The best of both worlds: scale economies and discriminatory policies in London’s global financial centre

From the early 1960s onwards London has managed to vie with New York for the top spot as an international financial centre. Ever since then, London has reigned as a leading global financial hub, despite not having behind it anything like the political or economic backing enjoyed by New York. This paper seeks to explain this phenomenon by building on Kindleberger’s classic analysis of financial centres as international hubs that arise due to economic, geographic and infrastructural advantages, and more recent theories of specialized financial centres which suggest that financial centres deploy discriminatory business practices in order to compete with the scale economy-based centres. Our central claim is that London’s continuing financial supremacy can be traced to the way that the opposing ‘economic’ and ‘political’ sets of criteria necessary for a financial centre are here inextricably fused together in a mutually reinforcing dynamic. Three case studies are used to support this claim: the market for international loans and deposits; the forex (FX) and over the counter (OTC) derivatives markets; and the area of asset and collateral management.     

Imbalances of Power in ADR: The Impact of Representation and Dispute Resolution Method on Case Outcomes

In recent decades, alternative dispute resolution processes have gained worldwide recognition, a growing role in legal practice, and increasing academic attention. Despite their professed advantages, they have also faced fierce opposition. In a seminal article, Owen Fiss argued that ADR exacerbates imbalances of power between the parties. But while the theoretical argument has been widely developed, empirical evidence has remained scant. This article empirically examines the impact of representation patterns and dispute resolution methods on case outcomes. Arguably, professional representation of weaker parties may reduce the effects of inequality, whereas less formal, transparent, and adjudicatory processes may exacerbate them. The article focuses on small claims settlement conferences, using the Israeli labor courts system as a test case. The main findings are that representation increases the probability of a successful settlement conference, and that the more formal the process, the greater the ratio between the sum obtained by the plaintiff and the sum claimed.     

Challenging the anocracy model: Iran’s foreign policy in Iraq as an obstacle to democracy?

ABSTRACT

Since America’s invasion of Iraq in 2003 and the consequent partial collapse of the state Iraq has been undergoing a process of deterioration and disintegration mainly because America’s vision of establishing a new, more democratic political order there encountered a lack of readiness to understand what the structure of a democratic state should be. The political process that Iraq has been going through – that is the transition from autocratic dictatorship to adopting a kind of democratic system is called anocracy, which means a political system that is neither fully democratic nor fully autocratic.

Furthermore, the Iranian intervention into Iraqi politics that took place after 2003 has led to the creation of a virtually imperial model of regional power (Iran’s) that has turned Iraq into a kind of informal protectorate in ethnic and religious issues. This article wishes to offer a better understanding of the anocratic political shift that Iraq has been going through by adding the component of Iran’s influence and foreign policy upon it as an ambivalent factor that is both accelerating yet also preventing the process of democratization from properly establishing itself in Iraq.     

Fiscal Distress in Local Authorities in Israel: the Convened Committee as a Method and a Solution

This study addresses fiscal distress in local authorities in Israel and around the world, and provides an in-depth analysis of the city of Bnei Brak from 1994 to 2003. When the city of Bnei Brak grappled unsuccessfully with fiscal distress, the Ministry of the Interior appointed a Convened Committee (CC; Va'adah Kruah) to handle the crisis. This study explores the methods and solution used by the government to extricate the authority from bankruptcy, while examining the sources and repercussions of this decision. The findings show that the CC solution was borne of necessity, due to the gravity of the financial crisis and the fact that the government had no other way of bailing out the city. However, the situation in Bnei Brak did not improve even after the CC was appointed, which challenges the very efficacy of the solution. This forms the basis for a discussion of the complexities of resolving the fiscal distress of localities in Israel.     

The Assassination of King Abdallah: The First Political Assassination in Jordan: Did It Truly Threaten the Hashemite Kingdom of Jordan?

King Abdallah was assassinated as a result of his relationship with Arab leaders. The opposition included three leaders: the Mufti Hajj Amin al-Huseini, King Faruq and Ibn Saud. Jordanian intelligence knew about the conspiracy and warned King Abdallah, but he decided to visit Jerusalem as originally planned and there he was assassinated. After the assassination on 20 July 1951, the Jordanian government was faced with two dangers that threatened the Hashemite regime in Jordan. The first, a Palestinian rebellion the purpose of which was the replacement of the Hashemite regime with a Palestinian one; the second an invasion of Jordan by either Syria or Saudi Arabia or both countries together, and their possible control of it. However, the dangers turned out to be neither tangible nor serious and the Hashemite regime remained in power.     

The Heralds of Opposition to Perestroyka

A review and analysis is presented of substantive material published in the journals Nash sovremennik and Mohdaya gvardiya from Gorbachev's advent to power through roughly October 1989. The size of the journals' circulations is noted to assess the influence of writers who are in the vanguard of opposition to perestroyka. The article includes a section devoted to the tradition of Russian “thick journals.” It concludes by examining the popularity and power of Russian nationalism in relation to peresiroyka and the nature of the opposition to it as reflected in both journals. Journal of Economic Literature, Classification Number: 052.     

The technocratic tendencies of economists in government bureaucracy

Economists are by many accounts the most influential group of experts in contemporary political decision-making. While the literature on the power of economists mostly focuses on the policy ideas of economic experts, some recent studies suggest that economists also hold particular technocratic ideas about the policy process. The article systematically tests this argument. Focusing on economists within government bureaucracy, the study is based on a quantitative analysis of a large-scale survey of Norwegian ministerial civil servants. It finds that economists are more likely to hold technocratic role perceptions than officials with other educational backgrounds only if they work in the finance ministry or in higher administrative grades. The findings contribute to scholarship on the political sway of economists and to debates about technocracy and the technocratic views of civil servants.