Brazil, Russia, India, China, South Countries Research Articles

BRICS TENDENCIES TOWARDS REDEFINING THE GLOBAL ECONOMIC ORDER

The paper analyzes the tendencies of BRICS (Brazil, Russia, India, China, South Africa) as an informal block for the creation of a new global economic and political reality. Former superpowers and economies with the most pronounced growth trends are today gathered around a common idea - the creation of an alternative global order. Propagating their vision of the modern world, the BRICS member states seek to change the current constellation of forces at the global level, shift the center of world power from the Euro-Atlantic region and create functional multilateralism. Using the idea and concept of the New Silk Road, China is strengthening its influence in an area where it was not represented during the first decade of the 21st century. Russia is building a new global position based on its energy potential and military cooperation with non-European countries Brazil, India and the Republic of South Africa use instruments of economic diplomacy to further strengthen competitive activities. Brazil is focused on the growth of the trade exchange of agricultural products, above all, fruit. India is repositioning itself globally on the basis of industrial production in the field of information and communication technologies. The Republic of South Africa, as the most developed country in Africa, finds the basis for a new role on the international stage in natural resources and a developed mining sector. The individual influence that the states of this forum have in the global framework is strengthened by joint and coordinated action within the most important global institutions. Certain changes have been made in the quota system of the International Monetary Fund, the issue of the election of leading individuals of the World Bank Group and the World Trade Organization is increasingly topical, as well as the reform of the United Nations Organization, all as a result of the influence of the BRICS countries in the aforementioned institutions.

The Impact of Income Inequality, Renewable Energy Consumption, Non-Renewable Energy Consumption and Per Capita Income on Poverty: Evidence from BRICS Economies

The main purpose of this study is to investigate the role of income inequality, per capita renewable and per capita non-renewable energy consumption, per capita income on poverty reduction in BRICS (Brazil, Russia, India, China, South Africa) countries over the period between 1991–2019. This study used second-generation panel data methodologies taking into account cross-dependence between countries, which gives more accurate results. The outcomes of the panel ARDL unveiled that while an increase in income inequality and per capita non-renewable energy consumption increases poverty, an increase in growth and per capita renewable energy consumption decreases poverty. Based on the findings, policymakers should focus their efforts on developing an appropriate energy strategy that highlights the necessity of a renewable energy-driven economy powered by energy-saving technologies.

Introduction: ‘The BRICS, Global Governance, and Challenges for South–South Cooperation in a Post-Western World’

Over the past decades, the BRICS (Brazil, Russia, India, China, South Africa) countries have experienced significant economic growth. However, their political voices in global governance have not grown on par with their economic surge. The contributions to the symposium ‘The BRICS, Global Governance, and Challenges for South–South Cooperation in a Post-Western World’ argue there is a quest for emerging markets and developing countries to play a more significant role in global governance. There is a widening gap between the actual role of emerging markets and developing countries in the global system and their ability to participate in that system. However, for the moment, various domestic and international political-economic challenges limit this quest. To understand why this is the case, one should understand the BRICS phenomenon in the broader context of the global power shift towards the Global South.

Scenarios for BRICS Evolution in Light of the India–China Conflict

AbstractWhat is the future of the BRICS (Brazil–Russia–India–China–South Africa) group? BRICS has transformed in record time from a global non‐entity into an informal institution that pursues global policy leadership, features extensive policy coordination among five powerful countries, and creates its own organizations. While BRICS momentum seemed unstoppable, a militarized dispute between India and China in 2020 raised questions about the group’s future. This contribution concludes the Special Section by arguing that the BRICS group is not broken. Instead, it faces a range of strategic, geopolitical and operational challenges: how it addresses them will define its future trajectory and its impact on global governance. This essay analyses the situation from a conflict resolution perspective while bringing together insights from the five BRICS countries. It conceptualizes new directions for the BRICS group. Two possible internal conflict management scenarios are outlined: circumventing conflict and making institutional adjustments. Yet the real test of the group’s resilience is its ability to exert collective leadership and improve global governance. BRICS’ response to COVID‐19 and to the challenge of sustainable development offers insights into the group’s ability to advance community goals.

Macroeconomic Determinants of Energy Consumption in BRICS (Brazil, Russia, India, China, South Africa)

Purpose: The study investigates the determinants of energy consumption in BRICS countries. Design/Methodology/Approach: The study is using panel data analysis methodology (fixed effects, FMOLS, pooled OLS, random effects) with panel data ranging from 1996 to 2018. Findings: Under fixed effects, financial development was found to have a significant positive influence on energy consumption in model 1 and a significant negative effect on energy consumption in model 3. Human capital development, financial development, the interaction between financial and human capital development and economic growth were all found to have had a significant positive influence on energy consumption across all the four models. FDI had a significant positive effect on energy consumption in model 1 and 2 whilst infrastructural development had a significant positive influence on energy consumption in model 1, 3 and 4. Under random effects, financial development influenced energy consumption in a significant positive manner in model 2 and 3. Both human capital development and the interaction term separately had a significant positive impact on energy consumption across all the four models whilst trade openness and infrastructural development’s influence on energy consumption was positive and significant in model 1 and 3. Yet economic growth and FDI were found to have had a significant positive influence on energy consumption in model 1 and 4. Under FMOLS, four variables which had a significant positive effect on energy consumption across all the four models include human capital development, the interaction term, economic growth and infrastructural development. Practical implications: BRICS countries are therefore urged to design and implement policies aimed at enhancing human capital development, the complementarity between financial and human capital development, economic growth, and infrastructural development in order to increase renewable and fossil fuel energy usage (energy usage that preserves the ecosystem and promotes sustainable growth). Originality value: It considers the fact that the relationship between energy consumption and its determinants is not of a linear nature (is non-linear).

The Emulation and Adaptation of a Global Model of Clinical Practice Guidelines on Chronic Heart Failure in BRICS Countries: A Comparative Study.

Whilst knowledge about diseases is universal, access to health care is not equally distributed. During the last decade, the countries of BRICS (Brazil, Russia, India, China, South Africa) have become important actors on the global health scene, pushing for universal, affordable, and more equal access to health care. Although non-communicable diseases place a significant burden on all populations and health systems, low- and middle-income countries (LMIC), such as BRICS, have been affected particularly hard. Approximately 80 percent of worldwide deaths from non-communicable diseases occur in LMIC. We examined if guidelines concerning chronic heart failure from BRICS countries are influenced by global scripts and if these guidelines have converged or diverged in an inter-state context. Our analysis shows that guidelines on heart failure published in BRICS predominantly rely on models initially formulated by European or American cardiological organisations. Guidelines from BRICS deviate from these models to some extent, in particular with regard to specific epidemiological conditions. Except for the Indian guideline, they do not, however, extensively engage with BRICS-specific aspects of costs, access to and affordability of health care services. We interpret these results through the lens of sociological theories on globalisation. Consistent with neoinstitutionalism, recommendations for clinical practice guidelines have spread in BRICS countries in a rather isomorphic fashion. Notwithstanding, some local medical traditions have also been included into these guidelines through localised adaptation and variation.

RENEWABLE ENERGY CONSUMPTION, EDUCATION AND ECONOMIC GROWTH IN BRAZIL, RUSSIA, INDIA, CHINA, SOUTH AFRICA

The study investigated two aspects, namely, (1) the impact of renewable energy consumption on economic growth in BRICS (Brazil, Russia, India, China, South Africa) and (2) whether education is a channel through which renewable energy consumption affects economic growth in BRICS. Panel data analysis such as fully modified ordinary least squares (FMOLS), pooled ordinary least squares (POLS) and fixed effects methods were used with data ranging from 1994 to 2015. Both models across all the three estimation techniques show that renewable energy consumption had a significant negative effect on economic growth in support of the findings by Silva et al (2012) and Lee and Jung (2018). What is also clear across all the three panel data analysis methods used is that education reduced the size of the negative effect of renewable energy consumption on economic growth in BRICS. In other words, education is a channel through which renewable energy consumption’s influence on economic growth is enhanced, in support of views by Dunn and Mutti (2004), Ozcicek and Agpak (2017) and Lawrence et al. (1991). The implication of the study is that BRICS countries are therefore urged to invest more in education as that is more likely to enhance the impact of renewable energy consumption on economic growth. Keywords: Renewable Energy Consumption; Education; Growth; BRICS; Panel Data JEL Classifications: Q2, I2, F43, P2 DOI: https://doi.org/10.32479/ijeep.8497

Globalization and Female Economic Participation in MINT and BRICS countries

This study examines the effect of globalization on female economic participation (FEP) in MINT (Mexico, Indonesia, Nigeria & Turkey) and BRICS (Brazil, Russia, India, China & South Africa) countries between 2004 and 2018. Four measures of globalization are employed and sourced from KOF globalization index, 2018, while the female labour force participation rate is a proxy for FEP. The empirical evidence is based on Pooled Mean Group (PMG) estimators. The findings of the PMG estimator from the Panel ARDL method reveal that political and overall globalization in MINT and BRICS countries have a positive impact on FEP, whereas social globalization exerts a negative impact on FEP in the long-run. It is observed that economic globalization has no long-run effect on FEP. Contrarily, all the measures of globalization posit no short-run effect on FEP in the short-run. This supports the argument that globalization has no immediate effect on FEP. Thus, it is recommended that both MINT and BRICS countries should find a way of improving the process of globalization generally to empower women to be involved in economic activities. This study complements the extant literature by focusing on how globalization dynamics influence FEP in the MINT and BRICS countries.

International Legal Format for Trans Regionalisation of Trade and Economic Partnership within BRICS in Global Development

An integral part of globalisation is the emergence of a multipolar world. Strategic partnership at the regional, interregional and trans-regional levels is becoming a new institution and an instrument of modern international relations. The research discusses the international legal cooperation framework of BRICS (Brazil, Russia, India, China, South Africa) as a trans-regional association. The importance of rapprochement of the positions of the BRICS countries in the global political and economic system is emphasised. Particular attention is paid to assessing the BRICS countries economic potential and condition of their national economies, as well as analysing the foreign trade partners of Russia with the BRICS countries, development opportunities and prospects. The following results were obtained: positive factors contributing to the BRICS countries’ trade and economic cooperation strengthening are common interests in trade, export activity and export complementarity of some economic sectors, and the absence of direct competition. The measures to increase and expand mutually beneficial trade and economic partnership within BRICS will enable the countries to most effectively use their resource, technological and trade and economic potential to ensure sustainable growth of the national economy and competitiveness in world development. The results obtained can help formulate a trade and economic cooperation strategy within the BRICS framework.

Culture, Language and Productivity in the Workplace within the BRICS Nations

The changing economic environment globally carries challenges and opportunities for business. Cross-cultural environments and financial integration call for greater understanding of the workplace. The authors assess the usage and status of language and culture in workplaces within the BRICS (Brazil, Russia, India, China, South Africa) countries through a light touch survey to assist in framing further and deeper research activities. The objective is to develop a suitable research framework regarding the place of language and culture in the workplace in multilingual and multicultural contexts. The authors argue for the inclusion of a cultural dimension linked to multilingual strategies in the workplace. The inextricable link between language and culture is explored in this article. It is suggested that orality and the way we pass on information in the workplace should be considered when encouraging productivity in the multilingual, multicultural workplace in order to create a sense of integration and belonging rather than one of alienation.

Grading greatness: evaluating the status performance of the BRICS

An impressive portfolio of case-study research has now demonstrated how and through what means the BRICS (Brazil, Russia, India, China, South Africa) countries have sought higher social status. However, this field of research lacks systematic means of evaluating this status-seeking. This article fills this lacuna by developing a mixed-methods framework enabling scholars to zoom in and compare individual states’ relative status performance. Using diplomatic representation as a proxy for status recognition and comparing it to a country’s status resources (wealth), the framework indicates how successfully countries have generated recognition from the international society. The findings show that China’s economic ascent has been matched by increased recognition, and that South Africa enjoyed an almost immediate ‘status bounce’ following apartheid, turning it from a pariah to a significant overperformer. Russia should be understood as an ‘overperforming status-dissatisfied power’ while India’s status performance has been around ‘par’ for a country of its economic resources. Lastly, Brazil underperforms more than any of the other BRICS, especially since its democratic transition. The findings highlight considerable variance in the type and duration of gaps between status resource and recognition and suggests that rather than treating these as ‘inconsistencies’ awaiting correction, they can and should be accounted for by case study analyses.

Drivers of Growth in Fast Emerging Economies: A Dynamic Instrumental Quantile Approach to Real Output and Its Rates of Growth in BRICS and Mint Countries, 2001-2011

We analyze the evolution of fast emerging economies of the BRICS (Brazil, Russia, India, China & South Africa) and MINT (Mexico, Indonesia, Nigeria & Turkey) countries, by assessing growth determinants throughout the conditional distributions of the growth rate and real GDP output for the period 2001-2011. An instrumenal variable (IV) quantile regression approach is complemented with Two-Stage-Least Squares and IV Least Absolute Deviations. We find that the highest rates of growth of real GDP per head, among the nine countries of this study, corresponded to China, India, Nigeria, Indonesia and Turkey, but the highest increases in real GDP per capita corresponded, in descending order, to Turkey China, Brazil, South Africa and India. This study analyzes the impacts of several indicators on the increase of the rate of growth of real GDP and on the logarithm of the real GDP. We analyze several limitations of the methodology, related with the selection of the explained and the explanatory variables, the effect of missing variables, and the particular problems of some indicators. Our results show that Net Foreign Direct Investment, Natural Resources, and Political Stability have a positive and significant impact on the rate of growth of real GDP or on real GDP.

Impact of Cost Efficiency on Bank Capital and the Cost of Financial Intermediation: Evidence from BRICS Countries

Over last two decades, emerging and developing nations have desperately endeavored for efficient banking sectors. In this study, we argue that bank efficiency generates incentives that can impact banks’ capital holdings and the cost of financial intermediation. Analyzing a panel dataset of 1190 banks from BRICS (Brazil, Russia, India, China, South Africa) countries over the period 2007–2015, we find robust evidence that more efficient banks hold higher capital and charge lower financial intermediation costs. In an extended sample over the period 2000–2015, we observe that cost efficiency had a marginal positive impact on bank capital during the global financial crisis of 2007–2009. We also observe that on average, banks increased the cost of financial intermediation during the crisis, however, greater efficiency helped banks to not charge higher intermediation costs. Our results imply the beneficial impact of bank efficiency for bank stability and real economy.

The Geopolitics and Economics of BRICS’ Resource and Market Access in Southern Africa: Aiding Development or Creating Dependency?

What has been the impact of BRICS (Brazil, Russia, India, China, South Africa) on southern African states’ development policy, practice and outcomes? Have they allowed for the creation of development space and, potentially, the emergence of developmental states, or has their influence reinforced the extractive, neo-liberal nature of most southern African economies? Drawing on key informant interviews with policy analysts and shapers in South Africa, trade data and secondary sources, this article explores the BRICS countries’ relations with, and strategies towards, the region, with a specific focus on the impact of China and South Africa. It explores the nature and influence of BRICS countries’ engagement in the region and the potential for policy space opened up by this.

Education-economic growth nexus in BRICS countries: does financial development matter?

The paper explored education-finance-growth nexus in BRICS (Brazil, Russia, India, China, South Africa) using GMM approach with panel data (1994-2014). According to the endogenous growth theories, both human capital and financial development positively influence economic growth. However, studies that have investigated the complementarity between human capital and financial development in affecting economic growth are very scant. The few available are not specific on education in the finance-growth nexus. Instead, they focused on human capital which is quite broad and might not be helpful in crafting education-financial sector policies that enhance growth. The study observed that education expenditure positively but non-significantly influenced growth in all the seven models. Moreover, the positive impact of education expenditure interacted with different financial development indicators either increased or became significant. BRICS countries are therefore urged to increase expenditure towards education and at the same time deepen their financial systems in order to experience more growth.

ШОС И БРИКС: ОСОБЕННОСТИ УЧАСТИЯ В ПРОЦЕССЕ ЕВРАЗИЙСКОЙ ИНТЕГРАЦИИ

This article analyzes the general and the particular role of the Shanghai Cooperation Organization (SCO) and the BRICS (Brazil, Russia, India, China, South Africa) in the Eurasia integration processes. SCO and BRICS are considered as new forms of international integration in the context of globali-zation. Particular attention is devoted to show the promising areas of cooperation between the SCO and BRICS in Central Asia as a region - the module forming a new global system of global economic rela-tions and international integration. SCO is defined in the article as a regional organization of a global type, in which the key value along with the factors of economic feasibility and safety received a humanistic component, understood as adap-tation and readiness of participants to a new format of dialogue for the future (the “Shanghai spirit”). It is noted that the establishment of the BRICS, above all, was a response to the failure of traditional for XX century the economic and geopolitical rationales and motivations in setting priorities of human development. In addition to the global dimension of the BRICS has a strong regional dimension, which has no analogues in the world practice, each of the BRICS countries is an integral part of continental, regional and subregional conjugate markets and geopolitical spaces. At the global level, BRICS appears in three dimensions: international (traditional), intercontinental and interregional. Within intercontinental partner-ship, the BRICS countries are portals (Gate) for inclusion in the global international cooperation of econo-mies of the regions and related subregions. Regional-global features of the SCO and the global-regional component of the BRICS compete with each other and mutually complementary, that is, can become an important resource for their self-development. Unlike the SCO, in which there is an organizational structure that provides members the vari-ous formats of development, in BRICS priority is given to consensus five-sided format of interaction, which is the key feature of this Group. The analysis showed that the transition to a new international eco-nomic system on the platform of the BRICS can be implemented in the following stated areas of coopera-tion that form the regional development module of global type: cluster of economic and trade partnership; sectoral cooperation; joint participation in large-scale projects to address global problems. Here is the bow with the largest of announced projects in the SCO space - the idea of a cooperation to integrate the Eurasian Economic Union and the Economic belt of the Silk Road, which will require pairing of national development strategies and to further the formation of a partnership network for multilateral associations.

Does military spending promote social welfare? A comparative analysis of the BRICS and G7 countries

Whether military spending is capable of promoting social welfare is currently a controversial issue. The aim of this paper is to investigate how military spending affects the input and output of social welfare (i.e. social welfare expenditures and social welfare index). A panel cointegration analysis and an impulse response function are conducted with multi-country panel data, over two time periods, 1998–2011 and 1993–2007. In addition, to extend a comparative analysis over different economies, BRICS (i.e. Brazil, Russia, India, China, South Africa) and G7 (i.e. the US, Japan, Germany, the UK, France, Italy, Canada) countries are selected as representatives of emerging economies and developed countries, respectively. The empirical results show that military spending enhances social welfare expenditures in developed countries, while the effect is ambiguous in emerging economies. Also, military spending is capable of promoting the social welfare index based on the FMOLS estimation. The comparative analyses indicate that unlike in the G7, the effect of the growth of military spending on the growth of social welfare expenditures is negative and shorter in the BRICS.

Innovation and Labour Productivity in BRICS Countries: Panel Causality and Co-integration

Schumpeter defined innovation as new goods which do not exist in the market, a new production method, a new market or raw material source, a new field of business, a new financial method or an new organization style. From Schumpeter's definition to today innovation appeared in different forms and was an important factor in economic growth equations. Although it is generally accepted that innovation increases the efficiency and productivity of capital, it can also be said that it increases the productivity of labour force as well. Recently the ease and prevalence of performing research through the internet, as well as developments in information and communication technologies had a positive effect on load and productivity of labour force accelerated workflow and also increased the efficiency of production processes and output amounts. Developments of information and communication technologies especially provided development opportunities for countries having high population and labour force and also a high development potential due to an increase in efficiency and productivity of labour force and helped them to have faster and easier economic growth or development. In this study, the aim is to research the effects of innovation on labour productivity for the 5 countries defined as BRICS (Brazil, Russia, India, China, South Africa) which have drawn attention in recent years due to their economic performances by using panel data and dynamic panel data methods. The stationarity of the variables were determined by annual data of the 2000-2012 period and the second generation unit root tests. Initially, labour productivity growth equations estimated, and then short-run relationships were researched by using VAR and Granger causality tests, while long-run relationships can’t be analysed because labour productivity variable is stationary at level or namely I(0). The results of the study produced a positive relationship between innovation and labour productivity.

Потенциал БРИКС и ШОС

The authors consider current status and prospects of Shanghai Cooperation Organization (SCO) and the group of BRICS (Brazil, Russia, India, China, South Africa). It is argued that both are formed by big quickly growing economies. This provides a good potential of economic cooperation. The authors single out the following factors. First of all, all member countries show positive dynamics of economic development. GDP in BRICS and SCO countries grew at the beginning of the XXI century significantly faster than in integration associations built by developed countries (EU, NAFTA). In general, the largest growing economies are on the raising wave of economic cycle and they invest a significant portion of national income into development. This secures them a benefit against developed countries. Secondly, the countries of SCO and BRICS possess vast human potential which is rapidly growing both quantitatively and qualitatively. Thirdly, they are rich in natural resources – in terms of both minerals and agro-climatic conditions. That is why these countries can economically complement each other. BRICS countries already practice economic partnership in a number of spheres – financial, agricultural, scientific and technological. As for investment partnership, the favorable prospects exist for carrying out multilateral mega-projects within BIRCS and SCO. Russia is especially interested in power engineering. Other prospective spheres include airspace, transportation infrastructure, environmental protection, education and vocational training. An important incentive to enhancing cooperation is common strive for transition from conservative resource-based type of development to the innovative economy. Acknowledgments. The article has been supported by the Program of Ural Division of RAS № 14 “Fundamental Problems of Regional Economies, 2015–2017”.

New tuberculosis technologies: challenges for retooling and scale-up [State of the art series. New tools. Number 4 in the series

The availability of new tools does not mean that they will be adopted, used correctly, scaled up or have public health impact. Experience to date with new diagnostics suggests that many national tuberculosis programmes (NTPs) in high-burden countries are reluctant to adopt and scale up new tools, even when these are backed by evidence and global policy recommendations. We suggest that there are several common barriers to effective national adoption and scale-up of new technologies: global policy recommendations that do not provide sufficient information for scale-up, complex decision-making processes and weak political commitment at the country level, limited engagement of and support to NTP managers, high cost of tools and poor fit with user needs, unregulated markets and inadequate business models, limited capacity for laboratory strengthening and implementation research, and insufficient advocacy and donor support. Overcoming these barriers will require enhanced country-level advocacy, resources, technical assistance and political commitment. Some of the BRICS (Brazil, Russia, India, China, South Africa) countries are emerging as early adopters of policies and technologies, and are increasing their investments in TB control. They may provide the first opportunities to fully assess the public health impact of new tools.