts for this interdependence and study the implications for tax and enforcement policies. The analysis is extended to the case of a society consisting of heterogenous communities. Individual evasion decisions are then embedded in a complex social structure and behavior is influenced by the norm compliance among morale reference groups. Within this framework, we highlight the role of belief management as an alternative policy tool.
While many histories of the Balkans have been published, some very good and others poor, there is as yet no history of institutions in the Balkans. This is what the contributors to Ottomans into European offer the reader: a history of the most salient political institutions of the region: bureaucracies, judiciaries, democratic elections, free media, local and central government – and their frequently strained relations with traditional institutions. They also examine the selection, evolution, and performance of institutions in the post-Ottoman Balkans, and try to account for variations throughout the region. In writing this institutional history of the Balkans the contributors set themselves two key questions: did the post-Ottoman wave of Europeanization and Western-type institution building fail in the Balkans, and does this explain the region’s continuing political fragility? And if this is the case, are there underlying structural determinants explaining that failure which might manifest themselves again in present attempts to re-integrate the region, from Turkey to Albania?
Consumer Emissions
(2010)
CITIES: Car Industry, Road Transport and an international Emission Trading Scheme. Policy options
(2010)
A non-fiction book about the social engineering operated in rural Eastern Europe by the Communist regime, based on the history of two villages in Romania. One of the two villages is the birthplace of Nicolae Ceausescu, the former Communist dictator, Scornicesti, which received massive investment during communist years and was turned into a mixture of underdeveloped village and industrial town. The other is Nucsoara, the Carpathian cradle of peasants' resistance against Communism, where half the village was executed or imprisoned and their lands divided between the other half. The state intervention failed in both villages to attain the planned objectives, but it nevertheless changed fundamentally the life of villagers. This book is mostly about the consequences of unlimited state power over people and communities.
Model analysis within the ADAM project has shown that achieving low greenhouse gas concentration levels, e.g. at 400ppm CO 2 -eq, is technologically feasible at costs of a few percent of GDP. However, models simplify the dynamics involved in implementing climate policy and the results depend on critical model assumptions such as global participation in climate policy and full availability of current and newly evolving technologies. The design of a low stabilization policy regime in the real world depends on factors that can only be partly covered by models. In this context, the paper reflects on limits of the integrated assessment models used to explore climate policy and addresses the issues of (i) how global participation might be achieved, (ii) which kind of options are available to induce deep GHG reductions inside and outside the energy sector, and (iii) which risks and which co-benefits of mitigation options are not assessed by the models.
This article argues that a legally binding, multilateral agreement is a necessary condition for achieving the highest levels of greenhouse gas (GHG) emission reductions consistent with limiting warming to below either 2°C or below 1.5°C. Clear legally binding commitments within a multilaterally agreed process with strong legal and institutional characteristics are needed to give countries the confidence that their economic interests are being fairly and equally treated. Common accounting rules are needed for comparability of effort, and in order to protect environmental integrity, to demonstrate transparency, for effective monitoring, reporting and verification (MRV) of emissions and actions, and to facilitate and support a strong international carbon market. Securing full implementation will depend, in part, on the strength of an agreement's compliance mechanism. The Copenhagen Accord, by itself, represents a quintessential ‘bottom-up’/‘pledge and review’ approach. It is open to interpretation whether the Accord can become a stepping stone on the way to strengthening the legally binding, multilateral framework to fight climate change, building on both the United Nations Framework Convention on Climate Change (UNFCCC) and the Kyoto Protocol, or whether it will lead to the unravelling and fragmentation of all that has been built up to date. Legal architecture choices made in 2010 and beyond are likely to be determinative.
The word most frequently uttered by Greece and Turkey with regard to their Muslim1 and non-Muslim minorities, respectively, is most probably ‘reciprocity.’ For more than half a century, in both countries, virtually all administrations,irrespective of their political leanings and ideological base, resorted to the good old ‘reciprocity argument’ to legitimize their laws, policies, and practices restricting the minority rights of Muslim and non-Muslim communities.
Both states have for decades justified their policies on the basis of a theory that argues that Article 45 of the 1923 Treaty of Lausanne provided the legal basis for reciprocity. Deliberately distorting a crystal-clear provision, which simply confers parallel obligations on Greece and Turkey for the protection of the Muslim and non-Muslim minorities, respectively, both states have for decades held their own citizens hostage, pitting them against each other in the name of defeating the other in foreign policy. Disregarding the objections of international lawyers and institutions that the reciprocity principle does not apply to human rights treaties and that states cannot condition the protection of the fundamental rights of their citizens on the policies of other states, both Greece and Turkey have successfully manipulated their national
public opinion into believing in the legitimacy of treating minorities as lesser citizens. This report analyzes the implications of reciprocity policies on the day-to-day lives of Muslim and
non-Muslim minorities in Greece and Turkey, specifically their impact on the community foundations2 belonging to these minorities. With a specific focus on the property and self-management issues of Muslim and non-Muslim community foundations in Greece and Turkey, the report situates the issue in its historical context and trace the evolution of the ‘community foundation issue’ from Lausanne to the present day. Drawing similarities and differences between the laws, policies, and practices of Greek and Turkish states vis-à-vis their minority foundations, the report critically assesses the progress made to this day as well as identify the outstanding issues.
Introduction
(2010)
Until 2008, Germany’s vital statistics did not include information on the biological order of each birth. This resulted in a dearth of important demographic indicators, such as the mean age at fi rst birth and the level of childlessness. Researchers have tried to fill this gap by generating order-specifi c birth rates from survey data, and by combining survey data with vital statistics. This paper takes a different approach by using Perinatal Statistics to generate birth order-specific fertility rates for the period 2001 to 2008. Perinatal Statistics includes information on births that took place in German hospitals. Out-of-hospital births, which account for about 2 % of all births, are not included in the Perinatal Statistics. In a sensitivity analysis, we show how robust our estimates are to the inclusion of out-of-hospital births. Our general assessment is that the Perinatal Statistics is a valuable source for generating order-specific fertility rates, regardless of whether out-of-hospital births are included.
Nearly every European Country has experienced some increase in nonmarital childbearing, largely due to increasing births within cohabitation. Relatively few studies in Europe, however, investigate the educational gradient of childbearing within cohabitation or how it changed over time. Using retrospective union and fertility histories, we employ competing risk hazard models to examine the educational gradient of childbearing in cohabitation in eight countries across europe. In all countries studied, birth risks within cohabitation demonstrated a negative educational gradient. When directly comparing cohabiting fertility with marital fertility, the negative educational gradient persists in all countries except Italy, although differences were not significant in Austria, France, and West Germany. To explain these findings, we present an alternative explanation for the increase in childbearing within cohabitation that goes beyond the explanation of the Second Demographic Transition and provides a new interpretation of the underlying mechanisms that may influence childbearing within cohabitation.