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The Distributional Impacts of Trade: Empirical Innovations, Analytical Tools, and Policy Responses (Trade and Development)

by Gladys Lopez-Acevedo Jakob Engel Deeksha Kokas Maliszewska

Trade is a well-established driver of growth and poverty reduction.But changes in trade policy also have distributional impacts that create winners and losers. It is vital to understand and clearly communicate how trade affects economic well-being across all segments of the population, as well as how policies can more effectively ensure that the gains from trade are distributed more widely. The Distributional Impacts of Trade: Empirical Innovations, Analytical Tools, and Policy Responses provides a deeper understanding of the distributional effects of trade across regions, industries, and demographic groups within countries over time. It includes an overview (chapter 1); a review of innovations in empirical and theoretical work covering the impacts of trade at the subnational level (chapter 2); highlights from empirical case studies on Bangladesh, Brazil, Mexico, South Africa, and Sri Lanka (chapter 3); and a policy agenda to improve distributional outcomes from trade (chapter 4). This book comes at a time when the shock from COVID-19 (coronavirus) adds to an already uncertain trade policy environment in which the value of the multilateral trading system has been under increased scrutiny. A better understanding of how trade affects distributional outcomes can lead to more inclusive policies and support the ability of countries to maximize broad-based benefits from trade.

Public Spending Policies in Latin America and the Caribbean: When Cyclicality Meets Rigidities (Latin American Development Forum)

by Guillermo Vuletin Daniel Riera-Crichton

In low- and middle-income economies, public spending policies diverge significantly from those of industrialized nations due to structural differences. Low- and middle-income economies often make long-term commitments based on short-term economic conditions, leading to mismatches between spending maturity and economic cycles. These mismatches can exacerbate fiscal imbalances and hinder economic growth by forcing compositional changes in public spending. Public Spending Policies in Latin America and the Caribbean: When Cyclicality Meets Rigidities describes significant cyclical behavior variations in low- and middle-income markets. Contrary to Keynesian principles, public spending in these economies tends to be procyclical during economic booms, driven by increased borrowing and political pressures to address social deficits, but policy makers are unable or unwilling to retrench during economic busts. This approach not only amplifies macroeconomic volatility but also plants the seeds for fiscal distress, which is typically addressed by diminishing the quantity and quality of public investment—with serious consequences for long-term growth. Labor market informality further complicates matters, rendering automatic stabilizers like unemployment insurance impractical. Instead, governments rely on public employment and social transfer programs, which are downwardly rigid and can contribute to the expansion of government size over time. Addressing these anomalies requires policy interventions beyond traditional recommendations. Implementing fiscal rules to restrain overspending during economic upturns, enhancing the efficiency of public goods provision, and establishing mechanisms to adjust social programs during economic fluctuations are suggested approaches. In addition, measures to protect public investment and mitigate biases against pension benefits could aid in fostering long-term economic sustainability and welfare improvement. Public Spending Policies in Latin America and the Caribbean will be of interest to policy makers, researchers, and anyone with an interest in developing mechanisms for helping low- and middle-income economies weather economic storms.

Employment in Crisis: The Path to Better Jobs in a Post-COVID-19 Latin America (World Bank Latin American and Caribbean Studies)

by Joana Silva Robertson Truman Packard Liliana Sousa

A region known for its volatility, Latin America and the Caribbean (LAC) has suffered severe economic and social setbacks from crises—including the COVID-19 pandemic. These crises have taken their toll on careers, wage growth, and productivity. Employment in Crisis: The Path to Better Jobs in a Post-COVID-19 Latin America provides new evidence on the effects of crises on the region’s workers and firms and suggests several policy responses that can bolster long-term and inclusive economic growth. This report has three key findings. First, crises lead to persistent employment losses and accelerate structural changes away from the formal sector. This change occurs more through reductions in the creation of formal jobs than through job destruction. Second, some workers recover from crises, while others are permanently scarred by them. Low-skilled workers can suffer up to a decade of lower earnings caused by crises, while high-skilled workers rebound fast, exacerbating the LAC region’s high level of inequality. Formal workers suffer smaller employment and wage losses in localities with higher rates of informality. And the reduced job flows caused by crises decrease welfare, but workers in localities with more job opportunities, whether formal or informal, bounce back better. Third, crises’ cleansing effects can increase efficiency and productivity, but these effects are dampened by the LAC region’s less competitive market structure. Rather than becoming more agile and productive during economic downturns, protected sectors and firms gain market share and crowd out others, trapping valuable resources. This report proposes a three-pronged mix of policies to improve the LAC region’s responses to crises: •Create a more stable macroeconomic environment to smooth the impacts of crises, including automatic stabilizers such as unemployment insurance and short-term compensation programs; •Increase the capacity of social protection and labor programs to respond to crises and coalesce these programs into systems that complement income support with reemployment assistance and reskilling opportunities; and •Tackle structural issues, including the lack of product market competition and the spatial dimension behind poor labor market adjustment—a “good jobs and good firms†? agenda.

Development Research in Practice: The DIME Analytics Data Handbook

by Jones Benjamin Daniels Kristoffer Bjärkefur Luíza Cardoso de Andrade

Development Research in Practice leads the reader through a complete empirical research project, providing links to continuously updated resources on the DIME Wiki as well as illustrative examples from the Demand for Safe Spaces study. The handbook is intended to train users of development data how to handle data effectively, efficiently, and ethically. “In the DIME Analytics Data Handbook, the DIME team has produced an extraordinary public good: a detailed, comprehensive, yet easy-to-read manual for how to manage a data-oriented research project from beginning to end. It offers everything from big-picture guidance on the determinants of high-quality empirical research, to specific practical guidance on how to implement specific workflows—and includes computer code! I think it will prove durably useful to a broad range of researchers in international development and beyond, and I learned new practices that I plan on adopting in my own research group.†? —Marshall Burke, Associate Professor, Department of Earth System Science, and Deputy Director, Center on Food Security and the Environment, Stanford University “Data are the essential ingredient in any research or evaluation project, yet there has been too little attention to standardized practices to ensure high-quality data collection, handling, documentation, and exchange. Development Research in Practice: The DIME Analytics Data Handbook seeks to fill that gap with practical guidance and tools, grounded in ethics and efficiency, for data management at every stage in a research project. This excellent resource sets a new standard for the field and is an essential reference for all empirical researchers.†? —Ruth E. Levine, PhD, CEO, IDinsight “Development Research in Practice: The DIME Analytics Data Handbook is an important resource and a must-read for all development economists, empirical social scientists, and public policy analysts. Based on decades of pioneering work at the World Bank on data collection, measurement, and analysis, the handbook provides valuable tools to allow research teams to more efficiently and transparently manage their work flows—yielding more credible analytical conclusions as a result.†? —Edward Miguel, Oxfam Professor in Environmental and Resource Economics and Faculty Director of the Center for Effective Global Action, University of California, Berkeley “The DIME Analytics Data Handbook is a must-read for any data-driven researcher looking to create credible research outcomes and policy advice. By meticulously describing detailed steps, from project planning via ethical and responsible code and data practices to the publication of research papers and associated replication packages, the DIME handbook makes the complexities of transparent and credible research easier.†? —Lars Vilhuber, Data Editor, American Economic Association, and Executive Director, Labor Dynamics Institute, Cornell University

Ebb and Flow: Volume 2. Water in the Shadow of Conflict in the Middle East and North Africa

by Richard Damania Anders Jägerskog Russ Esha Zaveri Edoardo Borgomeo

The Middle East and North Africa Region encapsulates many of the issues surrounding water and human mobility. It is the most water-scarce region in the world and is experiencing unprecedented levels of forced displacement. Ebb and Flow: Volume 2. Water in the Shadow of Conflict in the Middle East and North Africa examines the links between water risks (harmful outcomes related to water, from droughts and floods to lack of sanitation), conflict, and forced displacement. It aims to better explain how to address the vulnerabilities of forcibly displaced persons and their host communities, and to identify water policy and investment responses. Contrary to common belief, the report finds that the evidence linking water risks with conflict and forced displacement in the region is not unequivocal. Water risks are more frequently related to cooperation than to conflict at both domestic and international levels. But while conflict is not necessarily a consequence of water risks, the reverse is a real and concerning phenomenon: conflict amplifies water risks. Since 2011, there have been at least 180 instances of intentional targeting of water infrastructure in conflicts in Gaza, Libya, the Syrian Arab Republic, and the Republic of Yemen. Forcibly displaced persons and their host communities face myriad water risks. Access to safe drinking water is a daily struggle for millions of forcibly displaced Iraqis, Libyans, Palestinians, Syrians, Yemenis, and international migrants in the region, heightening public health risks. Tanker trucks often help fill the gap; however, significant issues of water quality, reliability, and affordability remain. Host communities also face localized declines in water availability and quality as well as unplanned burdens on water services following the arrival of forcibly displaced persons. The reality of protracted forced displacement requires a shift from humanitarian support toward a development approach for water security, including structured yet flexible planning to deliver water services and sustain water resources for forcibly displaced persons and their host communities.

The Quality of Health and Education Systems Across Africa: Evidence from a Decade of Service Delivery Indicators Surveys

by Roberta Gatti Kathryn Andrews Ciro Avitabile Conner Andres Yi Chang

Have teachers mastered the subject matter they are teaching? Can doctors accurately diagnose and treat critical health conditions? Are schools and health facilities sufficiently stocked with needed equipment and supplies? Are they sufficiently supported and staffed to optimize learning and health care outcomes? For the past decade, the World Bank’s Service Delivery Indicators (SDI) surveys have collected nationally representative data in countries across Sub-Saharan Africa to answer these questions. The surveys aim to measure the quality of services where they meet citizens: in schools and health facilities. The Quality of Health and Education Systems Across Africa: Evidence from a Decade of Service Delivery Services Indicators identifies areas of achievement and constraint in service delivery, shedding light on how service delivery may foster or stunt human capital accumulation. SDI surveys show that schools and health clinics across Africa are still falling short in some critical areas.The delivery of primary care services is very heterogenous between and within countries. Many health facilities lack the basic necessities to provide proper care, such as essential medicines, basic diagnostic equipment, and adequate water and sanitation. Moreover, health care providers’ ability to diagnose and treat common health conditions correctly is low and distributed unevenly. Health personnel’s absence from health facilities remains a concern across the surveyed countries. Learning is low, and, not unlike health care, levels of student learning vary significantly across countries: less than half of grade 4 students can recite a simple sentence or perform basic mathematical operations. This deficient learning is correlated with teachers’ low levels of content knowledge and sub-par pedagogy skills. Some schools are also missing crucial inputs, such as blackboards or private and gendered toilets, and struggle with high pupil-teacher ratios. Despite these challenges, success stories in both sectors illustrate the quality of service delivery that could be achieved and showcase the dedication of teachers and medical staff across Africa. By studying data from thousands of facilities, considering the local context, and drawing insights from the literature, this book offers important insights for how countries can strengthen health and education systems and build back better in the wake of the massive disruptions brought about by the COVID-19 pandemic.

The Fast Track to New Skills: Short-Cycle Higher Education Programs in Latin America and the Caribbean

by María Marta Ferreyra Lelys Dinarte Díaz Sergio Urzúa Bassi

Higher education in Latin America and the Caribbean (LAC) has expanded dramatically in the new millennium, yet enrollment in short-cycle programs (SCPs) is still relatively low. Shorter and more practical than bachelor’s programs, SCPs can form skilled human capital fast. The economic crisis created by the COVID-19 pandemic has accentuated underlying trends, such as automation, the use of electronic platforms, and the need for lifelong learning. Addressing these demands requires the urgent upskilling and reskilling of the population—a task for which SCPs are uniquely suited. The Fast Track to New Skills: Short-Cycle Higher Education Programs in Latin America and the Caribbean explores the labor market outcomes and returns of SCPs, examines their providers, and identifies the practices adopted by the best programs. Relying on unique data that includes a novel survey of SCP directors in five LAC countries, it finds that while SCPs generate, on average, good labor market outcomes, they vary greatly in quality. SCP providers respond quickly and flexibly to local economy needs, and specific practices related to faculty, job search assistance, and interaction with prospective employers are distinctive of the best programs. Drawing on these findings, The Fast Track to New Skills discusses how to create an environment where good programs are offered and students have the interest and means to attend them. It draws attention to a higher education sector that has been typically overlooked, both in research and policy. The Fast Track to New Skills will be of interest to policy makers, researchers, and the public at large.

From Jobs to Careers: Apparel Exports and Career Paths for Women in Developing Countries (South Asia Development Forum)

by Raymond Robertson Gladys Lopez-Acevedo Stacey Frederick Vergara Bahena

An oft-cited strategy to advance economic development is to further integrate developing countries into global trade, particularly through global value chains, bolstered by the expansion of female-intensive industries to bring more women into the formal labor force. As a result, a frequent debate centers on whether the apparel industry--the most female-intensive and globally engaged manufacturing industry--can be a key player in this strategy. In recent decades, the apparel industry has shifted production to low-wage developing countries, increasing the demand for women, closing male-female wage gaps, and bringing women into the formal labor force from agriculture and informal work. But is an apparel-led export strategy sufficient to induce a broader transition from jobs women do to survive to careers promising stable employment and a sense of identity? 'From Jobs to Careers' answers this question by focusing on seven countries where apparel plays a vital role in their export baskets--Bangladesh, Cambodia, the Arab Republic of Egypt, Pakistan, Sri Lanka, Turkey, and Vietnam. It finds that the apparel industry indeed can serve as a launching pad to bring more women into the labor market. For this approach to work, however, complementary policies must tackle the barriers that hinder women's pursuit of long-term workforce participation and better-paid occupations. Key policy recommendations include increasing the participation of female production workers in export-oriented apparel manufacturing and associated industries, upgrading within manufacturing-related industries, boosting access to education, and breaking glass ceilings. The report also seeks to shift the paradigm of how we think of women in the labor force by stressing the importance of their transition from jobs to careers--the so-called 'quiet revolution.'

The Business of the State: Why Going Beyond State-owned Enterprises Matters For Private Sector Development

by World Bank

The state, as an owner of businesses, competes and collaborates with the private sector, and this involvement has profound implications for investment and growth. Governments actively participate in commercial markets in different forms, from controlling the production of goods and services to investing in firms as a minority shareholder. The impact of state participation on an economy's growth depends on the type of public-private ownership, the types of markets, and the importance of those markets in the economy. The impact also depends on how policies and institutions regulate both the businesses with state ownership and the markets in which they are active. The Business of the State uses new evidence covering 91 countries from the World Bank's Global Businesses of the State database to highlight the distinction between businesses of the state and traditionally understood state-owned enterprises. The report analyzes how different ownership forms across sectors and institutional settings affect private investment, productivity, technology adoption, and job creation. It also analyzes how government participation in markets influences the ability of economies to respond to shocks, from pandemics to climate change. The report proposes a clear analytical framework for understanding the consequences of relying on businesses of the state to attain specific development goals.

Land Policies for Resilient and Equitable Growth in Africa

by Klaus Deininger Aparajita Goyal

Land institutions and policies will be critical to help African countries respond to the challenges of climate change, urban expansion, structural transformation, and gender equality. Together, they affect urban dwellers’ ability to access productive jobs, live in decent housing, and breathe clean air; farmers’ and women entrepreneurs’ capacity to insure against shocks, increase productivity, and diversify income sources; and governments’ ability to plan, tax property to provide services, and manage public land in a way that provides sustained local benefits by attracting investment, including via climate finance. Land Policies for Resilient and Equitable Growth in Africa draws on a wealth of data, examples, and studies from Africa and beyond to show that regulatory and institutional reforms can harness this potential by improving quality, coverage, usefulness, and sustainability of documented land rights. By identifying viable reforms with transformative potential that fully harness digital opportunities, this book provides practical guidance to governments seeking to enhance their land institutions’ performance; to their partners supporting such reform; and to policymakers, land professionals, scholars, and civil society aiming to lay the foundations for Africa to better utilize its economic, human, and ecological potential. --------------- This volume provides an essential reference, based on an impressive review of the literature on land issues in Africa and an exhaustive account of policies and policy experiments aimed to promote the efficient use of this key resource for the development of the continent. -- François Bourguignon, Professor Emeritus, Paris School of Economics Many African governments will find this report highly useful. It is full of little-known successes and practical ways by which they can improve their land policies by harnessing new technologies. Africa’s urban population will rapidly triple: clarifying land rights is an urgent priority in building the successful cities of the future. By 2050, if the inherited policies of the past were retained, today’s youth would be struggling in unliveable mega-slums. -- Sir Paul Collier, Professor of Economics and Public Policy, Oxford University This is an excellent study that combines insights from years of research with practical insights for policy and action on the ground. -- Jyotsna Puri, Associate Vice President, Strategy and Knowledge, International Fund for Agricultural Development Land institutions affect the effective use of land but also the functioning of credit, labor, and product markets. Nowhere are these issues more relevant than in Africa, and this report is important and timely. -- Johan Swinnen, Director General, International Food Policy Research Institute This report illustrates how legal and institutional reforms that capitalize on digital opportunities can strengthen land institutions and policies to optimize land use, enhance people’s rights, narrow gender disparities, and catalyze structural transformation in a manner that aligns with the continent’s distinctive context and serve as a pivotal instrument for social and economic advancement. -- Maximo Torero, Chief Economist, Food and Agriculture Organization

Future Jobs: Robots, Artificial Intelligence, and Digital Platforms in East Asia and Pacific

by Omar Arias Daisuke Fukuzawa Duong Trung Le Mattoo

People in East Asia and Pacific (EAP) countries have prospered over the last few decades because of the growth in productive jobs. Do industrial robots, artificial intelligence (AI), and digital platforms threaten that development model? Future Jobs presents evidence that new technologies have thus far boosted employment. Increases in productivity and scale have outweighed the labor-displacing effects of automation technologies. However, the benefits have been uneven, favoring skilled workers while some less-skilled workers, in more routine and manual jobs, have been pushed into the informal sector. Digital platforms have generated new opportunities for the hitherto marginalized but also created insecurity for incumbent workers. Looking ahead, digitization will enhance the tradability of services, and AI will transform the production processes. EAP countries can benefit by equipping their workforce with the necessary skills and opening their long-protected services sectors to trade and investment. Policy makers, researchers, and businesses will find in this book both insights and questions on how best to harness the potential of new technologies to sustain prosperity in EAP countries.

Informality and Inclusive Growth in the Middle East and North Africa (MENA Development Report)

by Gladys Lopez-Acevedo Marco Ranzani Nistha Sinha Elsheikhi

The long-standing informality debate in the Middle East and North Africa (MENA) Region has taken on a new urgency as it looks for a pathway to more socially inclusive growth that is less reliant on fossil fuels. This is occurring against a backdrop of subpar labor market outcomes, further growth setbacks, and deteriorating fiscal and current account deficits in the aftermath of the COVID-19 pandemic--and in the wake of high inflation and supply chain disruptions triggered by the Russian Federation-Ukraine war. 'Informality and Inclusive Growth in the Middle East and North Africa' aims to better understand the characteristics and incentive structure that have led to the prevalence of informal employment in three MENA countries--the Arab Republic of Egypt, Morocco, and Tunisia. The report breaks new ground by adopting a comprehensive perspective to focus on the features of, and interrelationships among, different aspects of these countries' institutional landscapes to make sense of the complex incentive structure that workers and firms face when deciding between formal and informal options. Specifically, the report groups these issues in three broad realms: (1) entrepreneur-worker relations, (2) taxes and transfers, and (3) market conditions. 'This report is an extremely welcome addition to the literature on MENA labor markets. By analyzing the incentive structure and institutional factors that have led to the prevalence of informal employment in Egypt, Morocco, and Tunisia, it points the way to policy actions that can be taken to reduce informality and increase social protection for workers. It is a must-read for anyone who cares about greater economic inclusion in MENA.' --Ragui Assaad, Professor, Hubert H. Humphrey School of Public Affairs, University of Minnesota 'A compelling account of the implications of informality in the workforce and how economies of MENA can design appropriate policy responses. This timely report comes amid multiple social reforms in MENA and is a must-read for policy practitioners and economists in the region.' --Karim El Aynaoui, Executive President, Policy Center for the New South 'This report is particularly timely given the negative impact the COVID-19 pandemic and subsequent crises have had on living standards and poverty rates around the world and especially in MENA countries. While the focus on boosting growth and achieving the Sustainable Development Goals has revolved around financing, the report sheds new light on the benefits that tackling informality through institutional, regulatory, and policy changes could present to achieving these goals.' --Mahmoud Mohieldin, Executive Director, International Monetary Fund

The Effect of Multinational Enterprises on Climate Change: Supply Chain Emissions, Green Technology Transfers, and Corporate Commitments (Climate Change and Development)

by Victor Steenbergen Abhishek Saurav

Multinational enterprises (MNEs) provide both a fundamental risk to and an opportunity for climate change mitigation. The climate ambitions of MNEs will affect the environmental performance of countries around the world. As a leading actor, proactive MNEs can impose sustainability standards or encourage green technology transfers that, in some cases, could affect millions of producers and accelerate the climate transition. However, obstructive MNEs may equally hold back any progress to reduce a country's emissions via inaction or by actively resisting, obstructing, or lobbying against change. The objective of this report is to study the effect of MNEs on climate change. Toward this goal, the report reviews the latest available data, conducts new empirical analysis, and summarizes pioneering literature. The report answers four key questions related to the relationship between MNEs and climate change: 1) What effect do MNEs currently have on climate change, both through their own activities and through the emissions of their broader supply chains?; 2) How do MNEs shape the potential transfer of green technologies to domestic firms, and how do different types of interactions with MNEs stimulate such technology transfers?; 3) How committed are leading MNEs currently to transitioning their supply chains to net-zero emissions by 2050, and do they have long-, medium-, and short-range strategies to realize this?; 4) What types of policies can influence MNEs' effects on climate change?

Primer on Large-Scale Assessments of Educational Achievement (National Assessments of Educational Achievement)

by Marguerite Clarke Diego Luna-Bazaldua

To improve their education systems, countries around the world have increasingly initiated national largescale assessment programs or participated in international or regional large-scale assessment studies for the first time. Well-constructed large-scale assessments can provide credible information on student achievement levels, which, in turn, can promote better resource allocation to schools, stronger education service delivery, and improved learning outcomes. The World Bank developed this 'Primer on Large-Scale Assessments of Educational Achievement' as a firststop resource for those wanting to understand how to design, administer, analyze, and use the results from these assessments of student achievement. The book addresses frequently asked questions from people working on large-scale assessment projects and those interested in making informed decisions about them. Each chapter introduces a stage in the assessment process and offers advice, guidelines, andcountry examples. This book also reports on emerging trends in large-scale assessment and provides updated information on regional and international large-scale assessment programs. DIRK HASTEDT, Executive Director of the International Association for the Evaluation of Educational Achievement (IEA): 'A special feature of the publication is that it not only gives an overview of technical specifications, but also includes examples from around the world on how countries are conducting large-scale assessments, what they found, and how the results were used. With this perspective, the Primer on Large-Scale Assessments of Educational Achievement is an excellent and easy-to-read publication to get a comprehensive overview of large-scale assessments and how and why they are conducted.' SILVIA MONTOYA, Director of UNESCO Institute for Statistics (UNESCO UIS): 'If you are responsible for learning assessment in a country and are searching for a comprehensive, yet readable, guide on large-scale assessment, this is your book. Extremely well structured and written, this primer is easy to follow, and makes points clearly and concisely. It is an excellent resource that explores the steps for a good large-scale assessment with examples from all international large-scale assessment programs.' ANDREAS SCHLEICHER, Director for the Directorate of Education and Skills and Special Advisor on Education Policy to the Organization for Economic Cooperation and Development’s (OECD) Secretary-General: 'Many countries have joined international educational assessments to benchmark quality, equity, and efficiency in their education systems. But what does it take to design and implement those efforts well and to draw value from this to help students learn better, teachers teach better, and schools to work more effectively? This Primer on Large-Scale Assessments of Educational Achievement helps policy makers and their technical teams to find answers to these questions.' ANDREI VOLKOV, Director of the Institute for Public Strategy, Moscow School of Management SKOLKOVO: 'In 2008, when the Russia Education Aid for Development (READ) Program was launched, we determined its main goal as the improvement of the quality of basic education. Today, the READ Program keeps setting trends as the largest Russian initiative promoting educational assessment. Approaches developed within the READ Program, from building institutional and expert capacity to influencing educational reforms, have proven their efficacy in many countries. The Primer on Large-Scale Assessments of Educational Achievement brings together in a practical format the best experience and case studies in conducting assessments under the READ Program. An especially important feature of the book is an integrated capacity building component, which makes it a practical tutorial ready for use in different cultural contexts. Through this book, we hope that our collective experience gathered during READ will be widely shared, bringing us closer to achievement of the Sustainable Development Goal on education.'

Regional Investment Pioneers in South Asia: The Payoff of Knowing Your Neighbors (South Asia Development Forum)

by Sanjay Kathuria Ravindra A. Yatawara Xiao’ou Zhu

Regional economic engagement within South Asia may gain increasing importance owing to several factors that are currently in play, including strategies to diversify global value chains and locate such value chains nearer home. These developments offer South Asia a chance to enhance its low levels of regional economic engagement and capitalize on significant unrealized development opportunities. This report shows that examining intraregional investment and knowledge connectivity enhances our understanding of the low levels of intraregional trade and limited regional value chains in South Asia. Creating a new and unique data set for South Asian investment, it provides a detailed and nuanced understanding of the drivers of outward investment, both regional and global, for South Asian firms. “Regional Investment Pioneers in South Asia†? provides key considerations for policy makers in South Asia, which remain particularly relevant in the aftermath of the pandemic.This report follows on, and is complementary to, the earlier World Bank report, “A Glass Half Full: the Promise of Regional Trade in South Asia.†?

Silver Opportunity Case Studies: Experiences with Building Integrated Services for Older Adults around Primary Health Care

by Feng Zhao Xiaohui Hou Jigyasa Sharma

Health care systems must be prepared to address the expanding and complex needs of an aging population. Rather than a 'silver challenge,' this situation should be seen as an opportunity to reevaluate and reorganize the health care delivery system holistically. Silver Opportunity Case Studies presents a comprehensive examination of care for older adults in diverse economic and geographic contexts through a collection of country and regional case studies. This collection of case studies complements the synthesis volume of global evidence--Silver Opportunity: Building Integrated Services for Older Adults around Primary Health Care--by offering practical insights for decision-making, sharing knowledge, and encouraging cross-learning. The book provides a deeper understanding of the complexities involved and highlights key issues and current practices at the country level. The overarching goal of the volume is to inform policy makers, health care professionals, and other stakeholders about effective practices for caring for older adults and to support the development of evidence-based policies that enhance their health and well-being.d well-being.

Exports to Improve Labor Markets in the Middle East and North Africa (MENA Development Report)

by Raymond Robertson Gladys Lopez-Acevedo

In the Middle East and North Africa (MENA), trade liberalization measures have coincided with stable economic growth, and GDP per capita growth has surpassed that of other developing regions. However, MENA's labor-market outcomes--such as average wage levels, informality rate, and female labor force participation--continue to underperform. Why has rising trade failed to produce better labor market outcomes in low- and middle-income countries in the region? 'Exports to Improve Labor Markets in the Middle East and North Africa' focuses on the impact of trade policy on trade-flows and their relationship with local labor market outcomes in three low- and middle-income countries--the Arab Republic of Egypt, Morocco, and Tunisia. Given their idiosyncratic labor markets, export diversification, and trade policy history, these three countries other important lessons for economic development in the region. Policy makers and stakeholders can use these findings to design policies to improve the chances that higher trade flows will deliver better labor market outcomes and ensure that the benefits are more equally shared. 'This report, led by Gladys Lopez-Acevedo and Raymond Robertson, pushes forward the frontier of knowledge about the relationship between trade and the labor market in MENA. Although focusing on three countries (the Arab Republic of Egypt, Morocco, and Tunisia), it gives us broader lessons on how to solve the apparent puzzle of greater exposure to trade not being followed by greater labor market outcomes in the region. It points out, among other factors, how market segmentation by gender shapes the effects of trade shocks like higher exports. Policy makers in the region will definitely benefit from the evidence and analysis conveyed by the report on how to turn trade integration into a lever for shared prosperity.' --Otaviano Canuto, Senior Fellow at the Policy Center for the New South, and former Vice President of the World Bank 'This timely report attempts to understand why trade expansion did not produce the desired improvements in labor market outcomes in three non-oil-exporting countries in MENA. The main reason for the weak link between trade expansion and widely shared labor market improvements appears to be the segmented nature of labor markets in the three countries, by gender as well as by formality status. In Morocco and Tunisia, the highly segmented labor markets along gender lines, in combination with the concentration of trade in male-dominated capital-intensive sectors, led to few employment benefits accruing to women. In Egypt, the limited impact of trade on formal employment is attributable to the small size of the nation’s export sector and its lack of integration with the rest of the economy. These findings are critical to understanding how barriers to widely shared prosperity can be tackled in the region.' --Ragui Assaad, Professor, Humphrey School of Public Affairs, University of Minnesota

Reality Check: Lessons from 25 Policies Advancing a Low-Carbon Future (Climate Change and Development)

by The World Bank

To address the myriad challenges posed by global climate change, countries at all income levels have put in place a diverse set of policies over the past three decades. Many governments have already made significant progress in their efforts to decarbonize, creating a rich history of implementation experiences that provides important lessons for how to successfully advance climate policy goals in a variety of different economic, cultural, and political contexts. Despite this progress, the transition to a net zero future continues to face significant barriers, including the need for large investment, a lack of institutional capacity, and challenging political economy issues. Reality Check: Lessons from 25 Policies Advancing a Low-Carbon Future identifies key policy approaches that countries are taking to decarbonize their economies. The report classifies policies into five categories: • Planning for a future with zero net emissions • Getting the pricing and taxes right • Facilitating and triggering transitions in key systems, such as energy and food • Getting the finance flowing, particularly by incentivizing private sector investment • Ensuring a just transition that protects the poor. Reality Check: Lessons from 25 Policies Advancing a Low-Carbon Future fills a critical research gap by documenting low-carbon policy trends and providing a series of case studies across sectors and geographies. The 25 case studies furnish country contexts and policy details, examine results and impacts, and outline key takeaways and lessons learned for enabling further ambition in achieving emissions reductions. The report contributes to an evolving analytical agenda on how to reduce carbon emissions while achieving economic development and the strategic transition to a greener, more resilient, and more inclusive future.

The State of Economic Inclusion Report 2021: The Potential to Scale

by Colin Andrews Aude de Montesquiou Inés Arévalo Sánchez Dutta Sadna Samaranayake Janet Heisey Timothy Clay Sarang Chaudhary

The State of Economic Inclusion Report 2021 sheds light on one of the most intractable challenges faced by development policy makers and practitioners: transforming the economic lives of the world’s poorest and most vulnerable people. Economic inclusion programs are a bundle of coordinated, multidimensional interventions that support individuals, households, and communities so they can raise their incomes and build their assets. Programs targeting the extreme poor and vulnerable groups are now under way in 75 countries. This report presents data and evidence from 219 of these programs, which are reaching over 90 million beneficiaries. Governments now lead the scale-up of economic inclusion interventions, often building on preexisting national programs such as safety nets, livelihoods and jobs, and financial inclusion, and 93 percent of the total beneficiaries are covered by government programs. The report offers four important contributions: • A detailed analysis of the nature of these programs, the people living in extreme poverty and vulnerability whom they support, and the organizational challenges and opportunities inherent in designing and leading them. • An evidence review of 80 quantitative and qualitative evaluations of economic inclusion programs in 37 countries. • The first multicountry costing study including both government-led and other economic inclusion programs, indicating that programs show potential for cost efficiencies when integrated into national systems. • Four detailed case studies featuring programs under way in Bangladesh, India, Peru, and the Sahel, which highlight the programmatic and institutional adaptations required to scale in quite diverse contexts. Data from the report are available on the PEI Data Portal (http://www.peiglobal.org), where users can explore and submit data to build on this baseline.

The Labor Market Impact of Forced Displacement: Jobs in Host Communities in Colombia, Ethiopia, Jordan, and Uganda

by Jan von der Goltz Kirsten Schuettler Julie Bousquet Kebede

Communities that host refugees are often concerned about how their labor markets will change. Although high-income countries attract most policy attention, low- and middle-income countries host three of every four refugees worldwide. The Labor Market Impact of Forced Displacement: Jobs in Host Communities in Colombia, Ethiopia, Jordan,and Uganda seeks to address some of the key questions that arise in these host countries: How does forced displacement affect job outcomes for hosts? What effect do work permit schemes have? How does labor market competition influence attitudes? And what policies can support better job outcomes for hosts and refugees? To address these questions, the book relies on new primary data designed to study host community labor markets and on a careful comparative analysis of existing data. Its four focus countries represent low-income and middle-income economies as well as diverse policy contexts.In its key finding, The Labor Market Impact of Forced Displacement shows that across the focus countries, hosting refugees has modest or even positive overall labor market effects. In important instances, however, groups of host workers face adversity from greater labor market competition, while others benefit. The book explains how labor market restrictions rarely prevent refugees entirely from working but shape the type and quality of work they do, their contribution to the economy, and the effects of their participation on hosts. It shows that refugees matter not only as competitors but also as consumers, and it explains the importance of access to capital for hosts and refugees alike in economies where self-employment is key. It also discusses how hosts’ concerns over labor market competition influence their attitudes toward refugees.The book seeks to provide a basis for more confident jobs policy making in host communities. It offers lessons on how to analyze local labor market characteristics that shape outcomes for refugees and hosts alike and on how to think about the likely effects of policies. It encourages policy makers to support workers who face negative impacts—and to proactively seize the opportunities likely to arise.

Working with Smallholders: A Handbook for Firms Building Sustainable Supply Chains, Third Edition

by International Finance Corporation

Smallholder farmers are the stewards of more than 80 percent of the world’s farms. These small family businesses produce about one-third of the world’s food. In Africa and Asia, smallholders dominate the production of food crops, as well as export commodities such as cocoa, coffee, and cotton. However, smallholders and farm workers remain among the poorest segments of the population, and they are on the frontline of climate change. Smallholder farmers face constraints in accessing inputs, finance, knowledge, technology, labor, and markets. Raising farm-level productivity in a sustainable way is a key development priority. Agribusinesses are increasingly working with smallholder farmers in low- and middle-income countries to secure agricultural commodities. More productive smallholders boost rural incomes and economic growth, as well as reduce poverty. Smallholders also represent a growing underserved market for farm inputs, information, and financial services. Working with Smallholders: A Handbook for Firms Building Sustainable Supply Chains (third edition) shows agribusinesses how to engage more effectively with smallholders and to develop sustainable, resilient, and productive supply chains. The book compiles practical solutions and cutting-edge ideas to overcome the challenges facing smallholders. This third edition is substantially revised from the second edition and incorporates new material on the potential for digital technologies and sustainable farming. This handbook is written principally to outline opportunities for the private sector. The content may also be useful to the staffs of governmental or nongovernmental development programs working with smallholders, as well as to academic and research institutions.

What's Cooking: Digital Transformation of the Agrifood System (Agriculture and Food Series)

by Kateryna Schroeder Julian Lampietti Ghada Elabed

The digital agriculture revolution holds a promise to build an agriculture and food system that is efficient, environmentally sustainable, and equitable, one that can help deliver the Sustainable Development Goals. Unlike past technological revolutions in agriculture, which began on farms, the current revolution is being sparked at multiple points along the agrifood value chain. The change is driven by the ability to collect, use, and analyze massive amounts of machine-readable data about practically every aspect of the value chain, and by the emergence of digital platforms disrupting existing business models. All this allows for drastically reduced transaction costs and pervasive information asymmetries that plague the agrifood system. The success of the digital transformation, however, is not guaranteed as the risks it brings are numerous, including those related to data governance and inadequate competition within and between digital platforms. What’s Cooking: Digital Transformation of the Agrifood System investigates how digital technologies can accelerate the transformation of the agrifood system by increasing efficiency on the farm; improving farmers’ access to output, input, and financial markets; strengthening quality control and traceability; and improving the design and delivery of agriculture policies. It also identifies a key role for the public sector in maximizing the benefits of this process while minimizing its risks, through enabling an innovation ecosystem featuring open datasets, digital platforms, digital entrepreneurship, digital payment systems, and digital skills and encouraging equitable technology adoption.

Services Unbound: Digital Technologies and Policy Reform in East Asia and Pacific

by World Bank

Services are a new force for innovation, trade, and growth in East Asia and Pacific. The dramatic diffusion of digital technologies and partial policy reforms in services--from finance, communication, and transport to retail, health, and education--is transforming these economies. The result is higher productivity and changing jobs in the services sector, as well as in the manufacturing sectors that use these services. A region that has thrived through openness to trade and investment in manufacturing still maintains innovation-inhibiting barriers to entry and competition in key services sectors. 'Services Unbound: Digital Technologies and Policy Reform in East Asia and Pacific' makes the case for deeper domestic reforms and greater international cooperation to unleash a virtuous cycle of increased economic opportunity and enhanced human capacity that would power development in the region.

Digital Progress and Trends Report 2023: A Ten-year Retrospective

by The World Bank

Digitalization is the transformational opportunity of our time. The digital sector has become a powerhouse of innovation, economic growth, and job creation. Value added in the IT services sector grew at 8 percent annually during 2000†“22, nearly twice as fast as the global economy. Employment growth in IT services reached 7 percent annually, six times higher than total employment growth. The diffusion and adoption of digital technologies are just as critical as their invention. Digital uptake has accelerated since the COVID-19 pandemic, with 1.5 billion new internet users added from 2018 to 2022. The share of firms investing in digital solutions around the world has more than doubled from 2020 to 2022. Low-income countries, vulnerable populations, and small firms, however, have been falling behind, while transformative digital innovations such as artificial intelligence (AI) have been accelerating in higher-income countries. Although more than 90 percent of the population in high-income countries was online in 2022, only one in four people in low-income countries used the internet, and the speed of their connection was typically only a small fraction of that in wealthier countries. As businesses in technologically advanced countries integrate generative AI into their products and services, less than half of the businesses in many low- and middle-income countries have an internet connection. The growing digital divide is exacerbating the poverty and productivity gaps between richer and poorer economies. The Digital Progress and Trends Report series will track global digitalization progress and highlight policy trends, debates, and implications for low- and middle-income countries. The series adds to the global efforts to study the progress and trends of digitalization in two main ways: · By compiling, curating, and analyzing data from diverse sources to present a comprehensive picture of digitalization in low- and middle-income countries, including in-depth analyses on understudied topics. · By developing insights on policy opportunities, challenges, and debates and reflecting the perspectives of various stakeholders and the World Bank’s operational experiences. This report, the first in the series, aims to inform evidence-based policy making and motivate action among internal and external audiences and stakeholders. The report will bring global attention to high-performing countries that have valuable experience to share as well as to areas where efforts will need to be redoubled.

At Your Service?: The Promise of Services-Led Development

by Gaurav Nayyar Mary Hallward-Driemeier Elwyn Davies

Manufacturing-led development has provided the traditional model for creating jobs and prosperity. But in the past three decades the conventional pattern of structural transformation has changed, with the services sector growing faster than the manufacturing sector. This raises critical questions about the ability of developing economies to close productivity gaps with advanced economies and to create good jobs for more people. At Your Service? The Promise of Services-Led Development (www.worldbank.org/services-led-development) assesses the scope of a services-driven development model and policy directions that can maximize the model’s potential.

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