nep-hme New Economics Papers
on Heterodox Microeconomics
Issue of 2023‒11‒27
fifteen papers chosen by
Carlo D’Ippoliti, Università degli Studi di Roma “La Sapienza”

  2. What growth strategies do citizens want? Evidence from a new survey By Baccaro, Lucio; Bremer, Björn; Neimanns, Erik
  3. Risk management in Islamic finance: Beyond conventional norms By Jihane Jaouad; Ali Ouchekkir
  4. Changing structural composition of the Informal Manufacturing Sector in India during 2011-16: An analysis of unit-level NSSO Data By Balaji, Arun M; Vijay, R
  5. Algorithmic bias and racial inequality: A critical review By Maximilian Kasy
  6. Conceptos y criterios para una macroeconomía feminista By García Hernández, Magdalena
  7. Ordnungspolitik in Krisenzeiten: Eine ordnungspolitische Bewertung aktueller wirtschaftspolitischer Handlungsstränge By Fremerey, Melinda; Hüther, Michael
  8. Can advertising be saved from greenwashing? By Béatrice Parguel; Guillaume Johnson
  9. Social and emotional skills (SES): Latest evidence on teachability and impact on life outcomes By Mykolas Steponavičius; Catharina Gress-Wright; Adriano Linzarini
  10. Heuristics Unveiled By Konstantinos Georgalos; Nathan Nabil
  11. Narratives and Valuations By Dor Morag; George Loewenstein
  12. Gender(ed) equity: The growth of female shareholding in Australia, 1857-1937 By Grant Fleming; Zhangxin (Frank) Liu; David Merrett; Simon Ville
  13. Competing terms for complementary concepts? Acceptance and legitimacy of low-carbon energy technologies By Sven Alsheimer; Tamara Schnell; Camilla Chlebna; Sebastian Rohe
  14. The long shadow of Versailles: An unusual controversy on John Maynard Keynes between the German ordoliberals Walter Eucken and Wilhelm Röpke By Horn, Karen
  15. Ecologies of belonging and exclusion in urban Kuwait: towards an urban co-designed approach By Shahrokni, Nazanin; Sofos, Spyros

  1. By: Baptiste Parent (AgroParisTech, Université Paris-Saclay, CIRED - Centre International de Recherche sur l'Environnement et le Développement - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - EHESS - École des hautes études en sciences sociales - AgroParisTech - ENPC - École des Ponts ParisTech - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique); Lauriane Mouysset (CIRED - Centre International de Recherche sur l'Environnement et le Développement - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - EHESS - École des hautes études en sciences sociales - AgroParisTech - ENPC - École des Ponts ParisTech - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique, CNRS - Centre National de la Recherche Scientifique); Antoine Missemer (CNRS - Centre National de la Recherche Scientifique, CIRED - Centre International de Recherche sur l'Environnement et le Développement - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - EHESS - École des hautes études en sciences sociales - AgroParisTech - ENPC - École des Ponts ParisTech - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique); Harold Levrel (AgroParisTech, CIRED - Centre International de Recherche sur l'Environnement et le Développement - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - EHESS - École des hautes études en sciences sociales - AgroParisTech - ENPC - École des Ponts ParisTech - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique, Université Paris-Saclay)
    Abstract: Environmental and natural resource economics lies inherently at the interface between economic and natural dynamics (e.g., geological constraints, climate change, biodiversity evolution). Building models in that field often means building integrated models, calling on knowledge and methods from economics and physics, climatology, biology, or ecology. Howard Scott Gordon's 1954 article on fishery economics is considered to be seminal in the history of bioeconomic modeling, integrating biological and economic variables in a microeconomic model. Yet the precise role played by biology in Gordon's initial work remains unclear. On the basis of archival material and thorough analysis of Gordon's early research, this paper examines Gordon's model building and his persistent oscillation between two objectives-the production of a heuristic economic model with standard assumptions, and the conception of a predictive policy tool relevant from a fishery-biology
    Keywords: Integrated Model, interdisciplinarity, Fishery Economics, History of Economics
    Date: 2023–08–16
  2. By: Baccaro, Lucio; Bremer, Björn; Neimanns, Erik
    Abstract: While research on the economic characteristics of growth models across countries is now extensive, research on the politics of growth models is still in its infancy, even though governments routinely pursue different strategies to generate growth. In particular, we lack evidence on (1) whether citizens have coherent preferences towards growth strategies, (2) what growth strategies citizens prefer, and (3) what shapes their preferences. We address these questions through a new survey of public opinion in Germany, Italy, Sweden, and the United Kingdom, which exemplify different models. We find that preferences for growth strategies are consistent with other policy preferences and are meaningfully structured by class and retirement status, and to a lesser extent by sector of employment. At the same time, differences across class and sector are small, and a large majority of respondents across countries favor wage-led growth. This suggests there is a "representation gap, " since this particular growth strategy is in crisis everywhere.
    Abstract: Es gibt mittlerweile umfassende Forschung zu den ökonomischen Eigenschaften von Wachstumsmodellen in verschiedenen Ländern. Politische Aspekte von Wachstumsmodellen sind dagegen bislang kaum erforscht, obgleich Regierungen unterschiedliche Wachstumsstrategien verfolgen, um Wirtschaftswachstum zu erzielen. Forschungslücken bestehen insbesondere zu den Fragen, 1) ob Bürgerinnen und Bürger kohärente Präferenzen zu Wachstumsstrategien haben, 2) welche Wachstumsstrategien sie befürworten und 3) welche Faktoren ihre Präferenzen beeinflussen. Wir adressieren diese Frage mithilfe einer neuen Meinungsumfrage für Deutschland, Italien, Schweden und das Vereinigte Königreich, welche unterschiedliche Wachstumsmodelle verkörpern. Unsere Ergebnisse zeigen, dass Präferenzen zu Wachstumsstrategien konsistent mit Präferenzen für andere Politikbereiche sind und dass die soziale Klassenzugehörigkeit und, in geringerem Maße, der Wirtschaftssektor des Beschäftigungsverhältnisses einen prägenden Einfluss auf diese Präferenzen haben. Zugleich sind aber die Unterschiede in den Präferenzen über Klassen und Sektoren hinweg relativ gering und es zeigt sich, dass eine große Mehrheit der Befragten über Länder hinweg lohngetriebenes Wachstum befürwortet. Dieser Befund suggeriert eine Repräsentationslücke, da sich diese Wachstumsstrategie überall in einem Krisenzustand befindet.
    Keywords: comparative capitalism, economic growth, growth models, macroeconomic policies, public opinion, unequal representation, makroökonomische Politik, öffentliche Meinung, ungleiche Repräsentation, vergleichende Kapitalismusforschung, Wachstumsmodelle, Wirtschaftswachstum
    Date: 2023
  3. By: Jihane Jaouad (LERSG - Laboratoire d’Études et de Recherches en Sciences de Gestion, FSJES – Agdal, Université Mohammed V de Rabat. Maroc.); Ali Ouchekkir (LERSG - Laboratoire d’Études et de Recherches en Sciences de Gestion, FSJES – Agdal, Université Mohammed V de Rabat. Maroc.)
    Abstract: At a time when Islamic finance is experiencing rapid growth worldwide, it is essential to better understand and deepen risk management within this sector to strengthen its resilience and stability. The aim of this article is to analyze the specific risks inherent in Islamic finance and the corresponding approaches to risk management. It also examines the relevance and applicability of the Basel prudential accords to the specific context of Islamic banks. Greater harmonization between Islamic financial practices and international regulatory standards will contribute to the emergence of a stronger, more innovative Islamic financial sector, aligned with the ethical principles of Sharia law. To achieve this objective, our research is based on a theoretical and conceptual approach. To this end, an in-depth literature review is conducted with the aim of clarifying the key underlying concepts and presenting the various risks facing Islamic finance. Historical developments and current risk management methodologies are also reviewed. The results show that Islamic finance faces a wide range of threats, encompassing both generic risks common to the financial sector and specific risks arising from its religious ethos. While significant progress has been made in terms of risk management, more needs to be done to adapt existing tools and frameworks to the particularities of Islamic participative finance. The new prudential requirements introduced in Basel III appear insufficiently calibrated to the singularities of Islamic banking. Implications point to the need to develop innovative solutions aligned with Sharia precepts, while regulators are called upon to design a tailor-made prudential framework to support this rapidly expanding sector. Although limited to the banking sector, this documented research fills a gap in the literature on a subject that is both crucial and little investigated, providing a solid foundation for future academic work and informing the thinking and decisions of industry practitioners.
    Abstract: Alors que la finance islamique connaît une croissance rapide à l'échelle mondiale, il est essentiel de mieux comprendre et d'approfondir la gestion des risques au sein de ce secteur pour renforcer sa résilience et sa stabilité. Cet article a pour objectif d'analyser les risques spécifiques inhérents à la finance islamique ainsi que les approches correspondantes en matière de gestion des risques. Il examine également la pertinence et l'applicabilité des accords prudentiels de Bâle au contexte particulier des banques islamiques. Une meilleure harmonisation entre les pratiques financières islamiques et les normes réglementaires internationales, contribue à l'émergence d'un secteur financier islamique plus solide, innovant et aligné sur les principes éthiques de la Charia. Pour atteindre cet objectif, notre recherche s'appuie sur une approche théorique et conceptuelle, pour ce faire, une revue de littérature approfondie est conduite dans le but de clarifier les concepts-clés sous-jacents et de présenter les différents risques auxquels la finance islamique est confrontée. L'évolution historique et les méthodologies actuelles de gestion des risques sont également passées en revue. Les résultats mettent en évidence que la finance islamique fait face à un large éventail de menaces, englobant à la fois des risques génériques communs au secteur financier, mais également des risques spécifiques découlant de son éthique religieuse. Si des progrès significatifs ont été accomplis concernant la maîtrise des risques, des efforts restent à fournir pour adapter les outils et cadres existants aux particularités de la finance participative islamique. Les nouvelles exigences prudentielles instaurées dans Bâle III apparaissent insuffisamment calibrées vis-à-vis des singularités des banques islamiques. Les implications soulignent la nécessité de développer des solutions innovantes alignées sur les préceptes de la Charia, tandis que les autorités de régulation sont appelées à concevoir un cadre prudentiel sur-mesure pour soutenir ce secteur en pleine expansion. Bien que limitée au secteur bancaire, cette recherche documentée comble un manque dans la littérature sur un sujet à la fois crucial et peu investigué, fournissant ainsi une base solide pour de futurs travaux académiques et éclairant les réflexions et décisions des praticiens du secteur.
    Keywords: Islamic finance, Conventional finance, Risk, Risk management, Basel accords, Finance islamique, Finance conventionnelle, Risque, Gestion des riques, Accords de Bale
    Date: 2023–08–25
  4. By: Balaji, Arun M; Vijay, R
    Abstract: In the context of an unprecedented decline in the manufacturing employment driven by the informal sector in the post-2010 period, the paper examines the structural compositional changes in the Informal Manufacturing Sector (IMS) in India, the largest employer within the manufacturing sector. Using enterprise-level data between 2010-11 and 2015-16, the paper finds major shifts in employment structures in IMS. Three trends need careful diagnosis. (1) There was tremendous growth in tiny enterprises, with a withdrawal of larger firms. (2) These tiny firms were overwhelmingly owned and operated by female entrepreneurs in rural areas. (3) These trends are more evident in the rural economy, which saw a withdrawal of family labour, and wage labour from the sector. A partial diagnosis lies in understanding the linkages between structural changes within IMS and the job loss nature of the economic growth which in turn has severely impacted the consumption demand.
    Keywords: informal sector, manufacturing, capitalist development, employment, employment crisis, petty production.
    JEL: E24 O14 O17
    Date: 2023
  5. By: Maximilian Kasy
    Abstract: Most definitions of algorithmic bias and fairness encode decisionmaker interests, such as profits, rather than the interests of disadvantaged groups (e.g., racial minorities). Bias is equated to a deviation from profit maximization. Future research should instead focus on the causal effect of automated decisions on the distribution of welfare, across and within groups. The literature emphasizes the apparent contradictions between different notions of fairness and profit motives. These contradictions vanish when profits are approximately maximized. Existing work involves conceptual slippages between statistical notions of bias and misclassification errors, economic notions of profit, and normative notions of bias and fairness. Notions of bias nonetheless carry some interest within the welfare paradigm, if we understand bias and discrimination as mechanisms and potential points of intervention.
    Date: 2023–06–28
  6. By: García Hernández, Magdalena
    Abstract: En este documento se resumen las aportaciones de las economistas a la macroeconomía, en su interlocución con otras escuelas de pensamiento económico. Las construcciones teórico-conceptuales de estas pensadoras les han valido el reconocimiento como integrantes de la escuela de pensamiento económico feminista, que visibiliza las necesidades e intereses de la mitad de la población. Con su inclusión en esta escuela se reconocen sus saberes, lo que potencia su incidencia en el ámbito económico desde una perspectiva transdisciplinaria y holística. Aquí se describen el ámbito productivo, las relaciones asimétricas del poder económico, la invisibilidad del aporte de los hogares al buen vivir, las políticas macroeconómicas, —gasto, ingreso, deuda pública— y sus efectos en la generación y distribución de la riqueza con impactos diferenciados en mujeres y hombres, y se bosquejan los principios de la macroeconomía feminista que coloca en el centro el sostenimiento de la vida humana y del planeta, alimentándose de las aportaciones de economistas feministas desde el análisis crítico sobre el modelo económico neoliberal, con énfasis en aportaciones de economistas latinoamericanas. Asimismo, se analizan las aportaciones de las economistas que buscan visibilizar, para erradicar, las desigualdades sociales y entre hombres y mujeres. Para el desarrollo de este estudio se realizó una búsqueda bibliográfica exhaustiva sobre la economía y la macroeconomía feminista, y se compiló información a través de repositorios bibliográficos y sistemas estadísticos de diversas instituciones internacionales dedicadas al tema.
    Date: 2023–09–07
  7. By: Fremerey, Melinda; Hüther, Michael
    Abstract: Multiple Krisen und das veritable Risiko einer Stagflation erfordern (prozess-)politische Maßnahmen, wie eine Orchestrierung der Makropolitiken, eine finanzpolitische Investitionsoffensive und eine an Resilienz orientierte Außenwirtschaftspolitik. Wie lassen sich diese aktuell gebotenen Handlungsstränge im Kontext der Ordnungspolitik bewerten und mit ihr im Einklang umsetzten? Erstens birgt die globale Steuerung der Finanz-, Geld- und Lohnpolitik im Rahmen der Konzertierten Aktion ein erhebliches Potential, nicht nur ein gegenseitiges Verständnis der politischen Erfordernisse und Zwänge zu gewährleisten, sondern auch den Druck auf die Geldpolitik zu mindern und zu einer Stabilisierung der Erwartungen beizutragen. Mit einer Fortführung der Konzertierten Aktion inklusive einer europäischen Komponente könnte aktuellen Krisen begegnet und prophylaktisch langfristige Herausforderungen angegangen werden. Zweitens benötigen private Investitionen die Konstanz der Wirtschaftspolitik, diese Stabilität setzt jedoch auch staatliche Investitionen voraus. Walter Eucken befürwortete kreditfinanzierte Investitionen des Staates als er das gesamte demokratische und gesellschaftliche System bedroht sah. Derzeit sind Investitionen in gesellschaftlich relevante Projekte wie die Dekarbonisierung und Digitalisierung sowie Investitionen zur Stärkung der sozialen Marktwirtschaft und zur Verteidigung der Demokratie dringend geboten. Die Schuldenbremse scheint die politische Umsetzung staatlicher Investitionen derzeit jedoch mindestens einzuschränken, wenn nicht gar zu behindern. Drittens muss das Prinzip der offenen Märkte bei einer Neuordnung der Außenwirtschafts- und Industriepolitik im Systemkonflikt hochgehalten werden. Die Handelspolitik darf nicht von europäischen Moralvorstellungen überlagert werden und der internationale Standortwettbewerb darf nicht von einem gegenseitigen Subventionswettlauf geprägt sein, sondern muss durch klare und verbesserte Regelsetzung im Sinne einer horizontalen Industriepolitik ausgestaltet werden. Die drei wirtschaftspolitischen Handlungsstränge können als ordnungspolitischer Gewinn bewertet werden, sofern die Maßnahmen konsistent umgesetzt und zielgerichtet umgesetzt werden.
    JEL: A13 B25 O10
    Date: 2023
  8. By: Béatrice Parguel (DRM - MLAB - Dauphine Recherches en Management - MLAB - DRM - Dauphine Recherches en Management - Université Paris Dauphine-PSL - PSL - Université Paris sciences et lettres - CNRS - Centre National de la Recherche Scientifique); Guillaume Johnson (DRM MOST - DRM - Dauphine Recherches en Management - Université Paris Dauphine-PSL - PSL - Université Paris sciences et lettres - CNRS - Centre National de la Recherche Scientifique)
    Abstract: In a two-part article, we're going to understand if advertising can be saved from "greenwashing". The first part will explain what "greenwashing" is and how green claims work. The second part will then understand why "greenwashing" is a problem and – most importantly – if and how we can solve it.
    Keywords: Green advertising, greenwashing, green claims, sustainability
    Date: 2023–10–23
  9. By: Mykolas Steponavičius; Catharina Gress-Wright; Adriano Linzarini
    Abstract: Education systems around the world are increasingly recognising that social and emotional skills (SES) are essential for students and societies. This paper contributes to the Innovative approaches to measuring social and emotional skills project, which aims to complement self-report measures of SES with more direct assessments. It addresses criticisms of the OECD framework for SES used by the OECD Survey on Social and Emotional Skills and discusses the use of the Big Five model as an underlying structure for organising SES. The paper then examines the teachability of SES through a comprehensive literature review. In addition, it reviews the evidence for the relationship between different SES and key life outcomes. The paper also seeks to reconcile divergent conceptual understandings in the literature by providing a clear definition of SES and highlighting discrepancies in skill definitions. The conclusions of the paper identify gaps in current research, highlight teachable skills with notable predictive value SES relevant for educators and policy makers, and support the development of direct SES assessments.
    Date: 2023–11–15
  10. By: Konstantinos Georgalos; Nathan Nabil
    Abstract: In an attempt to elucidate the classic violations of expected utility theory, the behavioural economics literature heavily relies on the influential work of Tversky and Kahneman (1992), specifically the Cumulative Prospect Theory (CPT) model and the Heuristics-and-Biases program. While both approaches have significantly contributed to our understanding of decision-making under uncertainty, empirical evidence remains inconclusive. In this study, we investigate the performance of each approach across a wide range of choice environments and increasing cognitive load, encompassing gains, losses, time pressure, and complexity. Utilising data from various studies and employing Bayesian inference, we assess the performance of CPT in comparison to an adaptive cognitive toolbox model of heuristics. For subjects classified as toolbox decision makers, we examine the content (i.e., which heuristics) and the size of the toolbox (i.e., how many heuristics). Our findings reveal that as the choice environment objectively increases in complexity, individuals transition from using sophisticated expectation-based utility models to relying on a set of simplification heuristics for decision-making. We quantify the relationship between toolbox usage and complexity, showing a significant and positive correlation between the two. Furthermore, our results indicate that as task complexity rises, individuals tend to employ smaller toolboxes with fewer heuristics for decision-making.
    Keywords: Complexity, Toolbox models, Heuristics, Risky choice, Bayesian modelling
    JEL: C91 D81 D91
    Date: 2023
  11. By: Dor Morag; George Loewenstein
    Abstract: While the significance of narrative thinking has been increasingly recognized by social scientists, very little empirical research has documented its consequences for economically significant outcomes. The current paper addresses this gap in one important domain: valuations. In three experiments, participants were given the opportunity to sell an item they owned (mug in Study 1, hat in studies 2 and 3) using an incentive-compatible procedure (multiple price list). Prior to making selling decisions, participants were randomly assigned to either a narrative treatment, in which they were asked to tell the story of their item, or a list treatment, in which they were asked to list the characteristics of their item. The narrative treatment led to significantly higher selling prices and increased rates of participants refusing all offered prices. We further explore potential mechanisms, and the impact of different types of narratives, by analyzing self-reported classifications of, and employing natural language processing techniques on, participants’ narratives.
    Keywords: decision-making, experimental, narratives, valuations, willingness to accept
    Date: 2023
  12. By: Grant Fleming; Zhangxin (Frank) Liu; David Merrett; Simon Ville
    Abstract: An evolving literature addresses the role of women in business in colonial Australia. We know less about their contribution as investors, a topic that has received much greater attention in other nations, particularly Britain. We address this lacuna by deploying a dataset of shareholders in Australian companies between 1857 and 1937, covering all major sectors in the economy. We calculate the female share of shareholdings and shareowners, their occupational and geographic backgrounds, and analyse their investment patterns and behaviours including their risk profiles and portfolio construction decisions. Our findings suggest that ‘gender equity’ – and more - had been reached, for at least some companies, by the interwar period. Women investors came from many walks of life, had different motives, and as a class appear to have largely acted independently.
    Date: 2023–11
  13. By: Sven Alsheimer (Fraunhofer Institute for Systems and Innovation Research ISI, Breslauer Str. 48, 76139 Karlsruhe, Germany); Tamara Schnell (Carl von Ossietzky University Oldenburg, Ammerländer Heerstraße 114-118, 26129 Oldenburg, Germany); Camilla Chlebna (Department for Geography, Kiel University, Ludewig-Meyn-Straße 8, 24118 Kiel, Germany); Sebastian Rohe (Carl von Ossietzky University Oldenburg, Ammerländer Heerstraße 114-118, 26129 Oldenburg, Germany)
    Abstract: The large-scale deployment of low-carbon energy technologies is crucial for reducing greenhouse gas emissions and ideally limiting climate change. The success of this transition towards a carbon-neutral society depends on how these technologies are perceived by civil society and whether key societal stakeholders support or oppose their roll-out. Two major debates addressing this issue revolve around the concepts of acceptance and legitimacy. Acceptance literature examines the drivers and levels of support of novel technologies and socio-technical systems. Legitimacy literature captures how these technologies are aligned to their institutional environment. Thus far, there is little cross-fertilisation between the two debates. For this contribution, we conducted a systematic literature review of the two research streams to gain a better understanding of how the social dynamics of low-carbon energy technology deployment are conceptualised. Our review involved the analysis of 240 articles from SCOPUS that empirically studied the acceptance or legitimacy of low-carbon energy technologies. Our findings suggest that the two literature strands are indeed rather disconnected – few articles use both concepts conjointly. They further illustrate that both have distinct research foci and intellectual roots. Acceptance studies tend to focus on individual perspectives towards specific technologies and relate these to the individuals’ backgrounds. In contrast, legitimacy studies tend to focus on the overall alignment of specific technologies or entire innovation systems with the institutional context. Based on our findings, we propose a framework, to allow for a better understanding of the dynamic interplay between macro-level legitimacy evaluations and micro-level acceptance evaluations.
    Keywords: Acceptance, Legitimacy, Public perceptions, Acceptability, Legitimation, Low-carbon energy technologies
    Date: 2023
  14. By: Horn, Karen
    Abstract: Ordoliberalism and Keynesianism are not exactly known to fit hand in glove. Accordingly, the German economists Walter Eucken, head of the Freiburg school, and Wilhelm Röpke, from his Istanbul and Geneva exiles, were in near perfect agreement in their opposition to the interventionist "full employment" teachings of their English colleague John Maynard Keynes. An article by Röpke on Keynes in the Swiss newspaper Neue Zürcher Zeitung (NZZ) published in 1946 however met with "fundamental objections" by Eucken, and a controversy took off. The bone of contention between the two colleagues and rather dissimilar friends was Keynes's famous earlier critique of the Versailles Peace Treaty, and the lessons to be drawn for the post-WW II situation. This paper tells the story of this unusual and puzzling controversy, quoting from the letters between the two, and contextualizes the exchange in order to make sense of it. It turns out that there was an economic, a human, and - most significantly - a political side to their disagreement. Eucken and Röpke assessed the economic development since 1919 somewhat differently, and Eucken felt compelled to defend Keynes against the heavy moral accusation of having contributed to the Nazi catastrophe. But perhaps most of all, he found it tactically unwise in 1946 to endorse arguments that would support an even harsher attitude by the Allies toward Germany after WW II. In a first translation, the paper's appendixes contain Röpke's NZZ article that sparked the controversy, as well as the rejoinder by Eucken's former student Valentin F. Wagner. A new, full translation of an earlier NZZ article by Röpke on Keynes in lieu of an obituary is also provided.
    Keywords: Eucken, Röpke, Keynes, Versailles Peace Treaty, reparations, full employment policy
    JEL: B20 B31 N14
    Date: 2023
  15. By: Shahrokni, Nazanin; Sofos, Spyros
    Abstract: The development of Kuwait City’s urban agglomeration – home to 3 million inhabitants, 71.2 percent of the country’s population – is connected to the country’s discovery of oil in 1938. As citizenship became the key to benefiting from Kuwait’s oil wealth, a complex system of differential inclusion and exclusion was devised to identify those entitled and the type and extent of entitlement. Kuwait’s oil wealth presented the emirate’s rulers with the resources to turn Kuwait’s citadel into a modern administrative and commercial centre, but the new city plans largely failed to have an equalising effect. Instead, the existing hierarchical character and divides of Kuwait were grafted onto its urban space. The urban sprawl that replaced Kuwait’s citadel was divided into districts whose boundaries reinforced status, class, ethnic and gender divides. Housing and mobility in the city, leisure and work all became entangled in a complex web of exclusion and inclusion. This paper draws on the findings of a year-long project on the ecologies of inclusion and exclusion in urban Kuwait and its impact on inclusive and effective urban governance.
    JEL: R14 J01
    Date: 2023–10–23

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