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  • 2010-2014  (3,096)
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  • Washington, D.C : The World Bank  (3,106)
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  • 1
    Online Resource
    Online Resource
    Washington, DC : World Bank Group | Washington, D.C : The World Bank
    ISBN: 9781464804229
    Language: English
    Pages: Online-Ressource (106 p)
    Edition: World Bank eLibrary
    RVK:
    Keywords: Westafrika ; Ebola-Virus ; Auswirkung ; Wirtschaft
    Abstract: Beyond its terrible toll in human lives and suffering, the Ebola epidemic has inflicted a measurable economic impact on West Africa in terms of forgone output, higher fiscal deficits, rising prices, lower real household incomes, and greater poverty. This impact results partly from the health-care costs and forgone productivity associated with being infected, but it is driven principally by the efforts of the uninfected population to avoid exposure ('aversion behavior'). The Economic Impact of the 2014 Ebola Epidemic: Short- and Medium-Term Estimates for West Africa provides a mixed methods analysis of the economic impact, combining theory on the channels of economic impact of the epidemic, economic indicators across sectors in the affected countries, and models of how these economies interact with each other and with the broader world. The result is a quantification of the potential overall magnitude of the economic impact for Guinea, Liberia, and Sierra Leone, as well as for West Africa as a whole. Ebola's short-term economic impact (2014) in the three core countries is on the order of US
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  • 2
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    ISBN: 9781464803444
    Language: English
    Pages: Online-Ressource (232 p)
    Edition: 2015 World Bank eLibrary
    Series Statement: World Development Report
    Abstract: Development economics and policy are due for a redesign. In the past few decades, research from across the natural and social sciences has provided stunning insight into the way people think and make decisions. Whereas the first generation of development policy was based on the assumption that humans make decisions deliberatively and independently, and on the basis of consistent and self-interested preferences, recent research shows that decision making rarely proceeds this way. People think automatically: when deciding, they usually draw on what comes to mind effortlessly. People also think socially: social norms guide much of behavior, and many people prefer to cooperate as long as others are doing their share. And people think with mental models: what they perceive and how they interpret it depend on concepts and worldviews drawn from their societies and from shared histories. The World Development Report 2015 offers a concrete look at how these insights apply to development policy. It shows how a richer view of human behavior can help achieve development goals in many areas, including early childhood development, household finance, productivity, health, and climate change. It also shows how a more subtle view of human behavior provides new tools for interventions. Making even minor adjustments to a decision-making context, designing interventions based on an understanding of social preferences, and exposing individuals to new experiences and ways of thinking may enable people to improve their lives. The Report opens exciting new avenues for development work. It shows that poverty is not simply a state of material deprivation, but also a “tax†? on cognitive resources that affects the quality of decision making. It emphasizes that all humans, including experts and policy makers, are subject to psychological and social influences on thinking, and that development organizations could benefit from procedures to improve their own deliberations and decision making. It demonstrates the need for more discovery, learning, and adaptation in policy design and implementation. The new approach to development economics has immense promise. Its scope of application is vast. This Report introduces an important new agenda for the development community
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  • 3
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    ISBN: 9781464801303
    Language: English
    Pages: Online-Ressource
    Edition: 2014 World Bank eLibrary
    Series Statement: Equity and development
    DDC: 331.01/10954123
    Keywords: Guaranteed annual income ; Manpower policy, Rural ; Right to labor ; Unemployment ; Guaranteed annual income ; Manpower policy, Rural ; Right to labor ; Unemployment ; Guaranteed annual income ; Manpower policy, Rural ; Right to labor ; Unemployment
    Note: Includes bibliographical references and index
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  • 4
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    ISBN: 9781464801785
    Language: English
    Pages: Online-Ressource (244 p)
    Edition: 2014 World Bank eLibrary
    Series Statement: World Development Indicators
    Abstract: This Little Data Book presents tables for over 213 economies showing the most recent national data on key indicators of information and communications technology (ICT), including access, quality, affordability, efficiency,sustainability, and applications
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  • 5
    Language: English
    Pages: Online-Ressource (27 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Eichengreen, Barry Tapering Talk
    Abstract: In May 2013, Federal Reserve officials first began to talk of the possibility of tapering their security purchases. This tapering talk had a sharp negative impact on emerging markets. Different countries, however, were affected very differently. This paper uses data on exchange rates, foreign reserves and equity prices between April and August 2013 to analyze who was hit and why. It finds that emerging markets that allowed the real exchange rate to appreciate and the current account deficit to widen during the prior period of quantitative easing saw the sharpest impact. Better fundamentals (the budget deficit, the public debt, the level of reserves, or the rate of economic growth) did not provide insulation. A more important determinant of the differential impact was the size of the country's financial market: countries with larger markets experienced more pressure on the exchange rate, foreign reserves, and equity prices. This is interpreted as showing that investors are better able to rebalance their portfolios when the target country has a relatively large and liquid financial market
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  • 6
    Language: English
    Pages: Online-Ressource (46 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Didier, Tatiana Financial Development in Asia
    Abstract: This paper documents the major trends in financial development in Asia since the early 1990s and the spillovers to firms. It compares Asia with advanced and emerging countries and uses both aggregate and disaggregate indicators. Financial systems in Asia remain less developed than in advanced countries but more developed than in Eastern Europe and Latin America. Bond and stock markets play a larger role and institutional investors have gained importance. Nonetheless, capital-raising activity has not expanded. A few large companies capture most of the issuances. Many secondary markets remain illiquid. The public sector captures a significant share of bond markets. The largest advancements in Asia occurred in China and India. But still in these countries, few large companies use capital markets to expand and grow, becoming much larger than nonuser firms. In sum, Asia's financial systems remain less developed than aggregate measures suggest, with few spillovers to many firms
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  • 7
    Language: English
    Pages: Online-Ressource (54 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Aguilar, Arturo Decomposition of Gender Differentials in Agricultural Productivity in Ethiopia
    Abstract: This paper employs decomposition methods to analyze differences in agricultural productivity between male and female land managers in Ethiopia. It employs data from the 2011-2012 Ethiopian Rural Socioeconomic Survey. An overall 23.4 percent gender differential in agricultural productivity is estimated at the mean in favor of male land managers, of which 10.1 percentage points are explained by differences in land manager characteristics, land attributes, and unequal access to resources (the endowment effect). The remaining 13.4 percentage points are explained by unequal returns to productive components, but cannot be easily tied to specific covariates. These results are mainly driven by non-married female managers (mainly single and divorced). Married female managers do not display such disadvantages. Further analysis along the productivity distribution reveals that gender differentials are more pronounced at mid-levels of productivity and that the share of the gender gap explained by the endowment effect declines as productivity increases. Detailed decomposition of estimates at selected points of the agricultural productivity distribution provides valuable information for policy intervention purposes
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  • 8
    Language: English
    Pages: Online-Ressource (46 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Ali, Daniel Ayalew Is There a Farm-Size Productivity Relationship in African Agriculture?
    Abstract: Whether the negative relationship between farm size and productivity that is confirmed in a large global literature holds in Africa is of considerable policy relevance. This paper revisits this issue and examines potential causes of the inverse productivity relationship in Rwanda, where policy makers consider land fragmentation and small farm sizes to be key bottlenecks for the growth of the agricultural sector. Nationwide plot-level data from Rwanda point toward a constant returns to scale crop production function and a strong negative relationship between farm size and output per hectare as well as intensity of labor use that is robust across specifications. The inverse relationship continues to hold if profits with family labor valued at shadow wages are used, but disappears if family labor is rather valued at village-level market wage rates. These findings imply that, in Rwanda, labor market imperfections, rather than other unobserved factors, seem to be a key reason for the inverse farm-size productivity relationship
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  • 9
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (34 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Chan, Rosanna Why Liquidity Matters to the Export Decision of the Firm
    Abstract: Under financial constraints, exporting may have less to do with productivity and more to do with financial resources. The established relationship between exporting and productivity would differ when examined through the lens of the working capital needs of the firm. The hypothesis that working capital matters in the firm's exporting decision is explored in two ways: first, by articulating a dynamic working capital model of the firm that incorporates the firm's export decision. Secondly, by testing the hypothesis empirically using a unique firm level dataset from Bangladesh, where issues of financial constraints are particularly acute. The model shows that productivity determines export status of the firm as long as it is not under financial constraints. However, under financial constraints, export status is less dependent on productivity and more dependent on the availability of working capital. Empirical results support the model's prediction. The relationship between exporting time and the need for greater liquidity is also borne out empirically as shown by a positive and significant correlation between the amount of working capital and the distance of export destination. An important policy implication from the analysis is that short term liquidity is critical in allowing productive firms to export and that access to finance may prevent the benefits of trade liberalization within a country to be fully realized
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  • 10
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (22 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Lerner, Josh Entrepreneurship, Public Policy, and Cities
    Abstract: Since the 2008-09 global financial crises, interest among policy makers in promoting innovative, ventures has exploded. The emerging great hubs of entrepreneurial activity, like Bangalore, Dubai, Shanghai, Silicon Valley, Singapore, and Tel Aviv, bear the unmistakable stamp of the public sector. Enlightened government intervention played a key role in each region's emergence. But for each effective government intervention, dozens, even hundreds, disappointed, with substantial public spending bearing no fruit. This paper sheds light on how governments can avoid mistakes in stimulating entrepreneurship. In recent decades, efforts have increased to provide the world's poorest with financing and other assistance to facilitate their entry into entrepreneurship or the growth of their small ventures. These are typically subsistence businesses offering services like snack preparation or clothing repair. Such businesses typically allow business owners and their families to get by, but little else. The public policy literature, along with academic studies of new ventures, often does not distinguish among the types of businesses being studied. The author will focus here exclusively on high-potential new ventures and the policies that enhance them. This choice, not intended to diminish the importance of efforts to boost microenterprises, reflects the complexity of the field: the dynamics and issues involving micro firms are quite different from those of their high-potential counterparts. A substantial literature suggests that promising entrepreneurial firms can have a powerful effect in transforming industries and promoting innovation
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  • 11
    Language: English
    Pages: Online-Ressource (37 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Gertler, Paul Rewarding Provider Performance to Enable a Healthy Start to Life
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  • 12
    Language: English
    Pages: Online-Ressource (36 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Benjamin, Nancy Informal Economy and the World Bank
    Abstract: Many countries have expressed an interest in the size, performance and motivation of the informal sector, especially where the informal sector provides the livelihood and employment for a critical segment of the population. This essay reviews recent literature, methodologies, and relevant Bank studies as a way to share information with country teams interested in expanding their knowledge of the informal sector and related policy debates. Research in a number of regions points to four main areas where development policy can be improved by taking the informal sector into account. First, improvements should be made along a continuum; the heterogeneity among informal firms points to different policy approaches for different types of firms. Second, there should be public-private collaboration on mutual reforms. Many efforts to improve firm performance focus on elements of the production function (labor skills, credit) while treating government mainly as a cost (taxes, cost of compliance with regulations). Yet research reveals that many characteristics of the public regime strongly influence the decisions of firms regarding informality. Third, research indicates a strong relation between basic skills and labor outcomes, particularly in the informal sector, despite the sector's lower average returns. Research also indicates the benefits of targeted training programs. Business services programs have a decidedly mixed record, yet ongoing research is refining results on what works best. Fourth, informal trade is pervasive in developing countries and the networks developed in informal trade-wholesalers, credit suppliers and money-changers, transporters-are a strong presence in the informal sector. Yet these kinds of complex and nontransparent trading systems can be discouraging to foreign investors and can otherwise undermine trade policy and the international competitiveness of developing countries. The paper concludes with recommendations
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  • 13
    Language: English
    Pages: Online-Ressource (40 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Dinar, Shlomi Climate Change, Conflict, and Cooperation
    Abstract: Although water variability has already been observed across river basins, climate change is predicted to increase variability. Such environmental changes may aggravate political tensions, especially in regions that are not equipped with an appropriate institutional apparatus. Increased variability is also likely to challenge regions with existing institutional capacity. This paper argues that the best attempts to assess the ability of states to deal with variability in the future rest with considering how agreements have fared in the past. The paper investigates to what extent particular mechanisms and institutional designs help mitigate inter-country tensions over shared water. The analysis specifically focuses on identifying which water allocation mechanisms and institutional features provide better opportunities for mitigating conflict given that water allocation issues tend to be most salient among riparians. Water-related events from the Basins at Risk events database are used as the dependent variable to test hypotheses regarding the viability, or resilience, of treaties over time. Climatic, geographic, political, and economic variables are used as controls. The analysis is conducted for the years 1948-2001 with the country dyad as the level of observation. Findings pertaining to the primary explanatory variables suggest that country dyads governed by treaties with water allocation mechanisms exhibiting both flexibility and specificity evince more cooperative behavior. Country dyads governed by treaties with a larger sum of institutional mechanisms likewise evince a higher level of cooperation, although certain institutional mechanisms are more important than others
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  • 14
    Language: English
    Pages: Online-Ressource (52 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Dang, Hai-Anh H Welfare Dynamics Measurement
    Keywords: 2004 - 2009 ; Armut ; Soziale Mobilität ; Mittelschicht ; Panel ; USA ; Indien ; Vietnam
    Abstract: Little research currently exists on a vulnerability line that distinguishes the poor population from the population that is not poor but that still faces significant risk of falling back into poverty. This paper attempts to fill this gap by proposing vulnerability lines that can be straightforwardly estimated with panel or cross-sectional household survey data, in rich- and poor-country settings. These vulnerability lines offer a means to broaden traditional poverty analysis and can also assist with the identification of the middle class or resilient population groups. Empirical illustrations are provided using panel data from the United States (Panel Study of Income Dynamics) and Vietnam (Vietnam Household Living Standards Survey) for the period 2004-2008 and cross-sectional data from India (National Sample Survey) for the period 2004-2009. The estimation results indicate that in Vietnam and India during this time period, the population living in poverty and the middle class have been falling and expanding, respectively, while the opposite has been occurring in the United States
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  • 15
    Language: English
    Pages: Online-Ressource (64 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Ayyagari, Meghana Does Local Financial Development Matter for Firm Lifecycle in India?
    Abstract: The differences in financial development across Indian states, while seeming substantial, have a minor effect on firm lifecycle and growth. These results hold controlling for differences in labor regulations across states, capital intensity, and for firms born before and after the major reforms. There is no evidence that firms in financially dependent industries have different lifecycle profiles or grow faster in financially developed states than underdeveloped states. Overall, firms in the formal manufacturing sector grow as they age whereas in the informal sector, firms have a declining lifecycle, but in both cases little evidence is found that financial institutions matter for firm lifecycle. The findings of this paper suggest that size and depth differences in financial development across Indian states are likely dwarfed by overall inefficiencies that characterize state-dominated financial systems, with important implications for the reforms of the Indian financial system going forward
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  • 16
    Language: English
    Pages: Online-Ressource (30 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Ehrhart, Hélène Does Migration Foster Exports?
    Abstract: This paper aims at assessing the impact of migration on export performance and more particularly the effect of African migrants on African trade. Relying on a new data set on international bilateral migration recently released by the World Bank spanning from 1980 to 2010, the authors estimate a gravity model that deals satisfactorily with endogeneity. The results first indicate that the pro-trade effect of migration is higher for African countries, a finding that can be partly explained by the substitution between migrants and institutions (the existence of migrant networks compensating for weak contract enforcement, for instance). This positive association is particularly important for the exports of differentiated products, suggesting that migrants also play an important role in reducing information costs. Moreover, focusing on intra-African trade, the pro-trade effect of African migrants is larger when migrants are established in a more geographically and ethnically distant country. All these findings highlight the ability of African migrants to help overcome some of the main barriers to African trade: the weakness of institutions, information costs, cultural differences, and lack of trust
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  • 17
    Language: English
    Pages: Online-Ressource (47 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Barma, Naazneen H Tailoring Civil Service Pay Analysis and Advice to Context
    Abstract: The adequacy of compensation for government workers and the affordability of the public sector wage bill are important concerns for many developing countries. Suitable pay is considered a necessary-albeit far from sufficient-condition for attracting and retaining skilled public sector staff. This paper makes the case for conducting fine-grained analysis of pay and compensation issues in order to enable an accurate assessment of the challenges faced and thereby to generate good-fit reform recommendations that are both principled and feasible. The first part of the paper focuses on prevalent challenges in pay reform, both contextual and analytical. It builds on the experiences from three very different settings: Armenia, the Lao People's Democratic Republic, and Mongolia. The study begins by surveying some of the common difficulties in conducting granular analysis on civil service compensation. It then outlines a series of methodological approaches that can prove useful in developing comprehensive, targeted, and nuanced pay analyses and discusses how it is possible to overcome potential limitations in practice. The second half of the paper presents a case study of pay and compensation analysis in Lao PDR. The study illuminates how a number of these approaches can be combined in assessing a specific set of pay challenges and generating robust recommendations tailored to context. A brief postscript, with the benefit of hindsight on what subsequently happened on the ground in Lao PDR, reflects on the limitations of technical analysis in motivating reform implementation in practice
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  • 18
    Language: English
    Pages: Online-Ressource (16 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Yamauchi, Futoshi School Resource and Performance Inequality
    Abstract: This paper examines inequality patterns of school and teacher resources as well as student performance in the Philippines. School and teacher resources, measured by pupil classroom and teacher ratios and per-pupil teacher salary, became more unequal over time. Strikingly, a large portion of the variation is attributed to their within-division distributions, especially the non-city areas in each province (rural schools), where pupil classroom and teacher ratios have significantly positive returns in terms of student test scores. Concavity built into the education production function implies that reallocation of teachers and classrooms within a division can potentially increase average test scores. The estimates also imply that it is optimal to deploy young, inexperienced teachers to rural schools and reassign them to urban schools when the teachers are more experienced
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  • 19
    Language: English
    Pages: Online-Ressource (26 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Lockheed, Marlaine E Teacher Opinions on Performance Incentives
    Abstract: This paper uses data from a post-hoc evaluation of a performance-based teacher incentive program in the Kyrgyz Republic to examine the opinions of teachers receiving different pay bonuses based on their performance as assessed by external evaluators. Overall, teacher opinions of the program were favorable, although teachers who received lower performance ratings held less favorable opinions about the motivational aspects of the program. Despite this, lower-rated teachers were more likely to report that they used what they learned to evaluate their own teaching, as compared with more highly rated teachers, and were more likely to take professional development courses in the years following the program's implementation
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  • 20
    Language: English
    Pages: Online-Ressource (52 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: McKenzie, David Evidence on Policies to Increase the Development Impacts of International Migration
    Abstract: International migration offers individuals and their families the potential to experience immediate and large gains in their incomes, and offers a large number of other positive benefits to the sending communities and countries. However, there are also concerns about potential costs of migration, including concerns about trafficking and human rights, a desire for remittances to be used more effectively, and concerns about externalities from skilled workers being lost. As a result there is increasing interest in policies which can enhance the development benefits of international migration and mitigate these potential costs. This paper provides a critical review of recent research on the effectiveness of these policies at three stages of the migration process: pre-departure, during migration, and directed toward possible return. The existing evidence base suggests some areas of policy success: bilateral migration agreements for countries whose workers have few other migration options, developing new savings and remittance products that allow migrants more control over how their money is used, and some efforts to provide financial education to migrants and their families. Suggestive evidence together with theory offers support for a number of other policies, such as lowering the cost of remittances, reducing passport costs, offering dual citizenship, and removing exit barriers to migration. Research offers reasons to be cautious about some policies, such as enforcing strong rights for migrants like high minimum wages. Nevertheless, the paper finds the evidence base to be weak for many policies, with no reliable research on the impact of most return migration programs, nor for whether countries should be trying to induce communal remitting through matching funds
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  • 21
    Language: English
    Pages: Online-Ressource (27 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Desbordes, Rodolphe Credit Conditions and Foreign Direct Investment During the Global Financial Crisis
    Abstract: This paper investigates the effect that tight credit conditions had on outward foreign direct investment flows during the 2008-2010 global financial crisis. A difference-in-differences approach is used to isolate a "credit channel" impact of the global financial crisis on foreign direct investment. The global financial crisis had a stronger negative impact on the relative volume of outward foreign direct investment in financially vulnerable sectors in more financially developed countries, especially if these countries also experienced a banking crisis. These results suggest that lack of access to external finance can partly explain the drop in foreign direct investment during the global financial crisis
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  • 22
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (52 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Nagler, Paula Non-Farm Enterprises in Rural Africa
    Abstract: Although non-farm enterprises are ubiquitous in rural Sub-Saharan Africa, little is yet known about them. The motivation for households to operate enterprises, how productive they are, and why they exit the market are neglected questions. Drawing on the Living Standards Measurement Study - Integrated Surveys on Agriculture and using discrete choice, selection model and panel data estimators, this paper provide answers using data from Ethiopia, Niger, Nigeria, Malawi, Tanzania, and Uganda. The necessity to cope following shocks, seasonality in agriculture, and household size can push rural households into operating a non-farm enterprise. Households are also pulled into entrepreneurship to exploit opportunities. Access to credit and markets, household wealth, and the education and age of the household head are positively associated with the likelihood of operating an enterprise. The characteristics are also associated with the type of business activity a household operates. Rural and female-headed enterprises and enterprises with young enterprise owners are less productive than urban and male-owned enterprises and enterprises with older owners. Shocks have a negative association with enterprise operation and productivity and a large share of rural enterprises does not operate continuously over a year. Enterprises cease operations because of low profits, a lack of finance, or the effects of idiosyncratic shocks. Overall the findings are indicative that rural enterprises are "small businesses in a big continent" where large distances, rural isolation, low population density, and farming risks limit productivity and growth
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  • 23
    Language: English
    Pages: Online-Ressource (40 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Cantens, Thomas Customs, Brokers, and Informal Sectors
    Abstract: Based on extensive interviews with informal importers and brokers in Cameroon, this paper explains why customs reform aimed at reducing fraud and corruption may be difficult to achieve. Informal traders and brokers (without licenses) follow various business models and practices, which are product-specific. Overall, what matters first are customs brokers' practices. Information asymmetries mark transactions between brokers and importers and are accompanied by misperceptions of the costs and risks of informal brokers working among informal importers. In a low-governance environment with widespread informal practices, blanket policies should be avoided in order to discourage activities of unprofessional and systematic bribe-taker brokers. It is also essential that customs officials disrupt information asymmetries and better disseminate information to informal importers on customs processes and official costs. Finally, customs should more strongly sanction some informal brokers in order to reduce collusion with some customs officers
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  • 24
    Language: English
    Pages: Online-Ressource (43 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Quatraro, Francesco Drivers of Entrepreneurship and Post-Entry Performance of Newborn Firms in Developing Countries
    Keywords: Unternehmensgründung ; Entrepreneurship ; Unternehmenserfolg ; Schumpeterismus ; Entwicklungsländer
    Abstract: The aim of this paper is to provide an updated survey of the "state of the art" in entrepreneurial studies with a particular focus on developing countries (DCs). In particular, the concept of "entrepreneurship" is critically discussed, followed by a discussion of the institutional, macroeconomic, and microeconomic conditions that affect the entry of new firms and the post-entry performance of newborn firms. The reviewed literature bears some policy implications for the support of the creation new firms, such as the targeting of policy measures to prospective entrepreneurs who possess high education levels, long previous job experience, and innovative skills. Specifically, for DCs, tailored subsidies and support should be coupled with framework and infrastructural policies that are able to improve the business environment such that new ventures can start and grow
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  • 25
    Language: English
    Pages: Online-Ressource (34 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Zezza, Alberto Milking the Data
    Abstract: Milk is an important source of cash and nutrients for many households in developing countries. Yet, the understanding of the role of dairy production in livelihoods and nutritional outcomes is hindered by the lack of decent quality household survey data. Data on milk off-take for human consumption are difficult to collect in household surveys for several reasons that make accurate recall challenging for the respondent (continuous production and seasonality, among others). As a result, the quantification and valuation of milk off-take is particularly difficult in household surveys, introducing possibly severe biases in the computation of full household incomes and farm sales, as well as in the estimation of the contribution of livestock (specifically dairy) production in agricultural value added and the livelihoods of rural households. This paper presents results from a validation exercise implemented in Niger, where alternative survey instruments based on recall methods were administered to randomly selected households and compared with a 12-month system of physical monitoring and recording of milk production. The results of the exercise show that reasonably accurate estimates via recall methods are possible and provide a clear ranking of questionnaire design options that can inform future survey operations
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  • 26
    Language: English
    Pages: Online-Ressource (84 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Kabanda, Patrick The Creative Wealth of Nations
    Abstract: Cultural activities are increasingly noted as drivers of meaningful development. But they have yet to gain a prominent place in the architecture of development strategy. The performing arts, discussed here, exhibit direct effects on social progress and economic growth through trade in music, movies, and temporary work permits for artists, for example. Indirect contributions may also include environmental stewardship, tourism, nation branding, social inclusion, cultural democracy, and shifting cultural behaviors. These direct and indirect contributions are not well documented. As such, how is the creative or cultural sector a crucial part of the wealth of nations, and how could the World Bank Group better leverage the performing arts in its development strategy? This discussion provides a broad snapshot, from arts education, to social inclusion, to international trade in services. Key constraints include: the paucity of data and the difficulty of measuring cultural activities, the challenge of intellectual property, and the unclear benefits of cultural tourism. Part I sets the stage. Part II then provides policy options to foster the performing arts as a promising engine for development. Suggestions include: 1. expanding direct involvement in artistic projects, 2. increasing the use of performing arts to address social issues, 3. collecting data, 4. promoting intellectual property training programs, 5. supporting digital platforms in the developing world that advance indigenous music, and 6. funding studies on such areas as cultural tourism. Progress still needs to be made in the discussion of the diverse ways that the performing arts can contribute to meaningful development
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  • 27
    Language: English
    Pages: Online-Ressource (33 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Prennushi, G Women's Empowerment and Socio-Economic Outcomes
    Abstract: The paper explores whether one of the largest programs in the world for women's empowerment and rural livelihoods, the Indira Kranti Patham in Andhra Pradesh, India, has had an impact on the economic and social wellbeing of households that participate in the program. The analysis usespanel data for 4,250 households from two rounds of a survey conducted in 2004 and 2008 in five districts. Propensity score matching was used to construct control groups and outcomes are compared with differences-in-differences. There are two major impacts. First, the Indira Kranti Patham program increased participants' access to loans, which allowed them to accumulate some assets (livestock and durables for the poorest and nonfarm assets for the poor), invest in education, and increase total expenditures (for the poorest and poor). Women who participated in the program had more freedom to go places and were less afraid to disagree with their husbands; the women participated more in village meetings and their children were slightly more likely to attend school. Consistent with the emphasis of the program on the poor, the impacts were stronger across the board for the poorest and poor participants and were more pronounced for long-term Scheduled Tribe participants. No significant differences are found between participants and nonparticipants in some maternal and child health indicators. Second, program participants were significantly more likely to benefit from various targeted government programs, most important the National Rural Employment Guarantee Scheme, but also midday meals in schools, hostels, and housing programs. This was an important way in which the program contributed to the improved wellbeing of program participants. The effects captured by the analysis accrue to program participants over and above those that may accrue to all households in program villages
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  • 28
    Language: English
    Pages: Online-Ressource (38 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: de Nicola, Francesca Co-Movement of Major Commodity Price Returns
    Abstract: This paper provides a comprehensive analysis of the degree of co-movement among the nominal price returns of 11 major energy, agricultural and food commodities based on monthly data between 1970 and 2013. A uniform-spacings testing approach, a multivariate dynamic conditional correlation model and a rolling regression procedure are used to study the extent and the time-evolution of unconditional and conditional correlations. The results indicate that (i) the price returns of energy and agricultural commodities are highly correlated; (ii) the overall level of co-movement among commodities increased in recent years, especially between energy and agricultural commodities and in particular in the cases of maize and soybean oil, which are important inputs in the production of biofuels; and (iii) particularly after 2007, stock market volatility is positively associated with the co-movement of price returns across markets
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  • 29
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (19 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Basu, Kaushik Fiscal Policy as an Instrument of Investment and Growth
    Abstract: This paper investigates the role of fiscal guarantees in promoting infrastructure investment. Infrastructure is a critical driver of economic growth, but infrastructure entails significant up-front costs that yield benefits after a time lag. Investors hesitate to put their money down on private infrastructure ventures because of the long lag and governments do not give guarantees for reasons of fiscal prudence. The paper argues that governments and large investment guarantee agencies can in many situations give suitably-calibrated guarantees to private projects by exploiting the fact that a guarantee on one project can reduce the risk of another one failing. The paper works out the architecture of such guarantees, which can be fiscally prudent and yet boost investment, especially in infrastructure, and thereby promote growth
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  • 30
    Language: English
    Pages: Online-Ressource (53 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Gajwani, Kiran Gender and Public Goods Provision in Tamil Nadu's Village Governments
    Abstract: Using data from 144 village-level governments in India's Tamil Nadu state, this paper investigates political reservations for women and whether the gender of village government leaders influences the provision of village public goods. A knowledge test of village government presidents and a survey about the interaction between village presidents and higher-level officials reveal that female village government presidents have much lower knowledge of the village government system than do their male counterparts and have significantly less contact with higher-level government officials. Although male and female presidents provide similar amounts of some public goods, there is strong evidence that village governments led by a woman built fewer schools and roads-two public goods that require relatively more contact and coordination with higher-level officials
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  • 31
    Language: English
    Pages: Online-Ressource (37 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Wagstaff, Adam Progress toward the Health MDGs
    Abstract: This paper looks at differential progress on the health Millennium Development Goals between the poor and better-off within countries. The findings are based on original analysis of 235 Demographic and Health Surveys and Multiple Indicator Cluster Surveys, spanning 64 developing countries over the period 1990-2011. Five health status indicators and seven intervention indicators are tracked for all the health Millennium Development Goals. In most countries, the poorest 40 percent have made faster progress than the richest 60 percent. On average, relative inequality in the Millennium Development Goal indicators has been falling. However, the opposite is true in a sizable minority of countries, especially on child health status indicators (40-50 percent in the cases of child malnutrition and mortality), and on some intervention indicators (almost 40 percent in the case of immunizations). Absolute inequality has been rising in a larger fraction of countries and in around one-quarter of countries, the poorest 40 percent have been slipping backward in absolute terms. Despite reductions in most countries, relative inequalities in the Millennium Development Goal health indicators are still appreciable, with the poor facing higher risks of malnutrition and death in childhood and lower odds of receiving key health interventions
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  • 32
    Language: English
    Pages: Online-Ressource (34 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Dahal, Mahesh Private Non-State Sector Engagement in the Provision of Educational Services at the Primary and Secondary Levels in South Asia
    Abstract: Private (non-state) sector engagement in the provision of educational services at the primary and secondary levels in South Asia has recently undergone remarkable growth. This type of education comes in various forms, such as schools financed and managed by the private sector, schools financed by the government and managed by the private sector, private school vouchers, and tutoring outside the classroom. According to recent household survey data, almost one-third of school-goers aged 6 to 18 years in South Asia go to private schools, with a high concentration in Bangladesh, India, Nepal, and Pakistan. Data for India, Nepal, and Pakistan show that on average, private schools perform at least as well as government schools on student test scores, after controlling for socioeconomic factors, and they do so at significantly lower costs to society. However, student achievement varies greatly across schools of each type, with many weak private schools as well as strong government schools. Substantial, albeit indirect, evidence points to teacher behavior and accountability as an important driver of the effectiveness of private schools. In the long run, however, many factors may play important roles in sustaining the private sector's advantage. Another risk is that overall poor quality in a large government sector may set a low benchmark for the private sector. The findings cast doubt on the effectiveness of government regulations for private schools, given weak institutional capacity. Public-private partnerships with effective accountability mechanisms could leverage both equity and efficiency. Finally, it appears important to understand and customize teaching to the child's individual level
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  • 33
    Language: English
    Pages: Online-Ressource (26 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Giné, Xavier Financial (Dis-)Information
    Abstract: An audit study was conducted in peri-urban Mexico to understand the quality of information and products offered to low-income potential customers. Trained auditors visited multiple financial institutions seeking credit and savings products. Consistent with Gabaix and Laibson (2006), staff voluntarily provides little information about avoidable fees, especially to auditors trained to reveal little knowledge about the market. In addition, clients are almost never offered the cheapest product, most likely because staff is incentivized to offer more expensive products that are thus more profitable to the institution. This suggests that disclosure and transparency policies may be ineffective if they undermine the commercial interest of financial institutions
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  • 34
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (45 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Demirgüç-Kunt, Asli Deposit Insurance Database
    Keywords: Finanzdienstleistung ; Einlagensicherung ; Finanzkrise ; Welt
    Abstract: This paper provides a comprehensive, global database of deposit insurance arrangements as of 2013. The authors extend their earlier dataset by including recent adopters of deposit insurance and information on the use of government guarantees on banks' assets and liabilities, including during the recent global financial crisis. They also create a Safety Net Index capturing the generosity of the deposit insurance scheme and government guarantees on banks' balance sheets. The data show that deposit insurance has become more widespread and more extensive in coverage since the global financial crisis, which also triggered a temporary increase in the government protection of non-deposit liabilities and bank assets. In most cases, these guarantees have since been formally removed but coverage of deposit insurance remains above pre-crisis levels, raising concerns about implicit coverage and moral hazard going forward
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  • 35
    Language: English
    Pages: Online-Ressource (32 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Parandekar, Suhas D Benchmarking Public Policy
    Abstract: This working paper presents a benchmarking analysis of School Based Management (SBM) using empirical data from the Philippines. School based management is widely used as a policy tool in many countries that seek to improve the quality of service delivery through decentralization. School based management typically takes many years to have an impact on educational outcomes, but policy makers need to know sooner how well the policy is being implemented. The paper extends the well-known Rasch methodology from the literature on student achievement, including the Programme for International Student Assessment, to the measurement of the implementation of school based management by computing a Rasch measure of the implementation of school based management. To test whether the resulting benchmarked measure is plausible and has practical policy value, the measure is tested for correlations with standardized measures of personality and political skills of school principals, developed in the psychology and political science literatures. The paper will be useful for readers interested in studying school based management as well as those interested more generally in the methodology of benchmarking implementation of public policy where the ultimate results are subject to long implementation periods. The methodology presented in this paper can be applied to enhance the rigor of the ongoing Systems Approach for Better Education Results (SABER) exercise to benchmark educational policies in various domains. That exercise is set to become one of the flagship policy analytical tools being developed by the World Bank and partner agencies
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  • 36
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (19 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Calice, Pietro Predicting Bank Insolvency in the Middle East and North Africa
    Abstract: This paper uses a panel of annual observations for 198 banks in 19 Middle East and North Africa countries over 2001-12 to develop an early warning system for forecasting bank insolvency based on a multivariate logistic regression framework. The results show that the traditional CAMEL indicators are significant predictors of bank insolvency in the region. The predictive power of the model, both in-sample and out-of-sample, is reasonably good, as measured by the receiver operating characteristic curve. The findings of the paper suggest that banking supervision in the Middle East and North Africa could be strengthened by introducing a fundamentals-based, off-site monitoring system to assess the soundness of financial institutions
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  • 37
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (25 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Ghani, Ejaz Can Service Be a Growth Escalator in Low-Income Countries?
    Abstract: Several high-level reports have raised the concern that low-income countries, especially in Africa, are experiencing premature de-industrialization. Have the latecomers to development missed the boat? Are they growing without any structural transformation? Not really. Although their manufacturing sector is not growing, they are benefitting from the Third Industrial Revolution which has enabled them to catch up faster. As services produced and traded across the world expand with advances in technology and globalization, the possibilities for low-income countries to grow faster based on their comparative advantage increases. That comparative advantage can just as easily be in services as in manufacturing. Growth escalators faced by the Lions in Africa may turn out to be different than that experienced by the East Asian Tigers
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  • 38
    Language: English
    Pages: Online-Ressource (34 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Aga, Gemechu Ayana International Remittances and Financial Inclusion in Sub-Saharan Africa
    Abstract: This paper uses World Bank survey data, including about 10,000 households in five countries-Burkina Faso, Kenya, Nigeria, Senegal, and Uganda-to investigate the link between international remittances and households' financial inclusion in Sub-Saharan Africa. The paper finds that receiving international remittances increases the probability that the household opens a bank account in all the five countries. This result is robust to controlling for the potential endogeneity of remittances, using as instruments indicators of the migrants' economic conditions in the destination countries
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  • 39
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (36 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Pedraza Morales, Alvaro Strategic Information Revelation and Capital Allocation
    Abstract: It is commonly believed that stock prices help firms' managers make more efficient real investment decisions, because they aggregate information about fundamentals that is not otherwise known to managers. This paper identifies a limitation to this view. It shows that if informed traders internalize that firms use prices as a signal, stock price informativeness depends on the quality of managers' prior information. In particular, managers with low quality information would like to learn about their own fundamentals by relying on the information aggregated in the stock price. However, in this case, the profitability of trading falls for informed speculators, who therefore reduce their trading volume, reducing the informativeness of prices. As a result, stock prices are not as useful in guiding capital toward its most productive use, leading to inefficient investment decisions. Using a sample of U.S. publicly traded companies between 1990 and 2010, the paper documents a positive correlation between the quality of managerial information and stock price informativeness. Contrary to the conventional view that less informed managers should rely more on stock prices when making investment decisions, the author finds no differences in the sensitivity of investment to stock prices for different levels of managerial information. The evidence suggests that while firms do learn from prices, the learning channel and its effects on real investment are limited
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  • 40
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (42 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Hirano, Yumeka Aid is Good for the Poor
    Abstract: Aid is good for the poor. This paper uses detailed aid data spanning 60 developing countries over the past two decades to show that social aid significantly and directly benefits the poorest in society, while economic aid increases the income of the poor through growth. This new and unequivocal finding distinguishes the current study from past studies that only utilized aggregate aid data and returned ambiguous results. The paper also confirms that none of the elements of globalization (trade, foreign direct investment, remittances), policies (government expenditure, inflation management), institutional quality, nor other plausibly pro-poor factors have systematic effects on the poor or any other income group, beyond their effects on average incomes. The paper finds that trade and foreign direct investment tend to benefit the richest segments of society more than other income groups. Therefore, the presented evidence suggests that aid can play a crucial role in enabling the poor to benefit more from globalization. These discoveries underscore the need to assist developing countries to find the mix of economic and social aid that jointly promotes the participation of the poor in the development process under globalization. In this manner, aid can make greater strides in spurring development
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  • 41
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (23 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Moral-Benito, Enrique Testing Weak Exogeneity in Cointegrated Panels
    Abstract: For reason of empirical tractability, analysis of cointegrated economic time series is often developed in a partial setting, in which a subset of variables is explicitly modeled conditional on the rest. This approach yields valid inference only if the conditioning variables are weakly exogenous for the parameters of interest. This paper proposes a new test of weak exogeneity in panel cointegration models. The test has a limiting Gumbel distribution that is obtained by first letting the time dimension of the panel go to infinity and then letting its cross-sectional dimension go to infinity. The paper evaluates the accuracy of the asymptotic approximation in finite samples via simulation experiments. Finally, as an empirical illustration, the paper reports tests of weak exogeneity of disposable income and wealth in an aggregate consumption equation
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  • 42
    Language: English
    Pages: Online-Ressource (114 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Balistreri, Edward J Reducing Trade Costs in East Africa
    Keywords: Außenwirtschaftsförderung ; Dienstleistungshandel ; Handelsliberalisierung ; Nichttarifäre Handelshemmnisse ; Regionale Wirtschaftsintegration ; Freihandel ; Zollunion ; Ostafrika
    Abstract: There is substantial evidence that with the progressive global decline in tariffs over several decades, trade costs are a more significant barrier to trade than tariffs, especially in Sub-Saharan Africa. This paper decomposes trade costs into three categories: costs that can be lowered by trade facilitation, nontariff barriers, and the costs of business services. The paper develops a 10-region, 18-sector, global trade model that includes Kenya, Tanzania, Uganda, and Rwanda of the East African Customs Union. The analysis finds that deep integration in the East African Customs Union that lowers these trade costs results in significant gains for the four countries, especially from improved trade facilitation. Extending the lowering of nontariff barriers and services liberalization multilaterally would increase the gains between two and seven times, depending on the country. that the analysis also finds that reducing nondiscriminatory services barriers in Kenya and Tanzania would increase welfare even more than multilateral reduction of discriminatory services barriers. The paper is innovative both conceptually and empirically. It contains foreign direct investment in services and is the first paper to numerically assess liberalization of barriers against domestic and multinational service providers in a multi-sector, multi-region, applied general equilibrium model. The paper uses new databases of the ad valorem equivalents of barriers in services and the time in trade costs. Both databases are shown to be important to the results
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  • 43
    Language: English
    Pages: Online-Ressource (45 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Anginer, Deniz Foreign Bank Subsidiaries' Default Risk During the Global Crisis
    Keywords: Bankenkrise ; Portfolio-Management ; Bank ; Ausländische Tochtergesellschaft ; Black-Scholes-Modell ; Kreditrisiko
    Abstract: This paper examines the association between the default risk of foreign bank subsidiaries and their parents during the global financial crisis, with the purpose of understanding what factors can help insulate affiliates from their parents. The paper finds evidence of a significant positive correlation between parent banks' and foreign subsidiaries' default risk. This correlation is lower for subsidiaries that have higher capital, retail deposit funding, and profitability ratios and that are more independently managed from their parents. Host country regulations also influence the extent to which shocks to the parents affect the subsidiaries' default risk. In particular, the correlation between the default risk of the subsidiary and the parent is lower for subsidiaries operating in countries that impose higher capital, reserve, provisioning, and disclosure requirements and tougher restrictions on bank activities
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  • 44
    Language: English
    Pages: Online-Ressource (35 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Kondylis, Florence Measuring Agricultural Knowledge and Adoption
    Abstract: Understanding the trade-offs in improving the precision of agricultural measures through survey design is crucial. Yet, standard indicators used to determine program effectiveness may be flawed and at a differential rate for men and women. The authors use a household survey from Mozambique to estimate the measurement error from male and female self-reports of their adoption and knowledge of three practices: intercropping, mulching, and strip tillage. Despite clear differences in human and physical capital, there are no obvious differences in the knowledge, adoption, and error in self-reporting between men and women. Having received training unanimously lowers knowledge misreports and increases adoption misreports. Other determinants of reporting error differ by gender. Misreporting is positively associated with a greater number of plots for men. Recall decay on measures of knowledge appears prominent among men but not women. Findings from regression and cost-effectiveness analyses always favor the collection of objective measures of knowledge. Given the lowest rate of accuracy for adoption was around 80 percent, costlier objective adoption measures are recommended for a subsample in regions with heterogeneous farm sizes
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  • 45
    Language: English
    Pages: Online-Ressource (24 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: de Melo, Jaime The Critical Mass Approach to Achieve a Deal on Green Goods and Services
    Abstract: At the Davos forum of January 2014, a group of 14 countries pledged to launch negotiations on liberalizing trade in "green goods" (also known as "environmental" goods), focusing on the elimination of tariffs for an Asia-Pacific Economic Cooperation list of 54 products. The paper shows that the Davos group, with an average tariff of 1.8 percent, has little to offer as countries have avoided submitting products with tariff peaks for tariff reductions. Even if the list were extended to the 411 products on the World Trade Organization list, taking into account tariff dispersion, the tariff structure on environmental goods would be equivalent to a uniform tariff of 3.4 percent, about half the uniform tariff-equivalent for non-environmental goods. Enlarging the number of participants to low-income countries might be possible as, on average, their imports would not increase by more than 8 percent. However, because of the strong complementarities between trade in environmental goods and trade in environmental services, these should also be brought to the negotiation table, although difficulties in reaching agreement on their scope are likely to be great
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  • 46
    Language: English
    Pages: Online-Ressource (53 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Desbordes, Rodolphe The Effects of Financial Development on Foreign Direct Investment
    Abstract: This paper examines how financial development influences foreign direct investment. The direct and indirect sector-specific effects that source countries' financial development and destination countries' financial development can have on foreign direct investment are first identified in a conceptual framework. The presence and relative strength of these various channels of influence at the different margins of foreign direct investment are then empirically investigated using unique and underexploited sector-specific bilateral panel data on greenfield foreign direct investment over the period 2003-2006. Causality is established by applying a difference-in-differences approach that exploits the variation in financial vulnerability across manufacturing sectors. The overall effects of higher source countries' financial development and destination countries' financial development on the relative volume of bilateral foreign direct investment in financially vulnerable sectors are large, positive, and complementary. These effects appear to operate mainly at the intensive margin rather than at the extensive margin of foreign direct investment. There is also evidence of direct and indirect effects of financial development. The key findings are robust to the use of data on the number of bilateral Mergers\&Acquisitions transactions. Overall, the empirical results unambiguously indicate that a sophisticated and well-functioning financial system in source and destination countries greatly facilitates the international expansion of firms through foreign direct investment, especially in financially vulnerable sectors
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  • 47
    Language: English
    Pages: Online-Ressource (31 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Deininger, Klaus Inheritance Law Reform, Empowerment, and Human Capital Accumulation
    Abstract: This paper uses evidence from three Indian states, one of which amended inheritance legislation in 1994, to assess first- and second-generation effects of inheritance reform using a triple-difference strategy. Second-generation effects on education, time use, and health are larger and more significant than first-generation effects even controlling for mothers' endowments. Improved access to bank accounts and sanitation as well as lower fertility in the parent generation suggest that inheritance reform empowered females in a sustainable way, a notion supported by significantly higher female survival rates
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  • 48
    Language: English
    Pages: Online-Ressource (33 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Blankespoor, Brian Protected Areas and Deforestation
    Abstract: This paper investigates the effectiveness of protected areas in slowing tropical forest clearing in 64 countries in Asia/Pacific, Africa, and Latin America for the period 2001-2012. The investigation compares deforestation rates inside and within 10 kilometers outside the boundary of protected areas. Annual time series of these deforestation rates were constructed from recently published high-resolution data on forest clearing. For 4,028 parks, panel estimation based on a variety of park characteristics was conducted to test if deforestation is lower in protected areas because of their protected status, or if other factors explain the difference. For a sample of 726 parks established since 2002, a test also was conducted to investigate the effect of park establishment on protection. The findings suggest park size, national park status, and management by indigenous people all have significant association with effective protection across regions. For the Asia/Pacific region, the test offers compelling evidence that park establishment has a near-immediate and powerful effect
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  • 49
    Language: English
    Pages: Online-Ressource (36 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Gaddis, Isis The Gendered Labor Market Impacts of Trade Liberalization
    Abstract: This paper investigates gender differences in the impact of Brazil' trade liberalization on labor market outcomes. To identify the causal effect of trade reforms, the paper uses difference-in-difference estimation exploiting variation across microregions in pre-liberalization industry composition. The analysis finds that trade liberalization reduced male and female labor force participation and employment rates, but the effects on men were significantly larger. Thereby, tariff reductions contributed to gender convergence in labor force participation and employment rates. Gender differences are concentrated among the low-skilled population and in the tradable sector, where male and female workers are most likely to be imperfect substitutes
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  • 50
    Language: English
    Pages: Online-Ressource (47 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Ralston, Laura Success in Difficult Environments
    Abstract: The World Bank Group has identified support to fragile and conflict-affected states as a strategic priority. This paper provides a systematic portfolio review of the International Development Association-funded projects in fragile and conflict-affected states during 2001 to 2013 and a detailed empirical analysis of the correlations between project and country-level characteristics with project outcome ratings. The portfolio review identifies a decline in the proportional amount of resources directed to fragile and conflict-affected states and a decline in the number of internationally recruited staff based in these countries. The empirical analysis finds no statistical difference in whether projects obtain at least a moderately satisfactory outcome rating between countries that are fragile and conflict-affected states and those that are not. Examination of the distribution of project outcome ratings indicates that projects in fragile and conflict-affected states obtain slightly lower ratings conditional on being unsatisfactory or satisfactory. Detailed cross-section regression analysis finds that indicators of project complexity, such as supervision costs, staff time, preparation time, and financing, are correlated with lower outcome ratings. Project leader characteristics are correlated with project outcome ratings, but to a lesser degree in fragile and conflict-affected states, potentially indicating that it is more difficult for project leaders to influence project outcomes in these environments. Last, a new approach to control for unobservable project characteristics, such as inherent complexity or ambition, shows preliminary evidence that changes in the project leader and increases in the supervision budget are correlated with improvements in project performance
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  • 51
    Language: English
    Pages: Online-Ressource (40 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Balcazar, Carlos Felipe Rent Imputation for Welfare Measurement
    Abstract: As well acknowledged in the literature, housing is often the dominant consumption good for most households. As such, it should be included in a comprehensive welfare aggregate to measure people' living standards accurately. However, assigning a value to the flow of the dwelling for homeowners and nonmarket tenants is problematic. Over the last decades several estimation techniques have been proposed and implemented by practitioners covering from very simple to sophisticated approaches. This paper provides an extensive review of different methods to impute rent, commonly used for welfare analysis. It also gives an overview of how this problem has been addressed by other economic domains, namely national accounts, price indices, purchasing power parities, and taxation. Finally, after setting up a theoretical framework, the paper summarizes the empirical findings about the distributional impact of including imputed rents in welfare aggregates
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  • 52
    Language: English
    Pages: Online-Ressource (25 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Qureshi, Zia The Post-Crisis Growth Slowdown in Emerging Economies and the Role of Structural Reforms
    Abstract: This paper constructs indicators of structural bottlenecks arising from barriers to open markets, obstacles to business operations, and constraints to access to finance. Empirical evidence from a sample of 30 emerging economies indicates that barriers to open markets and access to finance are significantly associated with differences in total factor productivity growth in the post-global financial crisis period compared with the pre-crisis period-with countries with fewer barriers showing stronger recovery and resilience. Barriers to access to finance are also associated with differences in the performance of private investment. Reforms to improve the policy framework in these areas, up to the level of the best-ranking countries, could offset the recently observed growth slowdown in emerging economies. These reforms would revitalize potential growth and mitigate the risks from external shocks associated with the global environment in the transition from the global financial crisis
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  • 53
    Language: English
    Pages: Online-Ressource (48 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Azzarri, Carlo Does Livestock Ownership Affect Animal Source Foods Consumption and Child Nutritional Status?
    Abstract: In many developing countries, consumption of animal source foods among the poor is still at a level where increasing its share in total caloric intake may have many positive nutritional benefits. This paper explores whether ownership of various livestock species increases consumption of animal source foods and helps improve child nutritional status. The paper finds some evidence that food consumption patterns and nutritional outcomes may be affected by livestock ownership in rural Uganda. The results are suggestive that promoting (small) livestock ownership has the potential to affect human nutrition in rural Uganda, but further research is needed to estimate more precisely the direction and size of these effects
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  • 54
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (23 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Herrera, Santiago Long-Run Growth in Ghana
    Abstract: Ghana' economic growth picked up in the early 2000s and has been exceptionally strong over the past few years, with price booms of its main commodity exports, gold and cocoa, and the initiation of commercial oil production in 2011. This paper examines recent econometric evidence on Ghana' long-term growth and evaluates its sustainability. The empirical evidence surveyed finds that Ghana' main growth drivers were investment, oil, and mineral rents, while government consumption acted as a growth retardant. Based on various scenarios for its determinants, per capita GDP growth rates are predicted to be between 3.5 and 4.5 percent for 2014-34. Nevertheless, the predictions are subject to considerable uncertainty associated with the expected trends and volatility of the drivers of growth, particularly to sustaining investment levels and external factors such as commodity prices and international capital flows. A growth decomposition exercise shows that Ghana' past growth was led by capital accumulation, which will be difficult to sustain given the high current account deficits and the volatility of capital flows. Hence, a switch toward a productivity-based growth strategy, instead of the investment-led growth strategy of the past, is the only viable alternative to sustain the recent high growth rates. For that, Ghana needs focus on policies that enhance government effectiveness and public spending efficiency. To mitigate the risk of falling into the so-called growth traps like many other countries, Ghana must resolve its macroeconomic imbalances and resume the institutional reform to enhance the quality of institutions and make growth more inclusive
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  • 55
    Language: English
    Pages: Online-Ressource (40 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Durevall, Dick Importing High Food Prices by Exporting
    Keywords: Reis ; Export ; Reispreis ; Inflationskonvergenz ; Kointegration ; Freihandel ; Wohlfahrtsökonomik ; Laos
    Abstract: This paper shows how a developing country, Lao PDR, imports high glutinous rice prices by exporting its staple food to neighboring countries, Vietnam and Thailand. Lao PDR has extensive export controls on rice, generating a sizable difference between domestic and international prices. Controls are relaxed after good harvests, leading to a surge in exports early in the season and rapidly rising prices later in the year. There is thus a strong case for removal of trade restrictions since they give rise to price spikes, keep the long-term price of glutinous rice low, and thereby hinder increases in income from agriculture. Although this is a case study of Lao PDR, the findings may equally apply to other developing countries that export their staple food
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  • 56
    Language: English
    Pages: Online-Ressource (42 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Hollweg, Claire H Structural Reforms and Labor Market Outcomes
    Abstract: This paper explores the impact of structural reforms on a comprehensive set of macro-level labor-market outcomes, including the unemployment rate, the average wage index, and overall and female employment levels and labor force participation rates. Together these outcome variables capture the overall health of the labor market and the aggregate welfare of workers. Yet, there seems to be no other comprehensive empirical investigation in the existing literature of the impact of structural reforms at the cross-country macro level on labor-market outcomes other than the unemployment rate. Data were collected from a variety of sources, including the World Bank World Development Indicators, the International Monetary Fund International Financial Statistics, and the International Labor Organization Key Indicators of the Labor Market. The resulting dataset covers up to 88 countries, the majority being developing, for 10 years on either side of structural reforms that took place between 1960 and 2001. After documenting the average trends across countries in the labor-market outcomes up to 10 years on either side of each country's structural reform year, the authors run fixed-effects ordinary least squares as well as instrumental variables regressions to account for the likely endogeneity of structural reforms to labor-market outcomes. Overall the results suggest that structural reforms lead to positive outcomes for labor. Unlike related literature, the paper does not find conclusive evidence on unemployment. Redistributive effects in favor of workers, along the lines of the Stolper-Samuelson effect, may be at work
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  • 57
    Language: English
    Pages: Online-Ressource (57 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Burger, Martijn J Surges and Stops in FDI Flows to Developing Countries
    Abstract: This paper investigates the factors associated with foreign direct investment "surges" and "stops," defined as sharp increases and decreases, respectively, of gross foreign direct investment inflows to the developing world and differentiated based on whether these events are led by waves in greenfield investments or mergers and acquisitions. Greenfield-led surges and stops occur more frequently than mergers and acquisitions-led ones and different factors are associated with the onset of the two types of events. Global liquidity is the only factor significantly associated with a surge, regardless of its kind, while decline in global economic growth and a surge in the preceding year are the only predictors of a stop. Greenfield-led surges and stops are more likely in low-income and resource-rich countries than elsewhere. Global growth, financial openness, and domestic economic and financial instability enable mergers and acquisitions-led surges. These results differ from those in the literature on surges and stops and are particularly relevant in countries where foreign direct investments dominate capital flows
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  • 58
    Language: English
    Pages: Online-Ressource (69 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Halliday, Katherine E Impact of Intermittent Screening and Treatment for Malaria among School Children in Kenya
    Abstract: This paper investigates the effects of intermittent screening and treatment of malaria on the health and education of school children in an area of low-to-moderate malaria transmission. A cluster randomized trial was implemented with 5,233 children in 101 government primary schools on the south coast of Kenya in 2010-12. The intervention was delivered to children randomly selected from classes 1 and 5 who were followed up twice across 24 months. Once during each school term, public health workers used malaria rapid diagnostic tests to screen the children. Children who tested positive were treated with a six-dose regimen of artemether-lumefantrine. Given the nature of the intervention, the trial was not blinded. The primary outcomes were anemia and sustained attention and the secondary outcomes were malaria parasitaemia and educational achievement. The data were analyzed on an intention-to-treat basis. Anemia in this setting in Kenya, intermittent screening and treatment, as implemented in this study, is not effective in improving the health or education of school children. Possible reasons for the absence of an impact are the marked geographical heterogeneity in transmission, the rapid rate of reinfection following artemether-lumefantrine treatment, the variable reliability of malaria rapid diagnostic tests, and the relative contribution of malaria to the etiology of anemia in this setting
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  • 59
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (48 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Maloney, William F Convergence to the Managerial Frontier
    Abstract: Using detailed survey data on management practices, this paper uses recent advances in unconditional quantile analysis to study the changes in the within country distribution of management quality associated with country convergence to the managerial frontier. It then decomposes the contribution of potential explanatory factors to the distributional changes. The United States emerges as the frontier country, not because of better management on average, but because its best firms are far better than those of its close competitors. Part of the process of convergence to the frontier across the development process represents a trimming of the left tail, much is movement of the central mass and, for rich countries, it is actually the best firms that lag the frontier benchmark. Among potential explanatory variables that may drive convergence, ownership and human capital appear critical, the former especially for poorer countries and that latter for richer countries suggesting that the mechanics of convergence change across the process. These variables lose their explanatory power as firm and average country management quality rises. Hence, once in the advanced country range, the factors that improve management quality are less easy to document and hence influence
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  • 60
    Language: English
    Pages: Online-Ressource (58 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Fortmann, Lea Incentive Contracts for Environmental Services and Their Potential in REDD
    Abstract: Implementation arrangements for Reducing Greenhouse Gas Emissions from Deforestation and Forest Degradation can be seen as contracts that could address some of the inherent problems with forest carbon credits that often lead to high transaction costs-measuring, monitoring, and verification. Self-enforcing contracts, where it is in the best interest of the environmental service providers to comply with the contracts, may be one way to reduce these costs if providers have incentives to uphold their end of the contract. While the literature on Reducing Greenhouse Gas Emissions from Deforestation and Forest Degradation is extensive, there is little information available to guide policy makers or investors on what form such contracts should take. After providing an overview of the current status of Reducing Greenhouse Gas Emissions from Deforestation and Forest Degradation and its role as a tool for reducing carbon emissions on an international scale, the paper describes key issues regarding implementation and reviews the literature on contracts from the related area of Payments for Ecosystem Services programs, which face similar challenges. The remainder of the paper reviews various contractual mechanisms from agricultural and forestry related projects that have been proposed or are being used in practice and discusses the various implications associated with their design and implementation
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  • 61
    Language: English
    Pages: Online-Ressource (48 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Adoho, Franck The Impact of an Adolescent Girls Employment Program
    Abstract: This paper presents findings from the impact evaluation of the Economic Empowerment of Adolescent Girls and Young Women (EPAG) project in Liberia. The EPAG project was launched by the Liberian Ministry of Gender and Development in 2009 with the goal of increasing the employment and income of 2,500 young Liberian women by providing livelihood and life skills training and facilitating their transition to productive work. The analysis in this paper is based on data collected during two rounds of quantitative surveys in 2010 and 2011, the second of which was conducted six months after the classroom-based phase of the training program ended. Strong impacts are found on the employment and earnings outcomes of program participants, relative to a control group of non-participants. The EPAG program increased employment by 47 percent and earnings by 80 percent. In addition, the impact evaluation documents positive effects on a variety of empowerment measures, including access to money, self-confidence, and anxiety about circumstances and the future. The evaluation finds no net impact on fertility or sexual behavior. At the household level, there is evidence of improved food security and shifting attitudes toward gender norms. These results reinforce the highly positive feedback received from focus group discussions with program participants. Finally, preliminary cost-benefit analysis indicates that the budgetary cost of the EPAG business development training for young women is equivalent to the value of three years of the increase in income among program beneficiaries. These preliminary results provide strong evidence for further investment and research into young women's livelihood programs in Liberia
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  • 62
    Language: English
    Pages: Online-Ressource (35 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Longmore, Rohan Toward Economic Diversification in Trinidad and Tobago
    Abstract: This paper contributes to the predominant diversification debate that has been ongoing in Trinidad and Tobago for more than three decades. The paper makes a determination of the key impediments to the country's attempts at diversification. Econometric techniques are applied on panel data to identify the most significant obstacles to economic diversification for a set of 183 countries. The results indicate that openness to foreign direct investment inflows is the most fundamental driver of diversification. The findings are then applied to the specific case of Trinidad and Tobago through a detailed analysis of the links in the trends followed by foreign direct investment and diversification between 1980 and 2011. Greater openness to foreign direct investment and improving the business climate appear to be key policies the twin-island republic could implement further in order to expand the range of activities of its economic structure
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  • 63
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (33 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Newhouse, David Cohort Size and Youth Employment Outcomes
    Abstract: This paper utilizes a cross-country panel of 83 developing countries to examine how changes in cohort size are correlated with subsequent employment outcomes for workers at different ages. The results depend on countries' level of development. In low-income countries, young adults that are born into smaller cohorts are less likely to work, but school attendance remains unchanged. In middle-income countries, young adults in smaller cohorts are less likely to be unemployed and more likely to work outside of agriculture. Neither pattern can be discerned among older adults, although the estimates are imprecise. In sum, reductions in cohort size are associated with moderate improvements in employment outcomes for youth in middle-income countries, but there is scant evidence that these improvements persist into adulthood
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  • 64
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: 1 Online-Ressource (46 Seiten)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Hallegatte, Stephane Economic Resilience
    Abstract: The welfare impact of a disaster does not only depend on the physical characteristics of the event or its direct impacts in terms of lost lives and assets. Welfare impacts also depend on the ability of the economy to cope, recover, and reconstruct and therefore to minimize aggregate consumption losses. This ability can be referred to as the macroeconomic resilience to natural disasters. Macroeconomic resilience has two components: instantaneous resilience, which is the ability to limit the magnitude of immediate production losses for a given amount of asset losses, and dynamic resilience, which is the ability to reconstruct and recover. Welfare impacts also depend on micro-economic resilience, which depends on the distribution of losses; on households' vulnerability, such as their pre-disaster income and ability to smooth shocks over time with savings, borrowing, and insurance, and on the social protection system, or the mechanisms for sharing risks across the population. The (economic) welfare disaster risk in a country can be reduced by reducing the exposure or vulnerability of people and assets (reducing asset losses), increasing macroeconomic resilience (reducing aggregate consumption losses for a given level of asset losses), or increasing microeconomic resilience (reducing welfare losses for a given level of aggregate consumption losses). The paper proposes rules of thumb to estimate macroeconomic and microeconomic resilience based on the relevant parameters in the economy. It also provides a toolbox of policies to increase macro- or micro-economic resilience and a list of indicators that can be used to build a resilience indicator
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  • 65
    Language: English
    Pages: Online-Ressource (41 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Khwaja, Munawer Sultan Revenue Potential, Tax Space, and Tax Gap
    Abstract: This paper contributes to the empirical literature on the key determinants of the revenue generating potential in 61 countries. The paper uses a broad set of data and econometric methods to conduct analyses that are of relevance to revenue potential. Earlier studies have not distinguished between the revenue potential based on economic fundamentals of countries and that based on what the legal framework prescribes. This study uses a dual approach to revenue potential to examine the issue. Two sets of variables are used, one related to the intrinsic economic structure and strength of countries that affect revenue potential and the other related to tax policy variables. Accordingly the analysis finds two sets of revenue potentials: one can be termed “revenue potential (economic),” and the other “revenue potential (legal).” The difference between the revenue potential (legal) and the actual revenue collected is commonly understood as the “tax gap.” The difference between the revenue potential (economic) and the actual revenue collected can be termed the “tax space,” the amount of revenue that a country can afford to collect, given its economic strength, not based on what the parliament has mandated. The results show that legally mandated revenue potentials in countries in Eastern Europe and Central Asia are often higher than the revenue potential based on what the country's economic fundamentals can afford. The paper also makes use of a tax effort index and finds that although many countries are performing close to the revenue potential (economic), it is more difficult to match up to the revenue potential (legal). The relationship between the revenue potential and the shadow economy, value added tax productivity, and some other determinants are examined to test whether some countries are taxing beyond their means
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  • 66
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (32 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Henderson, J. Vernon Urbanization and the Geography of Development
    Abstract: This paper focuses on three interrelated questions on urbanization and the geography of development. First, although we herald cities with their industrial bases as “engines of growth,” does industrialization in fact drive urbanization? While such relationships appear in the data, the process is not straightforward. Among developing countries, changes in income or industrialization correlate only weakly with changes in urbanization. This suggests that policy and institutional factors may also influence the urbanization process. In fact, the relationship between industrialization and urbanization is absent in Sub-Saharan Africa. Second, do development policies have a big-city bias and, if so, what does this imply for growth and inequality? Intelligent public infrastructure investment inevitably involves picking winners. One hopes that such choices are based on market indicators, such as where industry is starting to agglomerate and where there are clear needs. Yet governments seem to favor the biggest cities which in turn draw firms and migrants to these cities. To try to avoid excessive in-migration and oversized, congested cities, favored cities might adopt policies that make living conditions for migrants more unpleasant. This can result in increased inequality and social tension. Finally, the paper examines city sizes and city-size distributions. Factors determining both aspects are complex and poorly understood. It is hard to be proscriptive about either individual city sizes or overall city-size distributions. The best policies strengthen institutions in the relevant markets so that market forces can move the economy toward better outcomes
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  • 67
    Language: English
    Pages: Online-Ressource (26 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Stewart, Fiona Proving Incentives for Long-Term Investment by Pension Funds
    Abstract: A fundamental goal of any pension system is to ensure that members receive an adequate income when they retire. Although traditional defined benefit pension plans set out how pension income will be determined in advance and then strive to deliver this, the growing number of defined contribution plans accumulate a sum of assets which can then be turned into a pension income on retirement. However, the amount of this retirement income is not predefined This frequently leads to a focus by not only most pension providers, but also regulators and pension plan members themselves on the short-term accumulation of pension assets rather than the longer-term goal of securing an adequate retirement income. This paper discusses a possible solution to this challenge: the use of benchmarks to encourage pension funds to invest with the longer-term goal of delivering adequate retirement income in mind. Examples are provided of leading pension funds that already work with long-term, outcome-based benchmarks. The paper suggests a methodology for pension regulators to use in order to incentivize pension funds in their jurisdictions to adopt a similar approach
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  • 68
    Language: English
    Pages: Online-Ressource (37 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Das, Ashis Strengthening Malaria Service Delivery through Supportive Supervision and Community Mobilization in an Endemic Indian Setting
    Abstract: Malaria continues to be a prominent global public health challenge, in part because of the slow population adoption of recommended preventive and curative behaviors. This paper tests the effectiveness of two service delivery models designed to promote recommended behaviors, including prompt treatment seeking for febrile illness, in Odisha India. The tested modules include supportive supervision of community health workers and community mobilization promoting appropriate health seeking. Program effects were identified through a randomized cluster trial comprising 120 villages from two purposively chosen malaria-endemic districts. Significant improvements were measured in the reported utilization of bed nets in both intervention arms vis-à-vis the control. Although overall rates of treatment seeking were equal across the study arms, treatment seeking from community health workers was higher in both intervention arms and care seeking from trained providers also increased with a substitution away from untrained providers. Further, fever cases in both treatments were more likely to have received timely medical treatment (within 24 hours) from a skilled provider. The study arm with supportive supervision was particularly effective in shifting care seeking to community health workers and ensuring prompt diagnosis and treatment. A community-based intervention combining the supportive supervision of community health workers with intensive community mobilization can be effective in shifting care seeking and increasing preventive behavior, and thus may be used to strengthen the national malaria control program
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  • 69
    Language: English
    Pages: Online-Ressource (48 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Barattieri, Alessandro Cross-Border Mergers and Acquisitions in Services
    Abstract: This paper presents evidence on the determinants of cross-border mergers and acquisitions in services sectors. It develops a stylized model of mergers and acquisitions that predicts that the incidence of merger and acquisition deals depends, inter alia, on the target economy's size, industrial structure and investment policies, as well as on bilateral transactions costs. These predictions are examined with bilateral merger and acquisition flow data and detailed information on policy barriers from a new database of restrictions on services investment. The analysis finds that: (1) geographical factors affect mergers and acquisitions in services and manufacturing similarly but cultural factors affect mergers and acquisitions in services more than in manufacturing. (2) Controlling for these bilateral factors, restrictive investment policies reduce the probability of merger and acquisition inflows but this negative effect is mitigated in countries with relatively large shares of manufacturing and (to a lesser extent) services in gross domestic product. The same results hold for the number of merger and acquisition deals received. These findings suggest that the impact of policy is state-dependent and related to the composition of gross domestic product in the target economy
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  • 70
    Language: English
    Pages: Online-Ressource (40 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Ahmed, Faizuddin Hybrid Survey to Improve the Reliability of Poverty Statistics in a Cost-Effective Manner
    Abstract: This paper studies the benefits, in terms of reliability and frequency of poverty statistics, of conducting a hybrid survey that collects non-consumption data from all surveyed households and consumption data from only a small subsample. Collecting detailed consumption or income data for the purpose of estimating poverty is costly and many low-income countries cannot afford to carry out such surveys on a regular basis. One option is to collect only non-consumption data and use consumption models developed from a previous round of household survey data to project poverty data. Although this approach is cost-effective because collection of non-consumption data is much cheaper than collection of consumption data, it is vulnerable to a structural change between the current and previous household surveys and might produce poverty estimates that are not comparable with the previous ones. Instead, the hybrid approach creates consumption models from a subsample of the current survey and applies them to the entire survey to project consumption data for all households in the sample. This paper examines the hybrid approach with data from the Bangladesh Household Income Expenditure Surveys of 2000 and 2005. Improvements in accuracy are achieved even with subsamples of just 320 or 640 households. Budget simulations confirm that the additional cost of collecting consumption data for such small subsamples is minimal
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  • 71
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (12 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Islam, Asif Do Government Private Subsidies Crowd Out Entrepreneurship?
    Abstract: Although several studies have found a negative relationship between government spending and entrepreneurship, much debate remains regarding the components of government spending responsible for this association. This paper contributes to the literature by specifically exploring the relationship between government private subsidies and entrepreneurship. By combining macroeconomic government spending data with individual level entrepreneurship data, the paper finds a negative association between the share of private subsidies and entrepreneurship. However, findings are less straightforward when the analysis delves deeper into the components of private subsidies and their association with different kinds of entrepreneurship
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  • 72
    Language: English
    Pages: Online-Ressource (38 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Bertho, Fabien The Trade-Reducing Effects of Restrictions on Liner Shipping
    Abstract: This paper examines how policy governing the liner shipping sector affects maritime transport costs and seaborne trade flows. The paper uses a novel data set and finds that restrictions, particularly on foreign investment, increase maritime transport costs, strongly but unevenly. The cost-inflating effect ranges from 24 to 50 percent and trade on some routes may be inhibited altogether. Distance increases maritime transport costs, but also attenuates the cost impact of policy barriers. Overall, policy restrictions may lower trade flows on specific routes by up to 46 percent and therefore deserve greater attention in national reform programs and international trade negotiations
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  • 73
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (37 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Smets, Lodewijk World Bank Lending and the Quality of Economic Policy
    Keywords: Weltbank ; Internationale Organisation ; Entwicklungshilfe ; Wirtschaftspolitik ; Wirtschaftliche Anpassung ; Entwicklungsländer
    Abstract: This study investigates the impact of World Bank development policy lending on the quality of economic policy. It finds that the quality of policy increases, but at a diminishing rate, with the cumulative number of policy loans. Similar results hold for the cumulative number of conditions attached to policy loans, although quadratic specifications indicate that additional conditions may even reduce the quality of policy beyond some point. The paper measures the quality of economic policy using the World Bank's Country Policy and Institutional Assessments of macro, debt, fiscal and structural policies, and considers only policy loans targeted at improvements in those areas. Previous studies finding weaker effects of policy lending on macro stability have failed to distinguish loans primarily intended to improve economic policy from other loans targeted at improvements in sector policies or in public management. The paper also shows that investing in economic policy does not "crowd out" policy improvements in other areas such as public sector governance or human development. The results are robust to using alternative indicators of policy quality, and correcting for endogeneity with system generalized methods of moments and cross-sectional two-stage least squares. The more positive results in the study relative to some previous studies based on earlier loans are consistent with claims by the World Bank that it has learned from its mistakes with traditional adjustment lending
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  • 74
    Language: English
    Pages: Online-Ressource (44 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Bussolo, Maurizio Capital Will Not Become More Expensive as the World Ages
    Abstract: Aging of populations and convergence between developed and developing countries in per capita incomes are shaping the evolution of saving, investment, capital flows, and, in particular, the cost of capital. When considering these trends, the existing literature argues for either continued, low interest rates, or sharply rising ones. This paper presents an alternative view: modest rises in interest rates, which result from a combination of increases in the global weight of high-saving developing economies (limiting declines in global saving), and decelerations in the rate of growth in developing countries (constraining upward pressure in global investment). For the majority of countries, slowing capital demand resulting from decelerating growth, coupled with structural changes that influence its attractiveness as a destination for capital, moderate increases in interest rates. Changes in key assumptions do not alter this view. More specifically, the small rise in interest rates persists even in a scenario where growth in developing countries decelerates more slowly, or when elasticities governing the behavior of saving and investment are varied
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  • 75
    Language: English
    Pages: Online-Ressource (25 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Morales, Alvaro Pedraza Strategic Interactions and Portfolio Choice in Money Management
    Abstract: This paper studies the portfolio choice of strategic fund managers in the presence of a peer-based underperformance penalty. Evidence is taken from the Colombian pension fund management industry, where six asset managers are in charge of portfolio allocation for the mandatory contributions of the working population. These managers are subject to a peer-based underperformance penalty, known as the Minimum Return Guarantee. The trading behavior by the managers is studied before and after a change in the strictness of the guarantee in June 2007. The evidence suggests that a tighter minimum return guarantee results in more trading in the direction of peers, a behavior that is more pronounced for underperforming managers. These managers rebalance their portfolios by buying securities in which they are underexposed relative to their peers, as opposed to selling assets in which they are overexposed. Overall, the results suggest that incentives for managers to be close to industry benchmarks play an important role in the portfolio allocation of these funds
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  • 76
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (37 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Beck, Thorsten SME Finance in Africa
    Abstract: This paper uses cross-country firm-level surveys to gauge access to financial services and the importance of financing constraints for African enterprises. The paper compares access to finance in Africa and other developing regions of the world, within Africa across countries, and across different groups of firms. It relates firms' access to finance to firm and banking system characteristics and discusses policy challenges
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  • 77
    Language: English
    Pages: Online-Ressource (23 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Stein, Daniel Dynamics of Demand for Rainfall Index Insurance
    Abstract: This paper analyzes the dynamic nature of rainfall insurance purchasing decisions, specifically looking at whether and why receiving an insurance payout induces a greater chance of purchasing insurance again the next year. This analysis uses customer data from the Indian micro-finance institution BASIX, and finds that receiving an insurance payout is associated with a 9 to 22 percentage points increased probability of purchasing insurance the following year. This affect appears to be driven by behavioral effects of receiving a payout, and cannot be explained by trust, learning, or direct effects of weather. Overall, low repurchasing rates even after payouts suggest that current rainfall index insurance products are likely to continue struggling to achieve significant sales at market prices
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  • 78
    Language: English
    Pages: Online-Ressource (66 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Ghani, Ejaz Spatial Dynamics of Electricity Usage in India
    Abstract: India's manufacturing sector has undergone many spatial adjustments since 1989, including, for example, the organized sector's migration to rural locations, the powerful rise of informal manufacturing within cities, and the development of intermediate cities for manufacturing. This paper investigates the impact of these spatial adjustments for electricity usage in India's manufacturing sector. Striking spatial differences in energy usage exist, and whether spatial adjustments exacerbate or alleviate energy consumption strains is important for issues ranging from reducing India's power blackouts to stemming rising pollution levels. Using detailed surveys for the organized and unorganized sectors, the analysis finds that electricity usage per unit of output in urban plants declined steadily during 1989-2010. In the rural areas, by contrast, electricity consumption per unit of output for organized sector plants peaked in 2000 and thereafter declined. Decomposing the observed trends in aggregate electricity usage from 2000 onwards, the paper finds that most reductions in electricity usage per unit of output came from reductions in existing sites of activity (defined through state-industry-urban/rural cells). The second biggest factor leading to reduced usage was lower usage in fast-growing sectors. By contrast, spatial movements of manufacturing activity across India did not significantly change usage levels and may have even increased them. This appears to have been in part because of the split nature of the mobility, with organized and unorganized sectors migrating in opposite directions
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  • 79
    Language: English
    Pages: Online-Ressource (42 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Larson, Donald F Agricultural Policies and Trade Paths in Turkey
    Abstract: In 1959, shortly after the European Economic Community was founded under the 1957 Treaty of Rome, Turkey applied for Associate Membership in the then six-member common market. By 1963, a path for integrating the economies of Turkey and the eventual European Union had been mapped. As with many trade agreements, agriculture posed difficult political hurdles, which were never fully cleared, even as trade barriers to other sectors were eventually removed and a Customs Union formed. This essay traces the influences the Turkey-European Union economic institutions have had on agricultural policies and the agriculture sector. An applied general equilibrium framework is used to provide estimates of what including agriculture under the Customs Union would mean for the sector and the economy. The paper also discusses the implications of fully aligning Turkey's agricultural policies with the European Union's Common Agricultural Policy, as would be required under full membership
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  • 80
    Language: English
    Pages: Online-Ressource (47 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Basu, Kaushik From Tapering to Tightening
    Abstract: The "tapering talk" starting on May 22, 2013, when Federal Reserve Chairman Ben Bernanke first spoke of the possibility of the U.S. central bank reducing its security purchases, had a sharp negative impact on emerging markets. India was among those hardest hit. The rupee depreciated by 18 percent at one point, causing concerns that the country was heading toward a financial crisis. This paper contends that India was adversely impacted because it had received large capital flows in prior years and had large and liquid financial markets that were a convenient target for investors seeking to rebalance away from emerging markets. In addition, India's macroeconomic conditions had weakened in prior years, which rendered the economy vulnerable to capital outflows and limited the policy room for maneuver. The paper finds that the measures adopted to handle the impact of the tapering talk were not effective in stabilizing the financial markets and restoring confidence, implying that there may not be any easy choices when a country is caught in the midst of rebalancing of global portfolios. The authors suggest putting in place a medium-term policy framework that limits vulnerabilities in advance, while maximizing the policy space for responding to shocks. Elements of such a framework include a sound fiscal balance, sustainable current account deficit, and environment conducive to investment. In addition, India should continue to encourage relatively stable longer-term flows and discourage volatile short-term flows, hold a larger stock of reserves, avoid excessive appreciation of the exchange rate through interventions with the use of reserves and macroprudential policy, and prepare the banks and firms to handle greater exchange rate volatility
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  • 81
    Language: English
    Pages: Online-Ressource (43 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Amin, Mohammad Does Mandating Nondiscrimination in Hiring Practices Influence Women's Employment?
    Abstract: This study explores the relationship between mandating a nondiscrimination clause in hiring practices along gender lines and the employment of women versus men in 58 developing countries. The study finds a strong positive relationship between a nondiscrimination in hiring clause and women' relative to men' employment. The relationship is robust to several controls at the firm and country levels. The results also show sharp heterogeneity in the relationship between the nondiscrimination in hiring clause and women' versus men' employment, with the relationship being much larger in richer countries and in countries with more women in the population as well as among relatively smaller firms
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  • 82
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (61 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Ralston, Laura Job Creation in Fragile and Conflict-Affected Situations
    Abstract: This paper presents a comprehensive review of the operations that the World Bank has supported to create jobs and promote employment in fragile and conflict-affected situations. A novel approach to identifying projects is presented that enables searching for projects based on stated development objectives, regardless of the sector of the project. Of a sample of 2,166 projects funded by the International Development Association, this resulted in the identification of 98 projects that have specific job creation and employment generation development objectives. Among these projects, 51 percent of countries appearing on the list between 2004 and 2012 have implemented projects. Detailed textual analysis is carried out on the project descriptions and indicators to evaluate how well projects are aligned to the context. The results suggest there is a lack of measurement on outcomes that are particularly relevant for fragile and conflict-affected situations, such as the development of social cohesion, reintegration of those involved or affected by violence, impacts jobs have on the willingness to engage in violence or conflict, perceptions of government accountability, and equitable access to these economic opportunities. Quantitative analysis of the portfolio indicates that there are also systematic differences in the size and resources associated with job creation projects in countries with fragile and conflict-affected situations relative to similar projects in other International Development Association-borrowing countries. Given the mixed empirical evidence on the relationship between jobs and conflict, this report calls for more methodological measurement of the impacts of these programs on stabilization outcomes in the future
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  • 83
    Language: English
    Pages: Online-Ressource (42 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Kattan, Raja Bentaouet Dropout in Upper Secondary Education in Mexico
    Abstract: This study examines the causes and effects of low enrollment and high dropout rates at the upper secondary level in Mexico, where upper secondary completion rates are well below those of other Organisation for Economic Co-operation and Development countries and the regional average. Through a disaggregated analysis of coverage, absorption, and dropout data in secondary education at the state level, the study categorizes states according to the stage in the educational cycle at which dropout primarily occurs. The study further examines the academic, social, and economic consequences of dropout through an analysis of employment and youth survey data. The analysis of factors associated with dropout uses self-reported factors as well as estimated probit models that use household data from national surveys and the national standardized test. The central conclusion reached is that in addition to the patterns of dropout found, multiple elements intersect with the patterns to form a complex panorama. Key findings include: i) personal, family, and household economic factors and the prevalence of social risks have a closer association with dropout earlier in the education cycle; ii) the association between dropout and the quality of education has greater intensity in states where dropout occurs primarily during upper secondary education and in those with the lowest upper secondary dropout rates; and iii) as the returns to education grow, dropout is lower; in the case of returns to higher education, the association with dropout is stronger for states that have the highest dropout during upper secondary education. This complexity merits differentiated responses, which are explored through a brief look at relevant international approaches
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  • 84
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (47 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Buvinic, Mayra Promoting Women's Economic Empowerment
    Abstract: A review of rigorous evaluations of interventions that seek to empower women economically shows that the same class of interventions has significantly different outcomes depending on the client. Capital alone, as a small cash loan or grant, is not sufficient to grow women-owned subsistence-level firms. However, it can work if it is delivered in-kind to more successful women microentrepreneurs, and it should boost the performance of women' larger-sized SMEs. Very poor women need a more intensive package of services than do less poor women to break out of subsistence production and grow their businesses. What works for young women does not necessarily work for adult women. Skills training, job search assistance, internships, and wage subsidies increase the employment levels of adult women but do not raise wages. However, similar interventions increase young women' employability and earnings if social restrictions are not binding. Women who run subsistence-level firms face additional social constraints when compared to similar men, thus explaining the differences in the outcomes of some loans, grants, and training interventions that favor men. Social constraints may also play a role in explaining women' outcome gains that are short-lasting or emerge with a delay. The good news is that many of the additional constraints that women face can be overcome by simple, inexpensive adjustments in program design that lessen family and social pressures. These include providing capital in-kind or transacted through the privacy of a mobile phone and providing secure savings accounts to nudge women to keep the money in the business rather than to divert it to non-business uses
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  • 85
    Language: English
    Pages: Online-Ressource (36 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: de Walque, Damien Rewarding Safer Sex
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  • 86
    Language: English
    Pages: Online-Ressource (30 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Barbier, Edward B Poverty and the Spatial Distribution of Rural Population
    Abstract: According to global spatial data sets in 2000 more than one-third of the rural population in developing countries was located on less favored agricultural land and areas. Less favored agricultural lands are susceptible to low productivity and degradation, because their agricultural potential is constrained biophysically by terrain, poor soil quality, or limited rainfall. Less favored agricultural areas include less favored agricultural lands plus favorable agricultural land that is remote, that is, land in rural areas with high agricultural potential but with limited access. The paper presents tests of whether these spatial distributions of rural population influence poverty directly or indirectly via income growth in 83 developing countries from 2000 to 2012. The analysis finds no evidence of a direct impact on poverty, but there is a significant indirect impact via the elasticity of poverty reduction with respect to growth. Reducing poverty requires targeting rural populations in less favored lands and remote areas, in addition to encouraging out-migration in some areas
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  • 87
    Language: English
    Pages: Online-Ressource (43 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Calì, Massimiliano Trade and Civil Conflict
    Keywords: 1960 - 2010 ; Bürgerkrieg ; Politische Instabilität ; Außenwirtschaftspolitik ; Rohstoffpreis ; Entwicklungsländer
    Abstract: This paper revisits and expands the evidence on the impact of trade shocks on intra-state conflict with a large sample of developing countries in the 1960-2010 period. The results suggest that increases in the prices of a country's exported commodities raise the country's risk of civil conflict and its duration. The effect on conflict risk is mainly driven by the price of point-source commodities, in line with the rapacity effect theory of conflict. However, the paper does not find support for the opportunity cost theory via exported commodities. The analysis also finds that intense trading with contiguous countries is associated with lower duration of intra-state conflict, consistent with the idea that such trade reduces the incentive of contiguous countries to fuel conflict in their neighbor. Trading with neighbors is also associated with a lower risk of conflict, when such trade occurs under trade agreements. By contrast, neither imported commodity prices nor the economic cycle in export markets appears to exert any influence on the probability or duration of conflict. The paper identifies several conditions under which changes in the value of exported commodities cease to matter for conflict probability
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  • 88
    Language: English
    Pages: Online-Ressource (37 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Vieider, Ferdinand M Measuring Risk Preferences in Rural Ethiopia
    Keywords: Risikopräferenz ; Entwicklung ; Experimentelle Ökonomik ; Äthiopien
    Abstract: Risk-aversion has generally been found to decrease in income. This may lead one to expect that poor countries will be more risk-averse than rich countries. Recent comparative findings with students, however, suggest the opposite, giving rise to a risk-income paradox. This paper tests this paradox by measuring the risk preferences of more than 500 household heads spread over the highlands of Ethiopia and finds high degrees of risk tolerance. The paper also finds risk tolerance to increase in income proxies, thus completing the paradox. Using exogenous proxies, the paper concludes that part of the causality must run from income to risk tolerance. The findings suggest that risk preferences cannot be blamed for the failure to adopt new technologies. Alternative explanations are discussed
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  • 89
    Language: English
    Pages: Online-Ressource (43 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Maimbo, Samuel Munzele Financial Sector Policy in Practice
    Abstract: Policy makers use financial sector strategies to formulate a holistic policy for their national financial sectors. This paper examines and rates financial sector strategies around the world based on how well they formulate development targets, arrangements for systemic risk management, and implementation plans. The strategies are also rated on whether they consider policy trade-offs between financial development and systemic risk management. The rated strategies are then benchmarked against a wide range of country characteristics. The analysis finds that the scope and quality of national strategies for the financial sector are influenced by the country's type of legal system, its level of income and macroeconomic stability, the existing financial depth and inclusion, the share of foreign ownership in the national financial sector, and the experience of past financial crises. Giving due consideration to policy trade-offs, particularly between financial development and systemic risk management, remains the weakest part of these strategies. Countries with civil- and religious-based law and those with a higher share of foreign ownership in their financial system address the policy trade-offs more often
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  • 90
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (12 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Amin, Mohammad Imports of Intermediate Inputs and Country Size
    Abstract: The paper analyzes the relationship between country size and the use of imported intermediate inputs by firms in 76 developing countries. Recent evidence indicates that the use of imported inputs can have a large, positive effect on productivity and growth, thus motivating a better understanding of the determinants of foreign inputs. The results confirm that, as is the case with exports, use of imported intermediate inputs is much higher at the extensive and intensive margins in small relative to large countries. The results for imported inputs are comparable in magnitude with those for exports
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  • 91
    Language: English
    Pages: Online-Ressource (22 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Bonzanigo, Laura Making Informed Investment Decisions in an Uncertain World
    Abstract: Governments invest billions of dollars annually in long-term projects. Yet deep uncertainties pose formidable challenges to making near-term decisions that make long-term sense. Methods that identify robust decisions have been recommended for investment lending but are not widely used. This paper seeks to help bridge this gap and, with a demonstration, motivate and equip analysts better to manage uncertainty in investment decisions. The paper first reviews the economic analysis of ten World Bank projects. It finds that analysts seek to manage uncertainty but use traditional approaches that do not evaluate options over the full range of possible futures. Second, the paper applies a different approach, Robust Decision Making, to the economic analysis of a 2006 World Bank project, the Electricity Generation Rehabilitation and Restructuring Project, which sought to improve Turkey's energy security. The analysis shows that Robust Decision Making can help decision makers answer specific and useful questions: How do options perform across a wide range of potential future conditions? Under what specific conditions does the leading option fail to meet decision makers' goals? Are those conditions sufficiently likely that decision makers should choose a different option? Such knowledge informs rather than replaces decision makers' deliberations. It can help them systematically, rigorously, and transparently compare their options and select one that is robust. Moreover, the paper demonstrates that analysts can use the same data and models for Robust Decision Making as are typically used in economic analyses. Finally, the paper discusses the challenges in applying such methods and how they can be overcome
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  • 92
    Language: English
    Pages: Online-Ressource (30 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Ali, Daniel Ayalew Credit Constraints, Agricultural Productivity, and Rural Nonfarm Participation
    Abstract: Although the potentially negative impacts of credit constraints on economic development have long been discussed conceptually, empirical evidence for Africa remains limited. This study uses a direct elicitation approach for a national sample of Rwandan rural households to assess empirically the extent and nature of credit rationing in the semi-formal sector and its impact using an endogenous sample separation between credit-constrained and unconstrained households. Being credit constrained reduces the likelihood of participating in off-farm self-employment activities by about 6.3 percent while making participation in low-return farm wage labor more likely. Even within agriculture, elimination of all types of credit constraints in the semi-formal sector could increase output by some 17 percent. Two suggestions for policy emerge from the findings. First, the estimates suggest that access to information (education, listening to the radio, and membership in a farm cooperative) has a major impact on reducing the incidence of credit constraints in the semi-formal credit sector. Expanding access to information in rural areas thus seems to be one of the most promising strategies to improve credit access in the short term. Second, making it easy to identify land owners and transfer land could also significantly reduce transaction costs associated with credit access
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  • 93
    Language: English
    Pages: Online-Ressource (26 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Klein, Michael Firms Doing Good
    Abstract: Social impact investors, philanthropists, or corporations pursuing social responsibility try to demonstrate that they are indeed "doing good." This essay classifies the various types of measures that currently exist to capture social and environmental impact in a simple scheme. It argues that there is a basic "staircase of results measurement." A first level of measures captures some aspect of "organizational readiness." The next level describes some form of "result" that may or may not be attributable to the organization trying to do good. The third level gets at "impact" that can be attributed to an intervention. Beyond this, there are measures that assess the costs and benefits of interventions, allow aggregation of results from different interventions and comparison among them or across time. Finally, the essay discusses how measures are tied to incentives. It argues that the various approaches can produce more or less helpful measures but cannot be expected to yield anything approaching a true "double" or "triple" bottom line. A true "bottom line" involves aggregation and comparability of costs and benefits and provides incentives to perform. The multitude of social and environmental measurement schemes will by necessity remain a patchwork that can be thought of as describing the "product characteristics" of a company's output. Accounting profit remains the only measure that effectively aggregates costs and benefits and provides incentives. Profit itself is not just a necessity for organizational survival. It measures whether organizations meet client needs. It is thus an important measure of social impact in its own right. This may be unsurprising, but it sets expectations straight compared with currently widespread unrealistic hopes for the measurement of social and environmental impact and redirects attention to paying attention to profitability as part of impact measurement
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  • 94
    Online Resource
    Online Resource
    Washington, D.C : The World Bank
    Language: English
    Pages: Online-Ressource (33 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Farazi, Subika Informal Firms and Financial Inclusion
    Abstract: Many firms in the developing world-including a majority of micro, small, and medium enterprises-operate in the informal economy. The informal firms face a variety of constraints, making it harder for them to do business and grow. Lack of access to finance is often cited as the biggest operational constraint these firms face. This paper documents the use of finance and financing patterns of informal firms, highlights differences between use of finance by formal and informal firms, and identifies the most significant characteristics of informal firms that are associated with higher use of financial services. The analysis shows that use of loans and bank accounts for business by informal firms is very low and a vast majority finances their day-to-day operations and investments through sources other than financial institutions (internal funds, moneylenders, family, and friends). A majority of informal firm owners would like their firms to become formal but do not do so as it would require them to pay taxes. Registered firms are 54 percent more likely to have a bank account and 32 percent more likely to have loans. Results also show that firm size, the level of education of the owner, and whether the owner has a job in the formal sector are significantly associated with financial inclusion of informal firms
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  • 95
    Language: English
    Pages: Online-Ressource (44 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Skoufias, Emmanuel Electoral Accountability and Local Government Spending in Indonesia
    Abstract: This paper takes advantage of the exogenous phasing of direct elections in districts and applies the double-difference estimator to measure impacts on (i) human development outcomes and (ii) the pattern of public spending and revenue generation at the district level. The analysis reveals that four years after the switch to direct elections, there have been no significant effects on human development outcomes. However, the estimates of the impact of Pilkada on health expenditures at the district level suggest that directly elected district officials may have become more responsive to local needs at least in the area of health. The composition of district expenditures changes considerably during the year and sometimes the year before the elections, shifting toward expenditure categories that allow incumbent district heads running as candidates in the direct elections to "buy" voter support. Electoral reforms did not lead to higher revenue generation from own sources and had no effect on the budget surplus of districts with directly elected heads
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  • 96
    Language: English
    Pages: Online-Ressource (59 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Bergkvist, Sofi What a Difference a State Makes
    Abstract: In the mid-2000s, India began rolling out large-scale, publicly-financed health insurance schemes mostly targeting the poor. This paper describes and analyzes Andhra Pradesh's Aarogyasri scheme, which covers against the costs of around 900 high-cost procedures delivered in secondary and tertiary hospitals. Using a new household survey, the authors find that 80 percent of families are eligible, equal to about 68 million people, and 85 percent of these families know they are covered; only one-quarter, however, know that the benefit package is limited. The study finds that, contrary to the rules of the program, patients incur quite large out-of-pocket payments during inpatient episodes thought to be covered by Aarogyasri. In the absence of data and program design features that would allow for a rigorous impact evaluation, a comparison is made between Andhra Pradesh and neighboring Maharashtra over an eight-year period spanning the scheme's introduction. During this period, Maharashtra did not introduce any at-scale health initiative that was not also introduced in Andhra Pradesh. Andhra Pradesh other health initiatives were considerably less ambitious and costly than Aarogyasri. The paper finds that Andhra Pradesh recorded faster growth than Maharashtra (even after adjusting for confounders) in inpatient admissions per capita (for all income groups) and in surgery admissions (among the poor only), slower growth in out-of-pocket payments for inpatient care (in total and per admission, but only among the better off), and slower growth in transport and outpatient out-of-pocket costs. The paper argues that these results are consistent with Aarogyasri having the intended effects, but also with minor health initiatives in Andhra Pradesh (especially the ambulance program) playing a role
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  • 97
    Language: English
    Pages: Online-Ressource (35 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Freund, Caroline Episodes of Unemployment Reduction in Rich, Middle-Income, and Transition Economies
    Abstract: This paper studies the incidence and determinants of episodes of drastic unemployment reduction, defined as swift, substantial, and sustained declines in unemployment. Forty-three episodes are identified over a period of nearly three decades in 94 rich, middle-income, and transition countries. Unemployment reductions often coincide with an acceleration of growth and an improvement in macroeconomic conditions. Episodes are much more prevalent in countries with higher levels of unemployment and, given unemployment, are more likely in countries with better regulation. An efficient legal system that enforces contracts expeditiously is particularly important for reducing unemployment. The results imply that while employment is largely related to the business cycle, better regulation reduces the likelihood of high unemployment and facilitates a more rapid recovery in the event unemployment builds up
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  • 98
    Language: English
    Pages: Online-Ressource (18 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Golub, Alexander Climate Change, Industrial Transformation, and "Development Traps
    Abstract: This paper examines the possibility of environmental "development traps," or "brown poverty traps," caused by interactions between the impacts of climate change and increasing returns in the development of "clean-technology" sectors. A simple specification is used in which the economy can produce a single homogeneous consumption good with two different technologies. In the "old" sector, technology has global diminishing returns to scale and depends on the use of fossil energy that gives rise to long-lived, damaging climate change. In the "new" sector, the technology has convex-concave production and is not dependent on the polluting energy input. If the new sector does not grow fast enough to move through the phase of increasing returns, then the economy may linger at a low level of income indefinitely or it may achieve greater progress but then get driven back down to a lower level of income by environmental degradation. Stimulating growth in the new sector thus may be a key element for avoiding an environmental poverty trap and achieving higher, sustained income levels
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  • 99
    Language: English
    Pages: Online-Ressource (40 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Nikandrova, Arina Contracting for the Second Best in Dysfunctional Electricity Markets
    Abstract: Power pools constitute a set of sometimes complex institutional arrangements for efficiency-enhancing coordination among power systems. Where such institutional arrangements do not exist, there still can be scope for voluntary electricity-sharing agreements among power systems. This paper uses a particular type of efficient risk-sharing model with limited commitment to demonstrate that second-best coordination improvements can be achieved with low to moderate risks of participants leaving the agreement. In the absence of an impartial market operator who can observe fluctuations in connected power systems, establishing quasi-markets for trading excess electricity through the kind of mechanism described here helps achieve sustainable cooperation in mutually beneficial electricity sharing
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  • 100
    Language: English
    Pages: Online-Ressource (41 p)
    Edition: 2014 World Bank eLibrary
    Parallel Title: Dillon, Andrew Agricultural Production, Dietary Diversity, and Climate Variability
    Abstract: Nonseparable household models outline the links between agricultural production and household consumption, yet empirical extensions to investigate the effect of production on dietary diversity and diet composition are limited. Although a significant literature has investigated the calorie-income elasticity abstracting from production, this paper provides an empirical application of the nonseparable household model linking the effect of exogenous variation in planting season production decisions via climate variability on household dietary diversity. Using exogenous variation in degree days, rainfall, and agricultural capital stocks as instruments, the effect of production on household dietary diversity at harvest is estimated. The empirical specifications estimate production effects on dietary diversity using both agricultural revenue and crop production diversity. Significant effects of agricultural revenue and crop production diversity on dietary diversity are estimated. The dietary diversity-production elasticities imply that a 10 percent increase in agricultural revenue or crop diversity results in a 1.8 percent or 2.4 percent increase in dietary diversity, respectively. These results illustrate that agricultural income growth or increased crop diversity may not be sufficient to ensure improved dietary diversity. Increases in agricultural revenue do change diet composition. Estimates of the effect of agricultural income on share of calories by food groups indicate relatively large changes in diet composition. On average, a 10 percent increase in agricultural revenue makes households 7.2 percent more likely to consume vegetables and 3.5 percent more likely to consume fish, and increases the share of tubers consumed by 5.2 percent
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