PUBL 408/POLS 436 STATE AND THE ECONOMY

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1 School of Government PUBL 408/POLS 436 STATE AND THE ECONOMY Trimesters One and Two 2008 COURSE OUTLINE Contact Details Course Co ordinator: Dr John Wilson RH 802 Tel: (VUW) tba Tel: (Parliament) Office hours: Friday 2.30pm 3.30pm; other times by appointment. Administrator: Appointment Pending RH 821 (Reception) Class Times and Room Numbers Lectures: Friday pm 1.50 pm KK103 Course Objectives The course aims to equip students with an appreciation of the evolution of the state economy relationship, enable them to understand and critique the role of the state in managing the economy, and to understand to what extent states can pursue their public policy goals in the era of globalisation. The course also aims to develop students ability to think critically, to develop their research and analysis skills, and to achieve a high level of ability in written presentation. The seminar presentations provide opportunities for students to critically engage with a body of academic knowledge, to engage intellectually with fellow students and to present material in an accessible and informative manner. The research essays enable students to demonstrate ability in independent research, to gain in depth knowledge of particular aspects of the course material, and to show skills in analysis and written presentation. The final examination allows students to display their understanding of the wider course content by applying course concepts and theories, organisation of material, and logical and coherent arguments in their answers. 1

2 Course Content The state and the market represent two different approaches to organising human behaviour, and the relationship between them has always affected the conduct of public policy. A key theme of the course is the way in which states manage their economic development within an international context increasingly characterised by patterns of globalisation. While globalisation may help to enhance a nation s economic prosperity, it may also impose, to differing degrees, new constraints on the state s ability to pursue economic, social, and environmental objectives. For a schedule of topics and associated readings, please see the seminar schedule below. Expected Workload The workload of the paper is estimated at 12 hours per week, which includes class contact hours (2 hours per week), topic familiarisation (2 hours per week), seminar preparation and associated readings (6 hours per week), and essay development (2 hours per week). Readings and Key Texts The suggested textbooks for the course are: David Held and Anthony McGrew, The Global Transformations Reader: An Introduction to the Globalization Debate, (Polity Press, Cambridge, UK, 2003). Christopher Pierson, The Modern State, (Routledge, London, 2004). There is also a set of required readings for the course, the PUBL 408/POLS 436 course book, which contains many of the assigned readings. Other readings may be posted on Blackboard, or distributed in class from time to time. However, you should not rely solely on the recommended texts or readings to write your research essay or prepare for the final exam. You are expected to show familiarity with the wider literature and demonstrate your ability to independently research topics by using the electronic databases, relevant journals, and library. Assessment Requirements The course will be assessed on a combination of: in term work (60%); a final examination (40%). In term work (60%) consisting of: Seminar participation and two seminar presentations (20% of the final grade) Essay One (due Friday 6 th June) an essay of about 5000 words selected from a given list of essay topics (20% of the final grade) Essay Two (due 10 October) a research essay of about 5000 words based on a topic of your choice but associated with the seminar topics (20% of the final grade) Final exam (40%) There will be a final three hour, closed book examination (40% of the final grade). Students will be required to answer three essay type questions (worth equal marks). The exam period runs from about 20 th October 7 th November

3 The University has a policy of reasonable accommodation of the needs of students with disabilities in examinations and other assessment procedures. Students are advised to speak to the course coordinator or disabilities liaison person in their school/department. Penalties The following penalties will be incurred by the late submission of work: No penalty for one week past the due date if accompanied by medical certificate, or other documentation 15 marks deducted for work submitted later than one week, but less than two weeks, past the due date, or without documentation. Work submitted later than two weeks past the due date will only be accepted at the discretion of the course supervisor. Mandatory Course Requirements In order to pass the course PUBL 408/POLS 436, students must: i) attend at least 75 percent of the weekly seminar presentations; ii) take it in turns to lead the seminar discussion of readings; iii) give two oral seminar presentations; iv) complete and submit two pieces of written work; v) sit the final examination; vi) obtain an overall course mark of at least 50 percent. Attendance at lectures and tutorials is regarded as necessary to the satisfactory completion of any course of study (University Calendar). Your attendance also helps to develop and stimulate your areas of interest; it develops your confidence in expressing your ideas; and it encourages an appreciation and respect for the views of others. Communication of Additional Information Additional information may be posted on Blackboard, or announced in class. Faculty of Commerce and Administration Offices Railway West Wing (RWW) FCA Student and Academic Services Office The Faculty s Student and Academic Services Office is located on the ground and first floors of the Railway West Wing. The ground floor counter is the first point of contact for general enquiries and FCA forms. Student Administration Advisers are available to discuss course status and give further advice about FCA qualifications. To check for opening hours call the Student and Academic Services Office on (04) Easterfield (EA) FCA/Education/Law Kelburn Office The Kelburn Campus Office for the Faculties of Commerce and Administration, Education and Law is situated in the Easterfield Building on the ground floor (EA005). This counter is the first point of contact for : Duty tutors for student contact and advice. Information concerning administrative and academic matters. 3

4 Forms for FCA Student and Academic Services (e.g. application for academic transcripts, requests for degree audit, COP requests). Examinations related information during the examination period. To check for opening hours call the Student and Academic Services Office on (04) Notice of Turnitin Use Student work provided for assessment in this course may be checked for academic integrity by the electronic search engine < Turnitin is an on line plagiarism prevention tool which identifies material that may have been copied from other sources including the Internet, books, journals, periodicals or the work of other students. Turnitin is used to assist academic staff in detecting misreferencing, misquotation, and the inclusion of unattributed material, which may be forms of cheating or plagiarism. At the discretion of the School, handwritten work may be copy typed by the School and subject to checking by Turnitin. You are strongly advised to check with your tutor or the course coordinator if you are uncertain about how to use and cite material from other sources. Turnitin will retain a copy of submitted materials on behalf of the University for detection of future plagiarism, but access to the full text of submissions will not be made available to any other party. General University Policies and Statutes Students should familiarise themselves with the University's policies and statutes, particularly the Assessment Statute, the Personal Courses of Study Statute, the Statute on Student Conduct and any statutes relating to the particular qualifications being studied; see the Victoria University Calendar or go to For information on the following topics, go to the Faculty s website under Important Information for Students: Academic Grievances Academic Integrity and Plagiarism Student and Staff Conduct Meeting the Needs of Students with Impairments Student Support Manaaki Pihipihinga Programme Manaaki Pihipihinga is an academic mentoring programme for undergraduate Māori and Pacific students in the Faculties of Commerce and Administration, and Humanities and Social Sciences. Sessions are held at the Kelburn and Pipitea Campuses in the Mentoring Rooms, 14 Kelburn Parade (back courtyard), Room 109D, and Room 210, Level 2, Railway West Wing. There is also a Pacific Support Coordinator who assists Pacific students by linking them to the services and support they need while studying at Victoria. Another feature of the programme is a support network for Postgraduate students with links to Postgraduate workshops and activities around Campus. For further information, or to register with the programme, manaaki pihipihingaprogramme@vuw.ac.nz or phone (04) To contact the Pacific Support Coordinator, pacific support coord@vuw.ac.nz or phone (04)

5 PUBL 408/POLS 436: SEMINAR SCHEDULE AND READINGS The seminar schedule is set out below together with a number of suggested readings. Where these are not available online, they are mostly provided in the PUBL 408/POLS 436 Coursebook of Selected Readings. These readings will form the basis of debate and discussion each week, and additional readings may be provided from time to time. Each seminar discussion will be led by a different group of students each week. Individual students will present their two seminar topics in designated seminar presentation sessions. Students second seminar presentation should be based on, or related to, their second essay. Please note: i) lectures begin in the second week of the first trimester; ii) towards the end of the second trimester, there will be a short break from formal classes to allow students to concentrate on their second (research) essay. 7 March Course Introduction and Overview Readings John Kay, The State and the Market, in Andrew Gamble and Tony Wright, (eds.), Restating the State?, Blackwell Publishing in association with The Political Quarterly, Oxford, 2004, pp Robert Gilpin, The Nation State in the Global Economy, in David Held and Anthony McGrew, (eds.), The Global Transformations Reader: An Introduction to the Globalization Debate, 2nd ed., Polity Press, 2005, pp Francis Fukuyama, The Missing Dimensions of Stateness, in Francis Fukuyama, State Building: Governance and World Order in the 21st Century, Cornell University Press, New York, 2004, pp David Held, Toward a New Consensus: Answering the Dangers of Globalization, Harvard International Review, Vol. 27(2), Summer 2005, pp Philip G. Cerny, Structuring the Political Arena: Public Goods, States and Governance in a Globalizing World, in Ronen Palan (ed.), Global Political Economy: Contemporary Theories, London, New York, Routledge, 2000, pp

6 14 March Economy State Relationship 1: The Historical and Keynesian Contexts Phyllis Deane, Prelude to the Origins of Political Economy, in The State and the Economic System: An Introduction to the History of Political Economy, Oxford University Press, Oxford, 1989, pp David A. Baldwin, Economic Statecraft in International Thought, in Economic Statecraft, Princeton University Press, New Jersey, 1985, pp Jeffry A. Frieden, Building a Social Democracy, in Jeffry A. Frieden, Global Capitalism: Its Fall and Rise in the Twentieth Century, W. W. Norton & Company, New York, 2006, pp Robert Skidelsky, The Decline of Keynesian Politics, in Colin Crouch (ed.), State and Economy in Contemporary Capitalism, Croom Helm, London, 1979, pp Jeffry A. Frieden, Crisis and Change, in Jeffry A. Frieden, Global Capitalism: Its Fall and Rise in the Twentieth Century, W. W. Norton & Company, New York, 2006, pp March EASTER BREAK: March 28 March Economy State Relationship 2: The Neo Liberal and New Zealand Contexts Jan Aart Scholte, The Sources of Neoliberal Globalization, Paper Number 8, October 2005, Overarching Concerns Programme, United Nations Research Institute for Social Development, pp Thomas J. Biersteker, Reducing the Role of the State in the Economy: A Conceptual Exploration of IMF and World Bank Prescriptions, International Studies Quarterly, Vol. 34( 4), December, 1990, pp Gary Hawke, Economic Trends and Economic Policy, , in G. Rice, W. H. Oliver, B. R. Williams, (eds.), The Oxford History of New Zealand, Auckland, N.Z, Oxford University Press, 1992, pp Brian Roper, Business Political Activity in New Zealand from 1990 to 2005, Kōtuitui: New Zealand Journal of Social Sciences Online, 2006, Vol. 1: Joseph Nathan Cohen And Miguel Angel Centeno, Neoliberalism and Patterns of Economic Performance, , Annals, AAPSS, 606, July 2006, pp

7 4 April Economy State Relationship 3: The Globalisation Context(s) Daniel Drache, From Keynes to K Mart: Competitiveness in a Corporate Age, in Robert Boyer and Daniel Drache, (eds.), States Against Markets: The Limits of Globalization, Routledge, London, 1996, pp Dani Rodrik, How to Save Globalization from its Cheerleaders, RWP07 038, September 2007, Faculty Research Working Papers Series, John F. Kennedy School of Government, Harvard University, pp Geoffrey Garrett, Global Markets and National Politics: Collision Course or Virtuous Circle?, International Organization, Vol. 52(4), Autumn 1998, pp Maria Gritsch, The Nation State and Economic Globalization: Soft Geo politics and Increased State Autonomy?, Review of International Political Economy, Vol. 12(1), February 2005, pp April Seminar Session 1: Economy State Relationships Presenters 14 April 27 April MID TRIMESTER BREAK (including ANZAC DAY 25 th No Class) 7

8 2 May State and Capital Resources 1: Fiscal and Monetary Policy Benjamin J. Cohen, Phoenix Risen: The Resurrection of Global Finance, World Politics, Vol. 48(2), 1996, pp Gunther G. Schulze and Heinrich W. Ursprung, Globalisation of the Economy and the Nation State, The World Economy, Volume 22(3), 1999, pp Duane Swank, The Effect of Globalization on Taxation, Institutions, and Control of the Macroeconomy, in David Held and Anthony McGrew, (eds.), The Global Transformations Reader: An Introduction to the Globalization Debate, 2nd ed., Polity Press, 2005, pp Victor Argy, Monetary and Exchange Rate Policies : The Australian and New Zealand Experience, in Sebastian Edwards (ed.), Capital Controls, Exchange Rates, and Monetary Policy in the World Economy, Cambridge University Press, Cambridge, 1995, pp Benjamin J. Cohen, Can Public Policy Cope?, in Benjamin J. Cohen, The Geography of Money, Cornell University Press, Ithaca, 1998, pp May State and Capital Resources 2: Trade Policy Jeffrey A. Hart and Aseem Prakash, Strategic Trade and Investment Policies: Implications for the Study of International Political Economy, in Jeffry A. Frieden and David A. Lake, (eds.), International Political Economy: Perspectives on Global Power and Wealth, 4th ed, Thomson Wadsworth, Belmont, 2000, pp Malcolm Abbott, Trade Policy in Malcolm Abbott, New Zealand and the Global Economy: External Economic Relations and Trade Policy, Dunmore Publishing, Wellington, 2007, pp Heribert Dieter, Bilateral Trade Agreements In The Asia Pacific: Wise Or Foolish Policies?, CSGR Working Paper Series No. 183/05, December Available at: Dilip K Das, The Doha Round of Multilateral Trade Negotiations and Trade in Agriculture, Journal of World Trade; Vol. 40(2), April, 2006, pp

9 16 May Alternatives to Neo Liberal Economic Management 1: Asian Models of Development Readings Led by Alex E. Fernández Jilberto and Barbara Hogenboom, Developing Regions Facing China in a Neoliberalized World, Journal of Developing Societies, Vol. 23(3), 2007, pp Gurcharan Das, The India Model, Foreign Affairs, Vol. 85(4), July/August 2006, pp Hidetaka Yoshimatsu, State Market Relations in East Asia and Institution building in the Asia Pacific, East Asia: An International Quarterly, Vol 18(1), Spring 2000, pp Jomo K.S., Globalization, Liberalization and Equitable Development: Lessons from East Asia, Overarching Concerns Paper Number 3 July 2003, United Nations Research Institute for Social Development, pp May Seminar Session 2: State & Capital Resources 30 May State and Natural Resources 1 Oil Depletion Readings Led by Fred Curtis, Climate Change, Peak Oil, and Globalization: Contradictions of Natural Capital, Review of Radical Political Economics, Volume 39(3), Summer 2007, pp Clifford J. Wirth, Peak Oil: Alternatives, Renewables, And Impacts, October 28, 2007, (Updated Monthly), pdf Robert L. Hirsch, Roger Bezdek, Robert Wendling, Peaking Of World Oil Production: Impacts, Mitigation, & Risk Management, Science Applications International Corporation, February Summary available from Cornell University Library Open Access John Wilson, What if Muldoon s Think Big Energy Projects had Succeeded?, in Stephen Levine, (ed.), New Zealand as it Might Have Been, Wellington, N.Z, Victoria University Press, 2006, pp Senate Rural and Regional Affairs and Transport Committee, Inquiry into Australia s Future Oil Supply and Alternative Transport Fuels: Executive Summary, 9

10 2 June 6 July MID YEAR BREAK 11 July State and Natural Resources 2: Climate Change Readings Led by Nicholas Stern, What is the Economics of Climate Change?, World Economics, Vol. 7(2), April June 2006, pp New Zealand Government, Executive Summary, in The Framework for a New Zealand Emissions Trading Scheme, The Ministry for the Environment and The Treasury, Wellington, September 2007, pp trading schemecomplete.pdf Klaus Bosselmann, Achieving the Goal and Missing the Target: New Zealand s Implementation of the Kyoto Protocol, Macquarie Journal of International and Comparative Environmental Law, March 2006, pp Suzi Kerr, Review of Proposed New Zealand Emissions Trading System, Motu Economic and Public Policy Research, November 4, 2007, pp proposed nz ets nov07/review proposed nzets nov07.pdf Background: Ministry for the Environment, Atmosphere, in Environment New Zealand 2007, MfE, December 2007, pp dec07/chapter 8.pdf 18 July Alternatives to Neo Liberal Economic Management 2: Green Models of Sustainable Development Herman E. Daly, Free Trade, Sustainable Development and Growth: Some Serious Contradictions A Review, in Herman E. Daly, Ecological Economics and the Ecology of Economics: Essays in Criticism, Edward Elgar, Cheltenham, UK, 1999, pp Brian Milani, The State and Beyond: Postindustrial Forms of Regulation, in Brian Milani, Designing the Green Economy: The Postindustrial Alternative to Corporate Globalization, Rowman & Littlefield Publishers, year?? Oxford, pp John Byrne and Leigh Glover, A Common Future or Towards a Future Commons: Globalization and Sustainable Development Since UNCED, International Review for Environmental Strategies, Vol. 3(1), 2002, pp Bob Frame and Maurice Marquardt, Executive Summary, in Implications of the Sustainable Development Programme of Action, Landcare Research Contract Report, LCO607/015, Landcare Research, October 2006., pp

11 25 July Seminar Presentations 3: State & Natural Resources 1 August State and Social Resources 1: Labour Markets Readings Led by Gordon Betcherman, Globalization, Labour Markets and Public Policy, in Robert Boyer and Daniel Drache, (eds.), States Against Markets: The Limits of Globalization, Routledge, London, 1996, pp Adalberto Aguirre Jr. and Ellen Reese, Introduction: The Challenges of Globalization for Workers: Transnational and Transborder Issues, Social Justice, Vol. 31(3), Fall, 2004, pp Margaret Wilson, Labour Law Reform: Context and Foundations, in Denis R. Nolan (ed.), The Australasian Labour Law Reforms: Australia and New Zealand at the End of the Twentieth Century, The Federation Press, Sydney, 1998, pp Raymond Harbridge and Aaron Crawford, New Zealand Labour Law Reform: Consequences and Prospects, in Denis R. Nolan (ed.), The Australasian Labour Law Reforms: Australia and New Zealand at the End of the Twentieth Century, The Federation Press, Sydney, 1998, pp Erling Rasmussen, Vivienne Hunt and Felicity Lamm, New Zealand Employment Relations: Between Individualism and Social Democracy, Labour & Industry, Vol. 17(1), August 2006, pp August State and Social Resources 2: Social Policy Jonathan Boston, Social Justice and the Welfare State, in Jonathan Boston, Paul Dalziel, Susan St John, (eds.), Redesigning the Welfare State in New Zealand: Problems, Policies, Prospects, Oxford University Press, Auckland, 1999, pp Alison McClelland and Susan St John, Social Policy Responses to Globalisation in Australia and New Zealand, , Australian Journal of Political Science, Vol. 41(2), June, 2006, pp Christine Cheyne, Mike O Brien, Michael Belgrave, Social Policy in the Twenty First Century, in Social Policy in Aotearoa New Zealand: A Critical Introduction, Oxford University Press, Melbourne, 3 rd ed., 2005, pp Santosh Mehrotra and Enrique Delamonica, The Private Sector and Privatization in Social 11

12 Services: Is the Washington Consensus Dead?, Global Social Policy, Vol. 5(2), 2005, pp Joakim Palme, Sustainable Social Policies in an Era of Globalisation: Lessons from the Swedish Case, Social Policy Journal of New Zealand, Vol. 32, November, 2007, pp August Alternatives to Neo Liberal Economic Management 3: Third Way Models Readings Led by. Anthony Giddens, Government, the State and Economic Strategy, in Anthony Giddens, The Third Way and its Critics, Malden, Mass., Polity Press, 2000, pp Colin Crouch, The State and Innovations in Economic Governance, in Andrew Gamble and Tony Wright, (eds.), Restating the State?, Blackwell Publishing in association with The Political Quarterly, Oxford, 2004, pp Paul Dalziel, Third Way Economics: What Might This Mean in New Zealand?, in The New Politics: A Third Way for New Zealand, Dunmore Press, 1999, pp Chris Eichbaum, The Politics and Economics of the Third Way, in C. Eichbaum, P. Harris et al., (eds.), The New Politics: A Third Way for New Zealand, Dunmore Press, Palmerston North, 1999, pp August 31 August MID TRIMESTER BREAK 5 September Seminar Session 4: State and Social Resources 12 September State and Economy Futures Readings Led by Richard A. Slaughter, Why is the Future Still a Missing Dimension?, Futures, Vol. 39, 2007, pp Brian Roper, Globalization and the Shift in Policy Making from Keynesianism to Neoliberalism: The Decline of National and State Autonomy?, in Robert Patman and Chris Rudd, (eds.), Sovereignty Under Siege? Globalization and New Zealand, Ashgate Publishing Ltd., Aldershot, 2005, pp

13 Linda Weiss, Global Governance, National Strategies: How Industrialized States Make Room to Move Under the WTO, Review of International Political Economy, Vol. 12(5), December 2005, pp Robert Pollin, Can Domestic Expansionary Policy Succeed in a Globally Integrated Environment? An Examination of Alternatives, in Dean Baker, Gerald Epstein, and Robert Pollin, (eds.), Globalization and Progressive Economic Policy, Cambridge University Press, Cambridge, 1999, pp September Seminar Session 5: General 26 September Seminar Session 6: General 03 October Seminar Presentations 7: (If required otherwise no class) 10 October Course Review Session / Exam Preparation 13

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