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.     

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.     

Edgy Amity along the Mekong: Thai-Lao Relations in a Transforming Regional Equilibrium

Abstract

In 1994, the opening of the Friendship Bridge commenced an apparent thawing of ties between Thailand and Lao People's Democratic Republic (PDR). Out of deep socio-historical antagonisms and Cold War acrimony, the two countries seemed suited now for amity. But amity has continued to be edgy. Meanwhile, other countries in the region—China and Vietnam—vie for influence with Thailand over Lao. Amidst a rapidly integrating Mekong market and changing regional equilibrium, this study seeks answers to the following questions: What are the most significant Thai-Lao state security interests and how do they mesh with human security—especially in relation to economic interests? Why do Thailand and Lao currently appear to be highlighting economic ties to the detriment of military preparedness and human security? How is the shifting equilibrium in the Mekong Region shaping the future of Thai-Lao relations? The study hypothesizes that despite tensions, in an age of enhanced state-market linkages, Thailand and Lao prioritize economic collaboration over military and human security considerations.     

Regional Integration and Africa's Development Trajectory: meta-theories,expectations and reality

Regional integration remains an integral part of Africa's development strategy and has underpinned most pan-African development policies for the past 50 years. This paper explores the issue of regional integration in the context of ‘development’ theory and the neo-patrimonial state system in Africa. A central contention of the paper is that Western, Euro-centric conceptions of regionalism, particularly those centred on the market integration approach, have promoted a very biased understanding of regional integration in many parts of the developing world. Using southern Africa as an exemplar case study, the paper argues that the various meta-theories focused on explaining the political economy of regionalism, often closely allied to a development theory paradigm, fail to account for the nature, character and evolution of regional integration. Regional integration in sub-Saharan Africa has been conceived and analysed in the light of the market-led approach, modernity and development. Thus far, it is has failed. This paper therefore explores why market-led regional integration has failed and why, for the foreseeable future, it will continue to do so.     

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.     

东盟跨境数据流动治理的机制构建

跨境数据流动是全球数字经济的重要基础,也是全球治理的新兴议题。在数字经济发展和东盟区域一体化的趋势下,东盟从统筹数字经济发展与数据保护入手,着眼于提升东盟国际竞争力和话语权,制定并完善跨境数据流动治理机制。这一机制的构建始于新加坡对数据保护规制的探索,基于东盟个人数据保护框架,在东盟数字一体化总体框架下制定数字管理框架,并以“东盟示范合同条款”和“东盟跨境数据流动认证”两大关键手段促进机制落实。该机制具有灵活性、包容性和指导性的特征,有利于促进东盟地区数字经济发展,降低谈判成本与合规成本,获得更多全球竞争优势。对于中国而言,在与东盟跨境数据流动治理机制合作对接方面具备可能性和可行性,需要充分认识和评估东盟机制对世界数字治理的影响、对地区数字经济秩序的挑战,推动中国与东盟之间的数字经济合作。     

'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.     

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.     

State transformation and cross-border regionalism in Indonesia’s periphery: contesting the centre

Abstract

This article examines how the decentralisation and fragmentation of the Indonesian state and resultant central–local dynamics affect cross-border regionalism in Indonesia’s periphery. It argues that cross-border regionalism projects are best understood as sites for scalar contestation over regulatory control between central and local government. Moreover, scalar contestation around cross-border regional projects is characterised by the struggles to control relationships with transnational capital between elites operating at different tiers of the state. When elites at different scales have conflicting interests and strategies, this can cause policy incoherence, inhibiting the development of cross-border regionalism. Conversely, when they align, and intersect with the interests of transnational business, cross-border regionalism can succeed. To illustrate the argument, this article utilises the comparative case studies of the Batam free trade zone and West Kalimantan–Sarawak cross-border cooperation.     

History,regionalism, and CARICOM trade: A gravity model analysis

Abstract

A gravity model is fitted to 17 annual cross sections, 1980–1996, of bilateral trade data (imports and exports) between CARICOM member states and selected trading partners. Specifically, the paper investigates the effects of regional integration, colonial legacies and linguistic ties on CARICOM bilateral trade flows between member states and between member states and North American and European Union countries. The empirical results indicate that history and regionalism have had significant and strong effects on CARICOM trade. Additionally, two traditional explanatory variables in gravity models, income per capita and population, have significant and positive effects on CARICOM trade while the distance between trading partners exerts the expected negative effect.     

Foreigners Everywhere,Nationals Nowhere: Exclusion,Irregularity, and Invisibility of Stateless Bajau Laut in Eastern Sabah,Malaysia

ABSTRACT

This article explores impacts of national and regional policies upon the Bajau Laut, who occupy the maritime border region shared by Malaysia, the Philippines, and Indonesia. It considers how maritime movements, ethnogenesis, visions for economic development and commercial interaction have evolved in the region. These processes, combined with contemporary nationalism, border securitization, and conservation render such populations both prominent as a target of governmental action and invisible in terms of provision of social services and implementation of conservation initiatives. These facets complicate issues of political belonging within the state of Sabah, the nation-state of Malaysia, and the wider ASEAN region.     

Financial crises as catalysts for regional cooperation? Chances and obstacles for financial integration in ASEAN+3, MERCOSUR and the eurozone

This article compares and analyses the different answers from the Association of Southeast Asian Nations+3 (ASEAN+3), Mercado Común del Dur (MERCOSUR) and the eurozone on financial crises in their respective regions. All three regions were hit by economic turmoil between 1997 and 2012, but whereas ASEAN+3 and the eurozone answered with establishing regional liquidity arrangements (RLAs) in order to fight future crises, financial cooperation did not take off in MERCOSUR. Thus, the paper asks why some regions establish RLAs in cases of crisis and others do not. It argues that the variance of regional financial integration in different world regions is due to different interests of regional powers in their respective regions. The regional powers of ASEAN+3 and the eurozone are institutionally and/or economically highly embedded within their respective regions, but this is not the case for Brazil in MERCOSUR. China and Japan suffered from negative externalities of the Asian crisis, and, consequently, have had an interest to stabilize their neighbours’ economies after the crisis. In contrast, Brazil was able to follow a beggar-thy-neighbour strategy at the turn of the millennium, which externalized some of the costs of Brazil's own economic crisis towards Argentina. As a result, Brazil has had no interest in providing liquidity for its regional neighbours after the crisis. France and Germany are not only economically but also institutionally highly embedded in the eurozone because they share a common currency with their regional neighbours. Thus, the stability of the eurozone is a vital interest for Europe's regional powers, and they devote significant resources to stabilize the economies of the eurozone's periphery.     

RCEP:特点、问题与前景

作为世界最大的自由贸易安排,RCEP所取得的突破不仅有利于改善区域贸易与投资环境、增强区域供应链、推动经济复苏,还为区域经济一体化、全球贸易自由化、基于规则的多边贸易体制注入了前行的动力。同时,它对中国贸易和投资的可持续发展、高水平制度型开放、实施自由贸易区提升战略、构建国内国际双循环相互促进的新发展格局也可以发挥积极作用。RCEP以市场准入、规则、合作为支柱,具有开放包容、全面、高质量、互惠等诸多特点,并突出东盟方式与东盟中心地位。RCEP的后续生效实施与适时升级,将面临成员差异性与利益诉求复杂性、外部因素牵制、既有FTA规则的多样性与整合的难度、区域身份认同与大国协调等现实问题的挑战,仍需要以渐进灵活的方式,不断推动其深化和拓展。中国应一如既往支持东盟的主导地位,推动RCEP尽快生效。既要助力东盟提升凝聚力、加强大国协调,也要加速推进中日韩FTA谈判、加快与东盟成员的FTA构建。应不断提高规则利用率,充分发挥FTA本应具有的效应,以制度型开放营造良好营商环境,持续推动区域制度性经济一体化。     

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.     

In Search of Regional Governance in East Asia: Processes and Outcomes

Abstract

This article employs the concept of ‘regional governance’ to analyze both the processes and outcomes of the emerging regional institutional arrangements in East Asia. It argues that while ASEAN has played a significant role in creating and sustaining the ‘processes’ of wider East Asian regional governance efforts, the level of achievement in translating these processes into tangible ‘outcomes’ remains severely constrained by great power rivalry, especially between Japan and China. By focusing on the areas of trade and finance, this article argues that the varying levels of outcomes between these two issue areas can be explained primarily by the degree of convergence between Japanese and Chinese interests. In particular, while Japan and China have a shared interest in contributing to the promotion of regional financial stability, they strongly disagree over the appropriate form and contours of a trade governance system.     

The global information infrastructure: Empowerment or imperialism?

The hope has arisen that the internet will ultimately evolve into a Global Information Infrastructure (GII). The GII will create a global information marketplace and in the process narrow the poverty gap and eliminate many of the geographic obstacles to prosperity and equality. However commerce-primarily US commerce-is driving the development of the internet. As a result investors will want a return on their money in the form of access to new markets. Many countries will have to accept privatisation and competition wholeheartedly. Also, sooner or later local resources will have to replace external funding and external technical expertise. Many countries lack the regional, social and economic integration found in the USA and in addition have deep political, linguistic and cultural divisions that do not exist in the USA. This article examines issues of connectivity, language and content and concludes that in reality the internet concentrates economic activity and power more narrowly in one group. As a result there is a real risk that we are moving towards a two-tier technology society that perpetuates the old distinctions between North and South.     

Beyond royal politics: state transformation and foreign policy in Saudi Arabia

Abstract

Saudi politics is commonly portrayed as reflecting a system of centralised personal rule in which decision-making power trickles down from the tightly knit power circles within the House of Saud. In contrast, this paper draws attention to the empowerment of quasi-autonomous state organisations in Saudi Arabia as a result of state transformation and regional integration. At its most extreme, state transformation in Saudi Arabia has created institutional and regulatory enclaves with vested interests and areas of competence that cross Saudi borders. This paper illustrates the foreign policy ramifications of transformed statehood in Saudi attempts to further Gulf regional integration in the context of the Gulf Monetary Union project.     

Income Inequality and Redistributive Spending: Evidence from Panel Data of Texas Counties

Abstract

The relationship between redistributive spending and income inequality has been of interest to researchers for several decades. Existing literature has largely focused on country-level studies and may be broadly divided into two groups: studies that find a positive relationship between the two and studies that find a negative relationship. The positive association is usually explained through the median voter theory and the negative association through the social insurance theory.

This study offers a test of the median voter and social insurance hypotheses by examining the relationship between economic inequality, voter turnout and redistributive spending at the sub-national level among the 50 largest counties in Texas over years 2006 to 2012. One of the advantages of using a regional sample is that counties are relatively more homogeneous and allow for the collection of better records across time. Random effects models suggest that income inequality is positively associated with redistributive spending. The study improves our understanding of the patterns of redistribution at the sub-national level and highlights the importance of careful inter-temporal modelling of relationships between redistributive spending and inequality.     

East Asian financial regionalism: why economic enhancements undermine political sustainability

East Asian financial regionalism was born in response to the Asian Financial Crisis of 1997–1998. The centrepiece of financial regionalism was the Chiang Mai Initiative (CMI), an emergency liquidity mechanism created by the ASEAN+3. It embodied both a clear interpretation of what had gone wrong in 1997–1998 and an understanding of the need for institutions that would be politically viable despite Sino-Japanese rivalry. Enforcement under CMI relied on the ‘IMF link’ – release of funds would be predicated on crisis countries' initiating negotiations with the International Monetary Fund (IMF), as a means of reducing moral hazard, enforcing conditionality and diverting blame from the leading creditors, Japan and China. The global financial crisis of 2008–2010 and the eurozone crisis that followed have inspired important changes meant to address CMI's economic gaps, including accelerated adoption of ‘CMI Multilateralization’ (CMIM), the creation of a new surveillance unit (ASEAN+3 Macroeconomic Research Organization, or AMRO), and the establishment of a new precautionary line. Many observers have remarked that these developments weaken the IMF link, which had effectively subordinated CMI to the IMF. While the moves appear to demonstrate a more confident, autonomous regionalism and a relative devaluation of the US-dominated global financial institutions, this paper argues that in fact, the ASEAN+3 states have again unearthed the underlying politics of divided leadership and mutual suspicion. CMIM is now threatened by the renewed potential for internal divisions. Further complicating the picture, both China and Japan have recently established large bilateral swap lines outside of the CMIM framework with several of their ASEAN+3 partners, raising the question of whether CMIM is moving towards political irrelevance even as it has arrived at a high water mark in its institutional development.     

Contracting out local road and park services: economic effects and their strategic,contractual and competitive conditions

ABSTRACT

The economic rationale for contracting out local services is increasingly contested by empirical research. This article aims to contribute to this literature, first by scrutinising the economic effects of contracting out in local road and park services and, second, by exploring how characteristics such as markets, contracts, municipal strategies and contracting history influence these outcomes. Drawing on original survey data from Danish municipalities, we find that competitive tendering has on average reduced costs. Further analysis shows that savings are not associated with lower quality, thus indicating that ‘quality shading’ was not taking place. Another finding is that municipalities that repeatedly contract the services experience smaller savings, suggesting that competitive tendering is subject to declining marginal returns. Finally, we find that larger municipalities and those emphasising expenditure cuts realise larger savings, whereas the characteristics of markets and contracts do not seem to explain variations in cost savings.