The changing role of legislation related to forest conservation and forest resources development.

XVIII IUFRO World Congress, Ljubljana 1986.

Essays on macroeconomic effects of fiscal policy rules

Economic and Monetary Union can be characterised as a complicated set of legislation and institutions governing monetary and fiscal responsibilities. The measures of fiscal responsibility are to be guided by the Stability and Growth Pact, which sets rules for fiscal policy and makes a discretionary fiscal policy virtually impossible. To analyse the effects of the fiscal and monetary policy mix, we modified the New Keynesian framework to allow for supply effects of fiscal policy. We show that defining a supply-side channel for fiscal policy using an endogenous output gap changes the stabilising properties of monetary policy rules. The stability conditions are affected by fiscal policy, so that the dichotomy between active (passive) monetary policy and passive (active) fiscal policy as stabilising regimes does not hold, and it is possible to have an active monetary - active fiscal policy regime consistent with dynamical stability of the economy. We show that, if we take supply-side effects into ac-count, we get more persistent inflation and output reactions. We also show that the dichotomy does not hold for a variety of different fiscal policy rules based on government debt and budget deficit, using the tax smoothing hypothesis and formulating the tax rules as difference equations. The debt rule with active monetary policy results in indeterminacy, while the deficit rule produces a determinate solution with active monetary policy, even with active fiscal policy. The combination of fiscal requirements in a rule results in cyclical responses to shocks. The amplitude of the cycle is larger with more weight on debt than on deficit. Combining optimised monetary policy with fiscal policy rules means that, under a discretionary monetary policy, the fiscal policy regime affects the size of the inflation bias. We also show that commitment to an optimal monetary policy not only corrects the inflation bias but also increases the persistence of output reactions. With fiscal policy rules based on the deficit we can retain the tax smoothing hypothesis also in a sticky price model.

Tasa-arvo ja muutoksen rajat : Sukupuolten tasa-arvo poliittisena ongelmana Ranskan parité- ja Suomen kiintiökeskusteluissa

The study looks at the debates on gender equality in political decision-making in Finland and France in the 1990s and 2000s by analysing the argumentation for parité and quotas and the ways in which gender equality was constructed as a political problem. The focus of the study is on the parliamentary debates on the amendment of the electoral law in France in 2000 and the introduction of quota regulations into the Act on Equality in Finland in 1994 - 1995. The debates ended in the adoption of quota regulations in the electoral lists (France) and in the executive and preparatory bodies at the national and the local level (Finland). Apart from the analysis of the parliamentary debates, the study explores the political processes preceding the adoption of legislation as well as the debates on quotas and parity in Finnish and French societies in the 1980s and 1990s. The debates on gender equality are analysed as the sites of struggle and change with regard to the normative boundaries of gender equality, as well as of politics and citizenship. The cross-cultural perspective gives room to explore the ways in which gender equality and change can be imagined in different national contexts, and which kinds of discursive resources are available for the politicization of gender equality. Specific attention is paid to the discursive frames and agenda settings in the debates and how these set the limits of the imaginable and the possible in the promotion of gender equality. In both Finland and France, the promotion of equality was constructed as a national project, in which the main beneficiary was the society or the nation as a whole. In France, gender equality was an inherent part of the promotion of French democracy; in Finland, gender equality was regarded as a means to bring the expertise of both women and men to the benefit of the whole society. Furthermore, in both countries the promotion of gender equality was based on the harmonious cooperation of women and men and the temporal dimension of "nearly achieved" gender equality. In this kind of a context, gender equality served as a means towards the wider national ends, and there was little room to discuss the aspects of power and agency with regard to gender equality. However, the internationalisation of equality politics, as well as the conflicting interpretations of gender equality in the national political arenas, calls into question the existence of clearly defined and immutable boundaries of "Finnish" and "French" gender equality. At the same time, the rules of the game in politics, including the meaning of French republicanism and Finnish "expert oriented" politics were contested. In this way, the new equality legislation and the preceding political processes played a part in the transformation of the limits of gender equality, politics and citizenship.

Onko eläimillä oikeuksia? : Eläinkoelainsäädännön kehitys ja nykytila

The use of animals in scientific experiments tends to arouse strong emotional reactions among the general public, the most essential concern being the pain and suffering they cause. It is felt that suffering inflicted on other beings, including animals, is not morally acceptable. Is the function of a researcher who uses animals morally acceptable and beneficial for humans and animals? May such a researcher him/herself decide what animal experiments he/she can perform or should some outsider have the right to decide what kind of experiments a researcher can or cannot perform? The research material comprises the legislation of Finland and that of some member and non-member states of the European Union, together with European Union directives and pertinent preparatory parliamentary documents. The author has likewise studied the vast literature on animal rights, both pro and contra writings and opinions. The opinions of philosophers on the moral and legal rights of animals are markedly conflicting. Some strongly support the existence of rights, while others totally refute such an opinion, claiming that the question is only of the moral principles of man himself which imply that animals must be treated in a human manner. Speaking of animal rights only tends to muddle ideas on the one hand in philosophical considerations and in legal analyses on the other. The development of legislation in Finland and some other member states of the European Union has in principle been similar. In Finland, the positive laws on animal experiments nowadays comply with the EU directive 86/609/EEC. However, there are marked differences between member states in respect of the way they have in practice implemented the principles of the EU directive. No essential alterations have in practice been discernible in the actual performance of animal experiments during the decades when legislation has been developed in different countries. Self-regulation within the scientific community has been markedly more effectual than legislative procedures. Legal regulation has nevertheless clearly influenced the quality of breeding and life conditions of experimental laboratory animals, cages for example being nowadays larger than hitherto. EU parliament and council have now accepted in September 2010 a new directive on animal experiments which must be implemented in the national legislations by January 1, 2013.

Essays on the Linkages Between Financial Markets, and Risk Asymmetries (summary section only)

During the last few decades there have been far going financial market deregulation, technical development, advances in information technology, and standardization of legislation between countries. As a result, one can expect that financial markets have grown more interlinked. The proper understanding of the cross-market linkages has implications for investment and risk management, diversification, asset pricing, and regulation. The purpose of this research is to assess the degree of price, return, and volatility linkages between both geographic markets and asset categories within one country, Finland. Another purpose is to analyze risk asymmetries, i.e., the tendency of equity risk to be higher after negative events than after positive events of equal magnitude. The analysis is conducted both with respect to total risk (volatility), and systematic risk (beta). The thesis consists of an introductory part and four essays. The first essay studies to which extent international stock prices comove. The degree of comovements is low, indicating benefits from international diversification. The second essay examines the degree to which the Finnish market is linked to the “world market”. The total risk is divided into two parts, one relating to world factors, and one relating to domestic factors. The impact of world factors has increased over time. After 1993, when foreign investors were allowed to freely invest in Finnish assets, the risk level has been higher than previously. This was also the case during the economic recession in the beginning of the 1990’s. The third essay focuses on the stock, bond, and money markets in Finland. According to a trading model, the degree of volatility linkages should be strong. However, the results contradict this. The linkages are surprisingly weak, even negative. The stock market is the most independent, while the money market is affected by events on the two other markets. The fourth essay concentrates on volatility and beta asymmetries. Contrary to many international studies there are only few cases of risk asymmetries. When they occur, they tend to be driven by the market-wide component rather than the portfolio specific element.