Rethinking capital mobility, re-regulating financial markets

The globalisation hypothesis has altered many of the common-sense ‘truths’ around which the social world is organised.* In particular, globalisation is thought to restrict the parameters of the politically and economically possible. Indeed, the notion of constrained choice is so pronounced that we are increasingly confronted with the image of globalisation’s ‘logic of no alternative’; an image which is predicated on the assumption of perfect capital mobility. Capital is considered to be sufficiently rational to take advantage of enhanced exit options from the national economy in circumstances in which its interests are served by moving off-shore. Moreover, global markets are also assumed to have exploited contemporary technological developments to such an extent that they now clear instantaneously; consequently, allowing capital to further its interests wherever in the world new profit opportunities arise. Thus, we are presented with the fundamental ‘reality’ of globalisation as currently narrated throughout much of the west: unless the market can be allowed to restore a competitive global equilibrium, capital will exit high-wage, high-cost western economies and re-locate in lower-wage, lower-cost, newly industrialising economies. Under the auspices of ever more hostile wage competition from the newly industrialising economies, globalisation is commonly presumed to act as a trigger for an ‘inevitable’ job displacement effect as capital deserts the advanced industrialised economies

Electricity transmission: an overview of the current debate

Electricity transmission has emerged as critical for successfully liberalising powermarkets. This paper surveys the issues currently under discussion and provides a framework for the remaining papers in this issue. We conclude that signalling the efficient location of generation investment might require even a competitive LMP system to be complemented with deep connection charges. Although a Europe-wide LMP system is desirable, it appears politically problematic, so an integrated system of market coupling, possibly evolving by voluntary participation, should have high priority. Merchant investors may be able to increase interconnector capacity, although this is not unproblematic and raises new regulatory issues. A key issue that needs further research is how to better incentivize TSOs, especially with respect to cross-border issues

The 2018 Nuclear Posture Review: A return to nuclear warfighting?

© 2019 Taylor & Francis Group, LLC. The 2018 Nuclear Posture Review (NPR) represents a significant shift in U.S. nuclear weapons policy. Using Cold War vintage theory, this article assesses whether the NPR signals a return to nuclear warfighting. The NPR is assessed against five primary drivers for warfighting strategy: enhanced deterrence; to deal with deterrence failure; to maximize damage limitation; to provide a theory of victory; and adherence to just-war theory. The article concludes that although the NPR represents a step in the direction of warfighting, it does not fully embrace it. This is primarily because the NPR fails to endorse an unrestrained theory of victory

China Studies Review

As China’s economic development and increasingly assertive stance in the global arena reverberates both within and outside its borders, we are thrilled to present the fourth edition of the SAIS China Studies Review as a vehicle to increase understanding of both the challenges and opportunities in an ever-evolving China. The first section of this volume examines China’s expanding role in global governance. Hao Zhang’s piece takes stock of China’s norm-setting tendencies on the world stage, and Christian Flores looks at Myanmar as a case study for how the U.S. and China follow different patterns in their treatment of smaller states. Shan Wu’s piece on China’s policy-making regarding North Korea concludes this section. The second set of articles reviews developments in China’s military and aerospace fields. John Walsh’s policy brief on the Wenchang Spacecraft Site provides an overview of the site and its significance to China’s broader aerospace goals. Rachel Xian examines China’ nuclear force and its modernization, and Daniel Rice compares Chinese and American actions in Afghanistan. The issue concludes with SAIS China Studies Review’s interview of esteemed SAIS China Studies Professor David M. Lampton about his observations of China throughout his storied career

Electricity transmission: an overview of the current debate

Electricity transmission has emerged as critical for successfully liberalising power markets. This paper surveys the issues currently under discussion and provides a framework for the remaining papers in this issue. We conclude that signalling the efficient location of generation investment might require even a competitive LMP system to be complemented with deep connection charges. Although a Europe-wide LMP system is desirable, it appears politically problematic, so an integrated system of market coupling, possibly evolving by voluntary participation, should have high priority. Merchant investors may be able to increase interconnector capacity, although this is not unproblematic and raises new regulatory issues. A key issue that needs further research is how to better incentivize TSOs, especially with respect to cross-border issues.Electricity, Transmission, Regulation, Prices, Merchant Investment

Primary and Secondary Control as Antecedents to the Dark Traits in Predicting Attraction to Hacking Behavior

The current study examines the relationship between the need for control, the Dark Triad personality traits, and hacking intent. We surveyed 523 individuals using a scenario design and investigated the role of both primary and secondary control as antecedents to Machiavellianism, psychopathy, and narcissism leading to both white- (i.e., ethical) and black-hat hacking interest. Our findings suggest that primary control is a significant antecedent to all three dark personality traits such that a higher intrinsic need for control is positively associated with Machiavellianism, narcissism, and psychopathy. Secondary control, however, has comparatively different effects on dark personality traits, demonstrating a negative effect only on psychopathy. Both Machiavellianism and psychopathy predicted both white- and black-hat hacking interests along with the perceived probability of apprehension. Overall, our findings suggest that primary control drives all three dark personality traits, yet only two of the three dark personality traits – Machiavellianism and psychopathy – are related to hacking interest

Breaking the Mold: Consolidated Report on the Workshop

https://digital-commons.usnwc.edu/btm/1000/thumbnail.jp

Back to Earth: Nuclear Weapons in the 2010s

Throughout 2009 it seemed that both nuclear non-proliferation and disarmament were going to make real, fast and lasting progress. Unfortunately, reality bit back and 2010 has shown scant progress in disarmament and not much success in non-proliferation. Over the course of 2009 the US President Barack Obama announced his intention to seek “the peace and security of a world without nuclear weapons”, the ratification of the Comprehensive Test Ban Treaty, the reduction of US nuclear weapons in his Nuclear Posture Review (NPR) and the negotiation of a follow-on agreement on Strategic Arms Reductions with Russia. Negotiations with Iran and North Korea were a positive sign in the wake of the 2010 Nuclear Non-Proliferation Treaty Review Conference and NATO had appeared to reach a consensus on the withdrawal of nuclear weapons from European soil. Nevertheless, the NPR was far more conservative than many had anticipated, the ‘new’ START agreement more timid than expected, NATO will remain a nuclear alliance, Tehran has continued enriching uranium and developing missile technologies, North Korea has scuttled the Six-Party talks and there are potential newcomers such as Burma and, meanwhile, Brazil, Egypt and South Africa have refused to adopt the International Atomic Energy Agency’s (IAEA) Additional Protocol, which would allow inspectors to ensure that no illicit nuclear activities are carried out. This paper analyses all these expectations and realities over the course of 2009 and 2010 –both the lights and shadows–, the current situation and what should be done in view of the latest developments

Deterring Nuclear Attacks on Japan: An Examination of the U.S.-Japan Relationship and Nuclear Modernization

This paper evaluates the effectiveness of the U.S. nuclear weapons arsenal in covering security commitments with its foreign allies, particularly Japan. The U.S. has promised to defend allies all over the world with nuclear forces, and consequently has been forced into a delicate and precarious position. President Barack Obama wants to reach nuclear zero, which would make the world safe from nuclear destruction in the future; yet he also wants to provide security for allied nations in the present, using the very weapons he has marked for destruction. And he is facing an aging Cold War-era nuclear arsenal that needs serious repairs and upgrades in order to remain a credible and capable deterrent. This paper argues that while the U.S nuclear posture up to this point has been satisfactory enough to prevent panic and ensure protection of Japan, the evolving nuclear posture from this point onward will strengthen the credibility of existing security commitments, deter potential attackers, and give Japan the confidence to become a more coordinated partner in the relationship. Components of the paper include the evolution of U.S. nuclear strategy and deterrence, the three historical occurrences of tensions between the U.S. and Japan over nuclear issues, and the current concerns and actions in the alliance today

U.K. AND U.S. MULTINATIONAL CAPITAL BUDGETING AND FINANCING DECISIONS

The purpose of this study is to investigate the capital budgeting and financing decisions of UK and US multinational enterprises. Following a survey approach, this study examines the impact that the general equilibrium and the disequilibrium schools of reasoning have upon international investment and financing decisions of the multinational. Further, the degree of centralisation in financial policy is investigated in the light of the two schools of thought which partition corporate finance theory. A conjoint methodology is utilised in order to evaluate the gravity of various environmental issues upon the foreign direct investment decision as well as the utilities for discrete levels of those determinants. The research inquiry is enriched with in-depth interviews with fourteen senior finance managers of British based multinational companies