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Cohesion Policy and European Union Politics  

Simona Piattoni and Laura Polverari

Cohesion policy is one of the longest-standing features of the European construction; its roots have been traced as far back as the Treaty of Rome. Over time, it has become one of the most politically salient and sizable policies of the European Union, absorbing approximately one-third of the EU budget. Given its principles and “shared management” approach, it mobilizes many different actors at multiple territorial scales, and by promoting “territorial cooperation” it has encouraged public authorities to work together, thus overcoming national borders. Furthermore, cohesion policy is commonly considered the most significant expression of solidarity between member states and the most tangible way in which EU citizens “experience” the European Union. While retaining its overarching mission of supporting lagging regions and encouraging the harmonious development of the Union, cohesion policy has steadily evolved and adapted in response to new internal and external challenges, such as those generated by subsequent rounds of enlargement, globalization, and shifting political preferences regarding what the EU should be about. Just as the policy has evolved over time in terms of its shape and priorities, so have the theoretical understandings of economic development that underpin its logic, the nature of intergovernmental relations, and the geographical and administrative space(s) within which the EU polity operates. For example, whereas overcoming the physical barriers to economic development were the initial targets in the 1960s and 1970s, and redesigning manufacturing clusters were those of the 1980s and 1990s, fostering advanced knowledge and technological progress became the focus of cohesion policy in the new century. At the same time, cohesion policy also inspired or even became a testing ground for new theories, such as multilevel governance, Europeanization, or smart specialization. Given its redistributive nature, debates have proliferated around its impact, added value, and administrative cost, as well as the institutional characteristics that it requires to function. These deliberations have, in turn, informed the policy in its periodic transformations. Political factors have also played a key role in shaping the evolution of the policy. Each reform has been closely linked to the debates on the European budget, where the net positions of member states have tended to dominate the agenda. An outcome of this process has been the progressive alignment with wider strategic goals beyond cohesion and convergence and the strengthening of linkages with the European Semester. However, some argue that policymakers have failed to properly consider the perverse effects of austerity on regional disparities. These unresolved tensions are particularly significant in a context denoted by a rise of populist and nativist movements, increasing social discontent, and strengthening Euroskepticism. As highlighted by research on its communication, cohesion policy may well be the answer for winning back the hearts and minds of European citizens. Whether and how this may be achieved will likely be the focus of research in the years ahead.

Article

Regulatory Governance: History, Theories, Strategies, and Challenges  

David Levi-Faur, Yael Kariv-Teitelbaum, and Rotem Medzini

Regulation, that is, rulemaking, rule monitoring, and rule enforcement, is both a key policy and legal instrument and a pillar of the institutions that demarcate political, social, and economic lives. It is commonly defined as a sustained and focused control mechanism over valuable activities using direct and indirect rules. Most frequently, regulation is associated with the activity of public independent regulatory agencies, designed to promote economic, social, risk-management, integrity, or moral goals. Since the 1990s, more and more states worldwide are establishing such agencies and placing more emphasis on the use of authority, rules, and standard-setting, thus partially displacing earlier emphasis on public ownerships and directly provided services. Alongside this rise of the “regulatory state,” the expansion of regulation is also reflected in the rapidly growing variety of regulatory regimes that involves nonstate actors, such as private regulation, self-regulation, and civil regulation. Regulatory regimes can be explained and assessed from three theoretical perspectives: public-interest theories, private-interest theories, and institutional theories. Each perspective shines a different light on the motivations of the five regulatory actors: rule-makers, rule intermediaries, rule-takers, rule beneficiaries, and citizens. Over the years, diverse regulatory strategies evolved, including: prescriptive strategies that attempt to mandate adherence in precise terms what is required from the rule-takers; performance-based strategies that set in advance only the required outcomes; and process-based strategies that attempt to influence the internal incentives and norms of rule-takers. Although it appears that regulation is here to stay as a keystone of society, it still faces fundamental challenges of effectiveness, democratic control, and fairness.

Article

South Korea and the European Union  

Sunghoon Park

Since the inauguration of the official diplomatic relationship between Korea and the European Union (EU) in 1963, the bilateral relations have continuously upgraded, to reach the status of a Strategic Partnership in 2010, which is supported by three key agreements—the Framework Agreement, the Free Trade Agreement (FTA) and the Framework Participation Agreement. The bilateral relationship has undergone profound changes around the mid-1980s, transforming it from an economy-focused and one-sided preferential relationship to a comprehensive and more equal partnership. Among others, the 2000s have been most dynamic and productive in upgrading the Korea–EU bilateral relationship. Not only EU’s policy initiatives such as the “Global Europe” strategy, but also Korea’s aspiration to play an increasingly important leadership role in regional and global arena have been instrumental in instituting the strategic partnership between Korea and the EU. Considering the past trajectory and recent development, the Korea–EU relationship appears to have a bright future. Stronger policy dialogues and common efforts, especially in climate change and energy, education and culture, and international development cooperation, are needed to make the bilateral relationship more meaningful and commensurate to the weight of the two parties in the global politics and economy.

Article

The U.S. Politico–Military–Industrial Complex  

John A. Alic

The three large military services—Army, Navy, and Air Force—comprise the core of the U.S. politico–military–industrial complex. They dominate decision making on multi-billion dollar weapon systems and the operational concepts these are intended to embody. The armed forces need private firms to realize their visions of new weaponry, since government has limited capacity in engineering design and development and limited production facilities. Running a successful defense business means giving the services what they want, or think they want, whether this makes technical and operational sense or not; thus industry caters to the views of the services, and while it seeks to influence them, does so mostly at the margins. The political dynamics of the complex take place in two primary domains, only loosely coupled. The first is largely contained within the Defense Department. This is the main arena for conflict and bargaining within and among the services and between the services, individually and collectively, and Pentagon civilians. Most of what happens here stays hidden from outsiders. Service leaders generally seek to resolve disagreements among themselves; the goal, often although not always achieved, is to present a united front to civilian officials and the public at large. The second domain extends to the rest of government, chiefly Congress, with its multiple committees and subcommittees, and the White House, home of the powerful Office of Management and Budget among other sources of policy leverage. The complex as a whole is an artifact of the Cold War, not greatly changed over the decades. Repeated efforts at restructuring and reform have led to little. The primary reason is that military leaders, senior officers who have reached the topmost ranks after lengthy immersion in generally conservative organizational cultures, usually have the upper hand in bureaucratic struggles. They believe the military’s views on choice of weapons—the views of seasoned professionals—should have precedence over those of civilians, whether Pentagon appointees and their staffs, elected officials, or outside experts. They usually prevail, since few of the political appointees on the civilian side of DoD and in policy-influencing positions elsewhere can command similar authority. If they do not prevail on a particular issue, service leaders expect to outwait their opponents; if they lose one battle over money or some cherished weapon system, they anticipate winning the next.