I've been blogging a bit about Universal Health Coverage (UHC) recently. In my "old wine in a new bottle" post, I argued that UHC is ultimately about ensuring that rich and poor alike get the care they need, and that nobody suffers undue financial hardship from getting the care they need. In my "Mrs Gauri" post, I used my colleague Varun Gauri's mother as a guinea pig to see whether the general public feels that UHC is a morally powerful concept and whether it could be expressed in a way that the general public would find accessible.
My sense from Ms Gauri's comment on the post, is that the answer to both questions could well be Yes. So far so good.
Some bad news—resources are finite
But before we place orders for colorful placards and huge banners with my suggested slogans "Everyone should get the care they need!" and "End impoverishment due to health spending!", we should break some bad news to Ms Gauri and the rest of the general public: resources are finite, and especially in poor countries the available resources won't allow us to get to UHC anytime soon.
At his Sabanci lecture yesterday on ‘Emerging Nations and the Evolving Global Economy’, Kaushik Basu predicted that sluggish growth will likely prevail overall for the next two years, as the baton of economic growth is handed over from industrialized countries to developing countries. He cautioned that countries have bought time with liquidity injections and other stimulus measures, but that will not do anything to fix deeper structural problems.
To hear his talk, along with his views on the recent austerity debate that reached a fever pitch over the past 10 days, listen to the audio of the full lecture and question and answer session here.
Kaushik elaborated on some of his ideas for getting the world out of the current ‘time-buying’ phase in an April 23 piece in Project Syndicate op ed ‘Two Policy Prescriptions for the World Economy.’ Dani Rodrik was especially taken with Kaushik’s opening line that “One thing that experts know, and that non-experts do not, is that they know less than non-experts think they do.” This pointed to the hard truth that the austerity debate has revealed that policy setting in today’s world is a highly uncertain business and that humility should be the order of the day.
This year’s report card on where the world, the regions, and the developing countries are with regard to attaining the various Millennium Development Goals (MDGs), shows quite a diverse picture. As the Global Monitoring Report 2013 points out, progress toward the MDGs has not been universal and there are many poor countries that are still very far away from the targets where we want them to be by 2015.
If we take a look at progress towards attainment of the MDGs, we can conclude that four out of 21 targets have been met by 2010, well ahead of the 2015 deadline. Note that even though there are 8 Goals, there are 21 targets and about 56 indicators through which the world tries to monitor their progress.
The financial crises of the last three decades have spurred a very large interest on international capital flows. Although most of the work in the topic has concentrated on the behavior of net capital flows, much less is known about the behavior of gross capital flows (the difference between capital inflows by foreigners and capital outflows by domestic agents).
The overwhelming focus on net flows represents a serious shortcoming because gross flow are much larger and much more volatile than net flows, and their size and volatility have been growing substantially faster, as we discuss in a recently published paper and Vox column (Broner et al., 2013a and b).
It is time to shift the attention from net capital flows to gross capital flows.
- Financial Sector
In the 1980s it was considered a given that most low-income countries over-invest in tertiary education. But that tired assumption is being upended in today’s world of borderless universities and globe-trotting skilled workers. A higher education undoubtedly generates a positive return for most people, whether in advanced or developing countries. However, policymakers should heed the warning about not jumping too fast by focusing on higher learning when in many countries, getting a solid secondary education is the key to climbing the ladder toward prosperity. Also, the importance of getting the organizational structure of universities right is often undervalued, with the result that far too many academic institutions fail to graduate people who are equipped to compete in the global workforce, or, aiming even higher, who are qualified to change the world for the better.
These were some of the takeaways I gleaned from Brown University President Christina Paxson’s lecture on April 26 at the World Bank.
What breakthrough will involve barefoot banking for millions of people, allow welfare and other benefits to be electronically transferred to some of the poorest people in the world and be scaled up in a few years time to reach 1 billion people or more? The answer is 'Aadhaar', the Hindi name that the Unique Identification Authority of India has given to the massive project that will provide unique I.Ds to 600 million by 2014 and eventually to the entire population of the country if all goes as planned.