The Increasing Power of the European Parliament: Negotiating the EU-India Free Trade Agreement

Since the Lisbon Treaty increased the legal role of the European Parliament (EP) in EU trade policy, there has been a debate about the extent to which these legal competencies have translated into actual influence over the content and outcome of EU trade negotiations. Using the case study of the on-going trade negotiations between the EU and India, this article argues that the impact of the EP has indeed been significant. Through two-level game analysis, which extends its domestic focus to include the EP as a domestic constituent, it demonstrates how the EP has affected the EU win-set in ways that have both hindered and facilitated agreement at the international level between the EU and India. It also shows how the EP has affected the negotiating dynamics and how the EU negotiators have had their preferences somewhat compromised by the EP in their attempt at reaching an agreement with India.

Fast-Track Authority and International Trade Negotiations

Fast Track Authority (FTA) is the institutional procedure in the Unites States whereby Congress grants to the President the power to negotiate international trade agreements. Under FTA, Congress can only approve or reject negotiated trade deals, with no possibility of amending them. In this paper, we examine the determinants of FTA voting decisions and the implications of this institutional procedure for trade negotiations. We describe a simple two-country trade model, in which industries are unevenly distributed across con- stituencies. In the foreign country, trade negotiating authority is delegated to the executive, while in the home country Congress can retain the power to amend trade agreements. We show that legislators’ FTA voting behavior depends on the trade policy interests of their own constituencies as well as those of the majority of Congress. Empirical analysis of the determinants of all FTA votes between 1974 (when fast track was first introduced) and 2002 (when it was last granted) provides strong support for the predictions of our model.

Trade Liberalization and Organizational Change

We embed a simple incomplete-contracts model of organization design in a standard two-country perfectly-competitive trade model to examine how the liberalization of product and factor markets affects the ownership structure of firms.In our model, managers decide whether or not to integrate their firms, trading off the pecuniary benefits of coordinating production decisions with the private benefits of operating in their preferred ways. The price of output is a crucial determinant of this choice, since it affects the size of the pecuniary benefits. In particular, non-integration is chosen at “low” and “high” prices, while integration occurs at moderate prices. Organizational choices also depend on the terms of trade in supplier markets, which affect the division of surplus between managers. We obtain three main results. First, even when firms do not relocate across countries, the price changes triggered by liberalization of product markets can lead to significant organizational restructuring within countries. Second, the removal of barriers to factor mobility can lead to inefficient reorganization and adversely affect consumers. Third, “deep integration” — the liberalization of both product and factor markets — leads to the convergence of organizational design across countries.

An analysis of the effects of preferential trade policies through the estimation of quantitative models: the case of Portugal.

Doutoramento em Economia.

Critical Systems Theory: A Political Economy of Language, Thought, and Technology

An emergent form of political economy, facilitated by information and communication technologies (ICTs), is widely propagated as the apotheosis of unmitigated social, economic, and technological progress. Meanwhile, throughout the world, social degradation and economic inequality are increasing logarithmically. Valued categories of thought are, axiomatically, the basic commodities of the “knowledge economy”. Language is its means of exchange. This paper proposes a sociolinguistic method with which to critically engage the hyperbole of the “Information Age”. The method is grounded in a systemic social theory that synthesises aspects of autopoiesis and Marxist political economy. A trade policy statement is analysed to exemplify the sociolinguistically created aberrations that are today most often construed as social and political determinants.

Commercial Law in East Asia

The shift of economic gravity towards East Asia requires a critical examination of law's role in the Asian Century. This volume explores the diverse scholarly perspectives on law's role in the economic rise of East Asia and moves from general debates, such as whether law enjoys primacy over culture, state intervention or free markets in East Asian capitalism, to specific case studies looking at the nature of law in East Asian negotiations, contracts, trade policy and corporate governance. The collection of articles exposes the clefts and cleavages in the scholarly literature explaining law's form, function and future in the Asian Century.

Export subsidies and foreign capital inflows

The welfare effect of a foreign capital inflow in an economy which practises an export-oriented trade policy is examined. The latter takes the form of optimally designed export subsidies, minimizing the welfare costs of existing import tariffs. Under the practice of this policy, an inflow of foreign capital is shown to have anambiguous welfare effect. An empirically relevant condition for welfare improvement is derived and discussed.

Os limites da flexibilização e informalidade na produção e trabalho contemporâneos: imigração laboral boliviana e a indústria de vestuário de São Paulo

A migração laboral de bolivianos para São Paulo é um processo intrinsecamente relacionado aos planos de ajuste estrutural ocorridos na Bolívia e no Brasil na segunda metade dos anos 1980 e no início da década de 1990, respectivamente. Para a Bolívia, o Decreto 21.060 implicou a privatização de mineradoras e conseqüentes demissões em massa, além de uma abertura econômica que favoreceu migrações internas para as regiões cocaleiras e para as periferias das grandes cidades. Posteriormente, esses migrantes e seus familiares se destinaram a países limítrofes como Argentina e Brasil. Destaca-se nesse contexto a localidade de El Alto, origem de grande parte dos imigrantes que se destinaram a São Paulo. Do lado brasileiro, houve também uma abertura econômica que foi prejudicial a amplos setores da indústria, como a cadeia têxtil-vestuário. Para reduzir os custos de produção e aumentar sua competitividade em relação às mercadorias asiáticas, a indústria de vestuário se reestruturou defensivamente e subcontratou grande parte de sua produção material às oficinas informais que empregam imigrantes bolivianos geralmente jovens, indocumentados e com baixa qualificação profissional. Nessa pesquisa, relacionamos esse fluxo populacional às transformações estruturais ocorridas nos dois países, destacando as mudanças nas relações de trabalho decorrentes do processo de reestruturação produtiva. Também abordamos as redes de solidariedade desses imigrantes e os meios pelos quais estes vêm revertendo uma inserção na sociedade de destino em que predominam condições precárias de trabalho e habitação, além de uma instabilidade permanente decorrente da irregularidade documental que atinge grande parte desses trabalhadores.

O mercado da tilápia - 4º trimestre de 2015.

Comportamento do mercado de varejo nacional. Evolução dos preços. A abertura do mercado brasileiro à tilápia chinesa. O setor externo.

Signalling in an international cournot model

We consider a trade policy model, where the costs of the home firm are private information but can be signaled through the output levels of the firm to a foreign competitor and a home policymaker. We study the influences of the non-homogeneity of the goods and of the uncertainty on the production costs of the home firm in the signalling strategies by the home firm. We show that some results obtained for homogeneous goods are not robust under non-homogeneity.

Les politiques commerciales, industrielles, régionales, et d'adaptation dans le Rapport de la Commission MacDonald: un Commentaire

The effect of long discussions between commissioners with divergent views on certain issues is obvious in the report: it is more oriented towards the short term than expected. Undue attention was paid to trade liberalization with the U.S., a region of the world which the report describes as one in relative decline. The report does not deal with a scenario wherein trade liberalization with the U.S.A. is seen as a necessary transitory measure leading towards diversification of Canada's trade relation away from North America. Such an examination would point to a different approach to the U.S.A. in the short term. The report does not deal with services, information and te telecommunication which are fundamental to the economic development of Canada. There is also overemphasis on commercial policy and relative neglect on the use of domestic policies, among them industrial policy, in the pursuit of Canada's objectives. The report notes the interdependence between commercial and domestic policies and rightly recommend that provinces must, as a consequence, be involved in trade liberalization discussions. It is argued that the report underestimates the pressures for extra- territorial application of U.S. policies to Canada and the pressure for harmonization of policies which would follow trade liberalization. The report pays no attention to the implications of offshore investment going primarily to the U.S.A. and does not pay adequate attention to the role of investment to deal with adjustment problems. Available studies would have allowed the commissioners to clarify the determinants of investment decisions by Canadian head offices who have established subsidiaries in the U.S.A. but they were not examined. Little attention was paid to the role of transnationals and intrafirm trade in examining the implications of trade liberalization. The importance given to the reduction of regional disparities in earned incomes is welcome. However, the recommandation to leave regional development to provinces and municipalities denies the importance of national policies in the attainment of regionalization job equilization the impact of new CAD-CAM-telecommunications technologies on location decisions for the production of goods and services was not examined. Nor were the extent of and changes in interregional (i.e. interprovincial and more particularly province-state) trade flows examined. Knowledge of these patterns is essential in the formulation of industrial and adjustment policies in light of trade liberalization. The report recommends passive industrial adjustment policies focussed on the U.S., a reflection of the concern of the commissioners for the short term and the U.S.A. The implementation of the report's recommendations would lead to a centralization of economic power at the nationallevel, hence the need to establish a renewed senate to favour the formulation of regionally sensitive national policies.

Industrial Adjustment: Context, Causes, Impacts and Methods for Analysis

Adjustement is an ongoing process by which factors of reallocated to equalize their returns in different uses. Adjustment occurs though market mechanisms or intrafirm reallocation of resources as a result of changes in terms of trade, government policies, resource availability, technological change, etc. These changes alter production opportunities and production, transaction and information costs, and consequently modify production functions, organizational design, etc. In this paper we define adjustment (section 2); review empirical estimates of the extent of adjustment in Canada and abroad (section 3); review selected features of the trade policy and adjustment context of relevance for policy formulation among which: slow growth, a shift to services, a shift to the Pacific Rim, the internationalization of production, investment distribution communications the growing use of NTB's, changes in foreign direct investment patterns, intrafirm and intraindustry trade, interregional trade flows, differences in micro economic adjustment processes of adjustment as between subsidiaries and Canadian companies (section 4); examine methodologies and results of studies of the impact of trade liberalization on jobs (section 5); and review the R. Harris general equilibrium model (section 6). Our conclusion emphasizes the importance of harmonizing commercial and domestic policies dealing with adjustment (section 7). We close with a bibliography of relevant publications.