Agriculture and rural out-migration in Central Asia, 1960-91

"This article seeks to analyse agrarian structure and policy in the Soviet period and discuss their effect on migration from rural to urban areas. In the case of [Soviet] Central Asia, neither the various steps to bring down labour intensity in the farm sector, nor the falling standard of living in rural areas, could bring about migration from rural to urban areas. This was because in traditional societies economic mechanisms are not effective unless they are complemented by appropriate social and cultural policies. All policies were oriented towards the state's goal of vertical integration of regions with the central economy. In Central Asia in particular this policy resulted in serious distortions in the social and economic spheres."     

Party System Competition and Private Sector Development in Africa

Democratic transitions by many African countries have generated much analysis of the organisational features of political parties or their role in voter mobilisation during elections. Yet, scholars have largely overlooked how parties negotiate economic policymaking or interact with the private sector in countries that are incipient democracies and emerging markets. This article argues that the stability or fragmentation of the party system affects patterns of private sector development and shapes linkages between the state, business and labour. It compares Mozambique and Zambia to demonstrate how variations in party system characteristics influence the relationship between economic and political interests.     

Network Governance of Private Sector Development Policy Implementation in Singapore

The discussion examines private sector development policy implementation in Singapore, examining the new role of the government's economic development agencies from the point of changing relationships among public and non-state actors in the policy arena. Singapore's model of private sector development consists of an exclusive network of partnerships among economic development agencies and between these agencies and private sector actors, such as business and organized labour, as integral policy stakeholders. As Singapore has moved within the past 15 years towards its articulated goal of becoming a knowledge-based economy and an industrial hub in the Asia Pacific region, the country's model of network governance is undergoing a gradual reconfiguration to include a greater role for local enterprises in the policy process. The changing institutional mechanics of network governance surrounding the new model of private sector development in Singapore are examined, along with the highlights of some implications surrounding this shift.     

Environmental dimensions of managing public budgets and public enterprises in Sub-Saharan Africa

This study examines the nature of the environment in which public budgets and public enterprises are managed in developing countries in Sub-Saharan Africa. It develops a model of the environmental dimensions in the general environment and dimensional components in the task environment of public budgeting and public enterprise management including the economic, political, socio-cultural, and technological dimension which determine public budget and public enterprise management in developing countries like those in Sub-Saharan Africa. The implications of those environmental dimensions and their components are evaluated for budgetary processes and budgetary outcomes in selected countries in Sub-Saharan Africa - Kenya, Nigeria, Tanzania, and Ethiopia. The impact of economic dimensions in inducing repetitive budgeting in the budgetary processes of developing countries was highlighted. The results of the analysis of expenditure patterns in these countries tend to support the greater strength of the economic functional dimension in influencing budgetary outcomes. The implications of the environmental dimensions of the model for the management of public enterprises was also investigated. Numerous dimensional components of the major dimensions of the model developed in the study were found to have had an impact on the development of the public enterprise sector in developing countries like those in Sub- Saharan Africa. Moreover, the performance of public enterprises was strongly linked to the dimensions and components of the model. The interactive effects of public enterprise management on public budgeting in developing countries is also addressed as a consequence of the environmental model. Reform efforts must contend with altering the environmental state depicted in the model or accommodating to it.     

The emerging labour market and transformation from state amateurs to professional athletes

Corporate governance and its associated concerns had no bearing on Chinese industry management before its national economic reform in the early 1980s. The government's intention has been to make all state-owned enterprises more effective and efficient than they previously were by gradually introducing Western enterprise methods with a capitalist market approach. The article explores the notion of corporate governance in the context of Chinese football by studying the emerging labour markets and management of professional football players to gain a comprehensive understanding of the issues concerning the governance of Chinese sports and its human resource management. It seeks to contribute to the development of stakeholder theory as an important analytical framework on Chinese management studies in the field of professional sport during its economic transition.     

Automotive global value chains in Mexico: a mirage of development?

ABSTRACT

International monetary organisations argue the ‘developing countries’ should foster linkages to the world economy as a means to overcome backwardness. In this article we refute the narrative that Mexico has experienced industrial upgrading. Rather, industrial growth in Mexico over the last 40 years has been shaped by neoliberal economic policies which have turned the Mexican economy into an export-led manufacturing platform designed to supply the North American market, sustained by a precarious labour market. As a result, Mexico occupies the most labour-intensive and low value-added segments of regional production chains. To make this argument, we perform an in-depth analysis of the Mexican automotive industry, demonstrating that instead of being an engine for domestic industrial development, the auto industry has become a dominant economic sector through productive hyper-specialisation concentrated in the northern Mexican border states, a reliance on transnational capital, particularly from the United States, a disconnect with domestic markets, and the super-exploitation of labour.     

Simulating commercial policy in a small,open dual economy with urban unemployment: A general equilibrium approach

A two‐sector numerical general equilibrium model calibrated on Kenyan data is used to consider second‐best tariff policy in an economy with a distorted market for urban‐industrial labour and urban unemployment. The results illustrate the sensitivity of second‐best policy to the way the administered urban wage is determined (whether it is fixed primarily in terms of food or the manufactured good), and to the degree of inter‐sectoral mobility of capital. Efficiency gains from moving to a second‐best policy are shown to be small in comparison with the gains from eliminating the wage distortion in the first place.     

The labour market in a dual economy: Another look at colonial Rhodesia

A labour market model is developed for the formal sector of a labour surplus economy, allowing for monopsony power by firm owners and an inelastic supply of labour with respect to the wage rate. This inelasticity arises even though the wage rate in the traditional sector may be ‘fixed’ due to surplus land, and the supply of labour to the traditional sector responds quite positively to an exogenous increase in the (implicit) wage rate there. This labour supply function is derived from a simple utility maximisation model incorporating the spatial aspects of temporary migration to the formal sector.     

Unequal Laws and the Disempowerment of Women in the Labour Market: Evidence from Firm-Level Data

Institutions are defined as the set of rules that govern human interactions. When these rules are discriminatory, they may disempower segments of a population in the economic spheres of activity. In this study, we explore whether laws that discriminate against women influence their engagement in the economy. We adopt a holistic approach where we explore an overall measure of unequal laws also known as legal gender disparities and relate it to several labour market outcomes for women. Using data for over 59,000 firms across 94 economies, we find that unequal laws not only discourage women’s participation in the private sector workforce, but also their likelihood to become top managers and owners of firms. Suggestive evidence indicates that access to finance, property ownership, business registration, and labour market constraints are pathways by which legal gender disparities disempower women in the private sector.     

The Russian virtual economy turning real: Institutional change in the Arkhangel'sk forest sector

The article reports on an attempt to assess recent developments of the Russian ‘virtual economy’, a system that, some have argued, represents an alternative form of economic interaction to the modern market economy. In the virtual economy enterprises are engaged in informal non-market transactions with other enterprises and the public sector in accordance with rules that are alien to a market economy. Structural and behavioural changes that have taken place in the Russian economy after 1998 are studied with the help of official data and two surveys (from 1998 and 2005) of 15 forest sector enterprises in Arkhangel'sk Oblast’, a region in Russia's north-west with a largely forest-based economy. The outcome of the assessment indicates that the virtual economy is contracting in the Arkhangel'sk forest sector as well as in Russia at large, and that it will eventually disappear altogether, even if it is likely to exert a profound influence on the behaviour of Russian enterprises for some time yet.     

Microfinance and Poverty in Bolivia

Both in its institutional range and in its penetration of financial markets, the microfinance sector in Bolivia rivals any in the world, and has played a major part in extracting the macro-economy from meltdown since the mid-1980s. We seek specifically to assess its impact on poverty, and do this through small-sample surveys on four microfinance institutions, two urban and two rural, using a range of poverty concepts: income (generated both through the borrower's enterprise and through the labour market), asset holdings and diversity, and various measures of vulnerability. All the institutions studied had, on balance, positive impacts on income and asset levels, with income impacts correlating negatively with income on account of poor households choosing to invest in low-risk, low-return assets. Microfinance may, however, augment vulnerability: average debt-service ratios of microfinance clients are disturbingly high, and if the coping mechanisms used by borrowers fail, borrowers may be forced out of the microfinance system, possibly resulting in decapitalisation and impoverishment. Poorer households are more restricted in their choice of coping strategy, and many as a consequence 'choose' coping strategies more likely to jeopardise their long-term income prospects, in particular asset sales and cuts in children's schooling. The more successful low-income borrowers are those who have voluntary savings deposits and do not rush into fixed capital purchases too early: collapse back into poverty is associated with multiple crises and the failure of one or more 'safety nets', in particular of one or more 'safety nets', in particular support from a member's solidarity group. The following actions appear to be promising for the further reduction of poverty in Bolivia: stronger efforts to mobilise rural savings, removal of lower limits on loan size, and the introduction of appropriate insurance mechanisms. In comparison with other anti-poverty measures, microfinance appears to be successful and relative cheap at reducing the poverty of those close to the poverty line, but ineffective, by comparison with labour-market and infrastructural measures, in reducing extreme poverty.     

Interlinked contracts and social power: Patronage and exploitation in India's waste recovery market

Interlinked contracts have been examined almost exclusively in the context of the rural sphere. This article describes the nature of exchange regimes between two sets of primary collectors of recyclable waste, that is, waste pickers and itinerant buyers, and their dealers, in the city of Delhi. Far from the casualised labour transaction commonly described for the unorganised urban sector, the findings portray a picture of personalised and surprisingly long-term exchange between the parties. While a new institutional economics approach might explain the underlying motivation and consequent general form of the implicit contracts, it cannot explain the differential nature of each. It is suggested that in order to do that a political economy approach must be taken. This would understand interlinked transactions as being embedded within and consequently influenced by the particular social context, in this case of an inequitable and impermeable caste hierarchy amongst those that engage in waste work.     

中东欧的民粹主义基础及其影响——兼论中国与中东欧国家关系

中东欧民粹政党有大量社会底层支持者,农民是最有代表性的民粹主义基础。从历史制度主义的视角看,以农民为代表的中东欧民粹支持者与历史上保守势力的支持基础有类似的逻辑。在农业仍为关键产业的中东欧国家,当传统经济受到转型后突如其来的外部经济影响时,既有经济结构和生产关系受到严峻挑战,在本土保守势力的推动下,竞争力不足的中东欧国家呼吁保护传统经济,反对以西欧为代表的新自由主义的价值腐化、以威权整肃国内腐败、强调历史上的民族荣光、复兴宗教及家庭伦理等。这一思潮被民粹政党用以获取政治权力。在外部经济压力下,农民、城市底层民众、经济民族主义者、保守的政治精英、大文化中心论者共同构成支持民粹主义的基础,民粹政党的兴起是精英和大众共同推动的结果。中东欧民粹政党自该地区转型后就出现在政治舞台,其影响深度和广度是欧洲其他地区所不及的。有鉴于此,探索一条以民粹主义基础为导向的策略路径,整合政府、企业和民间机构三类实践主体,有助于强化中国在中东欧的影响力。积极推进民粹政党或执政党的对华合作,是中国强化和拓展中东欧地区利益的重要方向。     

Work participation,gender and economic development: A quantitative anatomy of the Indian scenario

This article analyses forces which influence the degree of participation of population in economic activity in a developing economy. In the first stage the relationship between economic development and work participation is examined. The core of the analysis is based on a cross‐sectional study of 306 districts of India, using a composite index of development. The entire analysis is conducted separately for males and females on the one hand, and the rural and urban segments on the other. The oft‐referred‐to inverse relationship between female work participation and economic development emerges to be true in initial stages of development in the rural segment, but not so in the case of the urban segment. In the second stage the role of key socioeconomic and demographic factors, in addition to that of development, has been investigated using a recursive multi‐equation regression model. Finally, keeping in mind the crucial role of education in this context, work participation is analysed in terms of ten disaggregated educational categories.     

Migrant Networks in the Urban Labour Market: Evidence from India

This paper analyses the informal channels of the job search process through migrant networks in the urban labour markets in developing countries. Using a novel approach and nationwide sample survey, we measure various aspects of migrant networks such as size, diversity, efficiency and experience content and estimate their effect on probability of employment. Our findings suggest that migrant stock (having experience content) has an inverted-U relationship with the probability of finding a job for a migrant. The share of employed workers in a migrant network (efficiency) and different origin identity (diversity) positively affect the employment outcome through weak ties. Further, the migrant network effect is more active in larger cities as compared to smaller urban areas. The implications of this study indicate towards the importance of non-market informal channels in job searches and the need for integrating labour markets to harness the benefits of larger positive network externalities.     

Central and East European Bank Responses to the Financial ‘Crisis’: Do Domestic Banks Perform Better in a Crisis than their Foreign-Owned Counterparts?

In the context of transition, nine out of the 10 post-communist countries that ultimately joined the European Union reluctantly privatised the bulk of their banking sectors with foreign capital. The financial crisis of 2008–2009 therefore sparked fears that foreign banks would remove their operations from their Central and East European markets because of a ‘home bias’ in lending. Such fears were predicated on the widely held beliefs that banks' loyalties lie with their home markets and that it is therefore desirable to protect domestic bank ownership to help combat an economic downturn. This essay casts doubt on the value of banking sector protectionism by comparing foreign and domestic bank behaviour in Central and Eastern Europe during the crisis. The essay finds no consistent relationship between domestic control and either limited economic vulnerability or countercyclical lending.     

A benchmark analysis of the performance of state owned enterprises in ireland

This paper examines the performance of state owned enterprises (SOEs) in Ireland over the period 1988-92. However, unlike previous studies the performance of Irish public enterprise is examined in terms of the performance of other firms operating in the same sectors albeit based in the UK. While Irish SOEs exhibit lower rates of return on capital employed, it is found that there were significant improvements in labour productivity, relative to UK counterparts. This is attributable to the substantial increase in capital utilisation by Irish public enterprises. Given that average employment was maintained the net effect is a substantial increase in the capital-labour ratio of the sector.     

Transformation of the Rural Economy in the Philippines, 1988–2006

This research explores the changing structure of the rural economy in the Philippines from 1988 to 2006. We found that the expansion and upgrade of infrastructure such as electricity and roads and investment in secondary and tertiary education are important factors that induced the economic transformation of the rural economy. The importance of higher education as an entry requirement to the nonfarm labor market has declined over time, indicating that the rural nonfarm sector has been increasingly providing employment opportunities to the unskilled and the uneducated, who form the bulk of the rural poor.     

Varieties of population mobility in relation to development in China

China, in its efforts to effect economic modernization, has come to recognize the need for labor mobility to promote the development of small towns, to develop frontier agriculture, and to provide a tertiary sector in the cities and towns. Of China's 1 billion people (3rd census, 1982), 206 million or 20% of the population lived in 236 cities and 2664 towns. 50% of the urban dwellers were concentrated in the 3 metropolises of Shanghai, Beijing, and Tianjin. On the other hand 30% lived in the 2664 towns, which China wishes to develop. In the past large numbers of people have migrated to the large cities because there they were assured the life-long security of employment in state-owned industries -- the "iron rice bowl." However, China's present policy is to limit the size of big cities, develop medium-sized cities (between 200,000 and 500,000 people), and encourage the growth of small cities. China's 7th Five-Year Plan (1986-1990) calls for a massive movement of the agricultural labor force, not to the cities, but to the towns. To control population movement China instituted the Household Registration System in accordance with which a household must obtain permission to move permanently beyond the local area. Migration from the populous East Coast areas to the underdeveloped Northwest and to the rural impoverished areas of Gansu, Ningxia, and Qinghai is encouraged. But controlled migration has become more difficult since the decentralization which has accompanied the new economic policies, and the urban population has grown except for the 3 major cities. Moreover, as a result of the new "economic responsibility system" introduced in 1979, many surplus agricultural workers have been absorbed into nonagricultural activities in villages and townships. By the end of 1985, 67 million workers had moved from agriculture to industries, and peasants may now be granted temporary residence permits in towns. The total number of towns increased to 7280 by 1985; however, the new towns are concentrated in the more productive agricultural areas, which can support them. In addition to these more or less permanent migrants, large numbers of temporary migrants have come to the cities as representatives of local businesses, as construction workers, to operate urban outlets for agricultural and industrial products, to provide various services including domestic service, and as itinerant workers. 1986 statistics indicated that 3.21 million people were living as temporary residents of China's top 10 cities. The new economic policy has encouraged the resurgence of private plots and free markets and hence has stimulated the increased movement of peasants to rural markets and to free markets in cities.