Report Series: World Bank Discussion Papers

Informal documents that present unpolished results of research or country analysis. They are circulated to encourage discussion and comment. Papers for which rapid publication is particularly important were often issued in this series. This series was superseded by the World Bank Working Papers series in 2003 and the World Bank Studies series in 2010.

Published titles

Search Results

Now showing 1 - 10 of 17
  • Thumbnail Image
    Publication
    Fostering Competition in China's Power Markets
    (Washington, DC: World Bank, 2001-03) Berrah, Noureddine ; Lamech, Ranjit ; Zhao, Zhao
    This report proposes a strategy for developing competitive pool markets in China's power sector and for increasing energy trade between competitive pool markets areas. A three-stage approach is offered for developing the competitive pool markets. During stage 1, a mandatory competitive pool will be created with a single buyer. During stage 2, wholesale competition will be permitted. During stage 3, retail competition will be allowed, making the market fully competitive. The staged approach allows competitive market principles to be introduced immediately within existing institutions. This will allow needed skills and parallel economic reforms to be developed gradually and so facilitate increased competition in the later stages. The report also discusses key elemetns of competitive market development, including the organization of transmission services and transition issues such as dealing with stranded costs and mitigating market power among generators.
  • Thumbnail Image
    Publication
    Free Trade Area Membership as a Stepping Stone to Development : The Case of ASEAN
    (Washington, DC: World Bank, 2001-02) Fukase, Emiko ; Martin, Will
    This study investigates the economic impacts of accession to the ASEAN Free Trade Area (AFTA) by the new member countries of Cambodia, the Lao PDR, Myanmar, and Vietnam. The trade policies of these countries are examined, and a series of quantitative analyses were undertaken to evaluate the impacts of accession. The results showed that the static impacts of reducing tariffs against ASEAN members are beneficial, although the magnitude of the net gains is diminished by the trade diversion resulting from the discriminatory nature of the reforms. The binding commitments on protection rates under the AFTA plan provide an important initial step to more broader and more beneficial trade reforms. The study focuses on some of the key country-specific policy challenges associated with trade liberalization--such as declining tariff revenues in Cambodia, and the negative impacts on sensitive domestic industries in Vietnam. The study recommends that accession to AFTA be viewed as an important transitional step in the broader process of trade reform and institutional development needed for successful development and poverty alleviation.
  • Thumbnail Image
    Publication
    Agricultural Trade Liberalization in a New Trade Round : Perspectives of Developing Countries and Transition Economies
    (Washington, DC: World Bank, 2001-09) Ingco, Merlinda ; Winters, L. Alan ; Ingco, Merlinda ; Winters, L. Alan
    This discussion paper contains seven studies, designed to a) review, and assess the impact of the implementation of the Uruguay Round (UR) Agreement on Agriculture, and, b) to analyze the key issues, interests, and options for developing countries in the new World Trade Organization's (WTO) round of multilateral trade negotiations in agriculture. Six regional case studies are presented: Sub-Saharan Africa, South Asia, Latin America, Eastern Asia, Central and Eastern Europe, and industrial countries. A quantitative analysis of the dynamics of multilateral liberalization in food, and agricultural trade is also presented. Among some of the key conclusions, it is suggested that much preparatory work was achieved in bringing agriculture fully into the multilateral trading system during the UR, and, a significant achievement was the development of a broad framework for reductions in trade-distorting policies. The UR was also successful in negotiating reduced volumes of subsidized exports, and in providing at least, minimum levels of access to markets. There were, however, a number of limitations in both what was agreed to, and in how the Agreement in Agriculture has actually been implemented, as the analyses show that the work achieved during the UR, will be of limited value, unless market distortions in agriculture can be reduced substantially. If liberal agricultural trade is to succeed, its limitations should be addressed, and policy induced distortions to agricultural production, be substantially reduced.
  • Thumbnail Image
    Publication
    Measuring and Apportioning Rents from Hydroelectric Power Developments
    (Washington, DC: World Bank, 2000-07) Rothman, Mitchell
    This paper deals with economic rents arising from the development of hydroelectric generation on international watercourses. The paper briefly defines the concept of economic rent and its application to hydroelectric developments. It explores two areas of precedents that shows how the concept could be applied in developments on international watercourses. First, it looks at international law on the ownership and rights of use of such watercourses. Then it looks at past instances of international watercourse development that have used the idea of rent, or rent-like concepts, to determine how to share the benefits from the development. The paper notes that international convention and practice on this topic expect that riparian countries will negotiate the sharing of benefits from international developments. What the paper then seeks is a guide to such negotiations. The paper also devotes some attention to methods for quantifying the rents generated by projects in various situations: where a competitive market exists for the project's output; where no market exists; or where the hydroelectric development is part of a multipurpose project. In general, the total benefit from a cooperative development of an international watercourse is greater than the benefits from separate independent developments. Each participant should get from the cooperative development at least as much rent as it could have obtained from an independent development.
  • Thumbnail Image
    Publication
    Financing of Private Hydropower Projects
    (Washington, DC: World Bank, 2000-07) Head, Chris
    This study provides an overview of the issues and challenges related to the private financing of hydropower projects in developing countries. From the very limited pool of projects that have already reached or are nearing financial closure, ten have been chosen for the study from five countries with the most active in promoting private hydro development. Collectively the case study projects provide a reasonable cross-section of private hydro schemes that have been or are being developed. The financing of greenfield private infrastructure on a limited-recourse basis in developing countries faces certain common issues irrespective of the type of project. However, hydropower faces additional difficulties caused by the site-specific nature of projects, high construction risk and long construction periods, their capital-intensive nature with a high proportion of local costs, unpredictable output subject to river flows and broader water management constraints, complex concession process to achieve transparency in the award and pricing of output, and environmental sensitivities. The study suggests the need for longer-term financing to better suit hydropower characteristics, a regulatory framework and realistic public-private risk-sharing arrangements responsive to the requirements of hydropower projects, and the careful preparation of projects by the public sector to enable their formulation on an adequate technical and contractual basis for development as a private concession.
  • Thumbnail Image
    Publication
    Trade and Transport Facilitation : A Toolkit for Audit, Analysis, and Remedial Action
    (Washington, DC: World Bank, 2001-12) Raven, John
    This document is an expanded version of the paper published in 2000 under the title "Trade and Transport Facilitation: An Audit Methodology." It seeks to improve the effectiveness of diagnosis and corrective activities in the field of trade and transport facilitation by providing beyond guidelines on how to carry out the preliminary audit, insights on how to go over analysis, and preparation of appropriate remedial action.
  • Thumbnail Image
    Publication
    The Indian Pharmaceutical Sector : Issues and Options for Health Sector Reform
    (Washington, DC: World Bank, 2002-09) Govindaraj, Ramesh ; Chellaraj, Gnanaraj
    This report assesses the pharmaceutical sector in India, particularly focusing on four key issues related to the production, procurement, and distribution of drugs in India: a) availability, b) affordability; c) quality, and d) the rational use of drugs. The results of a survey of three states indicate considerable variation across states in the above four areas in both public and private sectors. The report concludes that problems with the availability, affordability, and rational use of good quality, cost-effective, essential drugs have persisted in most parts of India, and that these health-related issues need be addressed as a priority. An overarching recommendation is the need to focus on strengthening the implementation and regulation of the pharmaceutical sector at the state level, rather than on simply introducing new regulations. Adequate pharmaceutical quality assurance needs to be particularly emphasized as, in its absence, other reform measures could be rendered moot. Similarly, the rational use of drugs needs to be emphasized as it is likely to yield significant cost savings to the government and to consumers, in addition to its positive impact on health.
  • Thumbnail Image
    Publication
    Closing the Gap in Access to Rural Communications : Chile 1995-2002
    (Washington, DC: World Bank, 2002-02) Wellenius, Bjorn
    The study documents, and reviews the Chilean experience in rural telecommunications, by focusing on the principles, practical organization, basic design, and outstanding issues for extension of a more advanced form of approach to communication, and access to information. It examines in depth the results, and success factors of the Telecommunications Development Fund, established in 1994, a success largely due to the extensive reliance on market forces to determine, and allocate subsidies, to minimal regulatory intervention, and relatively simple processing. The design of the Fund proved robust, and remains the leading example of a cost-effective solution to reduce access gaps in basic communication in emerging economies. However, questions remain on the sustainability of services for the long run, on how to support the small, but still excluded rural population, and on potential, further needs in urban areas.
  • Thumbnail Image
    Publication
    Managing the Real and Fiscal Effects of Banking Crises
    (Washington, DC: World Bank, 2002-01) Klingbiel, Daniela ; Laeven, Luc ; Klingbiel, Daniela ; Laeven, Luc
    The study provides two recent analyses, spurred by the recent East Asian crisis, of government responses to financial distress, and, also presents a comprehensive database on systemic, and borderline banking crises. In the first chapter, the authors review the tradeoffs involved in public policies for systemic, financial, and corporate sector restructuring. They find that consistent policies are crucial for success, though such consistency is often missing. This consistency covers many dimensions, and entails among other things, ensuring that there are sufficient resources for absorbing losses, and, that private agents face appropriate incentives for restructuring. The authors also find that sustainable restructuring, requires deep structural reforms, facing upfront, political economy factors. In the second chapter, the authors use cross-country evidence to determine whether specific crisis containment, and resolution policies, systematically influence the fiscal costs of resolving a crisis. They find that accommodating policies - such as blanket deposit guarantees, debtor bailouts, and regulatory forbearance, etc. - significantly increase fiscal costs. The third chapter, is a comprehensive database on systemic banking crises that have occurred since the late 1970s. The database also includes information on borderline (non-systemic) banking crises during the same period.
  • Thumbnail Image
    Publication
    Electronic Finance : A New Approach to Financial Sector Development ?
    (Washington, DC: World Bank, 2002-03) Claessens, Stijn ; Glaessner, Thomas ; Klingebiel, Daniela
    In recent years, electronic finance, especially online banking, and brokerage services, has reshaped the financial landscape. This paper reviews these developments, and analyzes their implications for consumers, governments, and financial service providers. First, it reviews the e-finance (r)evolution in emerging, and other markets, and projects its future growth. It then analyzes e-finance impact on the structure of, and competition in the financial services industry. After that, it assesses how e-finance, and globalization more generally, affects financial sector policies in emerging markets, including the need for changes in the approach to financial sector development. The paper then examines governments' changing role in the financial sector, and identifies opportunities that e-finance offers countries to leapfrog. Finally, the paper includes for policymakers, and others involved in financial sector reform in emerging markets, detailed information, and Web links on public policy activities related to e-finance.