The Asian Development Bank and Developmental Regionalism in East Asia

The Asian Development Bank (adb) has made increasingly important contributions to Asia's (and particularly East Asia's) regionalism over recent years, and especially since Haruhiko Kuroda became the Bank's president in February 2005. This paper argues that the adb's role here has become more significant because of the strong ‘developmental’ characteristics of East Asia's new regionalism. This is not least because, as a regional development bank, the adb has a predilection for linking development, regionalism and capacity-building together when promoting regional co-operation and integration (rci) in Asia. We may refer to this as ‘developmental regionalism’, where rci activities are particularly orientated to enhancing the economic capacity and prospects of less developed countries with the view of strengthening their integration into the regional economy, and thereby bringing greater coherence to regional community building overall. This analysis is partly based on field research undertaken by the author involving a series of research interviews conducted amongst adb officials and with outside analysts of the organisation. It first examines the evolution of the Bank's stance and policies on rci, and the impact made by President Kuroda and the newly formed Office of Regional Integration (orei) in this regard. The main developments of East Asia's new regionalism are then outlined from finance and trade perspectives. Thereafter, an evaluation is made of the adb's contributions toward the emerging developmental regionalism in East Asia.     

Czech regional development agencies in a shifting institutional landscape

In recent years regional development disparities in the Czech Republic have been increasing, regional policy and regionalisation have moved up the national political agenda, and considerable regional development resources have become available through EU Structural Funds. The Czech Republic now has more than 18 institutions that describe themselves as Regional Development Agencies (RDAs), with a wide range of policy and practical experience and, in the present climate, they should now be poised to take on a key regional development role. However, their function and position in regional development networks is continually plagued by uncertainty, and they are struggling to fulfil the ‘ideal’ of what an RDA is and what it should do. This article asks why this is the case and examines how domestic and EU policy agendas and actors have influenced the role and function of RDAs in the Czech Republic. Whilst theories such as ‘new regionalism’ suggest that RDAs can lead integrated, bottom-up regional development actions, it is questionable whether Czech RDAs have the capacity to adapt to the type of role that proponents of this approach expect.     

Regionalisation and regionalism in the post-Soviet space: Current status and implications for institutional development

The aim of this article is to analyse the nexus of integration and disintegration processes in the post-Soviet space. On the one hand it considers ‘formal’ regionalism projects and the reasons for their inefficiency, and explores the real impetus behind the repeated attempts at top-down regional integration by post-Soviet elites. On the other hand, it analyses the bottom-up regionalisation of the post-Soviet space through the investment activity of Russian corporations, and demonstrates possible effects of this process for institutional development.     

Contending eurocentric theories: the case study of Thailand's economic regionalism in ASEA

ABSTRACT

The Eurocentric theory of economic regionalism, as demonstrated by the empirical case of the European Union, has been widely recognized as the pathfinder, role model, and inspiration for other regional organizations, including ASEAN, due to its continuous attempts at deepening economic integration, formalizing the decision-making process, and legalizing the administrative body. Despite this concordant movement, it is evident from Thailand that ASEAN has evolved differently from the rationale, process, and prediction that Eurocentric theory dictates.

The purpose of this article is to argue that the economic regionalism of ASEAN has not developed in accordance with an economically-oriented rationale. Moreover, the process of economic integration has not necessarily derived from the free trade agreement itself, particularly when a country lacks continuity in terms of its development of regionalist projects. In addition, Thailand has not followed the path of economic integration due to spillover effects. This is because member countries have not given up their sovereignty in favour of the regional institution. Economic regional activities have been broadened within a limited scope, and the expansion has been conducted through bilateral talks, rather than a strengthening of regional solidarity.     

Deeper concessions and rising barriers to entry: New regionalism for Turkey and Mexico

New regionalism is redefining core and semi-periphery relations in the world economy. Focusing on Turkey and Mexico and their respective regional agreements, NAFTA and the Customs Union with the European Union, this article claims that barriers to entry into regional blocs increased considerably during the 1990s. While systemic international relations theories explain why both Mexico and Turkey made significant concessions in order to enter into regional agreements, they cannot fully account for the timing and terms of bargaining during regional negotiations. A simultaneous look at both the domestic and international bargaining processes shows that it was the domestic pressures in the United States and the European Union (and the relative absence of such pressures in Mexico and Turkey) that enhanced the terms of bargaining of the existing members against these aspiring countries. A synthetic approach that combines international pressures with domestic dynamics explains why new regionalism in the global economy is becoming a new challenge for such countries.     

Embedded mercantilism and open regionalism: The crisis of a regional political project

This paper advances the argument that moves towards regional integration need to be understood as 'regional governance projects' undertaken by domestic actors and coalitions. Regional political projects--such as open regionalism--have roots in domestic structures, and it is this which defines the broad configuration of the regional political economy. On the basis of this framework the paper suggests, first, that the strategy of open regionalism was contingent on a particular configuration of power and interests in the domestic and external economy (embedded mercantilism). Second, this system of embedded mercantilism depended on a set of domestic coalitions between tradeable and non-tradeable sectors of the economy. The non-tradeable sector in Southeast Asia was entrenched within a particular system of political patronage. Third, the Asian crisis and other structural changes in the international economy have made these domestic coalitions less sustainable, thereby creating opportunities for new forms of regional governance projects.     

The emergence of regulatory regionalism: transnational networks and the diffusion of regulatory agencies within regions

The regulatory regionalism approach has increasingly claimed that a new mode of regional governance is emerging globally. Regional policy regimes, developed in broad social and economic territorial areas, affect the internal transformation of the state. The authors plan to provide comprehensive empirical evidence about the emergence of worldwide regulatory regionalism by identifying how regulatory agencies have diffused very successfully within the regional level in recent decades. The paper aims to identify, using an original methodological design, the ways in which such diffusion of agencies occurred, as this may have theoretical relevance for the study of regulatory regionalism. The authors' hypothesis suggests that transnational political interactions in each regional cluster triggered agency diffusion, contributing to the development of the regulatory state within the countries of each region. To test this hypothesis, the authors employed a data set of regulatory agencies including the OECD (Organisation for Economic Co-operation and Development), and most Asian and Latin American countries (+59) from 1950 to 2007, for 15 sectors related to finance, risks, utility and competition. Bayesian data analysis was used to estimate the parameters of interest.     

'New regionalism' in Central America

Central American regionalism is in a state of disarray after having been surrounded by great enthusiasm in the early 1990s. This article explores whether a 'new regionalism' framework can improve our understanding of this turn of events. It is argued that Central American integration lacks a series of features assumed to characterise 'new regionalism'. It has not been accompanied by spontaneous societal integration, its main stimulus has come from external actors, and the goal of the process has narrowed from originally being human welfare and security in a wide sense, to primarily being integration in the global economy. This is reflected in the integrationist rhetoric, where globalisation has entered the centre stage and is presented as a threat to which regional action should respond. This change has also rendered regional agreements largely superfluous as the member states pursue policies aimed at global integration regardless of the integration process.     

The regional brand: collective image consciousness in Africa and Southeast Asia

States in the same region are bound together by the ways in which the world imagines them as a collective. One distinguishing feature of post-Cold War regionalism is its outward orientation – the importance of the external dimension of regional cooperation. By and large, though, existing analysis of regional institutional development in the Global South does not explicitly conceptualise and theorise collective image consciousness and management. This paper works to address this conceptual gap. Making use of two cases of regional image crisis – post-1980s Africa and post-1997 Southeast Asia – it draws out two primary logics of regional image consciousness: the logic of influence and the logic of resources. A region’s ‘brand’ with respect to (dys)function and international norm (non-)compliance matters to regional actors because it affects the region’s political influence in international arenas and the region’s ability to attract resources from donors and investors.     

Democratisation and the prospects for participatory regionalism in Southeast Asia

This article explores the impact of democratic transitions in Southeast Asia on regional co-operation, and the relationship between this process and the development of a non-official regionalism. Until now, regionalism in Southeast Asia has been essentially elite-centred and politically illiberal. The emergence of the Association of Southeast Asian Nations was founded upon the common desire of its members, which had by then retreated significantly from their postcolonial experiments in liberal democracy, to ensure regime survival. This orientation was further institutionalised by asean 's doctrine of non-interference, which helped to shield its members from outside pressures towards democratisation. But with democratisation in the Philippines, Thailand and more recently Indonesia, the asean model of elite-centric regional socialisation has been challenged. The civil society in the region demands greater openness in Southeast Asian regionalism. The article proposes a conceptual framework for analysing the relationship between democratisation and regionalism, with the key argument being that the displacement of traditional patterns of regional elite socialisation has been offset by potential gains such as advances in regional conflict management, transparency and rule-based interactions. But the realisation of a more 'participatory regionalism' in Southeast Asia faces a number of barriers, including obstacles to further democratisation, the continued salience of the non-interference doctrine and the diminished space for civil society in the wake of the 11 September terrorist attacks.     

Ethnic Group Identity and the Roma Social Movement: Transnational Organizing Structures of Representation

This paper examines the relationship between European integration and ethnonational demands with the example of selected regions in the European Union (EU). It follows the theoretical premises of new regionalism and explores the ways in which ethnonational groups use the opportunities and resources of European governance to express their identities, material interests, and political demands. Methodologically, it conducts a plausibility probe of the potential effects of European integration on ethnonationalism by testing for regional differences in identities, interests, and political attitudes. The case studies are drawn from the UK (Wales and Scotland), Belgium (Flanders), Austria (Carinthia and Burgenland), Romania (Northwest and Center regions), and Bulgaria (South-Central and South-Eastern regions) as a representative selection of regional interests in the EU. The paper finds that European integration affects ethnonational groups by reinforcing identity construction in the direction of inclusiveness and diversity. Although regional actors are more supportive of the EU than the European publics in general, they also seek access to representation in the authority structures of the state. Based on these findings, the paper concludes that European integration facilitates a growing public acceptance of its resources, in parallel with persisting allegiances to the nation-state, the community, and ethnoregional distinctiveness.     

Understanding Regulatory Governance in Northeast Asia: Environmental and Technological Cooperation among China,Japan and Korea

After the early 1990s, the wave of regionalism covered broader areas in the world, and Northeast Asia, which had weak regional cohesion largely due to history-oriented animosity, gradually developed initiatives for regional cooperation since the late 1990s. This article seeks to address why and how China, Japan, and South Korea have pursued regional cooperation by relying on the concept of ‘regional governance’. It advances two arguments. First, the governments of China, Japan, and South Korea have identified the avoidance of risk from uncertainty as a major objective of promoting trilateral cooperation in specific functional areas. Second, they have gradually intensified the harmonisation of regulatory frameworks in the cooperative process in collaboration with non-state actors. The article examines the arguments by tracing the evolution of trilateral cooperation in environmental protection and information technology (IT) development.     

China’s impact on the landscape of African International Relations: implications for dependency theory

Since China began enhancing its economic relationship with key African oil exporters from the early 1990s, the effect this has had on the International Relations (IR) of Africa has remained largely unknown. This paper delves into African IR theory and finds that, rather than representing an alternative pole for African states to bandwagon with, China’s limited interest in Africa and its international socialisation, along with a possible growth of the middle class in Africa, is likely to give many African states few alternatives than those which have existed thus far in the postcolonial period. More development options are found to lie in sub-regional integration.     

Economic and Security Regionalism among Patrimonial Authoritarian Regimes: The Case of Central Asia

The ‘new regionalism’ has spread to Central Asia; yet there has been little success in implementing most regional initiatives there. Security regionalism has had greater success than economic regionalism, even though economic initiatives would bring great benefits to the economy and population. I propose a connection between patrimonialism and regionalism. Central Asia's patrimonial leaders are driven by survival and personal enrichment, and are beholden to informal vested interests. Since economic regionalism involves liberalisation that adversely affects these actors, the result is ‘virtual’ economic regionalism at best. In the case of security regionalism, some regional organisations progress because they bolster patrimonial regimes, with negative consequences for democracy.     

Introduction: Governing the Asia Pacific--beyond the 'new regionalism'

This paper provides a broad introduction to the special issue and examines the main contours of regional governance in the Asia Pacific. It suggests that prevailing theories of regional co-operation in the Asia Pacific fail to pay due heed to the manner in which regional integration is rooted in domestic coalitions, economic strategies, and state forms that prevailed in the boom years of the 'Asian Miracle'. The paper then goes on to argue that the collapse of the developmentalist project has given way to the new regulatory state, which in turn spawns new forms of regulatory regionalism that place a heavy accent on policy co-ordination and harmonisation.     

Corporate Governance of Nonprofit Organizations: Cooperation and Control

Abstract

This article explores the limits of institutional economics regarding the cooperation of boards of directors and executive directors of nonprofit organizations. The normative separation of power between these central actors resulting especially from arguments derived from institutional economics is being reflected using the analytical approach from the resource-based view and empirical evidence based upon group and motivational theory. After analyzing the board’s role and the individual board member’s role within a nonprofit organization, the paper explores the limits to decision-making within governing bodies. The paper shows why a unitary board can improve the quality of decision-making within nonprofit organizations by raising the incentives for the executive director to act as desired. The paper also explores the impact of trust and different types of control upon the key actors within the governance process in order to derive the suitable form of control from that analysis.     

Administrative Reform and Regional Development Discourses in Hungary. Europeanisation Going NUTS?

Starting from the empirical observation of high levels of absorption of EU cohesion funds but strikingly low levels of substantive change in regional cohesion, this essay offers a contextual analysis of regional development policies in Hungary. Based on theoretical frameworks dealing with Europeanisation, new regionalism and participative development, it explores the reasons for this observation by analysing the role of administrative and planning structures and of development discourses. The essay shows that the Europeanisation of regional development policy triggered several changes in the planning process and led to the partial inclusion of new actors. However, the main effect of this was a growing centralisation of development policy making. The essay explains this by pointing to the domestic political context and the historical foundations of regional development discourses of the conservative and leftist liberal parties. While there are overlaps between the discourses on both sides of the ideological divide, they are perceived as incompatible by political actors. Thus, it is argued that considerations of political power, rather than ideological nature, shape Hungarian regional and development policy and explain the incremental reform process.     

Coping with financial crises: explaining variety in regional arrangements

Financial regional arrangements vary across countries and change over time. Until recently, most economists and political scientists took the European model of monetary integration as the yardstick to which all other regional financial arrangements had to measure up in this article. It is argued that the Euro crisis provides an opportunity for scholars to adopt a different perspective that does not interpret the variety of financial arrangements merely as economic deficiencies caused by the incapacity or unwillingness of regions to follow the European model. Instead, the comparative study of monetary and financial regionalism has to account for the different factors that shape variations. These go from different levels of economic development, over regional political and economic preferences to historical processes which shape the institutional context and the constellation of interests and social forces. Such an approach, which integrates economic and political science approaches, de-centres the Euro model and opens up a new understanding of the global diversity of regional monetary and financial cooperation, and their potential to cope with financial crises.     

Whither the state? Mining codes and mineral resource governance in Africa

In contrast to the early post-independence era in which African states predominantly controlled the mining sector, the 1980s saw African countries update their mining codes to attract foreign capital. These reform measures largely diminished the power of the state, either resulting in its “selective silence” or its retraction. However, after three waves of these reforms, the disparity between natural resources and sustainable development has continued to widen. Two theories offer a nuanced approach to understanding the state of flux of mining codes and mineral governance in Africa: governance theory and the developmental state theory. This article argues that the activist, interventionist state is making a comeback in mineral resource governance throughout Africa. Moreover, regional initiatives such as the African Mining Vision represent a fundamental departure in mineral governance. However, such initiatives will only bring development to the extent that they are owned by African governments and backed by local communities.     

Regionalism in the Global South: Mercosur and ECOWAS in trade and democracy protection

ABSTRACT

The aim of this article is to analyse the performance of regionalism in the Global South through a comparative analysis of Mercosur and Ecowas with regard to the trade and democracy protection agendas, by contrasting their institutional design and regional leadership concerning the two issues. Firstly, it analyses the evolution of intra-regional trade as well as the trade agenda of each bloc concerning international negotiations with other states or economic blocs. Secondly, it discusses the relevance of democratic stability in the two regional organisations and how each organisation has performed in cases of democratic rupture in member states. When comparing the dynamics of the two organisations, we argue that differences in terms of institutional design and regional leadership have meant that Ecowas has been less ambitious than Mercosur in its trade agenda, but more decisive vis-à-vis the region’s democratic stability. Thus, this article aims to contribute to the comparative regionalism literature, setting out an analytical comparative framework for assessing the performance of regional organisations, which remains a difficult task for this particular research agenda.