Russia’s Reorientation to the East: How Much Does Economy Matter?
This policy brief assesses Russian involvement in the growing Asia-Pacific economies, and offers an overview of the Far Eastern dimension of Russia’s economic relations with its major Asian partners, 2010–2016. It discusses the dynamics of investment and trade relations, and reflects on Russia’s changing economic priorities before and after the conflict with Ukraine and introduction of international sanctions, with a focus on implications for Russia–Asia relations in the Russian Far East.
Professional Networks in Transnational Governance
Who controls how transnational issues are defined and treated? In recent decades professional coordination on a range of issues has been elevated to the transnational level. International organizations, non-governmental organizations (NGOs) and firms all make efforts to control these issues. This volume shifts focus away from looking at organizations and zooms in on how professional networks exert control in transnational governance. It contributes to research on professions and expertise, policy entrepreneurship, normative emergence, and change. The book provides a framework for understanding how professionals and organizations interact, and uses it to investigate a range of transnational cases. The volume also deploys a strong emphasis on methodological strategies to reveal who controls transnational issues, including network, sequence, field, and ethnographic approaches. Bringing together scholars from economic sociology, international relations, and organization studies, the book integrates insights from across fields to reveal how professionals obtain and manage control over transnational issues.
Russia’s turn to Asia: Myanmar seen from Moscow
Russia has made increased engagement with Asian countries declared priority. This ‘turn to the East’, marked by the extravagant APEC (Asia-Pacific Economic Cooperation) summit in Vladivostok in 2012, is driven by both internal considerations (developing Russia’s huge eastern territories) and external ones (perceived shifts in the global balance of economic and political power). Since the events of 2014, with relations with the West deteriorating into confrontation and sanctions, Russian interest in further developing ties with Asia has only increased.
Norway and the European Economic Area: Good Deal or Just an EU Rule-Taker?
'After more than 20 years in the European Economic Area (EEA), it may look as if this remains the solution for Norway – part of the EU's single market but not an actual EU member state. There is no great political push to change Norway's status for now but there are still debates on the political, economic and institutional pluses and minuses of being on the margins of the EU not at its heart, skriver Ole Gunnar Austvik i denne kronikken.
ICT, growth and happiness
This paper reviews two strands of literature. The first is on Information and Communication Technology (ICT) and growth. The increasing role of ICTs came together with stagnating growth rates in many countries. This has been denoted the Solow paradox. During the dot-com era from the mid-1990s, many believed that the paradox was solved. Growth rates increased and the internet became pervasive. The great recession has been followed by lower growth in Europe and in the United States and a return of the Solow paradox. Evidence indicates that the share of internet users in a population had a positive effect of growth in the 1990s, but that this effect vanished for developed countries after 2000. The second strand of literature is a heterogeneous research tradition that relates ICT not to income and growth, but to human well-being. That literature indicates positive (as well as some negative) effects of ICT and the internet on people’s happiness. Some new evidence indicate that the share of internet users in populations in a panel of countries is positively related to average happiness.
The governance of global wealth chains
This article offers a theoretical framework to explain how Global Wealth Chains (GWCs) are created, maintained, and governed. We draw upon different strands of literature, including scholarship in International Political Economy and Economic Geography on Global Value Chains, literature on finance and law in Institutional Economics, and work from Economic Sociology on network dynamics within markets. This scholarship assists us in highlighting three variables in how GWCs are articulated and change according to: (1) the complexity of transactions, (2) regulatory liability, and (3) innovation capacities among suppliers of products used in wealth chains. We then differentiate five types of GWC governance – Market, Modular, Relational, Captive, and Hierarchy – which range from simple ‘off shelf’ products shielded from regulators by advantageous international tax laws to highly complex and flexible innovative financial products produced by large financial institutions and corporations. This article highlights how GWCs intersect with value chains, and provides brief case examples of wealth chains and how they interact.
The Geopolitics of Renewable Energy
For a century, the geopolitics of energy has been synonymous with the geopolitics of oil and gas. However, geopolitics and the global energy economy are both changing. The international order predominant since the end of World War II faces mounting challenges. At the same time, renewable energy is growing rapidly. Nevertheless, the geopolitics of renewable energy has received relatively little attention, especially when considering the far-reaching consequences of a global shift to renewable energy. The paper starts with a discussion of seven renewable energy scenarios for the coming decades: the IEA’s World Energy Outlook 2016, the EIA’s International Energy Outlook 2016, IRENA’s REmap 2016, Bloomberg’s New Energy Outlook 2016, BP’s Energy Outlook 2016, Exxon-Mobil’s Outlook for Energy 2016 and the joint IEA and IRENA G20 de-carbonization scenario. The paper then discusses seven mechanisms through which renewables could shape geopolitics: Critical materials supply chains, technology and finance, new resource curse, electric grids, reduced oil and gas demand, avoided climate change, and sustainable energy access.
Myanmars Attractiveness for Investment in the Energy Sector: A Comparative International Perspective
This report examines the strengths and weaknesses of Myanmar’s business climate in the petroleum and renewable energy sectors: how it compares with other countries, especially in ASEAN; what matters to foreign investors; and how this situation can be improved. Not resting on one’s (new) laurels: The recent international interest in Myanmar may prove counterproductive for the country’s investment climate, if this upsurge in interest induces the government to slow down in its reform efforts. When the novelty of Myanmar wears off, that may become a problem. Indeed, possible signs of such a slowdown can be observed already. According to official data, FDI in Myanmar decreased significantly in the first four months of 2016 compared to the same period in 2015. Investors were increasingly cautious and worried about the slow pace of reform, delays in establishing a panel to approve new investment projects and the lack of clarity on the country’s new economic development strategy (DVB, 2016). This highlights the importance of working constantly to improve the investment climate and staying in close contact with investors, keeping them informed about developments. Challenges common to the petroleum and renewables sectors: Lack of data and information for market entry; fragmented institutional and regulatory framework; low levels of electricity access and digitalization; low international oil prices. Challenges in the petroleum sector: Limited supply-industry infrastructure and lack of local engineers; MOGE petroleum sector monopolization and conflicts of interest; limited geological data; complicated taxation; weak government–business communication; challenges in finding local partners; time-consuming licensing procedures; paper-based communication and lack of e-government; production-sharing agreements biased towards participation of large oil companies, excluding smaller ones; frequent changes in legislation; closed downstream market. Challenges in the renewable energy sector: No national target or legislation on renewable energy; no dedicated public agency regulating the sector; lack of business associations; subsidies for grid electricity generated from fossil fuels disadvantage off-grid renewables; access to suitable land; complex mountainous terrain and protected areas as well as political instability in these areas; underdeveloped grid system for large-scale production; lack of data on the renewable-energy resource potential; limited infrastructure for technical support and maintenance; high cost of installing solar panels and wind turbines; disintegrated biofuel production and supply markets; lack of local specialists; no taxation system for renewables; security risks in conflict-prone Kachin, Rakhine and Shan states. Opportunities in the petroleum and renewable energy sectors: Government commitment to reform; advantageous location as part of the Greater Mekong Subregion and ASEAN, close to the Chinese and Indian markets; significant resource base, especially natural gas, hydropower and bioenergy; rapidly rising energy demand in Myanmar and neighbouring countries; high demand for investment in refineries, oil terminals, oil barges and petrol stations; opportunities in retail business; new petroleum and renewable energy laws are underway; abundant semi-skilled labour, and low cost of unskilled labour; low levels of corruption and criminality. Initially, companies may perceive the business climate as unpredictable, but, having entered the market, and having learned and adapted to local conditions, companies experience greater predictability. Opportunities in the petroleum sector: Relatively transparent tender system; equal treatment of investors; government experience and capacity; market maturity. Myanmar’s strategic location, with rapidly rising energy demand among hundreds of millions of people in the neighbouring countries and low transportation costs (especially for gas delivery to China, India and Thailand), represents an opportunity to foreign investors. Opportunities in the renewable energy sector: Latecomer advantage; low level of electrification increases cost advantage of off-grid electrification; support from international donors; strong civil society actors are promoting renewable energy development.