Ideas to Action:

Independent research for global prosperity

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CGD's weekly Global Prosperity Wonkcast, event videos, whiteboard talks, slides, and more.

What’s Driving Deforestation? Surprise Findings—David Wheeler

Owen Barder

David Wheeler, our lead researcher on climate and development, decided recently to retire from CGD, though he will continue to be active in CGD’s intellectual life as our first Senior Fellow Emeritus. Since joining CGD in 2006, David has published more than 20 working papers and launched two path-breaking global databases, Carbon Monitoring for Action (CARMA), which provides data on the CO2 emissions of more than 50,000 powerplants worldwide, and Forest Monitoring for Action (FORMA), which uses satellite data to provide rapid, high-resolution tracking of tropical deforestation.

We discuss some surprising findings from David’s newly released analysis (Forest Clearing in the Pantropics:  December 2005-August 2011) of the FORMA data. There is both good news and bad news. Total forest clearing has dropped during the global recession, but with enormous variation within countries and across regions, he says. For example, there have been large declines in the rate of forest clearing in Brazil, Bolivia, Indonesia, and Paraguay but large increases in Myanmar, Malaysia, Peru, and Venezuela.  A companion paper (Economic Dynamics and Forest Clearing) finds that economic factors such as market prices, exchange rates, and interest rates all influence forest clearing.  The availability of communications infrastructure such as mobile phones, zoning, rainfall and terrain slope also play a role.

Program-for-Results (PforR) Financing: Current Progress and Next Steps (Event Video)

David Roodman

Program-for-Results (PforR), a new World Bank lending instrument, is one of several innovative approaches to development aid that focus on measurable development outcomes. Proponents argue that PforR will help strengthen institutions, build capacity, and enhance partnerships. Critics contend it may bypass hard-won social and environmental safeguards. This event will include an overview of the approach followed by a panel discussion with aid experts with a variety of perspectives.

Global Health and the New Bottom Billion – Amanda Glassman

Owen Barder

Global health funders have historically focused their aid on countries with the lowest per capita incomes, on the assumption that that’s where most of world’s poor people live.  In recent years, however, many large developing countries achieved rapid growth, lifting them into the ranks of the so-called middle-income countries, or MICs, even though they are still home to hundreds of millions of very poor people.  Andy Sumner has called the poor people in the MICs a “new bottom billion”, as distinct from the bottom billion in poor and fragile states that Paul Collier wrote about in a popular 2007 book.

In this week’s Wonkcast, I ask Amanda Glassman, a CGD research fellow and director of our global health policy program, how global health funders should respond to the emergence of the new bottom billion. Should money that now goes to the world’s poorest countries be reallocated to reach poor people who happen to live in the new MICs? Are there other ways that the global community can help? Amanda’s answers draw on the findings of a new working paper she wrote jointly with Sumner and Denizhan Duran, and an accompanying policy brief

Liliana Rojas-Suarez 2012 Global Economic Prospects in CNN in Spanish (Interview)

Owen Barder

As part of a special edition of CNN program, CNN Dinero, Senior Fellow Liliana Rojas-Suarez formed part of a panel discussing global economic prospects for 2012. She emphasized that events in Europe will determine growth prospects around the globe. Liliana is not optimistic about the resolution of the Eurozone crisis given the lack of a decisive and coordinated efforts to deal with two major problems: (a) mounting difficulties in the banking sector; and (b) the European Central Bank’s reluctance to behave as a lender of last resort. If this trend were to continue in 2012, a number of defaults will materialize and the Eurozone will not survive in its current form. A much needed large increase in IMF resources to contain the European crisis will also continue to face severe impediments in 2012 in view of the ongoing political mess in the US, whose vote is needed for a formal increase in the lender’s resources.

What the U.S. Can Do in Pakistan Now – Milan Vaishnav and Danny Cutherell

Owen Barder

U.S. - Pakistan relations, troubled in the best of times, have been unusually rocky of late. A recent cover story in The Atlantic dubbed Pakistan the “Ally from Hell.” CGD’s Study Group on the U.S. Development Strategy in Pakistan argues that the strong U.S. interest in a stable, prosperous Pakistan makes savvy U.S. support for development there more important than ever. In this week’s wonkcast, post-doctoral research fellow Milan Vaishnav and policy analyst Danny Cutherell discuss the recent upsets in U.S.-Pakistan relations and offer practical suggestions, drawn from the CGD Study Group’s report and a recent open letter from CGD president Nancy Birdsall to deputy secretary of state Thomas Nides, which focuses on U.S. support for private sector growth in Pakistan.

Due Diligence: An Impertinent Inquiry into Microfinance (Event Video)

David Roodman

Microfinance has been whiplashed by the hype cycle. Where it once was seen as a powerful treatment for poverty, recent headlines have favored phrases such as “borrower revolt,” “doesn’t work after all,” and “suicide.” What to make of this cacophony? David Roodman seeks the sensible truth in his new book, Due Diligence: An Impertinent Inquiry into Microfinance, with an investigation that is unprecedented in its depth and breadth. He concludes that, while financial services are no more likely to lift people out of poverty than clean water and electricity, the microfinance movement has built thriving industries that deliver valuable services to millions of poor people. The challenge going forward is to help microfinance play to its strengths. In general, that calls for putting less money into microcredit, to avoid credit bubbles and increase the incentive for microfinance institutions to take savings deposits.

 

Busan’s Lasting Legacy – Owen Barder

Owen Barder

I recently interviewed Owen Barder, CGD senior fellow and director for Europe, shortly after his return from the Fourth High Level Forum on Aid Effectiveness in Busan, South Korea. Did the December forum, with some 3,000 participants from around the world, matter to development?

We begin our interview by discussing the city of Busan itself, and South Korea’s dramatic transformation from aid recipient to donor. Busan is now a bustling city and the 5th largest port in the world. We then consider four conference outcomes that Owen identified in a blog post http://www.owen.org/blog/5131 soon after the conference: increased participation by emerging donors; a new deal for fragile states; significant progress on transparency, including a U.S. decision to join the International Aid Transparency Initiative (IATI); and significant changes in the international governance of the aid system.

David Roodman - Due Diligence: An Impertinent Inquiry into Microfinance

David Roodman My guest on this week’s Wonkcast is David Roodman, senior fellow and author of the long-awaited book, Due Diligence: An Impertinent Inquiry into Microfinance. After more than three years of unprecedented investigation into the movement, David was able to cut through the hype and come to understand the capabilities and limitations of microfinance in ending poverty.

David explains that while the microfinance movement has built thriving industries that deliver valuable services to millions of poor people, he hopes his book will help the industry shift away from its traditional emphasis on credit to other services focused on savings, insurance, and new technology.

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