Theorizing Borders: An Interdisciplinary Perspective

The current renewed interest in the study of borders and borderlands is paralleled by a growing concern and debate on the possibility of a border model, or models, and of a border theory, or theories. Certainly, there is a new attention to theoretical consideration and discussion that could help sharpen our understanding of borders. In this essay, I argue that a model or general framework is helpful for understanding borders, and I suggest a theory of borders. The seeds of my arguments are grounded in a variety of discussions and in the works of border scholars from a variety of social science disciplines. My contention is that the literature on borders, boundaries, frontiers, and borderland regions suggests four equally important analytical lenses: (1) market forces and trade flows, (2) policy activities of multiple levels of governments on adjacent borders, (3) the particular political clout of borderland communities, and (4) the specific culture of borderland communities. A model of border studies is presented in the second part of this essay, and I argue that these lenses provide a way of developing a model that delineates a constellation of variables along four dimensions.     

Traffic congestion: an experimental study of the Downs-Thomson paradox

This study considers a model of road congestion with average cost pricing. Subjects must choose between two routes—Road and Metro. The travel cost on the road is increasing in the number of commuters who choose this route, while the travel cost on the metro is decreasing in the number of its users. We examine how changes to the road capacity, the number of commuters, and the metro pricing scheme influence the commuters’ route-choice behavior. According to the Downs-Thomson paradox, improved road capacity increases travel times along both routes because it attracts more users to the road and away from the metro, thereby worsening both services. A change in route design generates two Nash equilibria; and the resulting coordination problem is amplified even further when the number of commuters is large. We find that, similar to other binary choice experiments with congestion effects, aggregate traffic flows are close to the equilibrium levels, but systematic individual differences persist over time.     

The failure of Ricardian equivalence under dynastic altruism

This paper investigates the theoretical accuracy of the Barro [Barro, R.J., 1974. Are government bonds net wealth? Journal of Political Economy, 82, 1095–1117] debt neutrality proposition. We first identify a discrepancy between the transversality condition of a social planning problem and the one of altruistically linked overlapping generations. Then, this discrepancy is exploited to construct public debt policies which affect the competitive equilibrium allocation even when bequests are strictly positive in all periods: a violation of Ricardian equivalence.     

Cross-border linkages among Asian closed-end funds

This study investigates the behavior of nine Asian closed-end country funds traded on the NYSE over the period 1990–2001. The results indicate that fund discounts follow a mean-reverting process and, furthermore, display various cross-border patterns of influence that are contingent on the period examined. Notably, for the overall period, the Korean Fund exhibits the strongest market leadership. However, in the period following the Asian financial crisis, movements in the Thai Fund's discount have the strongest influence on, and responsiveness from, the other country funds.