Host Government Research Articles

What Blocked the UN’s Response to the Earthquakes in Northwest Syria? Reflections on a Humanitarian System Premised on Government Consent

Abstract This article reflects on the UN response to the earthquakes in Türkiye and Syria in February 2023, and specifically the fact that while the UN responded immediately in southern Türkiye, it did not do so in non-government-controlled northwest Syria. The UN explained that its ‘longstanding position’ was that aid could not be delivered across an international border without host government consent or Security Council authorisation. This article seeks to understand this position. It reviews the law applicable to cross-border humanitarian assistance, and the guidelines and tools that shape the UN’s emergency response. It argues that international law allows cross-border humanitarian assistance without host State consent; however, that the UN’s guidelines and tools do not facilitate the provision of assistance in such a scenario. The article concludes by calling for a review of the law, policies and guidelines that shape the way the UN responds to rapid-onset disasters in conflict contexts.

Predicting Chinese students’ destination choice intentions for international higher education in post-COVID-19: combining the image-value-behavior framework and protection motivation theory

ABSTRACT Despite the dramatic changes COVID-19 brought to international higher education (IHE), studies investigating students’ destination choices for IHE from a pandemic perspective are limited. This study introduces an integrated model combining the destination image-perceived value-behavioral intention framework and protection motivation theory, which includes both promotion and prevention factors and captures students’ destination images regarding COVID-19, to examine factors influencing their destination choices for IHE purposes in the post-COVID-19 era. This study set China as the context, as it is the largest source country in the IHE sector. Data was collected from Chinese university students (N = 346) who were considering studying abroad. Using PLS-based structural equation modeling techniques, the results show that destination image, as a multi-dimensional construct, can be regarded as an important antecedent towards perceived risk, trust in government, and self-efficacy; destination image, trust in government, and self-efficacy positively influence perceived value; and there is a positive relationship between perceived value and destination choice intention. This study provides insights for host governments and educational providers that desire to attract more Chinese students and can help the recovery of IHE after the pandemic.

Why do governments subsidize R&D-Intensive foreign direct investment?

Subsidizing research and development (R&D)-intensive foreign direct investments (FDI) of multinational enterprises (MNEs)—such as through the Creating Helpful Incentives to Produce Semiconductors and Science Act of 2022—is becoming increasingly prevalent worldwide. However, little is known about host governments' incentives for offering them and their strategic potential. Using a simple theoretical model, this study investigates the welfare consequences of an R&D-intensive FDI subsidy compared to those of three other widely used policy alternatives: (i) providing a subsidy based on the MNE's output, (ii) setting the level of intellectual property right enforcement, and (iii) mandating technology transfer through licensing. Our results demonstrate that when the domestic firm's absorptive capacity is sufficiently high, subsidizing MNEs' R&D efforts is welfare-superior to the three other policy alternatives, as it generates positive externalities for domestic firms. Additionally, MNEs' innovation outcomes, profitability, and global welfare can be maximized when an R&D subsidy is chosen. Thus, the findings have key implications for policymakers regarding the welfare consequences of such subsidy policies.

Political economy of refugees: How responsibility shapes the politics of education

In this theory generating article, we take up the question of what shapes the role of host governments in social service provision for refugees, using the case of education. We consider the ways in which traditional theories relevant to the political economy of education vary under a responsibility sharing model of refugee education that has developed in recent years. Under a traditional development approach, in which refugees are integrated into national systems over the long-run, like in the United States or Canada, we would expect the political economy of education to operate similarly to national or other migrant populations. Under a humanitarian model, we would expect responsibility for service provision to align clearly with humanitarian actors, with demands, purposes, and incentives distinct from and minimally entangled with those of hosting states. Under new responsibility sharing models, lines of responsibility become opaque and the political economy of education, including ideas about the purposes of education, actors and the nature of demand, and incentives for its provision become more complex.We argue that the political economy of refugees can be understood as distinct from the political economy for citizens as it requires addressing fundamental questions of responsibility and assumptions about time horizons. Our proposed conceptualization of the political economy of refugees draws on theories from political science, economics, sociology, education, and refugee studies. As host countries and the global community grapple with decisions about services for refugees across sectors, it is critical to understand ways in which factors shaping the political economy may be distinct from national citizens to ensure that approaches are equitable and effective for refugees and host communities.

Sustainable Development Goals (SDGs) and education for Rohingya refugees in Malaysia

The Sustainable Development Goals (SDGs) and education for Rohingya refugees in Malaysia are examined in this paper. The Sustainable Development Goals (SDGs) serve as a blueprint for achieving a better and more sustainable future for all. Its fourth goal is to improve educational quality and enable socioeconomic mobility to help people escape poverty. The problem for Rohingya refugees in Malaysia is that they are not officially recognized by the host government. This study has been conducted using a qualitative approach. Purposive sampling has been chosen to identify respondents like United Nations High Commissioner for Refugees (UNHCR) personnel, Rohingya refugees, and local non-governmental organizations (NGOs). A semi-structured interview question was used to collect the information from the respondents. As a result, one of the consequences is that their children are not permitted to attend government-run schools for formal education. This situation has left them dissatisfied and concerned about their future in Malaysia. Nonetheless, in order to leverage the SDGs’ goal and achieve its motto of “leaving no one behind”, the UNHCR, as an international UN body, made an effort to provide access to the education sector. These efforts aim not only to improve educational quality, but also to strengthen ties between the refugee community and the host society. The local NGOs also collaborate with UNHCR in terms of financial support to further their secondary and even tertiary study. Despite those challenges, it still strives to achieve the SDG No. 4 target to reach the quality of education for Rohingya refugees. As a result, efforts to improve education for Rohingyas in Malaysia are ongoing, and all stakeholders must work together to make it a reality.

Racial Hierarchy and Jurisdiction in U.S. Status of Forces Agreements

Status of Forces Agreements (SOFAs) establish when and how the domestic laws of host governments are applied to American soldiers. Why does the United States share jurisdiction under some SOFAs but not others? I argue that U.S. SOFAs project a racialized conception of host state capacity for governance over American troops on foreign soil. It is through the notion of “capacity” that non-white host partners are stereotyped as possessing inferior courts and legal values. The United States is less likely to share jurisdiction with non-white majority host countries. I motivate my argument with primary accounts of racial discrimination in debates over U.S. SOFA policy. Then, I code U.S. SOFA jurisdiction and estimate its determinants. The results suggest that the United States imposes concurrent jurisdiction to govern its interactions with predominantly white host states, allowing these peer countries to try U.S. personnel, while withholding this same right from most non-white host partners, ceteris paribus. I conclude with a discussion of implications for understanding international law and security from its racial underpinnings.

Competing investor response to direct and indirect expropriation: evidence from the extractive sector

Some research shows that foreign investors generally respond negatively to expropriation by host governments, and other research reveals that investors cope with expropriation. Why are there varied responses to expropriation? The nature of the obsolescing bargain—expropriation—is under-explored and measured unclearly in the political risk literature. I argue that investors respond more negatively to direct than indirect expropriation because the former is a more perceptible policy with clearer consequences for investors’ control rights, which sets up expectations for comparatively worse predatory behavior by the government in the future. Additionally, investors could have a better chance to recover and profit from all of their investments after indirect expropriation compared to direct expropriation, therefore, investors would react more negatively to the latter. I conduct first-pass testing of this prediction using an original survey experiment focusing on the oil industry and using mass public subjects. Results show that the direct expropriation treatment group was less likely to want to reinvest, and the likelihood of wanting to exit to an outside option was higher for subjects who faced direct expropriation. I supplement the experimental findings with a quantitative analysis that is inconclusive and qualitative interviews of practitioners from the oil industry that support the experimental findings.

Exploring the Local Content Paradigm in Hydrocarbon Resources-Rich Countries to Unravel the Emerging Challenges and Way Forward for Cameroon as a Neophyte

Local content in hydrocarbon resource-rich countries has become a panacea for the host governments and other key stakeholders in the extractive industries. As such, more resource-rich developing countries like Cameroon, are trying hard to put in place viable local content frameworks (LCFs), to maximise their benefits from the industries. Despite this, it is noted that such LCFs are often implemented without sufficient research into their efficacy, thus, yielding mixed results. In this sense, the paper examines the impact of LCFs in the hydrocarbon sector, to gain insight into the impending challenges faced by the key players involved in their implementation. Equally, the channels through which LCFs are advancing value creation are traced, by evaluating the different implementation programmes, using clearly stated local content targets to measure efficacy, and assessing the diversity of local content strategies for countries at different developmental stages. To provide the Government of Cameroon, the international oil companies (IOCs), and the domestic suppliers, with some guides on how to successfully develop and implement a LCF. Since the experiences of the countries reviewed in the paper show that the success or otherwise of LCFs remains a function of a country’s institutional setting and developmental paradigm. As such, a successful LCF needs to be anchored on the fact that LCFs need to look beyond the simple generation of economic benefits to focus on the development of linkages. In this regard, the paper accentuates that as IOCs play a key role in the management of natural resources in most African countries. On this basis, the paper seeks to motivate Cameroonian policymakers and practitioners in the hydrocarbon sector to include specific legislation, policy, and model contracts on local content, as a first step towards operationalizing and institutionalising the LCF, as a sustainable and alternative strategy to avoid the resource curse dilemma. Likewise, scholars and other research institutions will find the research outputs as a valuable addition to the current knowledge on the hydrocarbon sector, therefore, an impetus to conduct more research on local content in the sector. Keywords: Exploring, Local Content Paradigm, Hydrocarbon Sector, Emerging Challenges, Way Forward, Cameroon

Technological Transfer Channels of Food and Beverage Processing Multinationals to Host Countries: An Empirical Analysis

This research examines the possibility of food and beverage (F&B)-processing multinational corporations serving as a viable conduit for the international diffusion of technology. It utilizes existing literature to analyse three potential avenues through which technology transfer occurs from these corporations to host sectors: contract farming, domestic collaboration for innovation, and spillover effects of Foreign Direct Investment (FDI). In specific instances, these firms might provide support to local innovators through financial assistance or complementary resources. Additionally, they may actively facilitate technology transfers to particular types of local partners and they may generate demonstration effects. Nevertheless, the prevailing evidence consistently indicates that the impact of FDI on the host sector is generally limited or selective. The findings of this study cast doubt on the overly optimistic views held by international organizations and host governments regarding FDI in the food sector as a major source of cutting-edge technology for host countries. The incentives offered to food and beverage multinationals should be carefully calibrated to strike a balance between acknowledging potential benefits to the sector's innovation system and maintaining a realistic perspective on the actual outcomes. This study combines and analyses three separate empirical lines of research in parallel to offer factual elements for a policy debate. By integrating these different research approaches, the study aims to contribute to a well-informed discussion on relevant policy matters.

Dealing with high-risk environments: Institutional-based tools to reduce political risk costs

The international business (IB) literature on political risk mitigation has assigned explanatory preeminence to the organizational capabilities of multinational corporations (MNCs). The literature has assumed that political risk is avoidable for MNCs with specific political capabilities. We argue that political risk is inevitable. We posit that even if MNCs have political capabilities, host countries' political risk and its associated costs will not simply disappear. Extending the literature on political risk mitigation, we highlight the role of institutional-based tools in curbing political risk costs. Specifically, we posit that MNCs can reduce political risk costs through (i) international investment agreements, (ii) investment contracts with host governments, (iii) political risk insurance, and (iv) guarantees with binding enforcement mechanisms in unison with relying on political capabilities, thereby dampening the negative effect of uncontrollable host country political risk. We leverage the political-institutional approach to political risk and draw on relevant literature from law and IB to develop a framework to describe the conditions under which MNCs may use these institutional-based tools.

Revitalising the Chinese Film Industry through Internationalisation and Interplay with Hollywood Films

Abstract: Previous studies have emphasised mainly the competitive relationship and the resistance of host governments to the expansion of foreign firms in the film industry. Adopting the competitiveness approach, this article, by contrast, analyses how internationalisation has enhanced the competitiveness of China's film industry. It shows that Chinese filmmakers leverage Hollywood's resources via three channels of internationalisation—trade, foreign direct investment and international co-productions. The enhanced competitiveness of China's film industry serves as the foundation for its bargaining power vis-à-vis Hollywood, enabling China to respond more effectively to Hollywood's expansion into its film market. However, the Chinese government's recent tightening of censorship on film production has negatively affected the sustainable relationship between China and Hollywood and hinders China's pursuit of achieving global appeal for Chinese films.

Lone Pine Resources v Canada Award: Steps towards a Recognition of Sustainable Development Principles in Energy Investment Arbitrations

Lone Pine Resources Inc. v. The Government of Canada 1 is the first investment arbitration case in the oil and gas sector in which the host state has taken measures to enforce its domestic sustainable development laws and regulations. In this case, the Canadian government prohibited fracking in the St. Lawrence River basin in Quebec, despite having previously issued a permit, by placing the precautionary principle, which is a principle of sustainable development, as the criterion. The tribunal did not find the host government's action to be a violation of the investor's rights, although it was unable to answer the question of whether the implementation of the precautionary principle constitutes a public purpose according to the NAFTA expropriation standard. However, it is notable that in the submissions of the parties and amicus curiae, reference has been made to the precautionary principle on the basis of applicable domestic and international law. Another feature of this case is that the arbitral tribunal decided to grant the request for participation of amicus curiae by an environmental NGO, and in distinct sections of the final award, it mentioned the views of the environmental group. The implementation of sustainable development is crucial in the field of petroleum arbitrations, given the extent of environmental degradation caused by these projects. Even though this case pertains to North America, it may mark the beginning of a global transformation that affects the petroleum producing countries throughout the world. Additionally, it may open a door for arbitration tribunals to establish compatibility between the standards of investor protection and sustainable development principles such as precaution and public participation.

The State of Social Cohesion in the Post-Settlement of Rohingyas in Cox’s Bazar, Bangladesh

Abstract Since the settlement of Rohingya people in Cox’s Bazar, national and international ngo s have undertaken initiatives such as trust-building and community relationships for establishing social cohesion between the Rohingyas and host communities. However, cohabitation between the two communities is far-behind, and social conflict between the two communities has been a reality for the host society. By applying multiple approaches – perception survey among the local people, focus group discussion (fgd) among the Rohingyas and key informant interviews, this article finds that Rohingya settlement has resulted many challenges such as scarcity of resources, competition over livelihood options, price hikes, decaying of the physical environment, and security complexities. These challenges have been a source of generating conflict instead of building social cohesion in Cox’s Bazar. Survey results outline that local people are anxious about population growth, social unrest, illicit business and drugs, and potential political conflict. The fgd among the Rohingyas explores the uncertain future of the refugee, frustration over livelihood, health, and education for their children. Overall results highlight that social, economic, environmental and political changes in the post-settlement phase post-2017 have been a potential source of conflict. Analysis suggests that the conflict potential for the host society stemming from the Rohingya displaced population is significant enough that the host government and international organisations should consider actions, policies, and diplomatic actions to address the social tension and remedy the emergent problems in the area. Such measures include those that strengthen efforts at repatriation initiatives for the refugee population, and those that can ensure livelihood opportunities for them without compromising such opportunities for the host population.

The octopus that shrank: A historical analysis of how multinationals address policy and contractual uncertainty in a global value chain

AbstractResearch SummaryWe analyze how the evolution of the broad institutional environment influences the vertical integration strategy of a multinational corporation (MNC) leading a global value chain (GVC). We develop a history‐to‐theory study based on the evolution of the banana GVC between 1899 and 1991. We argue that when a MNC's bargaining power vis‐à‐vis the host government is strong, it will choose a governance structure that addresses contractual uncertainty. When the MNC's bargaining power declines because of changes in the institutional environment, it will prioritize a governance structure that protects its assets. We analyze the evolution of MNC's bargaining power as a result of the interaction of three levels of the institutional environment: global, home country, and host country.Managerial SummaryOur study examines vertical integration decisions in a global value chain (GVC) throughout its historical evolution. Using historical sources, we show that when MNC managers perceive their bargaining power to be sufficient to protect them from hostile government actions in host countries, their main concern is that of governing their activities as efficiently as possible by amongst others vertically integrating asset‐specific transactions. When their bargaining power declines, MNCs become more concerned with shielding their assets and rents from expropriations by host‐country governments, thus retreating from vertical integration. We illustrate that the bargaining power of MNCs changes as events at the global, home, and host country levels unfold. For example, MNCs' bargaining power declines in periods featuring economic nationalism, such as the 1960s–1970s.

The determinants of China’s outward foreign direct investment in ASEAN: A panel ARDL approach

Research aims: This paper aims to examine factors influencing China's outward foreign direct investment (FDI) in ASEAN economies.Design/Methodology/Approach: The Kao panel cointegration approach and the Panel ARDL model were used in this study to estimate the long-run and short-run relationship between variables. This method is deemed superior to other panel models since it is advantageous when dealing with non-stationary variables at the level or I(1).Research findings: The estimation results provide empirical evidence that in the long run, ASEAN market size, exchange rate, import and export levels between China and ASEAN countries, inflation rate, and institutional factors such as the index of corruption control and political stability are the primary determinants of the flow of outward foreign direct investments from China to ASEAN economies. Theoretical contribution/Originality: This study provides additional evidence regarding the factors influencing direct investment flow from the home country to the host country, known as an outward foreign direct investment (OFDI). Previous studies have robustly proven that OFDI flows are influenced by factors such as the resources and market size of the host country, as predicted by location theory. This study further provides evidence that host country trade policy, the level of competitiveness demonstrated by favorable exchange rates, and institutional factors like corruption control and political stability are other important determinants in the context of China’s OFDI in ASEAN countries.Practitioner/Policy implication: Maintaining open trade policy, a competitive exchange rate and significant improvement in law and order would be suitable policies for ASEAN economies to attract more investment from China and other countries.Research limitation/Implication: This study did not cover other variables, such as investment facilities provided by the host government. In addition, economic packages like tax holidays and import-tariff discounts are common policies ASEAN countries provide. Hence, this variable can be considered in future research.

Community-Led Education among Rohingya Refugees and the Politics of Refugee Education in Bangladesh

Abstract The academic literature on refugee education and education in emergencies is understandably preoccupied with how to improve educational tools and learning platforms for refugees. However, political restrictions on education from host governments are among the main obstacles for quality education in many refugee settings. This article contributes to the refugee education literature by exploring ways in which refugees themselves can mitigate the denial of the right to education through a combination of traditional community mobilization and the use of new technologies. Specifically, the article analyses the educational strategies that Rohingya youths and community-based education networks manoeuvre to secure basic education in the refugee camps in Bangladesh, despite severe political restrictions. Based on qualitative interviews in 2019 and 2021 (in person and phone interviews) with 38 community teachers and 16 refugee students, and digital data collection, including reviews of learning tools of 21 online programmes, the article presents new knowledge on the strategies that Rohingya youths and adolescents pursue to access learning tools and education. It also shows how community-based education networks and teachers tackle political restrictions on education. These networks represent an educated wellspring of untapped resources with close ties to the refugee community, and insights into the grievances and aspirations of Rohingya youths, that humanitarian education providers should engage with to improve their response.

Antecedents of immigrants' entrepreneurial intention formation process: an empirical study of immigrant entrepreneurs in Canada.

Economic integration of ever-increasing number of immigrants in the host country is a challenge both for the immigrant and their host government. Immigrant entrepreneurship can be one of the solutions to this challenge. However, little is known about how immigrant entrepreneurship intention formation process takes place. Immigrants face various challenging situations that make them psychologically and cognitively distinct. This study models from a holistic perspective, the dimensions of individual and contextual variables as antecedents of Immigrants' entrepreneurial intention (IEI). The study aims to identify the key factors responsible for developing EI of immigrants with an implementation intent. Cross-sectional data from Canada is examined using a sample of 250 immigrants. The analysis adopts a structural equation modelling approach. In addition to risk perception, bridging social network, and experience, we postulate that the perceived distance of entrepreneurial culture (country of origin versus host country) and entrepreneurial support are crucial factors that influence IEI. Empirical analyses based on survey data partially confirmed our hypotheses. The results show the role of psychological and cognitive factors in determining immigrants' intention to start a new business. We extend the Theory of Planned Behaviour (TPB) by identifying certain understudied determinants in the literature and presenting a holistic decision-making process in the context of immigration-entrepreneurship nexus. Examining specific factors that appropriately contextualize immigrant entrepreneurship research and relativize the EI through a learning-based approach advances current literature. It offers insights to policymakers and practitioners to contemplate entrepreneurial culture as a shared liability issue (foreignness, host country), and adapt their entrepreneurship guidance accordingly. Thus, this study opens the way to a better understanding of the business behaviour of immigrants. Their impact matters for the entrepreneurial diversity that resilient ecosystems need.

The mental health effects of changing from insecure to secure visas for refugees.

In response to growing numbers of refugees worldwide, host governments are increasingly implementing temporary protection policies; however, little is known regarding the mental health impact of these policies. This online longitudinal study investigated whether refugees who transitioned from low visa security (e.g. short-term transient visas) to medium (e.g. temporary protection visas) or high visa (e.g. permanent visas) security showed changes in depression symptoms, social difficulties and immigration-related fears. Participants were 1,201 refugees and asylum-seekers from Arabic, Farsi, Tamil or English-speaking backgrounds. Study variables were measured prior to and after change in visa status (6 months apart). Refugees who transitioned from low to medium security visas showed reduced immigration-related fear (B = -0.09, 95% confidence interval = -0.29 to -0.06), but no change in depression symptoms or social difficulties compared to those who retained low visa security. Refugees who transitioned from low to high security visas showed reduced depression symptoms (B = -0.02, 95% confidence interval = -0.04 to -0.01), social difficulties (B = -0.04, 95% confidence interval = -0.05 to -0.01) and immigration-related fear (B = -0.03, 95% confidence interval = -0.06 to -0.01) compared to those who retained low visa security. Findings indicate that the increased security afforded by temporary protection policies (vs short-term transient visas) did not translate into improved mental health and social outcomes for refugees. In contrast, permanent protection was associated with significant improvements in psychological and social functioning. These results have important policy implications for countries who have committed to protect and facilitate improved mental health among refugees.

Reshaping state–citizen relationships through donor‐designed targeting systems in Lesotho and Malawi

AbstractSocial and humanitarian cash transfers in sub‐Saharan Africa are increasingly used to support a wide range of vulnerable populations with long‐term support or immediate relief. Designing and implementing cash transfers typically involves a range of transnational actors and government stakeholders who continuously exert power which in turn affects state–citizen relations. The data informing this article come from 109 key informant interviews with (inter)national‐level stakeholders involved in three social cash transfers and two humanitarian cash transfers in Lesotho and Malawi. This article argues that donor‐designed targeting approaches in Lesotho and Malawi create space for new state–citizen relations, but that these are relatively shallow and reconfigured once technical capacity allows for targeting approaches that rely less on communities. It contributes to the literature on the role of transnational actors in social protection by showing that their role is significant when it comes to creating new redistributive relations, even if transnational actors are unable to convince host governments to take full fiscal responsibility for their initiatives due to differing views on who deserves what kind of support.

Mediating and moderating effects of social networks and business environment on the relationship between entrepreneurial orientation and sustainable competitive advantage among small and medium Malaysian firms in Cambodia

ABSTRACT This study seeks to examine the relationship between entrepreneurial orientation (EO) and sustainable competitive advantage (SCA) with social networks (SNs) as a mediator and the business environment (BE) as a moderator among Malaysian small and medium enterprises (SMEs) operating in Cambodia. Using a snowballing sampling methodology, the study gathered data from 103 SMEs to undertake the moderation-mediation analysis. The findings show that SN mediates and BE moderates the association between EO and SCA, demonstrating that entrepreneurs focus on leveraging external resources to compete in the marketplace, especially when embedded in a highly dynamic but hostile BE. The evidence shows that a profound understanding of small business internationalisation and operational factors can assist home and host governments to support better the relocation and functioning of SMEs abroad.