Oligarchs, political regime changes, and firm valuation

This paper examines the impact of a regime shift on the valuation of politically powerful oligarch firms. Focusing on the Yeltsin-Putin regime shift in Russia, we find that the valuations of outside shareholders claims are significantly higher under the Putin regime than under the Yeltsin regime after controlling for industry and time effects. The findings suggest that the increasing cost of extracting private benefits outweigh the reduction in the value of political connections following the political regime change. The results are also consistent with changes in the risk of state expropriation. Our results show that effects driven by the political regime change complement the traditional view stating that increased ownership concentration improved the performance of Russian oligarch firms.

Oligarchs after the Maidan: the old system in a 'new' Ukraine. OSW Commentary No. 162, 2015-02-16

From the Introduction. There have been major changes in the balance of forces among the key Ukrainian oligarchs, representatives of big business with strong political influence, since the victory of the Maidan revolution. However, these changes have not undermined the oligarchic system per se. Over the past decade or so, the oligarchs have been key players in Ukrainian politics and economy, and they have retained this position until the present. One of the effects of the change of the government in Kyiv and the war in the Donbas was the elimination of the influence of ‘the family’ – the people from Viktor Yanukovych’s inner circle who formed the most expansive oligarchic group in Ukraine at the time of his presidency. The influence of Rinat Akhmetov, the country’s wealthiest man, has also weakened significantly; Akhmetov was one of the most influential people in Ukraine for more than ten years, partly owing to his close bonds with Yanukovych. Dmytro Firtash’s group has also lost a great deal of its influence since Firtash was arrested in Austria in March 2014.

The phenomenon of oligarchy in Russia and its impact on Russian transition

Nowadays any analysis of Russian economy is incomplete without taking into account the phenomenon of oligarchy. Russian oligarchs appeared after the fall of the Soviet Union and are represented by wealthy businessmen who control a huge part of natural resources enterprises and have a big political influence. Oligarchs’ shares in some natural resources industries reach even 70-80%. Their role in Russian economy is big without any doubts, however there has been very little economic analysis done. The aim of this work is to examine Russian oligarchy on micro and macro levels, its role in Russia’s transition and the possible positive and negative outcomes from this phenomenon. For this purpose the work presents two theoretical models. The first part of this thesis work examines the role of oligarchs on micro level, concentrating on the question whether the oligarchs can be more productive owners than other types of owners. To answer the question this part presents a model based on the article “Are oligarchs productive? Theory and evidence” by Y. Gorodnichenko and Y. Grygorenko. It is followed by empirical test based on the works of S. Guriev and A. Rachinsky. The model predicts oligarchs to invest more in the productivity of their enterprises and have higher returns on capital, therefore be more productive owners. According to the empirical test, oligarchs were found to outperform other types of owners, however it is not defined whether the productivity gains offset losses in tax revenue. The second part of the work concentrates on the role of oligarchy on macro level. More precisely, it examines the assumption that the depression after 1998 crises in Russia was caused by the oligarchs’ behavior. This part presents a theoretical model based on the article “A macroeconomic model of Russian transition: The role of oligarchic property rights” by S. Braguinsky and R. Myerson, where the special type of property rights is introduced. After the 1998 crises oligarchs started to invest all their resources abroad to protect themselves from political risks, which resulted in the long depression phase. The macroeconomic model shows, that better protection of property rights (smaller political risk) or/and higher outside investing could reduce the depression. Taking into account this result, the government policy can change the oligarchs’ behavior to be more beneficial for the Russian economy and make the transition faster.

Essays on Corporate Governance and the Quality of Disclosed Earnings: Across Transitional Europe

A growing body of empirical research examines the structure and effectiveness of corporate governance systems around the world. An important insight from this literature is that corporate governance mechanisms address the excessive use of managerial discretionary powers to get private benefits by expropriating the value of shareholders. One possible way of expropriation is to reduce the quality of disclosed earnings by manipulating the financial statements. This lower quality of earnings should then be reflected by the stock price of firm according to value relevance theorem. Hence, instead of testing the direct effect of corporate governance on the firm’s market value, it is important to understand the causes of the lower quality of accounting earnings. This thesis contributes to the literature by increasing knowledge about the extent of the earnings management – measured as the extent of discretionary accruals in total disclosed earnings - and its determinants across the Transitional European countries. The thesis comprises of three essays of empirical analysis of which first two utilize the data of Russian listed firms whereas the third essay uses data from 10 European economies. More specifically, the first essay adds to existing research connecting earnings management to corporate governance. It testifies the impact of the Russian corporate governance reforms of 2002 on the quality of disclosed earnings in all publicly listed firms. This essay provides empirical evidence of the fact that the desired impact of reforms is not fully substantiated in Russia without proper enforcement. Instead, firm-level factors such as long-term capital investments and compliance with International financial reporting standards (IFRS) determine the quality of the earnings. The result presented in the essay support the notion proposed by Leuz et al. (2003) that the reforms aimed to bring transparency do not correspond to desired results in economies where investor protection is lower and legal enforcement is weak. The second essay focuses on the relationship between the internal-control mechanism such as the types and levels of ownership and the quality of disclosed earnings in Russia. The empirical analysis shows that the controlling shareholders in Russia use their powers to manipulate the reported performance in order to get private benefits of control. Comparatively, firms owned by the State have significantly better quality of disclosed earnings than other controllers such as oligarchs and foreign corporations. Interestingly, market performance of firms controlled by either State or oligarchs is better than widely held firms. The third essay provides useful evidence on the fact that both ownership structures and economic characteristics are important factors in determining the quality of disclosed earnings in three groups of countries in Europe. Evidence suggests that ownership structure is a more important determinant in developed and transparent countries, while economic determinants are important determinants in developing and transitional countries.

The phenomenon of oligarchy in Russia and its impact on Russian transition

Nowadays any analysis of Russian economy is incomplete without taking into account the phenomenon of oligarchy. Russian oligarchs appeared after the fall of the Soviet Union and are represented by wealthy businessmen who control a huge part of natural resources enterprises and have a big political influence. Oligarchs’ shares in some natural resources industries reach even 70-80%. Their role in Russian economy is big without any doubts, however there has been very little economic analysis done. The aim of this work is to examine Russian oligarchy on micro and macro levels, its role in Russia’s transition and the possible positive and negative outcomes from this phenomenon. For this purpose the work presents two theoretical models. The first part of this thesis work examines the role of oligarchs on micro level, concentrating on the question whether the oligarchs can be more productive owners than other types of owners. To answer the question this part presents a model based on the article “Are oligarchs productive? Theory and evidence” by Y. Gorodnichenko and Y. Grygorenko. It is followed by empirical test based on the works of S. Guriev and A. Rachinsky. The model predicts oligarchs to invest more in the productivity of their enterprises and have higher returns on capital, therefore be more productive owners. According to the empirical test, oligarchs were found to outperform other types of owners, however it is not defined whether the productivity gains offset losses in tax revenue. The second part of the work concentrates on the role of oligarchy on macro level. More precisely, it examines the assumption that the depression after 1998 crises in Russia was caused by the oligarchs’ behavior. This part presents a theoretical model based on the article “A macroeconomic model of Russian transition: The role of oligarchic property rights” by S. Braguinsky and R. Myerson, where the special type of property rights is introduced. After the 1998 crises oligarchs started to invest all their resources abroad to protect themselves from political risks, which resulted in the long depression phase. The macroeconomic model shows, that better protection of property rights (smaller political risk) or/and higher outside investing could reduce the depression. Taking into account this result, the government policy can change the oligarchs’ behavior to be more beneficial for the Russian economy and make the transition faster.

La cultura homérica en la Escenografía del Seiscientos: "Il Greco in Troia" y "La caduta del regno dell´Amazzoni"

Sería imposible hacer una enumeración de festejos, espectáculos y representaciones teatrales, que a lo largo de la época moderna, tuvieron como argumento las historias narradas por la literatura homérica. Incontables, pero todas ellas buscaban el don de la elocuencia que tenían desde que en la Antigüedad empezaron a reeditarse. Apenas un iglo después de la recopilación de relatos orales que quedaron hilvanados bajo los títulos de la Iliada y la Odisea –si se acepta la autoría de ese personaje mítico que fue Homero en torno al siglo VIII antes de Cristo–, tiranos y oligarcas atisbaron de forma visionaria las posibilidades que aportaban las tramas en las que se vieron envueltos dioses y héroes. La mitología olímpica no sólo sirvió al propósito de la unificación panhelénica de la nación de naciones que era Grecia, en torno a un mundo de creencias común en el marco de los grandes santuario, sino que además, las vicisitudes de los principales personajes, como Paris, Aquiles, Héctor, Ulises, Pentesilea, Eneas, Agamenón, Andrómaca, Casandra y Helena, proporcionaron un repertorio de modelos de conducta y un protocolo ceremonial en sociedad extremadamente útil. Piedad, fidelidad, excelencia, belleza, sumisión, virtudes morales que habían de “adornar” por igual a gobernantes y a ciudadanos, garantizaban un nuevo orden en la Hélade, constituyendo asimismo las notas distintivas con respecto a los anquilosados y monolíticos Imperios hegemónicos en la zona de Oriente Próximo, Egipcio y Babilónico o Persa, respectivamente. Se propone el análisis de la incidencia iconológica de tales asuntos a partir de la revisión escenográfica de dos libretos para dos representaciones teatrales italianas de finales del Seicento, de los que se encuentran sendos ejemplares en la Biblioteca Nacional de Madrid: Il Greco in Troia y La caduta del regno dell´amazzone.

La amistad cívica en Aristóteles: concordia y fraternidad

El artículo muestra la importancia de la amistad en el contexto de la filosofía política aristotélica. Esta importancia se verifica en su peso específico en comparación con la justicia, puesto que Aristóteles mismo sostiene que la amistad cívica es incluso un objetivo superior al de la búsqueda de la justicia. En concreto, el artículo se centra en la función de la concordia, como tipo especial de amistad cívica, en términos de conservación de la unidad y estabilidad de la polis. Para captar su significación, se plantea el papel de la concordia como complemento a la condición política del ser humano. La concordia es necesaria a la luz de la tendencia a la lucha entre las partes de la ciudad, entre el demos y los oligarcas. Puesto que esta lucha pone en peligro la continuidad de la polis, la concordia entre ciudadanos se convierte en un antecedente privilegiado del principio de fraternidad republicana, el cual todavía no ha gozado de una atención suficiente en el campo de la historia de la filosofía política.

Papel de la Organización de Naciones Unidas ONU (MINUGUA) en el proceso de reconstrucción posconflicto guatemalteco en materia de justicia transicional (1994-2004). Un estado del arte

Estado del arte que recopila pronunciamientos de diversos autores sobre el papel de la Organización de Naciones Unidas, específicamente la Misión MINUGUA, en el proceso de reconstrucción posconflicto en Guatemala comprendido entre el año 1994 y 2004. Se basa en algunas dimensiones de la democratización como son el Estado de Derecho, la democracia representativa, la preeminencia del poder civil, y el fortalecimiento de la cultura democrática. Así mismo, tiene en cuenta los elementos de la justicia transicional, a saber: verdad, justicia y reparación.

Análisis de la injerencia de la política de la lucha contra el terrorismo en la construccion de política exterior.caso de estudio Pakistan y Ucrania

Este trabajo, contiene una aproximación al fenómeno de la guerra contra el terrorismo, bajo el concepto de Estado Esquizofrénico, que supone el condicionamiento de algunas acciones de los Estados en su interacción en el sistema internacional.

Capacidades, Seguridad y Política Exterior: Análisis de la posición de la Federación Rusa en el Sistema Internacional

Se considera que la naturaleza anárquica y estructural del Sistema Internacional debe tomarse como base para estudiar la actuación de la Federación Rusa bajo el gobierno de Vladimir Putin sino que además busca fortalecer las capacidades de proyección

Da Europa para a América: a política externa brasileira, os antecessores do barão e os interesses da cafeicultura (1889-1912)

Pós-graduação em História - FCHS

O poeta popular Leandro Gomes de Barros e a sátira ao discurso burguês-militarista no contexto da Primeira República

Among the popular poets from the northeastern backlands who criticized the governmental measures of the republican government, the figure of Leandro Gomes de Barros has highlighted. His satire extends to the representatives of the government in the context of the First Republic, striking politicians, bachelors, priests, colonels and oligarchs. We show here the biographical traces of the poet and a stretch from my Doctoral Thesis in which Leandro satirizes the bourgeois-militarist speech from Olavo Bilac.

Antecedentes históricos de la unidad de las corporaciones agropecuarias pampeanas : La formación de la Comisión de Enlace y la disputa por la renta (1966-1973)

El presente trabajo busca aportar a la comprensión de la intervención política de la burguesía agraria pampeana, tomando como observable las acciones y los posicionamientos de las corporaciones rurales en un momento de crisis política. Los estudios sobre el tema han tendido a sobreestimar las diferencias entre productores chicos ("chacareros") y grandes ("oligarquía"), lo que ha eclipsado el estudio de los momentos de confluencia, que tienen por lo menos 40 años de historia en la Argentina. Luego de discutir el enfoque predominante en la bibliografía, abordaremos la conformación, en 1970, de la Comisión de Enlace, en la que confluyeron Federación Agraria, CONINAGRO, Confederaciones Rurales Argentinas y Sociedad Rural. Recurriendo a periódicos de tirada nacional y documentos institucionales de las corporaciones, reconstruiremos los acuerdos en torno a los que se estructuró esta alianza y su intervención concreta.

Antecedentes históricos de la unidad de las corporaciones agropecuarias pampeanas : La formación de la Comisión de Enlace y la disputa por la renta (1966-1973)

El presente trabajo busca aportar a la comprensión de la intervención política de la burguesía agraria pampeana, tomando como observable las acciones y los posicionamientos de las corporaciones rurales en un momento de crisis política. Los estudios sobre el tema han tendido a sobreestimar las diferencias entre productores chicos ("chacareros") y grandes ("oligarquía"), lo que ha eclipsado el estudio de los momentos de confluencia, que tienen por lo menos 40 años de historia en la Argentina. Luego de discutir el enfoque predominante en la bibliografía, abordaremos la conformación, en 1970, de la Comisión de Enlace, en la que confluyeron Federación Agraria, CONINAGRO, Confederaciones Rurales Argentinas y Sociedad Rural. Recurriendo a periódicos de tirada nacional y documentos institucionales de las corporaciones, reconstruiremos los acuerdos en torno a los que se estructuró esta alianza y su intervención concreta.

Antecedentes históricos de la unidad de las corporaciones agropecuarias pampeanas : La formación de la Comisión de Enlace y la disputa por la renta (1966-1973)

El presente trabajo busca aportar a la comprensión de la intervención política de la burguesía agraria pampeana, tomando como observable las acciones y los posicionamientos de las corporaciones rurales en un momento de crisis política. Los estudios sobre el tema han tendido a sobreestimar las diferencias entre productores chicos ("chacareros") y grandes ("oligarquía"), lo que ha eclipsado el estudio de los momentos de confluencia, que tienen por lo menos 40 años de historia en la Argentina. Luego de discutir el enfoque predominante en la bibliografía, abordaremos la conformación, en 1970, de la Comisión de Enlace, en la que confluyeron Federación Agraria, CONINAGRO, Confederaciones Rurales Argentinas y Sociedad Rural. Recurriendo a periódicos de tirada nacional y documentos institucionales de las corporaciones, reconstruiremos los acuerdos en torno a los que se estructuró esta alianza y su intervención concreta.