Chapter 5 builds on the observational findings from the previous chapter to test the hypotheses using two survey experiments performed on a sample of British Labour voters. The first experiment manipulates the selective incentives available to members by changing the cost of joining. Not surprisingly, people are more interested in joining when fees are low. The second experiment manipulates the party’s instrumental incentives by stating members can (or cannot) select party leaders and parliamentary candidates, as well as attend events where they may formally participate in determining the party’s future policy direction. The findings support the hypotheses generated by Chapter 2’s formal model: decentralization increases membership, conditional on voter-party alignment.

The First World War marked a shift from liberalism and internationalism to a period characterised by nationalisation, ethnicisation of citizenship, and economic protectionism. The art market’s history aligns with these narratives, highlighting the fragmentation of a European trade zone and the disruption of a transnational trade equilibrium. The war prompted significant structural transformations in these markets, with Germany seeing a surge in art investment as a hedge against inflation. In Britain, art sales were driven by tax obligations and national service investments. Conversely, the French market struggled, facing stagnation and a focus on preserving existing collections due to the threat of destruction. Neutral countries such as the Netherlands and Switzerland maintained stable art markets, fostering avant-garde movements and serving as hubs for buyers and sellers. The year 1914 catalysed structural transformations in these markets, highlighting how modern warfare altered art’s perception, value, and trade.

In the light of the growing interest in crypto-assets and the quest for their institutionalisation, we examine the role that they can play as investable assets useful in standard portfolio problems when asset returns are predictable. In particular, we study whether a mix of macroeconomic factors and crypto-specific predictors can be combined to produce accurate and economically valuable pooled forecasts. With reference to Bitcoin data, we uncover that crypto returns are predictable out-of-sample. Moreover, when this crypto-asset is made available to a mean-variance optimising investor, it generates large risk-adjusted realised performance gains irrespective of the assumed risk aversion. The results on the predictability of cryptocurrencies are robust to a generalisation to Litecoin and Ripple, although on a shorter 2015–2020 sample. However, results turn mixed and come to depend on the assumed risk aversion, when we investigate the power of forecast combinations to generate economic value from the entire pool of cryptocurrencies.

This case study examines the human rights implications arising from the construction of Cambodia’s largest hydroelectric dam, the Lower Sesan II. As a long-standing initiative intended to dramatically expand access to reliable energy sources within Cambodia, the Lower Sesan II was adopted by and labeled a “key project” of China’s Belt and Road Initiative (BRI). However, project developers and contractors face significant criticism as the construction efforts have displaced Indigenous communities and failed to address environmental reports that projected a substantial disruption to local biodiversity, adverse effects that were later documented by local groups and nongovernmental organizations. Drawing from international, transnational, and domestic sources of law, and interviews with various community stakeholders, this study illustrates how Chinese parties building BRI projects engage with applicable human rights obligations through the example of the Lower Sesan II and discusses the consequences of noncompliance.

This chapter argues that by the latter half of the nineteenth century, priests, bishops, and other religious had immense latitude within the diffuse structures of the Church not only to raise money by different means but also to act as the central financial administrator and expert within their own parishes, dioceses, and religious houses, and that this power gave them an influential role in shaping the wider economic culture of Catholic Ireland in the period under review. It first explores levels of accounting and financial management knowledge among clergy and then situates their economic activity, including managing of debt and investments, within a wider transactional framework with wealthy and professional lay Catholics. It finally analyses how clergy were frequently afforded a significant role as arbiters of financial disputes and stewards of financial resources by the laity.

The effects of sanctions have been extensively studied in both the political science and economic literature, but with little appreciation of their consequences for third countries and the firms in these countries. This is an important oversight, given that secondary sanctions have the stated objective of holding third countries not party to the original sanctions regime to account for their actions. This chapter surveys the economic theory behind the possible effects of sanctions on firms in third countries and then extends this to the specific case of secondary sanctions. Looking at the US sanctions regimes on Cuba and Iran, and using the scarce empirical evidence available, this chapter concludes that secondary sanctions are likely to amplify the effect of sanctions. However, their effects will depend on the particular firm, the overall trading relationship between the third party and the sanctioned party, and the relationship between the firm and the sanctioning country.

This chapter explores the impact of intellectual property on increasing income and wealth inequality internationally and domestically, with a focus on law and legal methodology. It begins by setting the scene and background of international intellectual property protection. The chapter then examines the potential of taking into account considerations of income and wealth distribution in the process of interpreting intellectual property rules and explores the potential of the principle of equity. It turns to the overall balance of rights and obligations from an angle of fostering investment in innovation and proposes to recognize creative imitation in the overall equation. It also suggests recalibrating rules on the duration of patents, copyright, trademarks, and trade secret protection. The latter is not subject to limitation and time and may thus contribute to unjustified economic rents detrimental to human investment. This chapter suggests to introduce ceilings of protection and refer to the principle of unjust enrichment in conceptualizing these concerns.

Africa’s unique vulnerability to climate change has become entrenched as a central theme in international climate politics and has precipitated a transformation in climate policy on the continent from relative disorganisation to effective and unified cooperation in the span of barely 30 years. In the same period, Africa has also emerged as one of the fastest growing and most promising regions in the world economy. In light of these developments, and spurred by an international discourse of ‘energy transition’, a new wave of European foreign direct investment headlined by renewable energy has crested – with Africa in its sights. This contribution will explore the efficacy of such investments as a vehicle for ‘exporting’ European climate policy, and the extent to which these policy aims are compatible with similarly massive investments into Africa from the People’s Republic of China (PRC). By interrogating the focus of energy investments from Europe and the PRC, both in terms of stated aims and actual outcomes, it will posit that the success of Africa’s energy transition will depend in large part on the PRC’s sincerity about its domestic and international climate ambition.

This chapter provides an account of different sources of finance for urban nature, the actors involved in providing these sources of finance, and various financial mechanisms through which the sources and the actors are mobilised. It focuses on the four principal models of investing in urban nature, which include funding solicited through public funds, private capital, community/not-for profit funding, and hybrid and collaborative approaches. The chapter discusses the current situation, barriers, and opportunities for investing in urban nature, along with relevant examples. It concludes with insights on how to facilitate more investments in urban nature and support its mainstreaming in cities. The chapter engages with two case studies to illustrate its key messages: Parc Marianne Ecodistrict: investment by real estate developers stipulated by municipality in Montpellier, France, and Mexico City Water Fund: hybrid investing in urban nature in Mexico City, Mexico.

The greatest progress so far in decarbonising the global economy has been made by governments that ignored the advice of economists. Investing in new technologies turns out to be a more effective way of changing things than taxing the incumbents. We need to stop being surprised by this and start replicating those successes.

As the UK, and the world, enters another decade of climate-anguished debate, the record of the Conservatives’ policy and actions between 2010 and 2024 is under scrutiny. Dieter Helm analyses the extent to which the natural environment improved, how housebuilding interacted with pressures to protect the environment, the legacy of privatised industries, comparisons to what a Labour government’s actions in office may have been and to what extent a sustainable path to net zero was achieved by the Conservative Party.

Chapter 7 explores contests that occur in stages, as opposed to the one-shot contests analyzed in previous chapters. Examples of one-shot contests include decisive battles in war and final matches in sports. However, some contests are inherently dynamic, such as lengthy wars, electoral competitions, patent races, sports leagues, and advertising campaigns. Dynamic contest theory is still a developing field, and this chapter focuses on analyzing specific examples of dynamic contests, including Endogenous Timing Contests (where contestants choose when to compete), Elimination Contests (where contestants compete and the winner advances to the next stage), Races (where the first contestant to achieve a certain number of victories wins), Contests with Investments (where current efforts impact future outcomes), and Repeated Contests (where contestants compete repeatedly in the same contest).