nep-cis New Economics Papers
on Confederation of Independent States
Issue of 2018‒04‒02
twelve papers chosen by

  1. Kazakhstan in a Mirror of the World’s Mass Media By Ardak Yesdauletova; Aitmukhanbet Yesdauletov; Kairat Sakh
  2. Manufacturing (Co)Agglomeration in a Transition Country: Evidence from Russia By Ekaterina Aleksandrova; Kristian Behrens; Maria Kuznetsova
  3. Investment in human capital in post-Soviet countries: Why are firms not training more? By Kupets, Olga
  4. Corruption in Russia - Historic Legacy and Systemic Nature By Günther G. Schulze; Nikita Zakharov
  5. The effect of World War I on Iran situation By Fayyaz Zahed; Neda Moradi
  6. La confrontation des systèmes institutionnels nationaux dans l'interdépendance : les échanges gaziers UE-Russie By Catherine Locatelli
  7. US Sanctions: No conflict, no Nordstream threat – An opportunity for greater EU-US cooperation By Riley, Alan
  8. Monthly Report No. 9/2017 By Loredana Fattorini; Mahdi Ghodsi; Richard Grieveson; Sandra M. Leitner; Armando Rungi
  9. Nord Stream 2 – Friend or enemy of energy security in Europe? By Barnes, Alex
  10. Who Owns the Wealth in Tax Havens? Macro Evidence and Implications for Global Inequality By Alstadsaeter, Annette; Johannesen, Niels; Zucman, Gabriel
  11. The Future of the Security in Europe: From European Union to Regional Complexes By Ali Adami
  12. The Impact of Economic Growth on CO2 Emissions in Azerbaijan By Jeyhun I. Mikayilov; Marzio Galeotti; Fakhri J. Hasanov

  1. By: Ardak Yesdauletova (L. N. Gumilyov Eurasian National University); Aitmukhanbet Yesdauletov (L. N. Gumilyov Eurasian National University); Kairat Sakh (L. N. Gumilyov Eurasian National University)
    Abstract: Kazakhstan proclaimed its independence after the dissolution of the Soviet Union in December 1991. In March 1992 the Republic of Kazakhstan became a member of the United Nations Organization. This event and diplomatic recognition by many of countries symbolized the entry of the young state into the world community. In December 2016 Kazakhstan celebrated the 25th anniversary as a sovereign state. TV broadcasting and print media broadly covered a lot of achievements of the country. The aim of our presentation is to reveal how the world’s mass media covered Kazakhstan and what image it had in other countries. Internet played an important role in disseminating information. People were able to get some knowledge from the foreign sources. They can evaluate the foreign and domestic policies of a certain state. It was possible to determine its achievements and challenges through mass media. The main achievements of Kazakhstan connected with dynamic economic development, political stability and initiatives in the sphere of non-proliferation of nuclear weapons. Criticism on the part of western media concerned such fields as democratic values and human rights. Due to limited access to the electronic version of newspapers and journals it was difficult to get the full articles. However, even a few Internet sites and Russian version of newspapers allowed gaining information how the world mass media covered Kazakhstan and what kind perception about Kazakhstan they created, and what topics were interested their journalists.
    Keywords: Kazakhstan, mass media, image, newspapers, internet, information
    Date: 2017
  2. By: Ekaterina Aleksandrova (National Research University Higher School of Economics); Kristian Behrens (National Research University Higher School of Economics); Maria Kuznetsova (National Research University Higher School of Economics)
    Abstract: We document geographic concentration patterns of Russian manufacturing using microgeographic data. About 42–52% of 4-digit and 63–75% of 3-digit industries are localized, with a higher share in the European part than in the Asian part. About 70% of 3-digit industry pairs are coagglomerated, especially those with stronger buyer-supplier links, more knowledge sharing, and lower transport costs. Pairs with a more similar workforce are, however, less coagglomerated, which points to impediments in labor mobility between regions and firms. Overall, the agglomeration forces are fairly similar to those operating in developed countries, with transportation likely to be a key driver.
    Keywords: agglomeration; coagglomeration; determinants of geographic concentration; manufacturing industries; Russia.
    JEL: R12
    Date: 2018
  3. By: Kupets, Olga
    Abstract: Using STEP employer surveys data in Armenia, Azerbaijan, Georgia and Ukraine, this paper investigates how innovation, openness to international business contacts, use of computer at work and skills shortages affect employer-provided training in post-Soviet countries. It examines different types of training (less formal on-the-job training along with more formal in-house and external training) provided to white-collar or blue-collar workers. After controlling for a range of firm characteristics, we find a positive link between technological innovation and intensity of training of all types provided to white-collar workers that points to the technology-skills complementarity. Besides, the level of computer use at work is a significant determinant of the incidence and intensity of external training provided to white-collar and blue-collar workers.
    Keywords: employer-provided training, innovation, computerization, STEP employer survey, transition countries
    JEL: J24 M53 P36
    Date: 2018–03
  4. By: Günther G. Schulze; Nikita Zakharov
    Abstract: This paper argues that corruption in Russia is systemic in nature. Low wage levels of public officials provide strong incentives to engage in corruption. As corruption is illegal, corrupt officials can be exposed any time, which enforces loyalty towards the powers that be; thus corruption is a method of governance. We trace the systemic corruption back to the Mongolian empire and demonstrate its persistence to the current regime. We show the geographic distribution of contemporary corruption within Russia, survey the literature on the causes, consequences, and cures of corruption in Russia, and discuss entry points to fighting it.
    Keywords: corruption, governance, institutions, political economy, history, Russia
    JEL: D73 H11 H73 K42 N40 P37
    Date: 2018
  5. By: Fayyaz Zahed (Central Tehran Branch.Islamic Azad University); Neda Moradi (islamic azad and research branch tehran)
    Abstract: AbstractThe World War I had a considerable influence on the history of many non-European countries specially Iran. Iran hoping that not to involve in this world war, neutralized in the war at the behest of November 1st in, but abjuring it by hostile countries, Iran was changed into an extended from for imperialist powers. Consequently was invaded by Britain, Russia, Ottoman and Germany from the south, north, and west. The World War I caused numerous problems for Iran. Increasing external pressures, the weekness of central government and subsequently, cabinets instability and economic crises added to the complexity of the situation. Despite Iran's efforts to keep himself from the battle of which had no proportion and no effect on it, the juggernaut strikes inflicted on political stability and consistency of the government and incurred formidable losses on the economy of this country. October revolution which at first seemed to improve the situation of Iran, caused Britain totalitarianism and changing negative balance. This created a long- term gap in Iran political arena and finally lead to 22th feb coup, and also overthrowing Qajar regime and replacing it with Reza Pahlavi. The event that changed the procedure of constitutional revolution and Iran Policies landscape.
    Keywords: Keywords: World War I, Iran, Qajar, violations of neutrality, political and economic crises.
    Date: 2017–10
  6. By: Catherine Locatelli (GAEL - Laboratoire d'Economie Appliquée de Grenoble - Grenoble INP - Institut polytechnique de Grenoble - Grenoble Institute of Technology - INRA - Institut National de la Recherche Agronomique - CNRS - Centre National de la Recherche Scientifique - UGA - Université Grenoble Alpes)
    Abstract: Les interdépendances fortes entre l’UE et ses fournisseurs extérieurs en matière de gaz naturel mettent au premier plan les problématiques de conflits et de logiques contradictoires liées à la coexistence d’arrangements institutionnels différents dans l’échange. Cet enjeu émerge clairement sur la relation entre l’UE et la Russie. Dans le même temps, la confrontation de ces deux espaces institutionnels semble avoir un « impact transformatif » sur les régulations, les systèmes institutionnels et les politiques énergétiques de la Russie et de l’UE. Elle ouvre en particulier de nouvelles structures d’opportunités pour les acteurs impliqués. L’objet de cet article est d’analyser les conflits et risques économiques et institutionnels qui résultent de la confrontation de ces deux espaces de régulation. Il est ensuite de mettre en évidence les changements induits par l’interdépendance tant du côté de la Russie que du côté de l’UE.
    Keywords: Marché gazier de l'UE,Russie,système institutionnel
    Date: 2018–02
  7. By: Riley, Alan
    Abstract: The new US sanctions law – Countering America’s Adversaries through Sanctions Act 2017 – is not a legal monster threatening European interests. In the view of Alan Riley, it stems from specific and legitimate concerns on Capitol Hill about the threat to the integrity of US democratic institutions flowing from cyber-attacks by the Russian Federation and the behaviour of the current President. The law’s most substantial legislative footprint merely codifies into law the Obama-era executive orders already agreed with the European Union. On a more positive note, the sanctions law provides opportunities for the US and the EU to cooperate to protect the West’s democratic institutions against future cyber-warfare attacks and to enhance European supply security.
    Date: 2017–08
  8. By: Loredana Fattorini; Mahdi Ghodsi (The Vienna Institute for International Economic Studies, wiiw); Richard Grieveson (The Vienna Institute for International Economic Studies, wiiw); Sandra M. Leitner (The Vienna Institute for International Economic Studies, wiiw); Armando Rungi
    Abstract: Graph of the month Real GDP growth 2015, 2016 and first half of 2017 by major groups of countries of the European Union (p. 1) Opinion corner What can be said about the status of Brexit in September 2017? (by Richard Grieveson; pp. 2-5) Cohesion policy meets heterogeneous firms (by Loredana Fattorini, Mahdi Ghodsi and Armando Rungi; pp. 6-11) On the use of different public innovation commercialisation measures in the EU-28 (by Sandra M. Leitner; pp. 12-16) Choosing the right partner R&D cooperations and innovation success in CESEE and CIS economies (by Sandra M. Leitner; pp. 17-21) Recommended reading (p. 22) Statistical Annex Monthly and quarterly statistics for Central, East and Southeast Europe (pp. 23-44)
    Keywords: GDP, economic growth, EU, UK, Brexit, cohesion policy, European Regional Development Fund, R&D, total factor productivity, firm heterogeneity, business support, innovation, innovative companies, public commercialisation measures, R&D cooperations, innovation, patenting
    Date: 2017–09
  9. By: Barnes, Alex
    Abstract: Nord Stream 2 is criticised on grounds that it undermines the functioning of the European gas market and makes European gas consumers worse off. Its critics also claim that the project has no economic rationale, would reduce security of supply, weaken European solidarity and the Energy Union, and also destabilise Ukraine. This CEPS Policy Insight, contributed by a Nord Stream 2 AG market expert, attempts to counter these criticisms by presenting recent economic analysis bearing on these matters. It explains how Nord Stream 2 cannot undermine the European gas market because of the rules already in place. It concludes that the project will be beneficial to European gas consumers by strengthening gas-to-gas competition between piped gas and LNG for supply to the EU. It also finds that fears that Nord Stream 2 will further destabilise Ukraine are exaggerated and sees a continued role of the country in gas transit to the EU.
    Date: 2017–12
  10. By: Alstadsaeter, Annette; Johannesen, Niels; Zucman, Gabriel
    Abstract: Drawing on newly published macroeconomic statistics, this paper estimates the amount of household wealth owned by each country in offshore tax havens. The equivalent of 10% of world GDP is held in tax havens globally, but this average masks a great deal of heterogeneity-from a few percent of GDP in Scandinavia, to about 15% in Continental Europe, and 60% in Gulf countries and some Latin American economies. We use these estimates to construct revised series of top wealth shares in ten countries, which account for close to half of world GDP. Because offshore wealth is very concentrated at the top, accounting for it increases the top 0.01% wealth share substantially in Europe, even in countries that do not use tax havens extensively. It has considerable effects in Russia, where the vast majority of wealth at the top is held offshore. These results highlight the importance of looking beyond tax and survey data to study wealth accumulation among the very rich in a globalized world.
    JEL: E21 H26 H87
    Date: 2018–03
  11. By: Ali Adami (Allame Tabataba'I university)
    Abstract: Nobody thought that the security in Europe which had become close to each other after formation of the European Union and collective security arrangement in 1992, would undergo dramatic changes in 21 century, so much so that the future of the security in Europe faces the shaky situation. The security which was expected by the European countries did not take place due to many elements like security internal variables of the European Union, the appearance of ISIS and terrorism in the Middle East, different views of the United States is related to security, unilateralism of the Russians and also complicated issues in Europe. Therefore, this paper seeks to answer the main question as to: what is the security pattern of the future of security in the European Union and how could it be maximized? The hypothesis to the question is based on the fact that the future of security in the Europe due to different approaches of Eastern Europe, Northern (Scandinavian Region), Sothern and Western Europe, is moving from common union toward regional security complexes.
    Keywords: Regional Security Complex, Security, European Union
    Date: 2017–10
  12. By: Jeyhun I. Mikayilov; Marzio Galeotti; Fakhri J. Hasanov
    Abstract: This paper examines the relationship between the economic growth and CO2 emissions in Azerbaijan.A cointegration analysis is conducted over the period 1992-2013. For getting more robust results, Johansen, ARDLBT, DOLS, FMOLS and CCR methods to explore cointegration and estimate longrun coefficients are employed. We use cubic, quadratic and linear specifications and conclude that the last one is an adequate representation for the impact of the economic growth on CO2 emissions in Azerbaijan. The results from the different cointegration methods are consistent with each other and show that the economic growth has positive and significant impact on the emissions in the long-run implying that the EKC hypothesis does not hold for Azerbaijan. Moreover, we find that any short-run disequilibrium can be corrected towards the long-run equilibrium path within less than one year. The paper concludes that increasing the energy efficiency can be considered as a relevant environmental policy in order to reduce the carbon emissions.
    Keywords: CO2 emissions, cointegration, economic growth, EKC hypothesis; Azerbaijan
    JEL: C32 Q01 Q43 Q52 Q53 Q56
    Date: 2018

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