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ID: 080473

Institutional choice of bilateralism and multilateralism in int / Rixen, Thomas; Rohlfing, Ingo

Rixen, Thomas	Journal Article
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2007.

Summary/Abstract

Trade relations are governed by a multilateral agreement, whereas the avoidance of double taxation rests on a network of about 2000 separate bilateral treaties. What accounts for the difference in the institutional form? Distinguishing between the bargaining and agreement stage of international cooperation, we first show that the institutional design of both regimes is more complex than commonly assumed. Both exhibit a mix of bilateral and multilateral bargaining that precedes multilateral agreement in trade and bilateral agreement in taxation. We demonstrate that in both regimes, governmental concerns for the distribution of benefits can best be achieved through bilateral bargaining. Multilateral bargaining serves to reduce the high transaction costs of bilateral bargains. Multilateral agreement in trade helps to overcome the problem of free-riding that results from a particular interaction of concerns on distribution and enforcement problems. Since no such problem exists in double tax avoidance, agreement is therefore bilateral in nature

Key Words

International Trade ; International Taxation ; Regional Design

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ID: 144192

Regional design, local autonomy, and ethnic struggle: Romania’s syncopated regionalisation / Dragoman, Dragoş; Gheorghiţă, Bogdan

Dragoman, Dragoş	Article
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Summary/Abstract

Despite many institutional features being changed during the post-communist transition, the regional administration in Romania witnessed a very limited change in post-communist times. Although it was a total political failure, the recent reshaping of the regional administration triggered a vivid public and scholarly interest on the matter. The purpose of the article is to shed new light on political constraints operating when it comes to reshaping regional design in Romania. Whereas official arguments pointed towards the necessity to address EU conditionality, the reshape was more likely underpinned by the government’s attempt to gain electoral advantages in the local elections scheduled for 2012. The decisive opposition made to the project by the Democratic Alliance of Hungarians in Romania (Uniunea Democrată a Maghiarilor din Romania) reveals the importance that ethnic factors have played in this context.

Key Words

Local autonomy ; Political Constraints ; Regional Design ; Ethnic Struggle ; Romania’s Syncopated Regionalisation ; Regional Administration in Romania

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