WIDER Jubilee Conference.
Helsinki, Finland, June 2005.
WIDER
Thinking Ahead: the Future of Development Economics |
Themes addressed in
this conference:
- Institutions and Governance - Conflict and Human Rights
- Development Finance
- Development Economics in Retrospect
- Poverty and Vulnerability - Foreign Aid
- Development Strategies - China - Globalization
- A New World Economic Order - Behavioural Approaches
- Poverty - Wellbeing and Human Development
- Trade and Development - Migration and Employment
- Africa - International Finance - Pro-poor Policies
- Technology and Development - Informal Sector
- Rural Development - Achieving the MDGs - Growth
- Country Strategies - Cultural and Social Capital
Conference
papers: |
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|
Global inequalities in long term
perspective - 2005 - Richard Jolly
Adam Smith’s emphasis on the central importance for development of the
division of labour is often repeated. Less well known is what he had to
say about inequality and its origins. Smith was blunt:
"Wherever there is great property, there is great inequality. For one very rich
man there must be at least five hundred poor, and the affluence of the few supposes
the indigence of the many".
Smith also emphasized the way such inequality led on to the need for
government to maintain law and order.
“The affluence of the rich excites the indignation of the poor, who are often
both driven by want, and prompted by envy, to invade his possessions. It is
only under the shelter of the civil magistrate that the owner of that valuable
property…can sleep at night in security…The acquisition of valuable and
extensive property, therefore, necessarily requires the establishment of civil
government."
Smith had an evolutionary view of society and made clear how inequality
evolved with property. In hunter society, the first period of society, there
was little property and little inequality – and with contemporary
understanding, probably less true than Smith thought – seldom any
regular administration of justice. The second period of society was the
‘age of shepherds’ and with this “the inequality of fortune first begins to
take place and introduces among men a degree of authority and
subordination which could not possibly exist before. It thereby introduces
some degree of civil government which is indispensably necessary for its
own preservation.”
Smith though blunt, was measured. Thomas Paine writing two decades
later also focused on land as the source of inequality, but he presented his
analysis with pre-Marxian vitriol.
“It is very well known that in England (and the same will be found in other
countries) the great landed estates, now held in descent, were plundered from
the quiet inhabitants at the conquest. The possibility did not exist of acquiring
such estates honestly…That they were not acquired by trade, by commerce, by
manufactures, by agriculture or by any reputable employment is certain. How
then were they acquired? Blush, aristocracy, to hear your origin, for your
progenitors were Thieves…When they had committed the robbery, they
endeavoured to lose the disgrace of it, by sinking their real names under
fictious ones, which they called Titles. It is ever the practice of Felons to act in
this manner.”
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The pace and distribution of health
improvements during the last 40 years: some preliminary results
2005
- Giovanni Andrea Cornia
& Leonardo Menchini
This paper juxtaposes changes over the last forty years in indicators of income growth and
distribution with the mortality changes recorded at the aggregate level in about 170 countries and at the
individual level in 21 countries with at least two Demographic and Health Surveys covering the last twenty
years. Over the 1980s-and 1990s, the infant-mortality rate (IMR), under-5 mortality rate (U5MR) and Life
Expectancy at Birth (LEB) mostly continued the favourable trends that characterized the 1960s and 1970s.
Yet, especially, the 1990s the pace of health improvement was slower than that recorded during the prior
decades. In addition, the distribution between countries of aggregate health improvements became
markedly more skewed. These trends are in part explained by the negative changes recorded in Sub-
Saharan Africa and Eastern Europe, but are robust to the removal of the two regions from the sample. This
tendency is observed also at the intra-regional level, with the exception of Western Europe. Thirdly, DHS
data for 21 developing countries point to a frequent divergence over time in the within-country distribution
of gains in IMR and U5MR among children living in urban vs. rural areas and belonging to families part of
different quantiles of the asset distribution, while IMR differentials by level of education of the mother
show mixed trends The paper concludes by underscoring the similarities and linkages between changes in
income inequality and health inequality and suggests some tentative explanations of these trends without,
however, formally testing them.
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Inequality values and unequal shares
2005
- Tony Shorrocks
One of the great handicaps faced by researchers on inequality is the difficulty of
conveying the significance of summary measures of inequality to a broad audience, especially
non-economists. While concepts such as unemployment, inflation, growth, productivity and
poverty can be grasped intuitively by the general public—although not with all the fine nuances
—this is not the case with inequality values. The increasing attention given to issues concerning
population heterogeneity has made the lack of an intuitive concept a more pressing problem. This
perhaps explains a growing tendency to revert to the use of crude measures of inequality, such
as the inter-decile ratio.
The Gini coefficient is the summary measure which comes closest to providing an
intuitive interpretation. Indeed, this is the main reason why the Gini coefficient remains by far
the most popular inequality index.1 Yet the standard interpretations of the Gini coefficient fall
far short of immediate comprehension. The most common interpretation is the area above the
curve in a Lorenz diagram expressed as a proportion of the area below the diagonal; but this
presupposes familiarity with the notion of a Lorenz curve. The Gini can also be defined in terms
of the average absolute difference between incomes in the population, sampling randomly with
replacement over the entire population. In fact Yitzhaki (1998) lists more than 12 alternative
ways of defining the Gini coefficient—“spelling Gini” is how he puts it. However none of these
linguistic variations succeed in providing the simple intuitive concept that everyone craves.
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Trends in income inequality: a critical
examination of the evidence in WIID2
2005 - Markus Jantti & Susanna Sandstrom
This paper examines changes across time in within-country inequality using the most recent, and
we would argue, the most appropriate data at hand, the updated World Income Inequality Database
(WIID2). We attempt to find whether it is possible to find robust evidence on inequality trends.
Our empirical approach is to use so-called mixed-effects models with quintile groups means as the
dependent variable, observed covariates as explanatory variables and allow for (at the most detailed
level) country-specific intercepts and trends. This statistical framework allows us to assess in a
structured fashion the actual patterns of inequality change across the world and to start to examine
if these changes can be accounted for by readily observable economic and demographic factors.
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2.2
INSTITUTIONS AND GOVERNANCE |
Understanding the relationship between
institutions and economic development... (PDF 64KB)-Ha-Joon Chang
|
| Institutions, policies and economic
development (PDF 152KB)-Grzegorz Kolodko |
| Governance in decentralized development aid
programs (PDF 318KB)-Frédéric Gaspart
& Jean-Philippe
Platteau |
| Corruptibility, transparency, and bureaucratic
institutional structure (PDF
224KB)-John Bennett & Saul Estrin |
|
2.3 CONFLICT AND HUMAN
RIGHTS |
| Inequality, indivisibility and insecurity
(PDF 73KB)-Mansoob Murshed |
| Bilateral war in a multilateral world: carrots
and sticks for conflict resolution (PDF
188KB) - Zsolt
Becsi and Sajal Lahiri |
| Globalization and human rights approach to
development (PDF 86KB) - Siddiq Osmani |
| Violence in peace, understanding increased
violence in early post-conflict transitions and its implications for
development (PDF 54KB)-Marcia Hartwell |
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2.4 DEVELOPMENT FINANCE |
| Capital flows to the African continent: the
development finance challenge (PDF
154KB)-Elsabe Loots |
| Regional financial arrangements in East Asia
(PDF 155KB) - Anwar
Nasution |
| IMF concern for
reputation and conditional lending failure: theory and
impirics - Silvia Marchesi & Laura
Sabani |
| The determinants of foreign direct investment
restrictive policies (PDF
260KB)- Elizabeth
Asiedu & Hadi Esfahani |
|
3.1 DEVELOPMENT ECONOMICS IN
RETROSPECT |
The evolution of the development doctrine and
the role of foreign aid, 1950-2005
- Erik
Thorbecke
The economic and social development of the third world, as such, was clearly not a
policy objective of the colonial rulers before the Second World Wari. Such an objective
would have been inconsistent with the underlying division of labour and trading patterns
within and among colonial blocks. It was not until the end of the colonial system in the
late forties and fifties, and the subsequent creation of independent states, that the
revolution of rising expectations could start. Thus, the end of Second World War
marked the beginning of a new regime for the less developed countries involving the
evolution from symbiotic to inward-looking growth and from a dependent to a
somewhat more independent relation vis-à-vis the ex-colonial powers. It also marked
the beginning of serious interest among scholars and policymakers in studying and
understanding better the development process as a basis for designing appropriate
development policies and strategies. In a broad sense a conceptual development doctrine
had to be built which policymakers in the newly independent countries could use as a
guideline to the formulation of economic policies.
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From Seers to Sen: the meaning of economic
development - 2005 - Wayne E.
Nafziger
How has the meaning of economic development changed during the twenty years of
WIDER’s existence? Two markers are Dudley Seers, “The Meaning of Development”
(1967, 1979), for the earlier period and Amartya Sen, Development as Freedom (1999),
for the later. Here the meaning of development also encompasses measures and strategies
of development and approaches to its study. Moreover, I examine works beyond these
markers to provide more detail of the two men’s views.
Both men were critical of the development literature of their times. For Seers,
neoclassical economics had a flawed paradigm and dependency theory a lack of policy
realism. After the fall of state socialism in 1989-1991, the ideological struggles among
economists diminished. Neoclassicism’s Washington Consensus of the World Bank,
IMF, and the U.S. government reigned (Williamson 1993, pp. 1329-1336; 1994, pp. 26-
28). Sen did not focus on ideological issues but, according to the Nobel prize committee,
“restored an ethical dimension to the discussion of economic problems” such as
development.
According to Seers (1979) the purpose of development is to reduce poverty,
inequality, and unemployment. For Sen (1999), development involves reducing
deprivation or broadening choice. Deprivation represents a multidimensional view of
poverty that includes hunger, illiteracy, illness and poor health, powerlessness,
voicelessness, insecurity, humiliation, and a lack of access to basic infrastructure
(Narayan et al. 2000, pp. 4-5).
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Kuznets and Modern economic growth fifty years
later -2005- Moshe Syrquin
Abstract
Simon Kuznets was awarded the 1971 Nobel Prize in economics for his empirically founded
interpretation of economic growth, yet, two decades after his death it is only in the guise of the
“Kuznets curve” that he may be found in the literature of growth or of economic development. In
this paper I review Kuznets’ contribution to growth focusing particularly on his analysis of the
costs and benefits of growth and the impossibility of conceptualizing modern economic growth
without substantive structural shifts.
Kuznets maintained the impossibility of a purely economic theory of growth. He considered the
more general theory as a worthwhile goal but a very remote one at the time. The central problem
for Kuznets was to endogenize what economics mostly regards as givens: technology, population,
tastes, and institutions.
In his studies of national income and growth Kuznets repeatedly emphasized the problems of
scope, valuation, and the distinction between net and gross outputs. The answers to these
questions depend on the purpose of economic activity which in turn refers to the social values of
the place and time. The solutions, therefore, can never be absolute.
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Turning points in development thinking and
practice 2005- Louis Emmerij
In this article, I shall first examine why and how the balance of development thinking and practice changed
around 1980. This turning point coincided with a change of influence (caused among others by the
industrial countries) at the level of strategic thinking from the UN to the Bretton Woods Institutions.
Second, I shall look into the possibility of future turning points in development thinking and practice. In
doing so, I shall describe, first, what could well become (and is already becoming) a new and expanded
general concept of development, and second, the very opposite, namely development not as a global but as
a regional and local strategy.
Having thus examined the future at the global, regional and national levels of development thinking, the
article ends with reflections about the interests that lie behind the ideas that help to explain why they get
implemented or not, why there are turning points or not.
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|
3.2 POVERTY AND
VULNERABILITY |
| Vulnerability, unemployment and poverty: a new
class of measures... (PDF
415KB)- Kaushik Basu & Patrick Nolen |
| Measuring individual vulnerability (PDF 199KB) - Cesar Calvo
& Stefan Dercon |
| Poverty persistence and transitions in
Uganda... (PDF 566KB)- David Lawson |
| Evaluating the impact of income fluctuations
on poverty: theory and application... (PDF
282KB)- Guillemo Cruces |
|
3.3 FOREIGN AID |
| Can foreign aid dampen external political
shocks? (PDF 404KB) - Lisa Chauvet |
| Whither conditionality? Selectivity versus
monitoring (PDF 156KB)- Oliver Morrissey |
| Aid
volatility (PDF 178KB) - David Fielding & George Mavrotas |
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3.4 DEVELOPMENT
STRATEGIES |
| Patterns of rent-extraction and deployment in
developing countries... (PDF
377KB) - Richard Auty |
| Credit co-operatives and energy efficiency in
locally-financed economic development (PDF
77KB)- Robert J.
McIntyre |
| Resources, strategies, and investment climates
as determinants of firm growth in developing countries: A dynamic
resource-based view of the firm (PDF
198KB) - Keun Lee & Tilahun Temesgen |
| Structural change and poverty reduction in
Brazil: the impact of Doha Round (PDF
703KB) - Maurizio Bussolo, Jann Lay and Dominique van der
Mensbrugghe |
|
3.5 CHINA |
| Development
strategy, viability, and economic institution: theory and evidence
from China - Lin,
Mingxing Liu & Pan |
State ownership and corporate performance: a
quantile analysis on China's listed companies (PDF 399KB)
- Laixiang Sun & Li
|
| Economic opening and industrial agglomeration
in China (PDF 249KB)-Zhao
Chen, Lin & Lu |
|
Applying key lessons from the Asian crisis to
present China (PDF
294KB) - Masaru Yoshitomi |
|
4.1 GLOBALIZATION |
|
Asymmetric globalization: Global markets
require good global politics (PDF
399KB)-Nancy Birdsall |
| The darker side
of globalization - Ronald Findlay & Mats
Lundahl |
| The Impact of
Globalization on the World’s Poor: Transmission
Mechanisms (PDF 82KB)-Machiko Nissanke & Erik
Thorbecke |
| Globalization, employment and poverty in
Ghana (PDF 205KB)-Ernest
Aryeetey |
|
4.2 A NEW WORLD ECONOMIC
ORDER |
| Appropriate economic policies at different
stages of development (PDF 548KB)-
Vladimir Popov & Victor Polterovitch
|
| Real exchange rate, monetary policy and
employment: economic development... (PDF
165KB) - Roberto Frenkel & Lance Taylor |
|
Critical trends, New challenges and the human
dimension of the global development process in the early part of the
21st century (PDF
149KB) - Miha¡ly
Simai |
|
|
4.3 BEHAVIOURAL
APPROACHES |
Reforms and confidence (PDF 250KB)
2005
- Pertti
Haaparanta & Jukka Pirttila
We examine the choice of economic reforms when policymakers have
present-biased preferences and can choose to discard information (maintain confidence) to mitigate distortions from excess discounting. The de-
cisions of policymakers and firms are shown to be interdependent. Confident policymakers carry out welfare-improving reforms more often, which
increases the probability that firms will invest in restructuring. While policy
makers in diferent countries can be equally irrational, the consequences
of bounded rationality are less severe in economies with beneficial initial
conditions. We also examine how present-biased preferences influence the
choice between big bang versus gradualist reform strategies. Our findings
help explain diferences in economic reform success in various countries.
|
Applying behavioral economics to international
development policy
(PDF
177KB) - 2005
C. Leigh Anderson & Kostas Stamoulis
Many national and international economic development policies and programs are premised
on a traditional economic model of rationality that predicts how individuals will respond to
changes in incentives. Empirical and experimental evidence, mostly from Europe and the
U.S., is suggesting that there are a range of situations, especially involving uncertainty and
costs and benefits spread over time, in which individuals make decisions inconsistent with the
predictions of these models: individuals avail themselves more or less than predicted in
health or credit programs, participate more or less than expected in market opportunities,
under or over insure themselves, and make short run decisions that are inconsistent with their
long run welfare.
Our primary research objective is to identify how development projects, programs and
policies can be more effectively designed with a better understanding of how individuals
make decisions in ways that systematically deviate from traditional assumptions of rational
maximization.
|
Responding to economic reform: the role of
psychological factors
(PDF
475KB)
2005 - Renuka Chand
& Sheetal K.
Chand
Why do so many attempts at economic reform elicit weak responses? The vast literature on this topic
advances many economic and even political explanations, but neglects psychological factors. This paper,
with Russia as a case study, considers some of the issues raised. Drawing on the workhorse stressor-strain
model from psychology, a link is postulated to the standard economic reform paradigm via the concept
of psychological well being (PWB). Reforms can be stressful, impact adversely on PWB, and result in
counter-productive anti-social behavior. The post-reform data from Russia is suggestive of both acute
stressors and widespread strains. To shed further light on inadequate coping and buffering mechanisms,
a cross-sectional sample of individuals from St. Petersburg is examined. While the findings and
arguments are tentative, they point to the importance of adequate psychological underpinnings
in ensuring that responses to economic reform are more successful.
|
Evolutionary psychology and development
economics
(PDF 306KB)
2005 - Wim A. Naudé
Contemporary development economics have provided much empirical evidence to suggest
that democracy and other institutions that promote equity are good for growth and development.
Why should this be the case? In this paper it is argued that Evolutionary Psychology (EP) can
greatly enrich development economics, specifically in adding to our understanding of the
micro-foundations of the family unit and the explanations of long-run economic growth
and development. In this paper, emphasis was placed on the evolutionary foundations of the
family unit, on the understanding of human co-operation, and how these result in institutions,
such as monogamous family units with positive male parental investment, where a switch from
preference for quantity of children towards the quality of children leads to improved
technology and learning. Given that monogamy is more prevalent in a more egalitarian society,
institutions such as democracy and an equality sensitive state may have biological roots.
Human mate choices influence co-operation, conflict and competition, and the existence
and nature of the family unit depend on such biologically determined choices.
In particular, the argument is made that human choice, competition for mates,
and the resulting sexual selection, lead to different forms of pair-bonding such as
monogamy or polygyny. Each of these has different institutional repercussions,
with different development outcomes since the family / kinship environment in which
children grow up may have important implications for technology adaptation, innovation and learning.
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|
4.4 POVERTY |
Has world poverty really fallen during the
1990s?
(PDF 182KB)
2005 - Sanjay Reddy & Camelia Minoiu
Abstract. We evaluate the claim that world consumption poverty has fallen during the
1990s in light of alternative assumptions about the extent of initial poverty and the rate of
subsequent poverty reduction in China, India, and the rest of the developing world. We
assess the extent of poverty using two indicators: the aggregate poverty headcount and
the poverty headcount ratio, and consider two international poverty lines that are widely
used ($1.08/day and $2.15/day 1993 PPP). We find that under some of the assumptions
considered, world poverty has risen. We conclude that, because of uncertainties in
relation to the extent and trend of poverty in China, India, and the rest of the developing
world, world poverty may or may not have increased. The extent of the increase or
decrease in world poverty is critically dependent on the assumptions made. Our
conclusions suggest the importance of improving the quality of global poverty statistics.
|
Identifying
and understanding chronic poverty: beyond monetary measures
(PDF KB)
David
Hulme & Andrew McKay
Despite the renewed commitment over the past 15 years to poverty reduction as the core
objective of international development discourses and policies, progress to this end remains
disappointing. This is particularly evident in the extent to which the world is off track to
achieve most of the Millennium Development Goals, globally and in most regions and
countries (UNDP, 2003; UN Statistics Division, 2004). This inadequate progress raises
important questions about the policies and strategies (centred around economic growth and
human development) that have been adopted to achieve poverty reduction, as well as about
key international issues including aid, debt and trade.
|
| Do institutions matter in poverty
reduction?... (PDF 471KB) -Raghav
Gaiha & Katsushi Imai |
| Identifying asset poverty thresholds: new
methods with an application to Pakistan (PDF
739KB) - Felix
Naschold |
| Presentations |
| World Income
Inequality Database (WIID) - Susanna Sandstrom |
| Microsimulation
Model of the Russian Tax and Transfer System (DARTS) (PDF
546KB) - André Decoster |
| Microsimulation
of African Poverty Strategies - Asghar Adelzadeh |
|
5.1 WELLBEING AND HUMAN
DEVELOPMENT |
| Health and
wellbeing - Sudhir Anand |
| Human
development: beyond the HDI - Gustav Ranis, Emma Samman & Frances
Stewart |
| International convergence or higher inequality
and polarization of human development... (PDF 131KB) - Farhad Noorbakhsh |
| Reconceptualising Achieved Well-being
(PDF 212KB)- Mark McGillivray |
|
5.2 TRADE AND DEVELOPMENT |
| What does evidence tell us about fragmentation
and outsourcing? (PDF
158KB) - Ronald W. Jones, Henryk Kierzkowski & Chen Lurong |
| Labour market
reform, trade liberalization, and political instability the world
around - Nauro Ferreira
Campos |
| Export Diversification and Price Uncertainty
in Developing Countries: A Portfolio Theory Approach (PDF 197KB) - Eric Strobl |
| International trade and income distribution:
reconsidering the evidence (PDF
189KB) - Isabelle Bensidoun.
Jean Sébastien & Aude
Sztulman |
|
5.3 MIGRATION AND
EMPLOYMENT |
|
Migration in the development studies
literature: has it come out of marginality? (PDF 105KB) - Arjan de Haan
|
| Labour market mobility of low-income
households: employment, income and consumption (PDF 84KB) - Arup Mitra |
| Alternatives to inflation targeting monetary
policy for stable and egalitarian growth: a brief research
summary (PDF 48KB) - Gerald Epstein |
|
5.4 AFRICA |
| Pro-poor
macro-micro policies for South Africa: economic modeling
approach - Asghar Adelzadeh |
| Gender inequality and economic development in
sub-Saharan Africa and Arab countries (PDF
152KB) - Mina
Baliamoune-Lutz |
|
Managing
Oil Rent for Poverty Reduction and Sustaining Development in
Africa (PDF 150KB) - Afeikhena
Jerome |
| EU-ACP Economic Partnership Agreements:
Implication for Trade and Development in West Africa (PDF 84KB) - Adeola F.
Adenikinju and Olumuyiwa B. Alaba |
|
6.1 INTERNATIONAL FINANCE |
| International Finance and the developing
world: the next twenty years (PDF
124KB) - Tony
Addison |
| International risk tolerance, capital market
failure and capital flows to emerging markets (PDF 409KB) - Valpy Fitzgerald |
| Capital flows and macroeconomic policy in
emerging economies (PDF
562KB) - Manuel Rodolfo Agosin |
|
6.2 PRO-POOR POLICIES |
| On
assessing pro-poorness of government programmes: international
comparisons (PDF 201KB) - Nanak Kakwani & Son |
| Rising labor force participation as a source
of pro-poor growth (PDF 120KB) -
Andrew M.
Warner
|
| Exchange rate regimes and pro-poor growth
(PDF 364KB) - Rolf
Maier |
| Poverty accounting by factor components: with
application to China (PDF
125KB) - Guanghua Wan & Zhu |
|
6.3 TECHNOLOGY AND
DEVELOPMENT |
| The technology clubs in the world economy
(PDF 606KB) - Fulvio Castellacci & Daniele Archibugi |
| Trade liberalization and digital divide:
South-South co-operation perspective (PDF
181KB) - Joseph K.
Joseph |
| Telecommunications infrastructure and economic
growth: evidence from developing countries (PDF 233KB) - Sridhar K. S.
& Sridhar V. |
| Innovations, high-tech trade and industrial
development:... (PDF 120KB) - Lakhwinder Singh |
|
6.4 INFORMAL SECTOR |
| Strategies of the state towards the informal
economy (PDF 319KB) - Alper Tenguez & Rainer Klump |
| Labor dynamics and the informal economy
(PDF 262KB) - Yusufchan Masatlioglu & Jamele Rigolini |
| Information sharing among competing
microfinancing providers (PDF
207KB) - Sanjay Jain & Ghazala Mansuri |
| Microfinance and the achievemnt of the
Millennium Development Goals: a case for subsidies (PDF 148KB) - Bernd Balkenhol |
|
6.5 RURAL DEVELOPMENT |
| Three decades of rural development projects in
Asia, Latin America, and Africa... (PDF
167KB) - Annelies Zoomers |
| Rainfall and Africa's growth tragedy (PDF 1,164KB) - Salvador
Barrios, Luisito Bertinelli & Eric
Strobl |
| Agrarian
relations among village households - V. K.
Ramachandran |
| Non-agricultural land use and land reform:
theory and evidence from Brazil (PDF
317KB) - Juliano J. Assunçao |
|
7.1 ACHIEVING THE MDGs |
| Building
absorptive capacity to meet the MDGs - François Bourguignon |
Improving health outcomes in Mexico (PDF 969KB)
Prepared by the Mexican Commission on Macroeconomics and
Heath, presented by Nora Lustig |
Achieving the Millennium Development Goals:
what's wrong with existing analytical models? (PDF 276KB) - Sanjay Reddy & Antoine Heuty
|
| Health, wealth, fertility, education and
inequality (PDF 296KB) - David Fielding & Sebastian Torres |
|
7.2 GROWTH |
| Manufacturing, services, jobless growth and
the informal economy: Will services be the new engine of Indian
economic growth? (PDF
211KB) - Partha Dasgupta & Ajit Singh |
| Methods of privatization and economic growth
in transition economies (PDF
250KB) - John Bennet, Saul Estrin & Giovanni Urga |
| Decomposing growth: do low-income and HIPCs
differ from high-income countries?... (PDF
474KB) - Pertti
Haaparanta & Heli
Virta |
Gender and growth in sub Saharan Africa:
evidence and issues (PDF
283KB) - Mark
Blackden, Sudharshan Canagarajah, Stephan Klasen and David
Lawson
|
|
7.3 COUNTRY STRATEGIES |
| The Chilean
economic model - Alvaro Garcia |
| Country case study: Finland is combining growth
with equity (PDF 292KB) - Markus
Jantti, Juho Saari & Juhana Vartiainen |
| Why have all
development strategies have failed in Latin America? - Guillermo
Rozenwurcel |
|
7.4 CULTURAL AND SOCIAL
CAPITAL |
| Culture and
technology - Stephen Marglin |
| A theory of economic growth in culturally
diverse nations (PDF 145KB)- Eui-Gak
Hwang & Guo |
| The future of social capital in development
economics research (PDF
150KB) - Stephen Knowles |
The
inequality trap
(PDF 666KB)
Eric
Uslaner
Successful (or “well-ordered”) democracies are marked by high levels of trust in other
people and in government, low levels of economic inequality, and honesty and fairness in the
public sphere. Trust in people, as the literature on social capital has shown, is essential for
forming bonds among diverse groups in society (see Uslaner, 2002). Trust in government is
essential for political stability and compliance with the law. Corruption robs the economy of
funds and leads to less faith in government (perhaps also to less faith in fellow citizens) and thus
lower compliance with the law. And institutions seen as biased (unfair) cannot secure compliance
and may exacerbate inequalities in society.
|
| For observations and links please contact:
ara@wider.unu.edu |
|
|
