The paper presents the selected parts of the translation of the Chapter 10 Scenarios for Financial Stability of Tertiary Education of the publication Higher Education to 2030. Volume 2: Globalization published by OECD in 2009. It explores how tertiary education worldwide could develop in financial sustainable manner, providing an overview of the main alternatives for higher education financing today with an emphasis on different allocation models and suggestions on possible future scenarios for higher education financing.
Once the legacy of the global financial crisis has been overcome, global GDP could grow at around 3% per year over the next 50 years. Growth will be enabled by continued fiscal and structural reforms and sustained by the rising share of relatively fast-growing emerging countries in global output. Growth of the non-OECD will continue to outpace the OECD, but the difference will narrow over coming decades. From over 7% per year over the last decade, non-OECD growth will decline to around 5% in the 2020s and to about half that by the 2050s, whereas trend growth for the OECD will be around on average 1¾ to 2¼% per year. The next 50 years will see major changes in the relative size of world economies. Fast growth in China and India will make their combined GDP measured at 2005 Purchasing Power Parities (PPPs), soon surpass that of the G7 economies and exceed that of the entire current OECD membership by 2060. Notwithstanding fast growth in low-income and emerging countries, large cross-country differences in living standards will persist in 2060. Income per capita in the poorest economies will more than quadruple by 2060, and China and India will experience more than a seven-fold increase, but living standards in these countries and some other emerging countries will still only be one-quarter to 60% of the level in the leading countries in 2060. In the absence of more ambitious policy changes, rising imbalances could undermine growth. As the current cycle unwinds, the scale of global current account imbalances may increase and return to pre-crisis peaks by 2030. Government indebtedness among many OECD countries will exceed thresholds at which there is evidence of adverse effects on interest rates and growth. Global interest rates may therefore start to rise over the long-term. Bolder structural reforms and more ambitious fiscal policy could raise long-run living standards by an average of 16% relative to the baseline scenario of moderate policy improvements. Ambitious product market reforms, which raise productivity growth, could increase global GDP by an average of about 10%. Policies that induce convergence towards best practice labour force participation could increase GDP by close to 6% on average.
This article considers the interconnection between the institutional change in the sphere of security and China’s smart power in the Asia-Pacific region. It explores the practical dimension of China’s smart power in the region after the Cold War, and analyzes the multilateral interaction on security issues in the Association of the Southeast Asia Nations (ASEAN). The appropriate mechanisms in which all the major actors participate are the basis and essence of the macro regional security architecture. This article identifies the links between China’s smart power and the macro regional security institutionalization. It begins by describing the ideological dimension of Chinese foreign policy since the establishment of the People’s Republic. It considers the main theoretical concept constituting China’s international strategy and its economical methods of spreading soft power in the Asia-Pacific region. It goes on to analyze the process of multilateral interaction in macro regional security after the Cold War, recognizing that despite the promotion of cooperation in non-traditional security issues there are still challenges for China, the United States and ASEAN in the realm of traditional security. Moreover, the effective and efficient use of smart power in the ASEAN mechanisms helps China counteract the efforts of other countries in the region to limit its politics. The article concludes that regional multilateral security institutions have reached their limit of effectiveness due to their design and the politics of the main actors. To sustain an acceptable level of security in the region, all participants need to develop new institutions or radically reorganize the existing ones.
Expanding services market access has became a priority for trade policies of developed country Members of the World Trade Organization, but hasn’t met support by the majority of developing country participants. The article analyzes the factors impeded the services trade negotiations under the Doha Round, develops the relationship between trade policy interests of the country and offered possible options for a new International Services Agreement on Trade in Services both in the framework of the WTO and beyond its mandate.
This article provides a historical background and analysis of Turkey soft power policy, its concept and tools. Turkey’s use of soft power in Eurasian countries is facilitated by its history and position at the intersection between Europe and Asia, as well as ethnic, religious and linguistic communities on its territory. Over the last two decades, complex internal and external factors have transformed its soft power policy and enhanced its influence in the countries where it has geopolitical interests, especially in Caucasus and Central Asia. The main external factor was the formation of new independent states after the collapse of the USSR in 1991. Turkey’s foreign policy approach was transformed by the rise to power of the centre-right conservative Justice and Development Party in 2002. Democratic reforms reduced the military’s influence over foreign policy, strengthened civil society and increased the active participation of actors such as business and civil society organizations in foreign policy. In addition foreign affairs minister Ahmet Davutoğlu’s new approach of “Zero Problems with Our Neighbours,” based on the doctrine of strategic depth (Stratejik Derinlik) and using political dialogue, economic interdependence and cultural harmony, reinforced Turkish soft power. Moreover, protests in the Middle East and North Africa led to a consideration of the Turkish state model as an example to be followed. Another important factor was Turkey’s participation in various international institutions.
The efficient use of soft power strategies, tools and activities in language promotion, education and scientific cooperation, business collaboration and development assistance by Turkish diplomats and experts in international relations has resulted in a positive and attractive international image of Turkey. Turkey implements its soft power policy through bilateral and multilateral cooperation. For example, it established the Cooperation Council of Turkic-Speaking States (CCTS), the Parliamentary Assembly of Turkic-Speaking Countries (TURKPA) and the Joint Administration of Turkic Culture and Art (TÜRKSOY) to increase collaboration with target countries.
Despite of the positive outcomes from soft power, Turkey needs a multidimensional strategy to promote its influence abroad that takes into account key foreign policy objectives such as negotiations with the European Union and decreasing tensions with Syria and Cyprus.
The paper discusses social aspects of higher education institutions engagement with their regional communities. On the basis of the cases of the Russian Siberian and Southern Federal Universities the author analyzes practices and formats of their interaction with different regional stakeholders as part of the FUs' social function implementation. The FU's capacity to enhance their third mission is assessed. The author suggests a set of indicators to assess universities social activities impact on development of the regions, and puts forward recommendations on building the federal universities capacity for fulfilling their third role. The paper is prepared within the framework of the Ministry of Education and Science project "Organizational and analytical support to the national priority project "Education" on activities aimed at "Development of Federal Universities", carried out by the National Training Foundation.
This paper sets out to analyse the need for better “transparency tools” which inform university stakeholders about the quality of universities. First, it gives an overview of what is understood by the concept of transparency tools and those that are currently available. Authors then critique current transparency tools’ methodologies, looking in detail at the question of data sources, the risks involved in constructing league tables and the challenges in using composite indicators. Lastly, authors argue in favour of developing a new principle for transparency tools: that of multidimensional ranking.
The article is dedicated to the analysis of the smart power factor in the processes of institutional changes in international relations, their main elements and features, the importance of interactions on the matter of “power” in the evolution of international system and subsystems. The author notes that nowadays we can observe another turn of transformation of the international relations environment. It is connected to the drastic expansion of the opportunities for trans-border interaction between different communities and social groups. The result can be the creation of the new identity, which exists beyond the states’ frontiers. The wide practice of the trans-border contacts contributes to growth in significance of the values and ideology in international interactions. At the same time, the background for transformation of the international relations environment is the globalization that exacerbates the problem of the “three key divides”: socio-economic, politic and value ones. As the result, we see an exponential increase in world politics’ uncertainty and international weakness of the states. One of the most effective remedy to systematize interactions and eliminate uncertainty is the building of the complex institutional structures. Moreover, they reflect convictions and values appeared in societies and communities in the process of history. Therefore, the building of appropriate institutes can significantly ease many of existing international problems, including ones connected with the international environment’s changes. Another important thing is to provide mutual benefits for all of the involved actors. Otherwise, the efficiency of the building systems would not be significant. The abovementioned decrease in the international capacities of the states also appears in the decrease of the “hard-power” source to promote national interests. The significance of the “soft power” is constantly rising. However, the “soft power” is not the mechanism of the direct action regarding the politics of other states. More effective and adequate remedy we see the “smart power” that combines “hard power” for compulsion and vengeance and “soft power” for persuasion and attraction. The capacities of an actor to promote “smart power” are closely linked with contextual intellect and existing path dependence that are rooted in culture and historical experience, which shape the features of the collective cognition and perception of some events and occurrences. The above mentioned factors directly influence the process of international institutionalization. In the context of analysis of some “smart power” aspects, the author draws attention to the “three faces of power” concept. In addition to that, the article points out the determinant meaning of the security in international processes which accounts for almost every important decision of elites in the process of definization12. The improving of security can be treated as the decrease in uncertainty, including by the means of institutionalization and collective “smart power” implementation.