The global crisis and unconventional monetary policy : ECB versus Fed

In the aftermath of the global economic and financial crisis, which broke-out in 2007, the major central banks started implementing so-called unconventional monetary policy measures. Following a fundamentally qualitative methodology, the aim of this paper is to compare the unconventional measures adopted by the ECB and the Fed, assessing their characteristics and also their impacts on the economy.

"Policy externalisation" inherent failure : international financial institutions' conditionality in developing countries

Conditionalities – i.e. ‘exchanging finance for policy reform’ in an asymmetrical relationship between the ‘donor’ and the ‘recipient’ – are central mechanisms of the reform programmes of international financial institutions (IFIs). As they are imposed by outside entities, they can also be viewed as ‘policy externalisation’, which is paradoxically a massive intrusion in the shaping of a country’s domestic policies. The resilience of such devices is remarkable, however. Indeed, in the early 1980s, many developing countries were facing balance of payments difficulties and called upon these international financial institutions for financial relief. In exchange for this relief, they devised economic reforms (fiscal, financial, monetary), which were the conditions for their lending. These reforms were not associated with better economic performance, and this led the IFIs to devise in the 1990s different reforms, which this time targeted the functioning of the government and its ‘governance’, economic problems being explained by governments’ characteristics (e.g., rent-seekers). The paper demonstrates the limitations of the device of conditionality, which is a crucial theoretical and policy issue given its stability across time and countries. These limitations stem from: i) the concept of conditionality per se - the mechanism of exchanging finance for reform; ii) the contents of the prescribed reforms given developing countries economic structure (typically commodity-based export structures) and the weakness of the concept of ‘governance’ in view of these countries’ political economies; and iii) the intrinsic linkages between economic and political conditionalities, whose limitations thus retroact on each other, in particular regarding effectiveness and credibility.

Gender relations and the dowry system in India : the case of Hyderabad

This article seeks to contribute to a more comprehensive understanding of the gender relations and the dowry system in India. It is based on a qualitative study that gave priority to the undertaking of interviews with women from different educational backgrounds living in the city of Hyderabad (South of India). The predominant perception of the interviewees is that education promotes economic and symbolic independence. The higher the educational level, the more critical accounts are found in relation to: the dowry system as a mechanism of reproduction of the low status of women and of the persistent asymmetries in gender relations; the wish to educate sons and daughters under equal conditions; and the value given to marriages based on love to the detriment of arranged ones. The main argument is that education is a fundamental source of women’s empowerment and opens up prospects for challenging the patriarchal regime, changing the status of women and leading to a more gender equal society. However, if this is to happen, then the education system (programs and curricula) needs to be congruent with gender equality, targeting both women and men in the project of challenging the dominant patriarchal structure.

Juventudes partidárias portuguesas : que visão sobre o desenvolvimento global?

O ponto de partida da nossa reflexão passou pela dúvida em relação ao conhecimento aprofundado dos/as jovens portugueses relativamente às temáticas Globais e aos paradigmas que vêm sendo dominantes na última década: qual o grau de participação e mobilização dos/as jovens portugueses/as para as temáticas da Cooperação Internacional? Qual o seu papel enquanto Agentes na mobilização e na advocacia junto dos/as nossos/as decisores/as políticos/as?. Sabemos que, ao longo dos anos, a distância entre as intenções e os Tratados Internacionais e Declarações globais de princípios colide com as prioridades nacionais e a vontade dos Estados. A retórica política está muitas vezes a milhas da ação política real e de interesses privados. Por isso, procurámos envolver nesta pesquisa aqueles/as jovens que, já tendo responsabilidades representativas no sistema partidário, terão provavelmente no futuro responsabilidades governativas ou legislativas. Colocando as Juventudes Partidárias Portuguesas em cena, quisemos iniciar com estas uma discussão em torno de temáticas sobre Desenvolvimento Global, de forma a lançar as primeiras bases para um futuro trabalho conjunto que possa influenciar e reforçar a importância da área e das organizações que nela têm vindo a desenvolver atividades.

Capital structure, risk and asymmetric information : theory and evidence

This paper proposes a principal-agent model between banks and firms with risk and asymmetric information. A mixed form of finance to firms is assumed. The capital structure of firms is a relevant cause for the final aggregate level of investment in the economy. In the model analyzed, there may be a separating equilibrium, which is not economically efficient, because aggregate investments fall short of the first-best level. Based on European firm-level data, an empirical model is presented which validates the result of the relevance of the capital structure of firms. The relative magnitude of equity in the capital structure makes a real difference to the profits obtained by firms in the economy.

Desenvolvimento económico e mudança institucional : o papel do Estado

A new Development Economics is being built, combining the return to the heritage of the “old” Structuralism with contributions brought by the renewal of the Institutionalism. This paper begins with a balance of the first development economists’ contributions and insufficiencies and of the neoclassical approach of the 1980’s (first section), subsequently introducing some essential aspects of institutionalist contributions, including how the neo-institutionalist Douglass North puts the problem of institutional change and, as a result, contributes to the return of a perspective of change in the study of economic development (second section). In the third section we return to the problem of structural change, following the discussion about the developmental state that a new generation of development economists has been holding since the late 1980’s, so that we can observe how the set of inter-relations between state, market and politics is being established, towards an interpretation of economic development that we could call institutionalist structuralism.

New silk road : trade and investment. perspectives for eu and new partnerships

China has already given a fundamental contribution to the present globalization process and have also highly benefited from it by integrating becoming the final stage of the Global Chains Production networks in Asia. This process in China was the result of a survival economic strategy that saw in the attraction of Foreign Direct Investment in intensive low cost workmanship oriented to exports, a fundamental condition to overpass it´s millenary delay. This strategy accepted that the add value that remain in China, although very small was very important to give jobs to millions of Chinese and take them out of the absolute poverty line where they were in 1978 when Deng Xiao Ping launch the 4 Modernizations and the Open Door Policies. Other policies token during the first 30 years of the China Economic Reform, like the Grasp the Big Let Go the Small, the Socialist Market Economy, the Go West and the Go Global were equally important transforming Chinese economy in the second world biggest one. This first globalization stage had its big push in 2001 when China joined the WTO we can say that a new world economic order had begun in that date, placing China in the center of the world.