Syndicate content

Growth and Development Nuts and Bolts for the G-20

Shahrokh Fardoust's picture
 Photo: Istcokphoto.com

In the wake of the 2008 global financial crisis, many observers thought that the G-20 had a chance to succeed in the development arena where the G-8 foundered. Expectations were high that the G-20’s wider legitimacy and fresh remit would result in breakthrough solutions to knotty problems, from health pandemics to global warming. Yet the reality was that the G-20 Working Group on Development was pragmatic and selected a somewhat narrower range of priorities to focus on and many of the issues were ones that grew out of regional or national priorities. That is how the real world works—by consensus and stakeholder collaboration.

At the book launch for Postcrisis Growth and Development: A Development Agenda for the G-20Moisés Naím and Arvind Subramanian, both astute observers of trends in globalization, expressed disappointment that the G-20 development agenda didn't devote more energy to big ‘global public goods’ issues. Moreover, they noted a failure to grapple with the biggest risks facing the development community, such as illicit financial flows or climate change.

Open Data and Public Sector Debt

Shaida Badiee's picture

The volume of public domestic debt issued in developing countries has grown substantially in recent years, but consistent data on the domestic debt of developing countries have not been generally available until now. As part of the Open Data Initiative, the World Bank is launching an online, quarterly, Public Sector Debt database developed in partnership with the IMF, which will allow researchers and policymakers to explore questions about debt management in a comprehensive manner. The database promotes consistency and comparability across countries by standardizing the treatment of public sector debt, valuation methods, and debt instruments, and by identifying, where possible, the debt of central, state, and local governments as well as extra-budgetary agencies and funds.

International Open Data Hack Day: What Are You Looking For?

Aleem Walji's picture

As December 4th approaches, I’m getting excited for the International Open Data Hackathon and even more excited to see World Bank challenges and data featured in an event that will span 50 cities (and counting ) over 6 continents.  It’s thrilling to consider what hackers and users working together might mash-up and what role we (as data providers) can play in giving people access to clean and interoperable data sets for their using. Let a thousand flowers bloom.

Having recently traveled in India and after meeting development folks of various stripes from economists in Delhi to social entrepreneurs in Hyderabad to geeks in Bangalore , I’m struck again by how important local data remains. It’s one thing to talk about global economic trends and macro indicators but quite another to understand what’s happening in one Indian state, say Andra Pradesh, compared to its neighbors. Imagine a citizen group comparing rainfall data between states, at the district level, compared to crop yields over two decades. That’s when things get interesting and potentially useful to users.

China's secret weapon in light manufacturing: Small and Medium Enterprise-oriented "Plug and Play" industrial zones

Vincent Palmade's picture

 

Light manufacturing operations in a Chinese standardized factory building
  Light manufacturing operations in a Chinese standardized factory building
The success of Chinese manufacturing growth in recent decades is indisputable and has irrevocably shifted the global landscape for manufacturing competitiveness. In contrast, manufacturing in Sub -Saharan Africa has failed to deliver broad-based growth and poverty reduction on anything close to the scale as has been observed in East Asia. As countries, such as China and Vietnam, look to upgrade technology and move up the value-chain, there may be an opportunity for Africa to become competitive in the low-technology, labor-intensive light manufacturing sectors and enter the global manufacturing supply chain.

Who's listening to the "knowledge bank"?

Adam Wagstaff's picture

We now know quite a lot about the supply of research on development, and about the part the World Bank plays. We know that the World Bank publishes a lot, that most research in the world is by researchers in high-income countries, and that were it not for the Bank there would be far fewer journal articles about developing countries.

We know much less about the demand for development research and Bank publications in particular. We know that Bank publications get cited a lot in scholarly journals, books, and technical reports. What we don’t know is: who is reading and citing the Bank’s work?  

An optimist would argue that Bank authors get read largely by people in developing countries, and this in turn helps move policy forward. A cynic would argue that the audience for Bank publications is largely made up of others in the North working on international development. Bank reports that end up in developing countries are, according to this view, at risk of being turned into papier-mâche masks for puppet shows. We call this the "puppeteers view".

A report back from the Korea Summit on the G-20's development agenda

Zia Qureshi's picture

The themes and areas for action emphasized by the World Bank find a good reflection in the outcome of the recently concluded G-20 summit in Seoul, Korea.  The main theme of the report submitted by the Bank - that in a progressively multipolar world economy, the goals of global growth, rebalancing, and development are increasingly interconnected - had good resonance in the summit discussion. The point was made by several leaders, some echoing verbatim the report's message that rebalancing "should not be a zero-sum game, rotating demand from one to another", that the "objective is to lift growth, not just shift growth", and that "developing countries can be an important source of new demand for stronger and more balanced global growth" (words from para 2 of the report's executive summary).  For example, UK's prime minister David Cameron said exactly that.  India's prime minister Manmohan Singh made the same point, echoed also by presidents Hu Jintao (China), Lula (Brazil), and Zuma (South Africa).

Llegar al fondo de la cuestión: Más allá de la guerra de divisas

Shahrokh Fardoust's picture
 Photo: istockphoto.com

Muchos observadores predicen que la cumbre del Grupo de los Veinte (G-20) que se lleva a cabo esta semana en Seúl será recordada principalmente como un baile de alta diplomacia destinado a persuadir a sus  miembros para que se abstengan de una devaluación competitiva de sus monedas  y regulen los desequilibrios excesivos en cuenta corriente.

Si la mayoría de los titulares de Seúl se refieren a disputas sobre divisas y a quién pertenece el déficit o superávit más perjudicial, entonces los líderes se habrán malgastado la oportunidad de llegar al fondo de la cuestión.

En efecto, ese resultado sería un revés para los países en desarrollo y afectaría posiblemente la legitimidad del G-20 como agente de inclusión de la cooperación económica y financiera en la economía mundial.
 

Trade, Employment, and Structural Transformation

Margaret McMillan's picture
  Photo: istockphoto.com

There is a shared sense that globalization has a strong potential to contribute to growth and poverty alleviation.  There are several examples of countries in which integration into the world economy was followed by strong growth and a reduction of poverty, but evidence also indicates that trade opening does not automatically engender growth. The question therefore arises, why the effects of globalization have been so different among countries of the world.

A look at changes in the structure of employment in Latin America and in Asia hints at possible explanations for observed differences in the growth effects of trade.  Since the 1980s, Asia and Latin America have both rapidly integrated into the world economy.  Asia has enjoyed rapid employment and productivity growth, but the consequences for Latin America have been less stellar.

The chart below shows how the pattern of structural change has differed in the two continents. The chart decomposes labor productivity growth in the two regions into three components: (i) a “within” component that is the weighted average of labor productivity growth in each sector of the economy; (ii) a “between” component that captures economy-wide gains (or losses) from the reallocation of labor between sectors with differing levels of labor productivity; and (iii) a “cross” component that measures the gains (or losses) from the reallocation of labor to sectors with above-average (below-average) productivity growth.  The underlying data for the charts come from the Groningen Growth and Development Centre.

What’s the “universal health coverage” push really about?

Adam Wagstaff's picture

L. Garrett, A. Chowdhury, A. Pablos-Méndez. “All for universal health coverage”, The Lancet, 2009, 374(9697), pp. 1294-1299

Maps, like pictures, are often worth a thousand words. The map above comes from an article in the medical journal The Lancet. The article is part of a campaign to make 2010 the year of a big push toward universal health coverage. Over the course of the next three days, over a thousand health systems researchers are gathering in Switzerland for the First Global Symposium on Health Systems Research; the theme of the symposium is “science to accelerate universal health coverage”. Next week, health ministers from around the world will gather at an international ministerial conference on “Health Systems Financing – Key to Universal Coverage” hosted by the German government. At the conference, the World Health Organization will launch its 2010 World Health Report entitled “Health Systems Financing: The Path to Universal Coverage”.

Getting to the Seoul of the Matter: Moving beyond currency disputes

Shahrokh Fardoust's picture
Photo: www.istockphoto.com

(Also available in Spanish)

Many observers predict that this week’s G-20 Summit in Seoul will be remembered mainly as a dance of high diplomacy aimed at persuading members to refrain from competitive devaluation of currencies and to reign in excessive current account imbalances.

If most headlines from Seoul are about spats over currencies and whose deficit or surplus is most harmful, then leaders  will have missed the Seoul of the Matter.

Indeed, such an outcome would be a setback for developing countries and could potentially erode the legitimacy of the G-20 as an inclusive broker of financial and economic cooperation in the global economy.

Pages