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Labor market polarization in developing countries: challenges ahead

Indhira Santos's picture

There is increasing evidence that labor markets in developed countries are polarizing or hollowing out. On the one hand, the share of employment in high-skilled, high-paying occupations (managers, professionals and technicians) and low-skilled, low-paying occupations (elementary, service, and sales workers) is growing. On the other hand, the share of employment in middle-skilled, middle-paying occupations (clerks, plant and machine operators) is being squeezed. There is ample evidence of polarization in the United States (see Acemoglu and Autor, 2011; Autor and Dorn, 2013; and  Autor (2014) for a less technical discussion), and also in Western Europe (Goos, Manning, and Salomons, 2014). Harrigan, Reshef and Toubal (2016), more recently, document the same phenomenon in France, using firm-level data.

Can Singapore become a role model for quickly-growing cities?

Ede Ijjasz-Vasquez's picture
In the 1960s, Singapore was struggling with limited resources, a small domestic market, and high unemployment. Living standards were low, with most residents living in crowded, unsanitary slums.
 
Today's picture couldn't be any more different: in the span of just a few decades, the city-state has completely reinvented itself to become a model of urban innovation, consistently topping international rankings for livability and competitiveness.
 
But Singapore's transformation was no happy accident. This success story is the result of an innovative and carefully executed vision that looks at all aspects of urban development in a cohesive way. Singaporean leaders and urban planners have integrated land use, housing, transport, and natural resources management into one coherent, long-term strategy so they can work in sync and reinforce each other.
 
In this video, Ede Ijjasz-Vasquez and Abhas Jha take a closer look at the city's urban development approach, and describe how other countries can draw on Singapore's experience to build sustainable, livable cities.

The Global Urban Footprint: A map of nearly every human settlement on Earth

Thomas Esch's picture


Urbanization is increasingly central to the global development process, but until recently, basic spatial information on the world’s urban areas has been unavailable, inconsistent, or unreliable. The lack of consistent data on the world’s cities makes it hard to understand the overall impact of urbanization. However, innovations in geospatial mapping are now helping to provide one major piece of the puzzle:maps of practically all built-up areas around the world are available thanks to new uses of satellite data.
 
Scientists at the German Aerospace Center (DLR) have succeeded in using a newly developed method to map the world’s built spaces at an unprecedented spatial resolution, resulting in the ‘Global Urban Footprint’ (GUF), a global map of human settlements at a spatial resolution of 12 meters per grid cell (aggregated to 75m for public use).
 
The German radar satellites TerraSAR X and TanDEM X acquired over 180,000 images between 2010 and 2013, which were processed, together with additional data such as digital terrain models, to produce the Global Urban Footprint. In total, the researchers processed over 20 million datasets with a combined volume of more than 320 terabytes.

Weekly links June 10: hardworking poor people, the practicalities of RCTs, what is clever in marketing experiments, marshmallow tests revisited, and more…

David McKenzie's picture
  • From VoxEU – people in developing countries not only earn a lot less than those in developed countries, they also work longer hours and have less leisure – as a result “Adults in poor countries …are even less productive than we thought.”
  • All the Stata cheatsheets from Geocenter in one place
  • In Scientific American: does financial stress literally hurt?
  • In the Washington Post wonkblog, more evidence why the Marshmallow test is probably not measuring what you think it is – “this uncovers a broader problem with how we perceive the actions of people who live very different lives than we do. We brand certain actions and choices as mistakes, when they might simply be developmental adjustments necessary to cope with their environment. For those who don't worry about their next meal, because they never had to, choosing a marshmallow now instead of two marshmallows in a few minutes, all things equal, could only be the result of impulse-driven folly. For those who do have to worry about the next meal, passing up food now for the promise of food later is the misguided move.”

The staircase of relationships – and P2P partnerships

Malcolm Morley's picture

In my previous two blogs: Developing Public to Public Partnerships (P2Ps) that Improve Infrastructure’s Social and Economic Value and 10 tips for Implementing a Public to Public Partnership (P2P), I sought to highlight the importance of organizations working together within the public sector if they want to maximize the value from Public Private Partnerships (PPPs). Regrettably, it’s too frequently the case that the potential of the public sector to maximize the value it achieves from PPPs remains unfulfilled because of relationships within the public sector preventing or inhibiting organizations working effectively together.
 
If public sector organizations can’t develop effective partnership working among themselves, how can they maximize value from partnerships with the private sector?

The “voice of the people” is a fearsome thing

Sina Odugbemi's picture

The form of rule known as liberal constitutional democracy – the high achievement of the Enlightenment – is under attack almost everywhere these days by people claiming to represent that most fearsome of things: the voice of the people. This claim is made in a self-justificatory, there-is-no-arguing-with-that manner. All that opponents have to do is bow to the force, the power, and the majesty of, you guessed it, the voice of the people.

This is no ideological divide here. Populists on the right are making the claim as they push for the unchallenged sway of the genuine interests but also the grievances and prejudices of a portion of “the people” which they claim is “all the people”. Spot the slick rhetorical move. Populists on the left make the same claim as they agitate for the genuine interests but also the grievances and prejudices of another (but sometimes overlapping) portion of “the people” which they too claim is “all the people”. The same slick rhetorical move. What is left unsaid is a blunt claim: “The people I represent are the only ones that matter in this political community, and what they want takes priority over all else.”

There is a second rhetorical move that these populist leaders make, especially if, as often happens, they have acquired charismatic authority. It is the elegant dance from the “we” to the “I”. When these populist movements erupt the leaders say “we” a lot, but after a while they become the embodiment (or so they claim) of the “will of the people” and to oppose them is, they suggest, to oppose “the people”. The leaders of nationalist movements make this move easily. Once the “we” becomes the “I” these leaders become truly powerful and dangerous. If you oppose them they can unleash a mob on you, even if the mob is only online. And if they win power, to oppose them is treason. Mere criticism of the leader can land you in jail, and this is happening in some contexts as we speak.

Why school enrollment is not enough: A look inside Haiti’s classrooms

Juan Baron's picture
This page in: Haitian Kreyol
Students reading in class. Photo: ©World Bank

In Haiti, about 90% of primary school-aged children are enrolled in school.  While still falling short of universal enrollment, this is a big improvement over just two decades ago.  But enrollment is just the first step in building human capital – many children will repeat a grade, and about half will drop out before completing primary school, leaving the school system without having mastered even basic language and math skills.  Why does participation in school produce so little?

What should Jordan’s irrigation agency do to keep supplying water?

Caroline van den Berg's picture
 Dudarev Mikhail l Shutterstock.com

As an irrigation agency, what do you do when demand for water is growing, food security features high on your government’s agenda, and the irrigation system you’ve been running for the past 40 years is nearing the end of its life? Your budget is also tight and what you charge for the water you’re supplying has not kept up with overall cost levels.
We worked with the Jordan Valley Authority (JVA), which falls under Jordan’s Ministry of Water and Irrigation, to see what options the JVA has to make the most of its situation.

Weekly wire: The global forum

Roxanne Bauer's picture

World of NewsThese are some of the views and reports relevant to our readers that caught our attention this week.

Foreign aid is a shambles in almost every way
The Economist
NOT long ago Malawi was a donor darling. Being dirt poor and ravaged by AIDS, it was needy; with just 17m inhabitants, a dollop of aid might visibly improve it. Better still, it was more-or-less democratic and its leader, Joyce Banda, was welcome at Westminster and the White House. In 2012 Western countries showered $1.17 billion on it, and foreign aid accounted for 28% of gross national income. The following year corrupt officials, businessmen and politicians pinched at least $30m from the Malawian treasury in just six months. A bureaucrat investigating the thefts was shot three times (he survived, somehow). Germany said it would help pay for an investigation; later, burglars raided the home of a German official and stole documents relating to the scandal. Malawi is no longer a donor darling.

The capabilities of finance ministries
ODI
All countries have a finance ministry. If one organizational feature defines what makes a state a state, it is a central unit that handles income and expenditure – or aspires to. This remains remarkably consistent irrespective of the huge variations in the purpose and institutional shape of government. Finance ministries are also at the centre of many current policy discussions, whether on how to respond to the 2008 financial crisis, how best to fund global development goals, or how an emerging economy should go about establishing a welfare state. Virtually every policy decision that involves the raising and spending of public money involves a finance ministry at some stage. Yet despite their almost self-evident importance, very few studies focused on finance ministries as objects of study.


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