Policy Research Reports
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This series brings to a broad audience the results of World Bank research on development policy. The reports are designed to contribute to the debate on appropriate public policies for developing economies. Titles in this series undergo internal and external review under the management of the Research Group in the World Bank's Development Economics Vice Presidency.
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Publication
Moving for Prosperity: Global Migration and Labor Markets
(Washington, DC: World Bank, 2018-06-14) World BankMigration presents a stark policy dilemma. Research repeatedly confirms that migrants, their families back home, and the countries that welcome them experience large economic and social gains. Easing immigration restrictions is one of the most effective tools for ending poverty and sharing prosperity across the globe. Yet, we see widespread opposition in destination countries, where migrants are depicted as the primary cause of many of their economic problems, from high unemployment to declining social services. Moving for Prosperity: Global Migration and Labor Markets addresses this dilemma. In addition to providing comprehensive data and empirical analysis of migration patterns and their impact, the report argues for a series of policies that work with, rather than against, labor market forces. Policy makers should aim to ease short-run dislocations and adjustment costs so that the substantial long-term benefits are shared more evenly. Only then can we avoid draconian migration restrictions that will hurt everybody. Moving for Prosperity aims to inform and stimulate policy debate, facilitate further research, and identify prominent knowledge gaps. It demonstrates why existing income gaps, demographic differences, and rapidly declining transportation costs mean that global mobility will continue to be a key feature of our lives for generations to come. Its audience includes anyone interested in one of the most controversial policy debates of our time. -
Publication
Making Politics Work for Development: Harnessing Transparency and Citizen Engagement
(Washington, DC, 2016-07-11) World BankToo often, even reform leaders in countries fail to adopt and implement policies that they know are necessary for sustained economic development. They are encumbered by adverse political incentives, running the risk of losing office should they try to do the right thing. When technically sound policies are selected on paper, implementation through the public system can run into perverse norms of behavior among public officials and citizens to extract private benefits from the public sector at the expense of the greater public interest. Making Politics Work for Development is about how to make politics work for economic development rather than against it. It focuses on research about two forces—citizens’ political engagement and transparency—that explain and hold the potential to improve political incentives and norms of behavior in the public sector. The research shows that the confluence of transparency and political engagement can be a driving force for countries to transition toward better functioning public sector institutions, starting with their own initial and contextual conditions. To harness the potential of these forces, policy actors should target transparency to nourish the quality of political engagement so that citizens can hold leaders accountable for the public goods needed for development. -
Publication
A Measured Approach to Ending Poverty and Boosting Shared Prosperity : Concepts, Data, and the Twin Goals
(Washington, DC: World Bank, 2015) World Bank GroupIn 2013, the World Bank Group adopted two new goals to guide its work: ending extreme poverty and boosting shared prosperity. More specifically, the goals are to reduce extreme poverty in the world to less than 3 percent by 2030, and to foster income growth of the bottom 40 percent of the population in each country. While poverty reduction has been a mainstay of the World Bank’s mission for decades, the Bank has now set a specific goal and timetable, and for the first time, the Bank has explicitly included a goal linked to ensuring that growth is shared by all. The discussion until now has centered primarily on articulating the new goals. This report, the latest in World Bank’s Policy Research Report series, goes beyond that and lays out their conceptual underpinnings, discusses their relative strengths and weaknesses by contrasting them with alternative indicators, and proposes empirical approaches and requirements to track progress towards the goals. The report makes clear that the challenges posed by the World Bank Group’s new stance extend not just to the pursuit of these goals but, indeed, to their very definition and empirical content. The report also argues that an improved data infrastructure, consisting of many elements including the collection of more and better survey data, is critical to ensure that progress towards these goals can be measured, and policies to help achieve them can be identified and prioritized. -
Publication
Localizing Development : Does Participation Work?
(Washington, DC: World Bank, 2013) Mansuri, Ghazala ; Rao, VijayendraThe Policy Research Report Localizing Development: Does Participation Work? brings analytical rigor to a field that has been the subject of intense debate and advocacy, and billions of dollars in development aid. It briefly reviews the history of participatory development and argues that its two modalities, community-based development and local decentralization, should be treated under the broader unifying umbrella of local development. It suggests that a distinction between organic participation (endogenous efforts by civic activists to bring about change) and induced participation (large-scale efforts to engineer participation at the local level via projects) is key, and focuses on the challenges of inducing participation. The report provides a conceptual framework for thinking about participatory development and then uses this framework to conduct a comprehensive review of the literature. The framework develops the concept of “civil society failure” and explains its interaction with government and market failures. It argues that participatory development, which is often viewed as a mechanism for bypassing market and government failures by ”harnessing” civic capacity, ought to be seen instead as a mechanism that, if done right, could help to repair important civil society failures. It distills literature from anthropology, economics, sociology, and political science to outline the challenges for effective policy in this area, looking at issues such as the uncertainty of trajectories of change, the importance of context, the role of elite capture and control, the challenge of collective action, and the role of the state. The review of the evidence looks at a variety of issues: the impact of participatory projects on inclusion, civic capacity, and social cohesion; on key development outcomes, such as income, poverty, and inequality; on public service delivery; and on the quality of local public goods. It draws on the evidence to suggest several recommendations for policy, emphasizing the key role of learning-by-doing. It then reviews participatory projects funded by the World Bank and finds the majority lacking in several arenas – particularly in paying attention to context and in creating effective monitoring and evaluation systems that allow for learning.