Publications

Initiative

Expert

 

Anti-Corruption Strategies in Foreign Aid: From Controls to Results

3/7/16

Corruption is an obstacle to social and economic progress in developing countries yet we still know very little about the effectiveness of anti-corruption efforts and their impact on development impact. This essay looks at 25 years of efforts by foreign aid agencies to combat corruption and proposes a new strategy which could leverage existing approaches by directly incorporating information on development results.

Assessing the US Feed the Future Initiative: A New Approach to Food Security?

3/1/16
Data on Feed the Future's results are just becoming available, and there is strikingly little independent analysis of the program. While we cannot yet assess the impact on poverty alleviation or improved nutrition, we can assess how Feed the Future performs against its stated objective of offering a new, more effective approach to food security. The integrated agriculture and nutrition approach emphasizes increased selectivity in aid allocations along with country ownership and capacity building to increase the effectiveness and sustainability of the initiative’s impacts. We find the initiative has led to an increase in the share of overall US assistance for agriculture and nutrition, and that the Obama administration has increasingly concentrated this aid in selected focus countries. 

Global Health Donors Viewed as Regulators of Monopolistic Service Providers: Lessons from Regulatory Literature - Working Paper 424

2/26/16

Controlling healthcare costs while promoting maximum health impact in the recipient countries is one the biggest challenges for global health donors. This paper views global health donors as the regulators of monopolistic service providers, and explores potential optimal fund payment systems under asymmetric information. It provides a summary and assessment of optimal price regulation designs for monopolistic service providers.

Balancing Financial Integrity with Financial Inclusion: The Risk-Based Approach to “Know Your Customer”

2/25/16

Recognizing the importance of financial inclusion as a policy objective, regulators have endorsed the use of a risk-based approach (RBA) towards know-your-customer (KYC) requirements aimed at strengthening financial integrity.  This paper considers applications of the RBA in domestic banking, mobile money and international financial transactions against the features of a rigorous RBA where both the rigor and level of due diligence and the structure and balance of incentives should be proportional to the balance of risks, including that of exclusion. Recommendations include greater attention to national identification systems and to encourage the use of digital technology to shift from cash-cash wire transfers to more transparent account-account transactions between identified holders.

The New Economic Case for Migration Restrictions: An Assessment - Working Paper 423

2/23/16

For decades, migration economics has stressed the effects of migration restrictions on income distribution in the host country. Recently the literature has taken a new direction by estimating the costs of migration restrictions to global economic efficiency. In contrast, a new strand of research posits that migration restrictions could be not only desirably redistributive, but in fact globally efficient. This is the new economic case for migration restrictions: empirically, a case against the stringency of current restrictions.

Using Identification for Development: Some Guiding Principles

2/22/16

There is growing recognition of the importance of identification for sustainable development. Its role is recognized formally in target 16.9 of the Sustainable Development Goals, which calls for providing “legal identity for all, including through birth registration” by 2030. Identification is also an enabler of many other development targets, from social protection (delivering support) to financial inclusion (opening bank or mobile accounts and establishing a credit record) to women's empowerment.Having a recognized identity is crucial for achieving several development outcomes.

Family Planning Program Effects: A Review of Evidence from Microdata - Working Paper 422

2/22/16

This paper reviews empirical evidence on the micro-level consequences of family planning programs in middle- and low-income countries. In doing so, it focuses on fertility outcomes (the number and timing of births), women’s health and socio-economic outcomes, and children’s health and socio-economic outcomes throughout the life cycle. In practice, family planning programs may only explain a modest share of fertility decline in real-world settings, and may also have quantitatively modest - but practically meaningful - effects on the socio-economic welfare of individuals and families.

Next Generation Financing for Global Health: What, Why, When, How?

2/16/16

Many researchers and policymakers have hypothesized that funding models tying grant payments to achieved and verified results — next generation financing models — offer an opportunity for global health funders to push forward their strategic interests and accelerate the impact of their investments. This brief, summarizing the conclusions of a CGD working group on the topic, outlines concrete steps global health funders can take to change the basis of payment of their grants from expenses (inputs) to outputs, outcomes, or impact.

by Carlos Lowry flic.kr/p/Abrxy

Middle-Class Heroes: The Best Guarantee of Good Governance

2/16/16

The two economic developments that have garnered the most attention in recent years are the concentration of massive wealth in the richest one percent of the world’s population and the tremendous, growth-driven decline in extreme poverty in the developing world, especially in China. But just as important has been the emergence of large middle classes in developing countries around the planet. This phenomenon—the result of more than two decades of nearly continuous fast-paced global economic growth—has been good not only for economies but also for governance. After all, history suggests that a large and secure middle class is a solid foundation on which to build and sustain an effective, democratic state. Middle classes not only have the wherewithal to finance vital services such as roads and public education through taxes; they also demand regulations, the fair enforcement of contracts, and the rule of law more generally—public goods that create a level social and economic playing field on which all can prosper.

International Tax, Transparency, and Finance for Development: A Short Guide for the Perplexed

2/12/16

In the search for sustainable sources of finance for development, the potential for developing countries to collect more domestic revenues from taxation has risen to prominence in recent years. International tax evasion and avoidance and the role of tax havens have been raised as critical barriers, and transparency is often advocated as a key solution. This briefing offers a short outline of the key issues, terms, and numbers involved.

pp73

Alternatives to HIPC for African Debt-Distressed Countries: Lessons from Myanmar, Nigeria, and Zimbabwe

2/3/16

Despite the success of the Heavily Indebted Poor Countries (HIPC) in reducing the debt burdens of low-income countries, at least eleven Sub-Saharan African countries are currently in, or face a high risk of, debt distress. A few of those currently at risk include countries that have been excluded from traditional debt relief frameworks. For countries outside the HIPC process, this paper lays out the (formidable) steps for retroactive HIPC inclusion, concluding with lessons for countries seeking exceptional debt relief treatment.

WP421

The New Role of the World Bank - Working Paper 421

1/25/16

Many developing countries need the World Bank’s capital less and less. What role should the Bank play in the 21st century? This paper argues that many features of the Bank today reflect a new role. That role, resting on the economic theory of bargaining and public good provision, is to reduce extreme poverty. Donor subsidies to the Bank already reflect this role, which implies new ways to structure and evaluate the Bank’s work.

flic.kr/p/oTbje9

Shine a Light on the Gaps

1/19/16

If Africa’s smallholder farmers are going to lift themselves out of poverty, they need access to formal financial services instead of the unstable, inflexible, informal arrangements that they currently rely on and that keep them poor. Ngozi Okonjo-Iweala and Janeen Madan review the ways in which digital technology is changing how financial services are delivered and made affordable. With the right investments and policies, farmers will be able to access credit, savings accounts, insurance, payment platforms, and other financial products that allow them to invest in their livelihoods without being exposed to exploitation or untenable risks.

Pages