Tomas Castelazo | Wikimedia Commons
The Colombian magazine Dinero, one of the most respected economic publications in Latin America, recently published a story about a World Bank study that placed Colombia as the second most competitive country in the world—behind a tie between Great Britain and Australia—to finance infrastructure projects under the public-private partnership model (known as PPPs). This score (83 points out of 100) was also shared by Paraguay and the Philippines.
At first glance, this is a virtuous recognition—at least on paper. However, in daily practice in the Latin American region, like most emerging economies, the administrative complexity of government bodies still presents enormous challenges that demand immediate attention if PPPs are to reach their full potential. Getting this right would truly integrate the PPP model into the economic and social development engine required to compete in a globalized economy.
The World Region
Consider two households that have the same level of consumption (or income) per person but they differ in the following ways. All the children in the first household go to school, while the children in the second household work to support the family. The first household obtains drinking water from a tap connected to the public distribution network, whereas the second household fetches water from a nearby stream. At night, the first home is illuminated with electricity, whereas the second home is dark. A lay person would easily recognize which of these two families is better off. Yet, traditional measures of household well-being would put the two households on par because conventionally, household well-being has been measured using consumption (or income).
Downloading the data is easy. At the microdata library, you'll see a screen that looks like this:
Like winter and summer solstices of investment cycles, every six months we take stock of how much private participation in infrastructure has come to financial close across emerging markets. From Mozambique to Moldova, Chile to China—in power, water, transport, and the backbone of telecom services—the World Bank Group tracks every new public-private partnership (PPP), privatization, auction, concession, lease, and management contract through our PPI Database.
The business of agriculture and food is driven by data, making it the treasure trove of today’s agri-food system. Whether it’s today’s soil moisture, tomorrow’s weather forecast, or the price of rice in Riyadh, every bit of data can improve the efficiency with which the world’s 570 million farmers put food into the mouths of its soon-to-be eight billion consumers. Digital technologies are facilitating the flow of data through the food system, shrinking information asymmetries and fashioning new markets along the way. How can we ensure these new markets are appropriately contested, and the treasure does not end up in the hands of a couple of gunslingers? Is there a public sector’s role in generating and disseminating data that on the one hand encourages innovation and competition and on the other reduces opportunities for market capture? One place to look may be at the crossroads of internet and public goods.
We all remember from econ class that public goods can’t be efficiently allocated by markets because they are non-rival and non-excludable. There are precious few examples of true public goods – national defense, clean air, and lighthouses come to mind. That is, at least until Coase’s in “The Lighthouse in Economics” argued that lighthouses are excludable because it was possible to temporarily turn-off the lighthouse when a ship sailed by that didn’t pay their port fees.
Hon Hai, the holding company of Foxconn – a Taiwanese multinational corporation known for manufacturing many Apple products in China - is among the top 50 companies to receive the largest number of US patents in 2016, thus driving innovation in East Asia.
Commodity prices have moved in different directions in recent months – energy prices rose while agriculture and metal prices fell – and are expected to rise or stabilize in 2019, according to the October Commodity Markets Outlook. The following five charts explain:
Figure 1: Energy and agriculture prices are seen rising in 2019, but forecasts are revised down for all commodities except energy and fertilizers.
In the last few years, the World Bank has expanded use of big data in more than 150 development projects globally, spanning a wide range of sectors and geographies. Solutions have ranged from using big data to monitor, evaluate, and improve projects—in energy, transport, and agriculture—to poverty diagnostics and understanding how well urban residents are connected to jobs. But, as Haishan Fu, Director of the Development Data Group at the World Bank, has said, “we are just beginning to realize the potential of the data revolution.”
These pilots have taught us that moving from discovery, to incubation, to scale requires a more coordinated and systematic approach. At the World Bank, we found it important to go beyond internal dialogue and assessments. We wanted to listen to and understand the perspectives of our partners in the development and data ecosystems—on current gaps, opportunities, as well as on the role(s) the World Bank should play in order to foster collective action.
2018: It has been 100 years since the Spanish flu pandemic and 10 years since the global financial crisis. The Spanish flu killed more than 50 million people, more than the two World Wars combined. It was so lethal because it occurred when people were at their weakest, suffering from the Great War: malnourished, living in conditions of poor hygiene, on the move as combatants or refugees, and lacking proper medical facilities. A decade ago, the global financial crisis struck, triggering not only a prolonged recession in the United States and other advanced countries but also a deepening distrust of globalization as a force for progress. And this had consequences well beyond the realm of economics. Lacking unity of purpose and grappling with their own domestic troubles, the nations of the West were unable to deal with the Arab uprisings and could not articulate a response to the Syrian crisis. Brexit, the rise of nationalism in Europe, the neo-isolationist policies in the United States, and the recent wave of trade protectionism have deep roots, but their triggers can be traced, in one way or another, to the global financial crisis of 2008.
They play such a pivotal role in addressing global challenges and improving citizen’s lives that