nep-dev New Economics Papers
on Development
Issue of 2006‒03‒05
34 papers chosen by
Jeong-Joon Lee
Towson University
  1. The private and social return to schooling in Italy By Antonio Ciccone; Federico Cingano; Piero Cipollone
  2. Explaining policy volatility in developing countries By Vatcharin Sirimaneetham
  3. Growth TAkeoffs* By Matthias Doepke
  4. Patience Capital, Occupational Choice, and the Spirit of Capitalism* By Matthias Doepke; Fabizio Zilibotti
  5. Does Subsidising the Cost of Capital Help the Poorest? An Analysis of Saving Opportunities in Group Lending By Kumar Aniket
  6. Sustaining Growth Accelerations and Pro-Poor Growth in Africa By Kevin Joseph Carey; Sanjeev Gupta; Catherine A. Pattillo
  7. Introducing financial Management Information Systems in Developing Countries By Pokar Khemani; Jack Diamond
  8. Trinidad and Tobago: The Energy Boom and Proposals for a Sustainable Fiscal Policy By Saqib Rizavi; Delia Velculescu
  9. Estimating China's "Equilibrium" Real Exchange Rate By Steven Vincent Dunaway; Xiangming Li
  10. The Impact on India of Trade Liberalization in the Textiles and Clothing Sector By A. Prasad; Sonali Jain-Chandra
  11. Barriers to Capital Accumulation and the Incidence of Child Labor By Marco Espinosa-Vega; Richard C. Barnett
  12. Macroeconomic Determinants of Remittances: Evidence from India By Poonam Gupta
  13. Fiscal Transparency and Economic Outcomes By Farhan Hameed
  14. Real Exchange Rates in Growing Economies: How Strong Is the Role of the Nontradables Sector? By Ken Miyajima
  15. Remittances, Financial Development, and Growth By Paola Giuliano; Marta Ruiz-Arranz
  16. Emergence of the Gulf of Guinea in the Global Economy: Prospects and Challenges By Damian Ondo Mañe
  17. Bank Efficiency and Competition in Low-Income Countries: The Case of Uganda By David Hauner; Shanaka J. Peiris
  18. Are Donor Countries Giving More or Less Aid? By Smita Wagh; Sanjeev Gupta; Catherine A. Pattillo
  19. Reforming External Tariffs in Central and Western African Countries By Lubin Kobla Doe
  20. Foreign Aid Policy and Sources of Poverty: A Quantitative Framework By Peter Rangazas; Alex Mourmouras
  21. Fiscal Policy and Financial Markets By Thomas Stratmann; Bernardin Akitoby
  22. Foreign Banks in Poor Countries: Theory and Evidence By Thierry Tressel; Enrica Detragiache; Poonam Gupta
  23. Economic Transformation, Population Growth, and the Long-Run World Income Distribution By Marcos Chamon; Michael Kremer
  24. India's Pattern of Development: What Happened, What Follows? By Raghuram Rajan; Utsav Kumar; Ioannis Tokatlidis; Kalpana Kochhar; Arvind Subramanian
  25. Implications of Quasi-Fiscal Activities in Ghana By Mali Chivakul; Robert C. York
  26. Fiscal Policy and Financial Development By David Hauner
  27. Procyclical Fiscal Policy: Shocks, Rules, and Institutions - A View From MARS By Paolo Manasse
  28. Zimbabwe's Export Performance: The Impact of the Parallel Market and Governance Factors By Sònia Muñoz
  29. How Does Trade Openness Influence Budget Deficits in Developing Countries? By Tahsin Saadi-Sedik; Jean-Louis Combes
  30. Does Economic Diversification Lead to Financial Development? Evidence from Topography By Rodney Ramcharan
  31. Harmonization of Domestic Consumption Taxes in Central and Western African Countries By Lubin Kobla Doe
  32. Political Institutions and Economic Growth By Thomas Renstrom; Laura Marsiliani
  33. Education, Growth and Income Inequality By Coen Teuling; Thijs van Rens
  34. Evaluating recipes for development success By Dixit, Avinash
  1. By: Antonio Ciccone (ICREA and Universitat Pompeu Fabra); Federico Cingano (Bank of Italy); Piero Cipollone (Bank of Italy)
    Abstract: We estimate the private (individual) and social return to schooling in Italy and four macro regions. Our estimates take into account the effects of schooling on employment and wages as well as the key features of the Italian tax and social insurance system. We find that the individual return to schooling compares favorably to the return to financial assets (especially in the South). At the social level, the available infrastructure-capital data indicates that the return to schooling exceeds that to infrastructures in the South.
    Keywords: Education, Regional Development, Wages, Employment probability
    JEL: I2 J31 O18 R11
    Date: 2006–01
    URL: http://d.repec.org/n?u=RePEc:bdi:wptemi:td_569_06&r=dev
  2. By: Vatcharin Sirimaneetham
    Abstract: This paper studies the causes of policy volatility in developing countries during 1970-1999. To construct composite policy volatility indicators, the paper applies a robust principal components analysis to Washington Consensus policy variables. The results suggest three dimensions of policy volatility: fiscal, macroeconomic and development policies. The paper shows that more stable macroeconomic policy is associated with higher income growth, before turning to the determinants of volatility. Using a Bayesian approach which addresses the model uncertainty problem, the paper finds that macroeconomic policy is more volatile in countries that adopt a presidential system, have weaker political constraints, where government stability is lower, and that are former British colonies. Adopting a parliamentary regime helps to stabilize policy.
    Keywords: policy volatility, economic growth, Bayesian model averaging, principal components.
    JEL: C11 O11 O40
    Date: 2006–01
    URL: http://d.repec.org/n?u=RePEc:bri:uobdis:06/583&r=dev
  3. By: Matthias Doepke (UCLA)
    Date: 2005–02–01
    URL: http://d.repec.org/n?u=RePEc:cla:uclawp:847&r=dev
  4. By: Matthias Doepke (UCLA and CEPR); Fabizio Zilibotti (IIES Stockholm and CEPR)
    Date: 2006–02–01
    URL: http://d.repec.org/n?u=RePEc:cla:uclawp:848&r=dev
  5. By: Kumar Aniket
    Abstract: This paper shows that subsidising the cost of capital restricts the ability of the poorest to participate in the group lending mechanisms that include saving opportunities. We document the group lending mechanism used by a typical microfinance lender in Haryana, India. Individuals can participate in the group either as a borrower or a saver. The lender requires that the borrower partly self-finance their project with their own cash wealth. Consequently, a borrower requires a minimum amount of cash wealth to borrow. The poorest participate in the group by co-financing the borrower's project with their meagre savings. In return, they obtain higher than market returns on their savings. Subsidising the cost of capital reduces the cash wealth required to participate in the group as a borrower. Conversely, it increases the cash wealth required to participate as a saver, thus curtailing the opportunity for the poorest to enrich themselves.
    Keywords: Group Lending, Microfinance, Savings, Outreach
    JEL: D82 G20 O12 O2
    URL: http://d.repec.org/n?u=RePEc:edn:esedps:140&r=dev
  6. By: Kevin Joseph Carey; Sanjeev Gupta; Catherine A. Pattillo
    Keywords: Poverty reduction , Sub-Saharan Africa , Economic growth , Productivity , Trade ,
    Date: 2005–10–19
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:05/195&r=dev
  7. By: Pokar Khemani; Jack Diamond
    Keywords: Financial systems , Developing countries , Government expenditures ,
    Date: 2005–10–20
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:05/196&r=dev
  8. By: Saqib Rizavi; Delia Velculescu
    Keywords: Oil revenues , Trinidad and Tobago , Fiscal policy ,
    Date: 2005–10–25
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:05/197&r=dev
  9. By: Steven Vincent Dunaway; Xiangming Li
    Date: 2005–11–02
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:05/202&r=dev
  10. By: A. Prasad; Sonali Jain-Chandra
    Keywords: Trade liberalization , India , Exports , Economic models ,
    Date: 2005–12–02
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:05/214&r=dev
  11. By: Marco Espinosa-Vega; Richard C. Barnett
    Keywords: Capital accumulation , Poverty , Labor , Gross domestic product ,
    Date: 2005–12–08
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:05/220&r=dev
  12. By: Poonam Gupta
    Keywords: Workers remittances , India , Balance of payments ,
    Date: 2005–12–16
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:05/224&r=dev
  13. By: Farhan Hameed
    Keywords: Fiscal transparency , Credit , Fiscal management , Corruption , Reports on the Observance of Standards and Codes ,
    Date: 2005–12–20
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:05/225&r=dev
  14. By: Ken Miyajima
    Keywords: Real effective exchange rates , Economic growth , Productivity , Accounting ,
    Date: 2005–12–22
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:05/233&r=dev
  15. By: Paola Giuliano; Marta Ruiz-Arranz
    Keywords: Workers remittances , Financial systems , Economic growth , Investment ,
    Date: 2005–12–23
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:05/234&r=dev
  16. By: Damian Ondo Mañe
    Date: 2006–01–05
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:05/235&r=dev
  17. By: David Hauner; Shanaka J. Peiris
    Date: 2006–01–09
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:05/240&r=dev
  18. By: Smita Wagh; Sanjeev Gupta; Catherine A. Pattillo
    Date: 2006–01–18
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/1&r=dev
  19. By: Lubin Kobla Doe
    Date: 2006–01–20
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/12&r=dev
  20. By: Peter Rangazas; Alex Mourmouras
    Date: 2006–01–26
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/14&r=dev
  21. By: Thomas Stratmann; Bernardin Akitoby
    Keywords: Fiscal policy , Risk premium , Bond markets , Emerging markets , Financial systems , Government expenditures , Revenues ,
    Date: 2006–01–30
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/16&r=dev
  22. By: Thierry Tressel; Enrica Detragiache; Poonam Gupta
    Keywords: Financial sector , Development , Banks , Low income developing countries , Economic models ,
    Date: 2006–01–31
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/18&r=dev
  23. By: Marcos Chamon; Michael Kremer
    Date: 2006–02–01
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/21&r=dev
  24. By: Raghuram Rajan; Utsav Kumar; Ioannis Tokatlidis; Kalpana Kochhar; Arvind Subramanian
    Date: 2006–02–01
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/22&r=dev
  25. By: Mali Chivakul; Robert C. York
    Keywords: Fiscal policy , Ghana , Fiscal management , Fiscal reforms , Energy , Public sector , Private sector ,
    Date: 2006–02–02
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/24&r=dev
  26. By: David Hauner
    Date: 2006–02–02
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/26&r=dev
  27. By: Paolo Manasse
    Date: 2006–02–06
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/27&r=dev
  28. By: Sònia Muñoz
    Date: 2006–02–06
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/28&r=dev
  29. By: Tahsin Saadi-Sedik; Jean-Louis Combes
    Keywords: Trade policy , Budget deficits , Terms of trade , Developing countries ,
    Date: 2006–01–18
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/3&r=dev
  30. By: Rodney Ramcharan
    Keywords: Financial sector , Financial systems , Development , Economic growth ,
    Date: 2006–02–09
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/35&r=dev
  31. By: Lubin Kobla Doe
    Keywords: Tax policy , Central African Economic and Monetary Community , West African Economic and Monetary Union , Africa , Consumption taxes , Value added tax , Excise taxes ,
    Date: 2006–01–19
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:06/8&r=dev
  32. By: Thomas Renstrom (University of Durham and CEPR); Laura Marsiliani (University of Durham)
    Date: 2005–09–03
    URL: http://d.repec.org/n?u=RePEc:mmf:mmfc05:53&r=dev
  33. By: Coen Teuling; Thijs van Rens
    Abstract: Estimates of the e¤ect of education on GDP (the social return to education)have been hard to reconcile with micro evidence on the private return. We present a simple explanation that combines two ideas: imperfect substitution between worker types and endogenous skill biased technological progress. When types of workers are imperfect substitutes, the supply of human capital is negatively related to its return, and a higher education level compresses wage di¤erentials. We use cross-country panel data on income inequality to estimate the private return and GDP data to estimate the social return. The results show that the private return falls by 2 percentage points when the average education level increases by a year, which is consistent with Katz and Murphy's [1992] estimate of the elasticity of substitution between worker types. We find no evidence for dynamics in the private return, and certainly not for a reversal of the negative e¤ect as described in Acemoglu [2002]. The short run social return equals the private return.
    Keywords: Growth, inequality, education, private and social return to schooling, compression effect
    JEL: E20 J24 O10 O15
    Date: 2001–01
    URL: http://d.repec.org/n?u=RePEc:upf:upfgen:942&r=dev
  34. By: Dixit, Avinash
    Abstract: This paper provides a review of the contradictions and conflicts in the literature on economic governance and sketches an approach to use some of the conceptual and empirical findings from that literature for development policy. The literature offers conflicting conclusions on big questions: whether history and geography preordain a country ' s economic fate, whether democracy or authoritarianism promotes growth; whether informal or formal mechanisms are best; whether " big bang " or gradual transitions promote growth; and whether disasters and demographics are stumbling blocks or stepping stones. The author finds recipes for success that are infeasible, contradictory and shifting, and that ignore the role of luck in development policy. While the researcher may ask, " What creates success on average across countries? " the policymaker needs to know, " What is going wrong in this country and how can we put it right? " The author suggests a preliminary approach to combine the practitioner ' s detailed knowledge of country conditions with the broader patterns uncovered by scholars, building on " growth diagnostics " that identify binding constraints to development. But he shifts from the sequential " decision tree " framework to a more directly " diagnostic " approach that recognizes that policymakers must deal with many factors simultaneously. The framework he suggests combines empirical information on potential causes, estimates of their probabilities, and observed effects. He proposes this framework as the foundation, not for another recipe, but for a broader mode of thought to tackle the complexity and variance in development processes and patterns across countries and time-one country at a time.
    Keywords: Governance Indicators,National Governance,Children and Youth,Economic Theory & Research,Economic Policy, Institutions and Governance
    Date: 2006–03–01
    URL: http://d.repec.org/n?u=RePEc:wbk:wbrwps:3859&r=dev
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