Account Deficit Research Articles

What helps improve outcomes of industrial policy in developing countries? Evidence from Russia

ABSTRACT In developing countries, implementing effective industrial policies faces challenges due to capacity and governance constraints, hindering accumulation of recognised success stories. This impedes our understanding of effective industrial policy tools in countries with accountability deficits. This article explores Russia’s Industrial Development Fund (IDF) support programmes, initiated since 2014, aimed at promoting import substitution through low-interest loans to industrial firms. These IDF programmes appeared to be more effective than most of Russia’s other industrial policy instruments. The article shows that they have resulted in statistically significant sales growth for supported businesses. It highlights institutional features contributing to programme effectiveness, ensuring the integrity of beneficiary selection and project support. It offers valuable insights for organisations implementing state support programmes in challenging governance conditions. Additionally, the recent emergence of more effective industrial policy tools like the IDF may partly explain Russia’s increased economic resilience against international sanctions imposed due to the war in Ukraine.

Striving for Peace: Addressing Human Rights Challenges in UN Peacekeeping Operations

United Nations (UN) peacekeeping operations have been pivotal in global efforts to stabilize conflict zones and mitigate violence for over seven decades. Utilizing soldiers, police personnel, and civilian peacekeepers from diverse backgrounds, these missions aim to implement multidimensional mandates while upholding international legitimacy. Beyond traditional roles of maintaining peace and stability, modern peacekeeping endeavours encompass a spectrum of responsibilities, including civilian protection, demobilization, and human rights enforcement, thereby fostering the transition from conflict to peace. However, amidst these noble goals, the UN has faced persistent criticism regarding human rights violations and sexual abuse by peacekeepers. This paper delves into the UN’s efforts to address legal and policy concerns, ensuring human rights protection and restoring the integrity of peacekeeping. It examines normative frameworks guiding peacekeeping missions and the evolving role of human rights therein. Despite advancements, challenges persist, including ambiguous mandates, political discord, and accountability deficits. Ambiguities in\ conceptual frameworks further complicate operationalization, necessitating clarity and coherence in mandates and implementation.Recommendations for improvement include prioritizing civilian protection and human rights, fostering political consensus, and addressing discrepancies in resource allocation. Additionally, measures to ensure accountability, including penalties for troop-contributing countries and re-evaluation of peacekeepers’ immunity, are vital. In conclusion, while UN peacekeeping remains indispensable in global peace efforts, addressing human rights violations and enhancing accountability are imperative to uphold its integrity and effectiveness.

Accountability in outsourced public service delivery: an Australian study

ABSTRACT We examine Australia’s aged care system to understand how the accountability architecture was shaped by outsourcing and explore the resulting implications for service outcomes. We conceptualize quality service provision as a boundary object – i.e. an idea, information, or other mechanism of governance – shared by stakeholders potentially with differing meanings across sites. We highlight NFPs’ emphasis on regular reporting with a compliance focus and muted outcome-based accountability. This accountability deficit was masked by the multi-layered principal–agent relationships. The study suggests the need for integrating outcome-based performance monitoring mechanisms of the state with those of outsourced service sites.

‘You don’t know what you’ve got ‘til it's gone’: Police retention of investigative materials

The seizure, safe handling and secure storage of evidence during criminal investigations is pivotal to the successful detection and prosecution of offences. The safe retention of materials after an investigation closes, even post-conviction, is also critical both to the ability of the appellate system to function and for ‘cold cases’ to be reviewed. Yet despite periodic high-profile instances in which failures to ensure the integrity and retention of evidence have occurred, there is a reticence to admit to evidence being lost; in particular, to consider the issue on an aggregate rather than a case-by-case basis. This lack of transparency is compounded by an accountability deficit, in which the issue falls through regulatory gaps. Provoked to locate proof of lost evidence, this article examines police retention of investigative materials, and details the results of surveys undertaken with lawyers and miscarriage of justice campaigners ( n = 65) and police ( n = 87), and 21 interviews with serving and retired police officers. We identify ‘weak links’ in the evidence chain that need strengthening, including the enhancement of training, improved physical packaging and storage facilities, sufficient training of police staff and the creation of specialised ‘exhibits’ roles. Further to practical resource demands, the issue requires accessible data so that the problem can be acknowledged, and accountability and oversight mechanisms created to assure processes.

Talking about Europe? Explaining the salience of the European Union in the plenaries of 17 national parliaments during 2006–2019

To provide accountability, Members of Parliament (MPs) are expected to publicly communicate European Union (EU) affairs. Yet, parliamentary communication of EU affairs remains underexplored and existing analyses are conflicting. Against this background, this article sheds light on what drives MPs to talk about the EU, utilizing a novel dataset based on over 20,000 plenary protocols from 17 parliaments during 2006–2019. The study highlights that EU mentions increase in connection to referendums, summits, treaty ratifications, and European elections. Additional drivers include transfers of authority to the EU level, EU legislation, and political incentives. The findings provide some nuance to more pessimistic evaluations of the EU's accountability deficit, but major legitimacy challenges remain concerning national elections and Eurozone integration.

They Talk the Talk – But Do They Walk the Walk?

Transparency is recognized as a crucial condition for accountability, good governance and democracy. As right to information (RTI) laws have spread, it is crucial to ask whether ambitious legislative frameworks translate to de facto transparency. In this article, we test how well local governments in Sweden – a ‘most-likely country’ for implementing RTI-laws – comply with its comparatively ambitious Public Access to Information and Secrecy Act. As a side-effect, we also gauge if New Public Management-reforms, here illustrated by increased public ownership of enterprises in local government, implies lessened compliance with RTI-legislation. Requesting information from 462 randomly selected public administrations and municipally owned enterprises, counter-intuitive findings are observed. Less than half of the organizations respected the RTI-legislation, and no significant differences were found between the public administrations and publicly owned enterprises. The findings have methodological as well as empirical implications. They highlight the importance of not only studying legislative frameworks, but also analyzing actual implementation of RTI-frameworks in everyday situations. Also, they demonstrate that problems relating to openness can be observed in low-corrupt, mature democracies with strong bureaucratic capacity that traditionally are hailed for their long history of ambitious RTI-laws. Lastly, and contrary to much popular belief, the findings indicate that publicly owned corporations not necessarily do imply a ‘accountability deficit’.

The European Union, the United States, and Trade: Metaphorical Climate Change, Not Bad Weather

US and EU trade relations exhibit a set of chronic and secularly unsustainable imbalances, in which new Schumpeterian leading sectors and catch-up growth create growing tension in the asymmetrical and somewhat hierarchical US–EU relationship. These imbalances exhibit two distinct cycles interrupted by a clear structural break in the 1970s and an emerging cycle after the 2008–2010 crises. Each cycle has seen rising US current account or trade deficits with Europe provoke some financial or political crisis. Each crisis produced a US-led solution producing even greater imbalances in the next cycle, with concomitant stress on the asymmetric US–EU relationship. The EU and particularly the northern eurozone economies typically have relied on export surpluses for growth. But relying on export surpluses for growth reinforces EU dependence on the US and the US dollar at a time when US domestic politics are increasingly hostile to trade deficits and tension with China is rising.

A Framework for Assessing Accountability in Collaborative Governance: A Process-Based Approach

Abstract Despite the complexities involved around the accountability mechanisms of collaborative governance, little is known about how to assess accountability at the network level and disentangle possible accountability deficits. This study first explicates the nature of collaborative governance accountability in contrast to accountability in traditional public administration and market-based governance. The analysis shows how collaborative governance accountability is distinctive: (a) accountability relationships shift from bilateral to multilateral; (b) horizontal as well as vertical accountability relationships are involved; (c) not only formal standards but also informal norms are used; and (d) accountability challenges move from control/audit issues to trust-building and paradox management issues. We then propose a framework for accountability in collaborative governance, drawing its dimensions from the process-based accountability research. Our framework builds on three dimensions of collaborative accountability—information, discussion, and consequences—and elaborates on their components and indicators. Based on the framework, questions to guide future research are provided, focusing on tensions and paradoxes that can arise in each process dimension as primary accountability challenges in collaborative contexts.

An accountability deficit? Holding transgovernmental networks to account

ABSTRACT International cooperation in networks between national civil servants is often judged necessary to address global policy challenges. The civil servants cooperating with each other in these transgovernmental networks (TGNs), are often employed by national agencies that are not part of a ministry. It is therefore assumed in the literature that participating in a TGN renders account giving to a political forum difficult. We offer in this paper a state-centered perspective on the functioning of TGNs to assess whether a trade-off exists between accountability and the creation of technocratic driven networks. We develop a typology of TGNs and accountability, based on the function and the governance style of networks. In three out of four cases studied, variation in the institutional set-up influences which type of accountability is dominant. In one case we expected to find political accountability but observed that elected politicians did not hold civil servants in TGNs to account.

Assessment of Feldstein’s ‘Global Imbalance'

This note is a systematic review of arguments provided by Feldstein (2008) on the necessity for global readjustments, both in the U.S. and in main trading partners. The purpose is to address the main arguments in the scientific and political debate on persistent To date, there has been no publication that challenged the opinions leading to totally wrong forecasts concerning the global imbalance. With a perspective of more than 10 years of post-2008-crisis developments, and together with empirical evidence one can easily see how erroneous were the arguments formulated in 2008. The tasks included a systematic review of all arguments formulated by Martin Feldstein in 2008, and casting them against empirical evidence. The U.S. current account (CA) deficit has continued for many years, since 1982, and has not changed, as foreseen by Feldstein. The primary method is a simple comparative analysis, supported by basic macroeconomic data. They allow to reveal multiple processes leading to further deterioration of the U.S. trade balance. Neither savings rate domestically nor abroad adjusted to give a basis for solving the global imbalance. In the same time, all traditional arguments presented on global imbalances seem undeniable. However, an alternative interpretation of the imbalance does not recognize the CA deficit as “a gift to the U.S. economy”. This paper sheds new light on the “global imbalance”, suggesting that increasing domestic absorption by China may be an important factor in resolving the U.S. problematic and persistent trade deficit. Disaster-scenarios may be not there in the U.S. to experience. Future developments may be far from those announced, and previously expected by Feldstein in his seminal paper. A careful reader may conclude that all coming changes and adjustments will be slow, gradual, and will not cause any major issues in the global economy. Such conclusions seem most justified by hard data and therefore encouraging. As the topic remains central to open economy empirical macroeconomics, continuation of studies on this issue seems natural. The U.S. and China will remain the biggest economies, and, as such, they are central to the global situation.

Accountability through public participation? Experiences from the ten-thousand-citizen review in Nanjing, China

AbstractIn this contribution, we report on an in-depth case study of the ten-thousand-citizen review in Nanjing, an initiative to deal with the accountability deficit with which many Chinese governments have to cope. Nanjing Municipality invited citizens to evaluate officials’ performance, and their reviews influenced the scores of officials’ remunerations and even their careers. On the basis of theory, in this study, we develop a typology that is used to analyse how the introduction of this new horizontal practice of “letting citizens judge” influenced the existing accountability relations and how these relationships evolved over time. Our findings show that citizens’ involvement initially resulted in a practice in which types of accountability were mixed and resulted in a situation of multiple accountabilities disorder. Only gradually were accountability characteristics aligned and the accountability deficit and overload reduced. This demonstrates the difficulties and challenges of introducing horizontal accountability arrangements in existing accountability systems.

Protection of Civilians and Peacekeeping’s Accountability Deficit

ABSTRACT Debates around performance and accountability are now front and centre in discussions around peacekeeping reform. Both concepts are prominent in the UN Secretary-General’s Action for Peacekeeping Initiative, while the Security Council recently stressed the need to improve ‘posture, behaviour, leadership, initiative and accountability’ within peace operations. This paper explores the politics of the accountability debate and the prospects for improved peacekeeper accountability in the context of protection of civilians (PoC) mandates, with an understanding that civilians in conflict often need protection not only from conflict parties but also – as the struggles with sexual exploitation and abuse (SEA) demonstrate – from peacekeepers themselves. While strengthened accountability mechanisms can help bridge the gap between the promise and the practice of protection, declining peacekeeping budgets and the amorphous and all-encompassing nature of PoC mandates complicate developing specific performance metrics and accountability mechanisms. Thus, while the UN has struggled to ensure misconduct accountability with regard to SEA, performance accountability represents a challenge of considerably greater magnitude. Absent serious consideration of the structural impediments involved, and the imperative of managing ambiguity, the accountability/performance debate may do little more than exacerbate tensions between those countries who staff peacekeeping missions and those who pay for them.

Accountability through Dialogue: New Zealand’s Experience during the COVID-19 Pandemic

New Zealand successfully pursued an elimination strategy during the COVID-19 pandemic, managing to stamp out community transmission of the virus through lockdowns, border control, contact tracing and other public health measures. This chapter evaluates the accountability of government during the height of the pandemic, while emergency settings applied and aggressive measures were deployed. The analysis adopts a relational or dialogical conception of accountability – focusing on explanation, interrogation, judgement and consequences – and looks across the political, constitutional and learning (continuous improvement) dimensions of accountability. Overall, concerns about an accountability deficit during the pandemic generally did not arise in New Zealand because the government continued to render account for its actions – the ability of various forums to scrutinise and judge the government’s actions was maintained and, in some cases, was enhanced.

Government-Citizen Pandemic Relief Efforts: Case of India's PM CARES Fund

Government-citizen collaboration is recognized as an important response dynamic in pandemic relief contexts, particularly in developing countries where government efforts alone are insufficient. This paper examines the PM CARES Fund, a government-citizen contribution towards coronavirus relief efforts in India, as a case study on the problems of transparency & accountability which prevent public value preservation in pandemic contexts. The findings suggest that the PM CARES Fund is but one more example of gross transparency & accountability deficits by the Modi-BJP Government, and serves as a cautionary tale for developing country government-citizen pandemic relief programmes.

Are the twin or triple deficits hypotheses applicable to post-communist countries?

This study examines the validity of the twin or triple deficits hypotheses using bootstrap panel Granger causality analysis and an annual panel dataset of six post-communist countries (Russia, Poland, Ukraine, Romania, the Czech Republic, and Hungary) during the period from 1994 to 2015. The results corroborate neither the validity of the twin deficits hypothesis nor its extended version, the triple deficits hypothesis, for any of the sample countries. In other words, we find no Granger causal relationship between budget deficits and external (trade or current account) deficits or among budget deficits, private savings-investment deficits, and external deficits in the countries examined. On the basis of these results, we reject the Keynesian view of the twin or triple deficits hypotheses. Rather, we confirm the Ricardian view.

Corporate governance and democratic accountability: local state-owned enterprises in Norway

AbstractTransferring public service provision to state-owned enterprises (SOEs) raises concerns over accountability deficits. We argue that the governance of SOEs requires reconciliation of the accountability relations found in traditional models of public administration, and the normative structures of control and accountability developed in the world of private enterprises, commonly referred to as corporate governance. To this end, we propose a model for structuring accountability relations between SOEs and governmental owners. The model prescribes a distinction between the roles of elected representatives and top managers as “forums” for accountability concerning the governmental owner’s mission-related and non-mission-related preferences towards the SOE. The model’s relevance is tested empirically using data from a study of SOEs in Norway’s local government sector. The analysis indicates that accountability practices in line with the prescriptions of the model were associated with a heightened sense of control over the SOEs.

Beware of Courts Bearing Gifts: Transparency and the Court of Justice of the European Union

This article reconsiders the principle of transparency in the European Union (EU) legal order and takes as its focal point the contribution of the EU Courts as regards the presumptions of non-disclosure of EU documents. The aim is to investigate the role played by the judiciary in relation to a twofold question: How open can the Union’s decision-making be, and is it possible for citizens to participate in the decision-making process of EU institutions, bodies, offices and agencies? The article argues that accountability deficits in the field of access to documents have been filled, to an extent, by the EU Courts’ imposition of boundaries on the broad derogations to the right of access to documents. But nevertheless, the article concludes that the establishment through the case law of general presumptions against openness has fundamentally weakened the standards of accountability. Rather regrettably, although the EU legislature set the default position to the widest access to documents, this has been reversed to non-disclosure by the EU judiciary as regards non-legislative documents.

The Transition from Barter Trade to Impediments of the Dollar System: One Nation, One Currency, One Monopoly

Before the invention of money (coin or paper) there was barter trading, a form of exchange without the use of a monetary medium such as coinage, paper money, or electronic cash (i.e. Bitcoin); Adam Smith (1776) described barter trade as primitive in his seminal “The Wealth of Nations” book. Since the 2008 global financial crisis, there has been an increase in barter trade by various countries that are; i) heavily indebted with insufficient foreign reserves; ii) imposed sanctions by the U.S. (i.e. Iran, North Korea, Russia, etc.); attempting to avoid the use of dollars in local, regional and international trade; iv) interested in reducing current account and trade deficits. With growing resistance to using US dollar in international trade by China, Russia, Turkey, Venezuela, Iran, North Korea, and Cuba; the question is how much longer can the US dollar keep its “kingpin” currency status? According to economist Jim O'Neill, not very long. The quick rise of Chinese economy and constant threat of Russia will challenge the dollar dominance, and maybe the latest theatrical trade war between the United States and China is the best or only response the U.S. was able to come up with.

The customisation effect of pre-arranged sales under Anglo-American insolvency law and practice: accountability deficits and possible remedies

ABSTRACTThere is an increasing tendency to create an accelerated judicial approach to business sales by plaiting the informal approach and the state-supplied statutory approach when dealing with corporate distress. This article investigates the extent to which formal insolvency procedures in the UK and the USA can be customised through pre-planning to achieve business sales and critically evaluates the challenges brought about by the plaiting. It is argued that the accelerated approach to business sales in insolvency tends to shift the key properties of the statutory procedure from creditor coordination and plan formulation towards verification of pre-arranged transactions. In this way it creates a vacuum of control over the quality of business decision-making and eliminates the inclusiveness of the statutory procedure leaving ample room for rent-seeking by insiders. To mitigate these deficiencies the article suggests a more responsive approach with increased accountability and better-equipped evaluation to control abuse.

Cop or Comrade? Accountability Deficits in Police Covert Operations Targeting Activist Groups

There is growing evidence that covert police operations involving surveillance and infiltration are expanding beyond a traditional undercover criminal investigation to target activist groups. Due to the nature of such activity and the legal uncertainty around police powers of this kind it is difficult to know when democratic rights are being undermined. This paper argues that if such police practice is occurring, the potential legal, political and administrative accountability mechanisms are inadequate in both their availability and effectiveness. While the current climate of security inhibits public disapproval of police spying, it is apparent that more robust legal standards are needed to prevent abuses of public power.