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Open Forum Gender: Getting to Equal

World Development Report 2012

Arab World: A New Social Contract

October 2009

Adaptation to Climate Tied to Development

How should adaptation to climate change be designed and funded? In the run-Storm pattern from satelliteup to the December 2009 Copenhagen climate negotiations there’s an international push to create new funding mechanisms for climate adaptation in developing countries. Given the complexity of climate change and limited experience in funding adaptation, we in the World Bank’s Social Development department decided to launch a study of the lessons from the DM2009 proposals. The proposals constitute a large and interesting database of proposed adaptation interventions. By studying the proposals as a group, we hope to gain insight into the global supply of adaptation innovations and project ideas, especially at the community level.

Our study considers how adaptation is conceptualized by suppliers of global adaptation interventions, what innovations for climate adaptation are proposed, and what kind of partnerships are put forward. We hope to contribute to policy discussions on how donors in the future can provide funding for community-based adaptation to climate change.

One of the discussions circulating among practitioners is how to orient funding for adaptation: Should development funds be considered separate from adaptation or are the two intertwined?    

Baley!*

The impact of the mobile phone in Afghanistan

With the seemingly endless bad news coming out of Afghanistan, I would like to break the cycle and write about a success story that is the start of something good. This post is about the humble mobile telephone.

First round of seasonal workers finishes in Australia

I've just returned from country Australia evaluating the impact of one of the World Bank's (WB) recent development programs in the region. A WB initiative on the ground in Australia? What is the relationship between country Australia and the Bank's mandate of a world free of poverty?

Photo © Tomas Ernst/World Bank

Following several year's of research and advocacy, the Australian government opened its borders this year to the short-term supply of labour from the Pacific Islands (PIs). Evidence from New Zealand showed that when temporary labour mobility programs are well managed - with the appropriate level of monitoring to prevent worker exploitation and with the right incentives to minimize overstaying - the scheme is win-win for growers and PI workers. Growers enjoy a steady, reliable source of labour and PI workers receive income at least 4-5 times the GDP/capita of their home country.

My colleague Nathan and I travelled to Griffith, New South Wales where six ni-Vanuatu workers were preparing to head home following a six-month assignment picking, pruning and packing fruit. All workers reported a significantly improved financial position, with the majority sending regular remittances to their family members and local villages. In terms of skills acquisition, the training workers received on farms in Australia will benefit them when they return home to agriculture dependant economies of the South Pacific.

Weekend Reading

Zimbabwe's inflation ranks as the second worst in history. Who's first?

Cool graph on the commitment to development of specific countries. Sweden comes on top.

The two Koreas.

Rural to urban migration in China has reached 1.5 million people per month.

Happy Halloween.

Weekly news update on climate change: Oct 30

Climate change in the news (Oct 26 - Oct 30, 2009)

How Should We Best Accelerate Growth and Job Creation in South Asia?

“South Asia continues to grow rapidly and its largest economy, India, is close to becoming a Tiger.”

Sadiq Ahmed and I were inspired to author Accelerating Growth and Job Creation in South Asia when we were asked by the South Asia Chamber of Commerce, SAARC Business Conclave, FICCI, and a number of policy makers, local research institutes, and CEOs to come up with a strategy on what can be done by South Asian countries to accelerate growth and job creation. So we invited the world’s leading scholars to apply their talents to understanding the economies of South Asia. This gave birth to the book.

It is organized along three themes—an overview of South Asia’s growth opportunities and challenges; sources of growth and policies for the future; and the significance of regional cooperation in promoting growth. The essays combine quantitative data with analytical rigor to provide innovative suggestions in terms of policies and institutions that can propel South Asia towards higher growth, while promoting inclusiveness.

Far from home in China: conversations with migrant workers searching for opportunities in urban centers

Quality Control Inspector Jiang Peng walks on scaffolding along the foundation of the water treatment facility.

While traveling through China recently, I had an opportunity to visit the Shanghai Urban Environment project in the emergent suburban district of Qingpu and spoke to a number of workers responsible for the implementation and completion of the project.

As with many infrastructure and urban development projects in China, the speed and magnitude can be astonishing, with hundreds of employees working around the clock to ensure timely completion. Work on the facility runs 24 hours a day, 7 days a week with construction workers from all over China contracted to work and live onsite until its completion in 2011. Once finished, it will improve water service, coverage, and waste water management in the region which will be essential for sustaining the increasing population and living standards.

Warm Welcome From Bank and DM2009 Sponsors

The banner that's been unfurled across the facade of the World Bank's Main Complex in Washington, D.C., where DM2009 will be held Nov. 10-13, tells the story.  Are you registered?

From Kathy Sierra, Vice President of the World Bank’s Sustainable Development Network, and Sanjay Pradhan, Vice President of the World Bank Institute, comes this welcome to DM2009 finalists:

Development Marketplace 2009 couldn't have a more timely or significanSanjay Pradhant theme: “100 Ideas to Save the Planet and its people from the effects of a changing climate.” 
 
Managing risks from climate change will require not only one hundred but thousands of ideas from communities all over the world. Identifying the best of those ideas and reducing the time it takes to incubate, develop, and take them to scale will mean the difference between life and death to those people who live in the most vulnerable areas.

Technical announcement

The comments section is down. We have sent a note to the powers that be, and it should be remedied soon.

Apologies.

Linking up with Enlaces (Chile)

Enlaces logoWith apologies in advance to initiatives in a handful of other countries considered world leaders in this area (including Costa Rica, Namibia, Thailand, Mexico and Brazil):

Of all the programs in middle income and developing countries that have sought to introduce ICTs systematically into the education, the Chilean experience is perhaps the most lauded.  Enlaces has been the subject of much scholarly and policy attention since its inception almost two decades ago (including a publication from the World Bank back in 2004 [pdf]).

The fact that Chile and Enlaces is considered by many to be a global model of good practice presents policymakers in Chile with a(n enviable) challenge:

Where should Chile look for inspiration as it continues to evolve its programs exploring the effective use of ICTs in education?

Diaspora Latina, remesas y crisis económica

Acabo de realizar una podcast entrevista con Ximena Gutiérrez (coordinadora del sitio web del Banco Mundial en español www.bancomundial.org) sobre cómo la crisis financiera mundial esta impactando a la “diaspora latina”, a la demanda laboral de los trabajadores migrantes y a los flujos de remesas a América Latina.

"This Will Solve All Our Problems!"

I was recently in an informal discussion with development colleagues regarding the governance of extractive industries in a fragile state, which shall remain unnamed for various reasons.  One of them had been working in development for more than three decades and in country X for five years.  In terms of governance, he didn't think any of the usual solutions to the widespread and deeply embedded culture of rampant corruption and excessive rent-seeking would work in the country.  Things are just that bad.  He intimated that the only thing he could think of was to build the capacity of the country’s fractious civil society so that they could become credible interlocutors to government actors, and demand accountability from their elected and appointed leaders.  It was quite distressing when he said, “I don’t know what else to do.”

The Obstacle to Renewable Energy (hint: it isn't about costs)

Columbia University's Geoffrey Heal asks, "can renewable energy save the world?". The answer is dependent on infrastructure and technology, rather than cost:

Where does this leave us with renewables as a solution to the problem of climate change? We can replace some fossil fuel power with renewable power without a major cost increase, but we cannot hope to replace a major fraction of our fossil power with intermittent power sources such as wind and solar – unless we can develop storage technologies. Being able to store power and smooth the output of intermittent power sources would greatly enhance the attractions of renewable power.

The bottom line is that neither costs nor capital requirement will prevent us from decarbonising the electricity supply. The real obstacle to doing this largely with renewables is our current inability to store power, and as long as we cannot store power we will need to use non-renewable sources like nuclear and coal with carbon capture and storage.

Probably a good place to invest some stimulus money.

Online mapping tool gives view of forests in developing countries

In July, biodiversity specialist and blogger Tony Whitten wrote a post about not abandoning old-fashioned conservation techniques as an important method of taking positive action on climate change. One of the important old-school mitigation methods, he wrote, lies in protecting the world’s forests through reforestation and avoiding further deforestation.

Accordingly, a big part of the ongoing climate change discussion includes reducing emissions through deforestation and degradation (known as REDD). And the UN’s Food and Agriculture Organization now offers a tool to help monitor forests in developing countries. Using satellite imagery and other data, the Global Forest Resources Assessment Portal displays the information on an interactive map.

South Asia Advances on Visual Tool Comparing Development over Time

The World Bank released its Data Visualizer tool last week, which compares 209 countries through the lens of 49 development indicators utilizing data ranging from 1960 to 2007. Using three dimensional bubbles whose sizes are proportional to populations and are color coded to the different regions (purple represents South Asia), they move horizontally or vertically based on their achievements on a number of indicators that range from GDP per capita to the percentage of children that are inoculated against measles.

Users will find similarities with the groundbreaking Gapminder World tool that Swedish Health Professor Hans Rosling first presented to the TED Conference in 2006. He concluded that the world is converging and that old notions of contrasting developed country (generally small families and long lives) with developing country (large families and short lives) to be grossly out of date.

Easterly discovers the power law of international trade

Not too long ago, Bill Easterly and Justin Lin squared off at an event at the World Bank over the wisdom of industrial policy in developing countries. While I am sympathetic to Bill's position, judging by the mood of the crowd in the room, I would have to call the debate a tie.

Bill has returned for round two with a new working paper that formalizes some of the arguments he made during that debate. In the Power of Exports, the New York University Professor (and now avid and entertaining Twitterer) points out that tiny Fiji dominates the market for exports to the U.S. in the category of "Women's, girl's suits, of cotton, not knit." More generally, the market for exports tends to be dominated in each country by a few big hits (and what's more, to a particular importing country), whether women's cotton suits or "ceramic bathroom kitchen sanitary items not porcelain." Mathematically, this is described by a power law, where the likelihood of observing a particular value decreases exponentially with the size of that value.

PSD Blog Welcomes Doing Business!

 DB 

The World Bank's Doing Business blog has migrated to the PSD blogoshere. Dahlia Khalifa, senior member of the Doing Business team explains the transition:

As we continue to experiment with new ways of communicating the key messages of Doing Business, we have decided to consolidate our efforts and combine with the World Bank Group's Private Sector Development blog. You'll be able to find new content from the Doing Business team under a new "Doing Business" category on the Private Sector Development. We hope to see you over there, and look forward to your hearing your thoughts through the comments function!

Next week, Crisis Talk will be joining us. Stay tuned.

The day you’ll be able to stumble upon development funds

Quite literally…

Imagine walking around the streets of DC with your mobile phone in hand. You "point" to, say, a building or a bridge and an application on the phone allows you to detect whether the project is a beneficiary of some of the $787 billion allocated by the US Government American Recovery and Reinvestment Act. The amount of money spent for the building and the name of the beneficiary are also displayed. Public spending could not get more transparent – and tangible – than this. Science fiction? Not anymore, thanks to the augmented reality mash-up just released by the ever inspiring folks at Sunlightlabs (hat tip: David Osimo).

Recoverygov 

Institutions for Imperfect, Unpredictable People

Since time immemorial, human beings have been defined by the theory of the state of nature.  The theory goes that - without an external, governing hand - humans enter a state of anarchy. Decades of work by Professor Elinor Ostrom, however, have gone into proving the limitations of this theory. In Crowding Out Citizenship, Ostrom describes the many assumptions behind the way policy textbooks and planners view human behavior:
 

“Centrally designed and externally implemented rules-based incentives – both positive and negative – are seen as universally needed to overcome all types of social dilemmas….The state is viewed as a substitute for the short-comings of individual behavior and the presumed failure of community. The universal need for externally implemented incentives is based, however, on a single model of rational behavior which presumes short-term, self-interested pursuit of material outcomes as the only mode of behavior adopted by individuals.”
 

“Leviathan is alive and well in our policy textbooks,” Ostrom says.
 

Environmental action and the action of others

The results of a large survey I conducted with my fellow environmental researcher, Wes Schultz, produced a pair of actionable results. First, people who thought their neighbors were conserving energy were more likely to conserve themselves. Second, at the same time, almost all of the nearly 3,000 survey respondents underestimated the conservation efforts of their neighbors. This suggests a simple way to increase conservation activity—by trumpeting the true levels of conservation that are going unrecognized.

To investigate this idea, we examined resource conservation choices in an entirely different setting—upscale hotel rooms, where guests often encounter a card asking them to reuse their towels. As anyone who travels frequently knows, although the wording of this card may vary somewhat, it always requests compliance for the sake of the environment. What the card never says, however, is that the great majority of guests do, in fact, reuse their towels when given the opportunity. We suspected that this omission was costing the hotels—and the environment—plenty.

US banks’ actions to close small money transfer companies’ accounts may reduce legitimate options for sending money home

US-based migrants may find it much harder to opt for formal channels in sending money to needy family members overseas because of an increasing tendency on the part of a number of US banks to close down the accounts held by small, niche money transfer companies—including many that are in full compliance with licensing, auditing, customer reporting and other regulatory requirements of US state and national authorities.

Making Parliaments Work through Better Communication

Governments and development agencies have devoted many years and hundreds of millions of dollars developing democratic governance in countries around the world. The idea of creating democracies is still the primary driver of many governance improvement agendas. Clearly, democratic systems often bring with them improvements in governance and economic development, but simply putting a democracy into place is not enough.
 

Last week, this blog featured a quote by Elinor Ostrom, which contains an interesting sentence: “Yet I worry that the need for continuous civic engagement, intellectual struggle, and vigilance is not well understood in some of our mature democracies and is not transmitted to citizens and officials in new democracies….We have to avoid slipping into a naïve sense that democracy – once established – will continue on its own momentum." 

Sometimes simple really is best

Editor's Note: Alan Johnson is a Senior Private Sector Advisor in the World Bank's Investment Climate Advisory Services Group

I’m always interested in situations where tools that are aimed at developing countries are applied to their high income counterparts. A recent post in the New York Times’ small business blog provides an excellent example. The author, Scott Shane, refers to the 2008 World Bank Group Entrepreneurship Survey, which gathers internationally comparable data on business creation, and applies it to the United States.

The results of the survey show that, after accounting for differences in per capita income, countries with easier and less expensive procedures for registering new businesses have higher rates of new business creation. This conclusion is reached by examining the relationship between the number of new business registrations (entry rate density) and the “ease of starting a business” indicator in the Doing Business report.