The Transformative Impact of Data and Communication on Governance
How do improvements in information and communication technology (ICT) effect governance? Many have studied the role of the Internet in governance by state institutions. Others have researched how technology changes the way citizens make demands on governments and corporations. A third area concerns the use of technology in countries where the government is weak or altogether missing. In this case technology can fill, if only partially, the governance vacuum created by a fragile state.
Can Facebook’s Massive Courses Improve Education For Developing Nations?
Facebook is on a mission to prove that social media-empowered education can help some of the poorest nations on Earth. It recently announced a big industry and Ivy League alliance to bring experimental educational software to Rwanda, providing Internet access and world-class instructional resources to their country’s eager students. However, Massive Open Online Courses (MOOCs) aren’t yet proven to work at scale even in the most well-resourced nations, let alone in a country with uneven access to technology and arguably limited educational opportunities. We took a look at what experts and evidence had to say about the prospects of Facebook’s education project.
Seeking accountability from public service providers remains one of the most prominent governance challenges in developing countries. In recent years, there has been a burst of social accountability tools, and NGOs and governments have promoted their use widely. Broadly, social accountability refers to approaches that seek to foster accountability through enhanced civil society engagement.
The advocates of social accountability approaches believe that the regular cycle of elections—in spite of the near continuous cycle of elections for the village councils, state and centre—are not enough to bring about a substantive change in service delivery. In this context, there is the opportunity to experiment with alternative mechanisms of fostering social accountability. Researchers at the Centre for Future State of the Institute of Development Studies, Sussex, UK, conclude from their field studies in Delhi and Sao Paulo, Brazil, that social accountability tools can be used to set the minimum required standard of public services by “highlighting deficiencies in existing provision or entitlements”. This also works when citizens’ demands are “framed in terms of legal or moral rights”.
As a set of approaches for “good governance”, social accountability tools represent an interesting collection of hypotheses. One, that involving citizens in local planning, budgeting and spending decisions will ensure that the design and implementation of public services is pro-poor. Local governments and decentralized systems for local planning and service delivery are the usual form in which this approach manifests itself.
Tax revenue growth in Bangladesh this year has been one of the lowest in recent years. There is now demand for a cut in corporate income tax rate with the forthcoming FY15 budget. Is this a good idea from a fiscal point of view?
Whether or not a tax-cut will increase or lower tax revenues depend on the tax rates and the tax system in place. If tax rates are in the prohibitive range, a tax cut will result in increased tax revenues. Arthur Laffer distinguished between the arithmetic effect and the economic effect of tax cuts. The arithmetic effect means that a lowering of the tax rate will result in lower tax revenues by the amount of the decrease in the rate. The economic effect identifies a positive impact of lower tax rates on work, output and employment which expand the tax base. If tax rates that are currently in the prohibitive range are lowered, the economic effect of a tax cut will outweigh the arithmetic effect and revenue collection will increase with tax cut.
I was intrigued by Kerala's Akshaya program. Kerala is uniquely, a most decentralized state, the only one of 17 in India to enact the Right to Public Services and, to open citizen service centers called Akshaya, run under the oversight of panchayats, 3-tier local self-governments, in 14 districts set within a 2 km radius of households. Akshaya was designed in its first phase in 2003 by the Kerala IT Mission to improve e-literacy in underserved areas and, in its second phase to provide a platform for government to citizen services through a public-private partnership. Over 60% of Kerala's 33 million citizens have been served by 2070+ Akshaya centers run by private entrepreneurs who collectively earn 30 million INR a month, creating employment for over 20,000 individuals. (For more details, see Akshaya Overview and UNDP Report on Akshaya).
Taking politics seriously
The idea political incentives play a powerful role in development—creating opportunities for change in some contexts, frustrating efforts in others—is not a new one. For many years now, academics and aid agencies have acknowledged that the uptake and impact of best practice reforms depends, in part, on the incentives of leaders and citizens, on formal and informal institutional arrangements, on historical legacies and structural drivers. And as a result, many aid agencies have made efforts to “take politics seriously.”
In an earlier blog post, we commented on the sources of corruption, the factors that have turned it into a powerful obstacle to sustainable economic development. We noted that the presence of dysfunctional and onerous regulations and poorly formulated policies, often created incentives for individuals and businesses to short-circuit them through the paying of bribes. We now turn to the consequences of corruption, to better understand why it is a destroyer of human prosperity.
At the heart of the upheavals that swept across the Middle East region during the Arab Spring was the call for more transparent, fair and accountable government. In the aftermath of the uprisings, specialists are left to address the issue of transition to democratic rule. In doing so, they have to answer the following questions: how can we systemize the culture of accountability and democratic governance? How can we channel the popular energy of street mobilization into a powerful institution that keeps duty-bearers in check?
- social accountability
- Social Development
- Middle East and North Africa
- Yemen, Republic of
- West Bank and Gaza
- United Arab Emirates
- Syrian Arab Republic
- Saudi Arabia
- Iran, Islamic Republic of
- Egypt, Arab Republic of
Crony capitalism is the key development challenge facing Tunisia today
Last week’s Economist magazine focused on Crony Capitalism. From the powerful oil barons in the USA in the 1920s to today’s oligarchs in Russia and Ukraine, they show that such entrenched interests have been a major concern over time and around the globe. North Africa is no exception. The fortunes accumulated by the family and friends of President Zine Al-Abidine Ben Ali of Tunisia and Hosni Mubarak of Egypt were so obscene that they helped trigger the Arab Spring revolutions, with protestors demanding an end to corruption by the elite.
The post-conflict literature amongst practitioners (including the Bank’s WDR 2011 and the OECD’s INCAF) has increasingly focussed on the role of ‘inclusive enough’ political settlements as a precondition for political stability and economic growth. What does this mean? Can an understanding of political settlements help mould the Bank’s responses to moments of crisis in our client countries or inform our “business as usual” operations in countries where the seeds of future violence are apparent or looming? How do we recognize tenuous settlements, where grievances are likely to lead to an outbreak of, or return to, widespread conflict?