Showing papers by "World Institute for Development Economics Research published in 2015"

The Fishery Performance Indicators: A Management Tool for Triple Bottom Line Outcomes

Abstract: Pursuit of the triple bottom line of economic, community and ecological sustainability has increased the complexity of fishery management; fisheries assessments require new types of data and analysis to guide science-based policy in addition to traditional biological information and modeling. The authors introduce the Fishery Performance Indicators (FPIs), a broadly applicable and flexible tool for assessing performance in individual fisheries, and for establishing cross-sectional links between enabling conditions, management strategies and triple bottom line outcomes. Conceptually separating measures of performance, the FPIs use 68 individual outcome metrics, coded on a 1 to 5 scale based on expert assessment to facilitate application to data poor fisheries and sectors that can be partitioned into sector based or triple-bottom-line sustainability-based interpretative indicators. Variation among outcomes is explained with 54 similarly structured metrics of inputs, management approaches and enabling conditions. Using 61 initial fishery case studies drawn from industrial and developing countries around the world, the authors demonstrate the inferential importance of tracking economic and community outcomes, in addition to resource status.

Mattering Matters: Agency, Empowerment, and Mobile Phone Use by Female Microentrepreneurs

Abstract: This article attempts to enrich our understanding of the role that mobile phones play in the empowerment of women in the developing world. We adapt and explicate an innovative social psychological concept, “mattering,” embed it in the literature that examines the impact of mobile phones on social development outcomes, and consider the utility of mattering for the ICT4D community. Mattering is the perception that others are aware of, interested in, and depend on us. Based on a sample of 335 female microentrepreneurs in Chennai, India, we created a valid and reliable measure of mattering and its three dimensions. Mattering was predicted by 1 entrepreneurial expectations, an element of an individual's mindset; 2 social use of mobile phones; and 3 the perceived benefits of mobile phones for maintaining business networks. Findings suggest that mobile phone use plays a significant role in contributing to female entrepreneurs' perception that they matter.

Disadvantage and discrimination in self-employment: caste gaps in earnings in Indian small businesses

Abstract: Using the 2004–2005 India Human Development Survey data, we estimate and decompose the earnings of household businesses owned by historically marginalized social groups known as Scheduled Castes and Tribes (SCSTs) and non-SCSTs across the earnings distribution. We find clear differences in characteristics between the two types of businesses with the former faring significantly worse. The mean decomposition reveals that as much as 55 % of the caste earnings gap could be attributed to the unexplained component. Quantile regressions suggest that gaps are higher at lower deciles, providing some evidence of a sticky floor. Finally, quantile decompositions reveal that the unexplained component is greater at the lower and middle deciles than higher, suggesting that SCST-owned businesses at the lower and middle end of the conditional earnings distribution face greater discrimination.

Inferring the economic standard of living and health from cohort height : Evidence from modern populations in developing countries

Abstract: Average adult height is a physical measure of the biological standard of living of a population While the biological and economic standards of living of a population are very different concepts, they are linked and may empirically move together If this is so, then cohort heights can also be used to make inferences about the economic standard of living and health of a population when other data are not available We investigate how informative this approach is in terms of inferring income, nutrition, and mortality using data on heights from developing countries over the last 50 years for female cohorts born 1951–1992 We find no evidence that the absolute differences in adult height across countries are associated with different economic living standards Within countries, however, faster increases in adult cohort height over time are associated with more rapid growth of GDP per capita, life expectancy, and nutritional intake Using our instrumental variable approach, each centimeter gain in height is associated with a 6% increase in income per capita, a reduction in infant mortality of 7 per thousand (or an 125 year increase in life expectancy), and an increase in nutrition of 64 calories and 2 grams of protein per person per day relative to the global trend We find that increases in cohort height can predict increases in income even for countries not used in the estimation of the relationship This suggests our approach has predictive power out of sample for countries where we lack income and health data

Aid, Social Policy and Development

Abstract: This paper discusses past and current social policy strategies in the international aid architecture as an introduction to the UNU-WIDER Special Issue. Beginning in the 1990s, aid strategy and policy shifted to put a stronger emphasis on human development. This accelerated with the Millennium Development Goals (MDGs) and will continue under the Sustainable Development Goals (SDGs) which have even more ambitious targets. The paper also assesses some of the concerns associated with the ‘Paris-style’ aid modalities, and discusses major challenges for the future global development agenda. Copyright © 2015 John Wiley & Sons, Ltd. © 2015 UNU-WIDER. Journal of International Development published by John Wiley & Sons, Ltd.

Informed selection of future climates

Abstract: Analysis of climate change is often computationally burdensome. Here, we present an approach for intelligently selecting a sample of climates from a population of 6800 climates designed to represent the full distribution of likely climate outcomes out to 2050 for the Zambeze River Valley. Philosophically, our approach draws upon information theory. Technically, our approach draws upon the numerical integration literature and recent applications of Gaussian quadrature sampling. In our approach, future climates in the Zambeze River Valley are summarized in 12 variables. Weighted Gaussian quadrature samples containing approximately 400 climates are then obtained using the information from these 12 variables. Specifically, the moments of the 12 summary variables in the samples, out to order three, are obliged to equal (or be close to) the moments of the population of 6800 climates. Runoff in the Zambeze River Valley is then estimated for 2026 to 2050 using the CliRun model for all 6800 climates. It is then straightforward to compare the properties of various subsamples. Based on a root of mean square error (RMSE) criteria, the Gaussian quadrature samples substantially outperform random samples of the same size in the prediction of annual average runoff from 2026 to 2050. Relative to random samples, Gaussian quadrature samples tend to perform best when climate change effects are stronger. We conclude that, when properly employed, Gaussian quadrature samples provide an efficient and tractable way to treat climate uncertainty in biophysical and economic models.

Varieties of fragility: implications for aid

Abstract: Aid to fragile states is a major topic for international development. This article explores how unpacking fragility and studying its dimensions and forms can help to develop policy-relevant understandings of how states become more resilient and the role of aid therein. It highlights the particular challenges for donors in dealing with chronically fragile states and those with weak legitimacy, as well as how unpacking fragility can provide traction on how to take ‘local context’ into account. It draws in particular on the contributions to this special issue to provide examples from new analysis of particular fragile state transitions and cross-national perspectives.

Optimal taxation and public provision for poverty reduction

Abstract: The existing literature on optimal taxation typically assumes there exists a capacity to implement complex tax schemes, which is not necessarily the case for many developing countries. We examine the determinants of optimal redistributive policies in the context of a developing country that can only implement linear tax policies due to administrative reasons. Further, the reduction of poverty is typically the expressed goal of such countries, and this feature is also taken into account in our model. We derive the optimality conditions for linear income taxation, commodity taxation, and public provision of private and public goods for the poverty minimization case and compare the results to those derived under a general welfarist objective function. We also study the implications of informality on optimal redistributive policies for such countries. The exercise reveals non-trivial differences in optimal tax rules under the different assumptions.

Cognitive, Non-Cognitive Skills and Gender Wage Gaps: Evidence from Linked Employer-Employee Data in Bangladesh

Abstract: We use a first-hand linked employer-employee dataset representing the formal sector of Bangladesh to explain gender wage gaps by the inclusion of measures of cognitive skills and personality traits. Our results show that while cognitive skills are important in determining mean wages, personality traits have little explanatory power. However, quantile regressions indicate that personality traits do matter in certain parts of the conditional wage distribution, especially for wages of females. Cognitive skills as measured by reading and numeracy also confer different benefits across the wage distribution to females and males respectively. Quantile decompositions indicate that these skills and traits reduce the unexplained gender gap, mainly in the upper parts of the wage distribution. Finally, results suggest that employers place greater consideration on observables such as academic background and prior work experience, and may also make assumptions about the existence of sex-specific skills of their workers, which could then widen the within-firm gender wage gap.

Poverty Mapping Based on First-Order Dominance with an Example from Mozambique

Abstract: We explore a novel first-order dominance (FOD) approach to poverty mapping and compare its properties to small-area estimation. The FOD approach uses census data directly, is straightforward to implement, is multidimensional allowing for a broad conception of welfare and accounts rigorously for welfare distributions in both levels and trends. An application to Mozambique highlights the value of the approach, including its advantages in the monitoring and evaluation of public expenditures. We conclude that the FOD approach to poverty mapping constitutes a useful addition to the toolkit of policy analysts. © 2015 UNU-WIDER. Journal of International Development published by John Wiley & Sons, Ltd.

Multidimensional First-Order Dominance Comparisons of Population Wellbeing

Abstract: In this paper, we convey the concept of first-order dominance (FOD) with particular focus on applications to multidimensional population welfare comparisons. We give an account of the fundamental equivalent definitions of FOD, illustrated with simple numerical examples. An implementable method for detecting dominances is explained along with a bootstrapping procedure that yields additional information relative to what can be obtained from dominance comparisons alone. We discuss strengths and weaknesses of FOD, compared to other multidimensional population comparison concepts, and describe practical tools that enable the reader to easily use it.

Non‐clinical interventions for acute respiratory infections and diarrhoeal diseases among young children in developing countries

Abstract: OBJECTIVE: To assess the effectiveness of non-clinical interventions against acute respiratory infections and diarrhoeal diseases among young children in developing countries. METHODS: Experimental and observational impact studies of non-clinical interventions aimed at reducing the incidence of mortality and/or morbidity among children due to acute respiratory infections and/or diarrhoeal diseases were reviewed, following the Cochrane Handbook for Systematic Reviews of Interventions and the PRISMA guidelines. RESULTS: Enhancing resources and/or infrastructure, and promoting behavioural changes, are effective policy strategies to reduce child morbidity and mortality due to diarrhoeal disease and acute respiratory infections in developing countries. Interventions targeting diarrhoeal incidence generally demonstrated a reduction, ranging from 18.3% to 61%. The wide range of impact size reflects the diverse design features of policies and the heterogeneity of socio-economic environments in which these policies were implemented. Sanitation promotion at household level seems to have a greater protective effect for small children. CONCLUSION: Public investment in sanitation and hygiene, water supply and quality and the provision of medical equipment that detect symptoms of childhood diseases, in combination of training and education for medical workers, are effective policy strategies to reduce diarrhoeal diseases and acute respiratory infections. More research is needed in the countries that are most affected by childhood diseases. There is a need for disaggregation of analysis by age cohorts, as impact effectiveness of policies depends on children's age.

Assessing Efficiency of Input Utilization in Wheat Production in Uzbekistan

Abstract: Increased technical and scale efficiency in the production of wheat has been of major interest for farmers and administrators alike in Uzbekistan particularly since wheat became a strategic crop to achieve the goal of food self-sufficiency soon after the country’s independence in 1991. A pioneer approach was adopted to estimate technical and scale efficiencies among wheat producing farms in the Khorezm and Fergana regions of Uzbekistan. A method was developed that consists of extending a nonparametric, output-based Data Envelopment Analysis (DEA) in two stages to allow the use of double bootstrapping techniques to produce bias-corrected estimates. The findings show that while most farmers have achieved scale efficiency under the current state of agricultural technology, there is room for increasing wheat production via enhanced technical efficiency. Interestingly, findings also show that the higher efficiency estimated for arable land with lower bonitet (soil fertility) scores indicates that farmers with better land quality use their resources less efficiently. It is argued that this in turn implies that under non-competitive market conditions, farmers have little incentives to use resources more efficiently.

Managed Aquifer Recharge: Potential Component of Water Management in the Syrdarya River Basin

Abstract: This paper argues that sequential in-channel reservoirs in the Syrdarya River Basin of Central Asia are not sufficient to meet the needs of both upstream and downstream water users. Some of the consequences of the use of in-channel reservoirs include fresh water discharges into the saline depression and flooding of irrigated land in winter and water shortages in summer, which causes low water productivity. This study examines the feasibility of two alternative management strategies (1) building additional off-channel reservoirs, and (2) managed aquifer recharge (MAR). First, the potential for MAR in the upstream Fergana Valley is estimated through a regional assessment of MAR potential, field-scale pilot experiments, and simulation modeling. Second, the potential for MAR is analyzed for lift canal irrigation areas, which cover 70% of the irrigated highlands and the foothills in the river midstream, with a focus on energy use intensity and water and energy productivity. Third, the potential for bui...

Response to Professor Stephen Jenkins’ comments on the World Income Inequality Database (WIID)

Abstract: Professor Stephen Jenkins (this issue) has conducted an extremely careful and insightful analysis of two datasets, WIID and SWIID. In this short response, we focus on his review of the WIID, maintained and published by UNU-WIDER in agreement with the World Bank. We wish to highlight at the outset that we are very grateful for Professor Jenkins’ expert advice and suggestions; and note that the WIID has over the past couple of years been developed in the direction recommended in the appraisal. This response provides, first, some background to the development and basic philosophy of the WIID, with particular attention to data comparability and proper documentation. We subsequently outline the recent changes made to the database, now available on the internet as the revised version WIID3.0b.1 Finally, we offer some brief concluding remarks.

What Works to Improve the Quality of Student Learning in Developing Countries

Abstract: We conducted a systematic review to identify policy interventions that improve education quality and student learning in developing countries. Relying on a theory of change typology, we highlight three main drivers of change of education quality: first, supply-side capability interventions that operate through the provision of physical and human resources, and learning materials; second, policies that through incentives seek to change both teachers, household and student behaviour and intertemporal preferences; and third, bottom-up and top-down participatory and community management interventions, which operate through decentralization reforms and knowledge diffusion and increased community participation in the management of education systems. Overall, our findings suggest that policy interventions are more effective in improving student performance and learning when two or more drivers of change are combined. Supply-side interventions are more effective when they are complemented with community participation and/or incentives. Thus, idiosyncrasies, social norms and intertemporal preferences need to be factored in when designing education policies in developing countries.