Tag: Governance

 

MCC Has a Corruption Problem

Blog Post

Of all the governance criteria MCC assesses, none is as singularly important as corruption, which, historically, has weeded out more countries for eligibility than any other individual factor. It is, however, difficult to measure with precision, which can (and has) lead to poor decisions when interpreted too rigidly, resulting in cutting off, purely on the basis of indicator rules, compact partnerships with countries that have had no demonstrable change in their anticorruption environment. If you care about corruption, this isn’t the way to go about emphasizing that.

Do Weak Governments Doom Developing Countries to Poverty?

Blog Post

When you read what economists have to say about development, it is easy to be disheartened about the prospects for poor countries. One big reason is that slow changing institutional factors are seen as key to development prospects. I’ve just published a CGD book that’s a little more optimistic: Results Not Receipts: Counting the Right Things in Aid and Corruption.

Publications

Results Not Receipts explores how an important and justified focus on corruption is damaging the potential for aid to deliver results. Noting the costs of the standard anticorruption tools of fiduciary controls and centralized delivery, Results Not Receipts urges a different approach to tackling corruption in development: focus on outcomes.

Publications

Results Not Receipts explores how an important and justified focus on corruption is damaging the potential for aid to deliver results. Noting the costs of the standard anticorruption tools of fiduciary controls and centralized delivery, Results Not Receipts urges a different approach to tackling corruption in development: focus on outcomes.

Development's Hopes and Dilemmas in the Country at the Center of the World: Papua New Guinea

Blog Post

In a recent trip to the center of the world, I found myself confronting the big development questions in a low-income country with reasonably propitious circumstances. Papua New Guinea (PNG) is larger, richer, and growing faster than I had thought. It will go to the polls this very month to elect a new government. It is also facing all the dilemmas faced by most low-income countries since the 1950s—political fragmentation, resource curses, income inequality, and poor health. Have we learned anything to help it meet those challenges?

Publications

Public employees in many developing economies earn much higher wages than similar private-sector workers. These wage premia may reflect an efficient return to effort or unobserved skills, or an inefficient rent causing labor misallocation. To distinguish these explanations, we exploit the Kenyan government’s algorithm for hiring eighteen-thousand new teachers in 2010 in a regression discontinuity design. Fuzzy regression discontinuity estimates yield a civil-service wage premium of over 100 percent (not attributable to observed or unobserved skills), but no effect on motivation, suggesting rent-sharing as the most plausible explanation for the wage premium.

A Bipartisan View from Three Former Treasury Officials

Blog Post

For the US Development Policy Initiative’s inaugural Voices of Experience event, three former Treasury Under Secretaries for International Affairs took the stage: Tim Adams of the Institute of International Finance, Lael Brainard of the Federal Reserve, and Nathan Sheets of Peterson Institute for International Economics. The conversation, moderated by CGD Board Member Tony Fratto, revealed the “esprit de corps” of the International Affairs team, and covered everything from the central yet oft under-the-radar role the Office of International Affairs plays in the formulation and execution of international economic policy, to each Under Secretaries’ proudest moments.

The UK and Development after the Election—Two Ambitions for a New Government

Blog Post

The UK election has shown again that electorates can throw up unexpected results, with long-standing poll leads evaporating in a matter of weeks. The British public seem uninspired by any single leader but there was little sign of descending into nationalism and populism. The only party that stood on a platform of dismantling the aid budget—UKIP—suffered a heavy defeat. Here we propose two ambitions for the government which emerges.

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