As William Chislett explains in our regular Inside Spain section, the violent dismantling by Moroccan security forces of a refugee camp on the outskirts of the capital of the Western Sahara, put Madrid in a difficult and uncomfortable position. Having stopped short of condemning Rabat’s action, the government is under strong public pressure to take a tougher line with Morocco, a strategically important country. Also concerning Foreign Policy, the EU’s Foreign Ministers decided in Brussels not to heed Spain’s call for a change in the common position towards Cuba, but did agree to explore ways to further dialogue. On the Domestic Scene, the Prime Minister, struggling to put the economy back on its feet, thinned down and reshuffled his cabinet ahead of the general election due by March 2012, and said that the government was one of ‘reform, of the definitive recovery of the economy and of employment’. Within the Economy, and for the first time since 2007, the unemployment rate fell below 20% and the number of households in which all members are unemployed dropped by 15,900 to 1.29 million.

Our highlights this month include an analysis by one of Spain’s recently appointed Ministers, Ramón Jáuregui, who writes about the crucial role of the European Parliament in the negotiations concerning the future European External Action Service. The second highlight, by the Cuban economist Pavel Vidal Alejandro, aims to explain what he calls the island’s monetary and financial jigsaw puzzle, a result of the ‘2008-09 balance of payments crisis and a succession of errors in economic policies… added to the costs and distortions of currency duality’. Finally, our analyst Pablo Bustelo looks at the measures implemented so far by the Chinese government in order to curb the deterioration of the environment, which are ‘quite ambitious and much stricter and more numerous (especially in light of the degree of economic development in China) than is usually thought in the West’.

Joining Minister Jauregui’s ARI in Europe, William Chislett writes about the EC’s annual report on Turkey’s progress towards full EU membership, which, although it regards the process in a more positive light, states that there will be no breakthrough until the Cyprus problem is resolved. On International Economy and Trade an ARI by our analyst Federico Steinberg compares the currency war that has now begun with that of the 1930s, explains the relationship between competitive devaluations and protectionism, and examines the domestic political factors that explain the positions of major countries with regard to exchange rates, evaluating the various coordination proposals presented. Erik Assadourian, on climate change, writes that ‘curbing ecological decline more broadly will take nothing less than transforming cultural systems so that living sustainably becomes as natural as living as a consumer feels today’. Bruno Ayllón Pino, in our International Cooperation and Development section tackles the subject of cooperation as an instrument of Brazilian foreign policy and the role of Brazil in the new architecture of aid. An analysis by Christophe Bertossi originally published in French, explains the complicated issue of the recent expulsions of the Roma from France within our Demography, Population and International Migrations area. Finally, Fernando Reinares, our senior analyst for International Terrorism, presents an interesting analysis of what he terms Alerts, alarms and threats, arguing that a public awareness campaign about the plans of al-Qaeda and its affiliated groups in Western Europe should neither raise alarm nor minimise the problem.

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The European Parliament: A Major Player in the Negotiations on the Creation of the European External Action Service (ARI)
Ramón Jáuregui Atondo
This ARI looks at the role of the European Parliament in the negotiations on the organisation, structure and functioning of the future European External Action Service.

The EU's Progress Report on Turkey's Accession: A Glimmer of Light in the Tunnel, but Cyprus Remains the Main Obstacle (ARI)
William Chislett
The European Commission's annual report on Turkey's progress toward full EU membership showed the country's arduous accession process in a more positive light, but there will be no breakthrough until the Cyprus problem is resolved.

Document of Interest
Elcano Royal Institute - The Strengthening of National Parliaments within the European Integration Process. A new role for the Spanish Cortes Generales after the Lisbon Treaty
The Second Seminar of the National Parliaments and the UE Project: 'The Strengthening of National Parliaments within the European Integration Process. A new role for the Spanish Cortes Generales after the Lisbon Treaty' was held on 22 October in Madrid (Spain). It was organised by the Centre for Political and Constitutional Studies, the Elcano Royal Institute and the Manuel Giménez Abad Foundation, and sponsored by the Spanish State Secretariat for the European Union.

 
The Cuban Monetary and Financial Jigsaw Puzzle (ARI)
Pavel Vidal Alejandro
The 2008-09 balance of payments crisis and a succession of errors in economic policies have resulted in new monetary and financial complications in the Cuban economy, to be added to the costs and distortions of currency duality.

Document of Interest
IMF - Regional Economic Outlook: Western Hemisphere
This year's edition of the Western Hemisphere Regional Economic Outlook -subtitled 'Heating Up in the South, Cooler in the North'- emphasises how a slow recovery in the US and other advanced economies and the strength of Asia will shape the outlook for the various economies of Latin America and the Caribbean in a different ways.

 
Is China doing enough to protect the environment? (ARI)
Pablo Bustelo
Following the recent worsening of problems linked to pollution, it is worth looking at the measures implemented so far by the Chinese government in order to safeguard the environment.

Document of Interest
World Bank - China Quarterly Update-November 2010
According to the latest edition of the World Bank China Quarterly Update, 'China will continue to face (local and global) environmental sustainability challenges to meet the energy needs arising from rapid economic development'. The report provides updates on recent economic and social developments and policies in this country.

Currency Wars: Between Domestic Politics and International Cooperation (ARI)
Federico Steinberg
The incipient currency war could lead to a protectionist escalation that would hinder the global economic recovery. This paper analyses the various angles of the currency war and possible ways of resolving it.

Cultural Change for a Bearable Climate (ARI)
Erik Assadourian
Stabilising the climate and curbing ecological decline more broadly will take nothing less than transforming cultural systems so that living sustainably becomes as natural as living as a consumer feels today. To do that, it will be necessary to harness leading societal institutions just as consumer interests did in the past century, when they so effectively normalised consumerism.

Document of Interest
G-20 - Seoul Summit Declaration
Conclusions of the G-20 Seoul Summit held from 11 to 12 November in Korea. See also the annexes The Seoul Development Consensus for Shared Growth.

Document of Interest
U.S Department of State - U.S Climate Action Report 2010
The 2010 Climate Action Report documents the major actions the US is undertaking at federal level to address climate change, highlights examples of state and local action and outlines US efforts to assist other countries' efforts to address climate change. The 2010 CAR is submitted as a formal national communication in accordance with Articles 4 and 12 of the UNFCCC.

Brazilian Cooperation: a model under construction for an emerging power (ARI)
Bruno Ayllón Pino
The media, analysts and markets have focused a great deal of attention on the consolidation of Brazil as an emerging power, mainly in the economic and global governance spheres. However, there is little information and few studies on cooperation as an instrument of Brazilian foreign policy or on Brazil's role in the new architecture of aid, despite its increasing presence in Africa and its leading role in debates on international development.

Document of Interest
UNDP - Human Development Report 2010. The Real Wealth of Nations: Pathways to Human Development
The 20th anniversary edition of the HDR examines decades of Human Development data trends, refines the original Human Development Index with new databases and methodologies, and introduces new measures adjusting the index to reflect gender disparities and other internal national inequalities. It also features the Multidimensional Poverty Index (MPI), which was developed by the Oxford Poverty and Human Development Initiative (OPHI) with UNDP support.

France and Deporting the Roma: How Did We Get There? (ARI)
Christophe Bertossi
The deportation of Rumanian and Bulgarian Roma from France led to international condemnation while it was widely accepted by French public opinion.

Document of Interest
UNFPA - State of World Population 2010
The 2010 edition of the State of the World Population -published by the UN Population Fund (UNPFA) and entitled From Conflict and Crisis to Renewal: Generations of Change- links Peace, Security and Development to Women's Rights and Empowerment. According to this report, 'discrimination against women not only exposes them to the worst effects of disaster and war, including rape, but also deprives their countries of a prime engine for recovery'.

Alerts, alarms and threats: how much should the people of Europe be told? (ARI)
Fernando Reinares
A public awareness campaign about what al-Qaeda and its affiliated groups keep trying to do in Western Europe should neither raise alarm nor minimise the problem.

Document of Interest
Congressional Research Service - American Jihadist Terrorism: Combating a Complex Threat
Published on 20th September, this Congressional Research Service report describes homegrown violent Jihadists and the plots and attacks that have occurred since 9/11. 'Homegrown' and 'domestic' are terms that describe terrorist activity or plots perpetrated within the US or abroad by American citizens, legal permanent residents or visitors radicalised largely within the US.