“The Missing Profits of Nations,” by Thomas Tørsløv, Ludvig Wier, and Gabriel Zucman is a recent high-profile study seeking to assess profit shifting by multinational corporations. Headlines such as “40 percent of multinational profits are shifted” are at risk of being misinterpreted as indicating potential revenue gains that are higher than their findings suggest.
Should Developing Countries Sign the OECD Multilateral Instrument to Address Treaty-Related Base Erosion and Profit Shifting Measures?
The Multilateral Instrument (MLI) is a groundbreaking mechanism to update the network of thousands of bilateral tax treaties that make up the international tax system. This paper argues that developing countries should sign up to the MLI, but that they can afford to take a wait-and-see approach to selecting and finalizing options, while reviewing the options selected by other countries and building capacity for implementation. Developing countries should also be cautious about entering into new tax treaties to be sure that provisions are in their favour.
Earlier this year we undertook a field study of Krishna district of Andhra Pradesh (AP), together with collaborators from Microsave, to understand the experience and perceptions around digital governance reforms. Our three surveys—of households, ration shop owners, and bank correspondents—find widespread support for digital governance reforms, including the use of Aadhaar authentication to receive food rations through the public distribution system (PDS) and social pensions through the panchayat, as well as for digital land records. However, we also find some areas for improvement.
The UK’s recently launched GOV.UK Verify service relies on a novel federated approach for digital identity verification that offers insights that will become more valuable with the spread of digital societies and economies.
Five Ways to Improve the World Bank Funding for Refugees and Hosts in Low-Income Countries and Why These Dedicated Resources Matter More than Ever
For too long, the international community has accepted the convenient fiction that refugee crises are temporary.
Savings can help businesses expand, by enabling them to finance lumpy investments and absorb unexpected shocks. However, several barriers stand in the way of women firm owners in developing countries who want to increase their savings.
The Declaration of Alma-Ata at 40: Realizing the Promise of Primary Health Care and Avoiding the Pitfalls in Making Vision Reality
In October, world leaders renewed their commitment to Primary Health Care. Now is an opportune time to identify lessons learned and key challenges from the past 40 years, and to acknowledge the work that remains to be done to make vision reality.
For more than a decade, reform efforts have attempted to put crisis-affected people at the center of humanitarian response, and make the system more cohesive and responsive. These reforms have produced ever-heavier coordination systems and technocratic guidance, but have targeted the symptoms of the system’s shortcomings rather than the causes. Traditional humanitarian response remains plagued by deep power imbalances, needless rivalries between organizations, and perverse institutional incentives. A new approach is badly needed—one that builds on the aspirations of earlier reform efforts while explicitly tackling the red-line issues that have long undermined them. A new multi-year research initiative at the Center for Global Development (CGD) aims to do just that: develop concrete, pragmatic, and actionable reform options to overhaul the outdated power structures and institutional incentives that have long skewed the humanitarian system’s behavior.
Let’s Be Real: The Informal Sector and the Gig Economy are the Future, and the Present, of Work in Africa
It’s time we recognized the truth about the future of work in Africa: it isn’t in the growth of full-time formal sector jobs. The future of work will be people working multiple gigs with “somewhat formal” entities. This is already true, and it will be for the foreseeable future. When we consider the future of work in Africa the question shouldn’t be whether jobs will be formal or informal, but how digital platforms and new technologies might make this type of work more productive and of a better quality for workers themselves.
The Sustainable Development Goals face a key dilemma. Major multilateral institutions like the World Bank and the other core MDBs have played a leadership role in shaping the SDG financing framework. However, there is a significant misalignment between the structure of these institutions and the SDG financing needs.
Refugees can be immense economic contributors to the host communities where they settle, but to maximize their contributions, refugees need formal labor market access.
There are over 25 million refugees in the world today and most of them—especially those in developing countries—do not have formal labor market access (LMA). Granting refugees formal LMA has the potential to create substantial benefits for refugees and their hosts.
Many of the world’s 25 million refugees spend years struggling to provide for themselves or contribute fully to their host economies because they are legally barred from working or owning businesses. Granting refugees formal labor market access unlocks a range of benefits—for refugees, hosts, and global businesses.
In November 2015, CGD published the report Unintended Consequences of Anti–Money Laundering Policies for Poor Countries, which warned that efforts to curb illicit finance were producing significant adverse side effects. This new report takes stock of what has been accomplished as well as what remains to be done.
The Commitment to Development Index ranks 27 of the world’s richest countries on policies that affect more than five billion people living in poorer nations. How did your country do this year?
Bolivia, like many other fuel producers, subsidizes the domestic consumption of energy heavily, particularly oil and natural gas. This paper estimates the magnitude of the subsidies and offers an approximate picture of their incidence by income decile.
Are USAID programs high impact and good value for money? Do they work? Do they generate more results for less cost than if the agency just gave poor people cash? We don’t always know the answers to those questions, but USAID is trying to find out.
DFIs are frequently asked to demonstrate their additionality—meaning that they make investments that the private sector would not—but what evidence of additionality would look like is rarely articulated. This paper examines potential quantitative and qualitative evidence.