World Institute for Development Economics Research

About: World Institute for Development Economics Research is a facility organization based out in Helsinki, Finland. It is known for research contribution in the topics: Poverty & Population. The organization has 110 authors who have published 525 publications receiving 17316 citations.

Climate Change and Economic Development in Africa: An Overview

Abstract: Recent studies indicate that climate change will negatively impact Africa's growth and development prospects, particularly in the absence of adaptation and mitigation. Losses of up to 4% of Africa's gross domestic product (GDP) are projected, and agriculture is a major economic impact channel given the high share of Africa's GDP accounted for by rain-fed agriculture. This calls for concerted efforts by African policy-makers and development partners to help Africa build adaptive capacity to reduce vulnerability. Climate finance is a critical ingredient in the efforts to build Africa's adaptive capacity and also in mitigation. Climate funding pledges made by the developed countries have not been realised however, with a large variance between pledges and actual contributions. On the other hand, the uptake of available climate funding for Africa has been slow, in part due to week capacity of African countries to develop and execute adaptation measures. Another important contribution from the papers in this supplement is the treatment of uncertainty in the assessment of economic impacts of climate change. Two of the complicating factors in the assessment of economic impacts are (i) uncertainty associated with climate change and (ii) the fact that climate can be very localised, with different climates for proximate localities. A methodological approach for handling these two challenges is developed and applied to the country of Malawi. Results indicate that overall implications of climate change on GDP growth are relatively small to 2050, but the losses from climate change tend to increase over time, suggesting that impacts may become larger post 20150.

Higher Fuel and Food Prices: Impacts and Responses for Mozambique

Abstract: Rising world prices for fuel and food represent a negative terms-of-trade shock for Mozambique. The impacts of these price rises are analyzed using various approaches. Detailed price data show that the world price increases are being transmitted to domestic prices. Short-run net benefit ratio analysis indicates that urban households and households in the southern region are more vulnerable to food price increases. Rural households, particularly in the North and Center, often benefit from being in a net seller position. Longer-term analysis using a computable general equilibrium (CGE) model of Mozambique indicates that the fuel price shock dominates rising food prices from both macroeconomic and poverty perspectives. Again, negative impacts are larger in urban areas. The importance of agricultural production response in general and export response in particular is highlighted. Policy analysis reveals difficult trade-offs between short-run mitigation and long-run growth. Improved agricultural productivity has powerful positive impacts, but remains difficult to achieve and may not address the immediate impacts of higher prices.

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.

Inequality of Opportunity in Education: Accounting for the Contributions of Sibs, Schools and Sorting across East Africa

Abstract: Inequalities in the opportunity to obtain a good education in low-income countries are widely understood to be related to household resources and schooling quality. Yet, to date, most researchers have investigated the contributions of these two factors separately. This paper considers them jointly, paying special attention to their covariation, which indicates whether schools exacerbate or compensate for existing household-based inequalities. The paper develops a new variance decomposition framework and applies it to data on more than one million children in three low-income East African countries. The empirical results show that although household factors account for a significant share of total test score variation, variation in school quality and positive sorting between households and schools are, together, no less important. The analysis also finds evidence of substantial geographical heterogeneity in schooling quality. The paper concludes that promoting equity in education in East Africa requires policies that go beyond raising average school quality and should attend to the distribution of school quality as well as assortative matching between households and schools.

Policy and Progress in Moroccan Agriculture: A Retrospective and Perspective

Abstract: The policy reforms in Moroccan agriculture brought about through the process of structural and sectoral adjustment and the engagements undertaken by Morocco in the context of the General Agreement on Tariffs and Trade (GATT) represent important milestones in Moroccan agricultural history (1). Since 1985, reforms have been undertaken, especially with respect to domestic agricultural markets. Both authors have been closely involved in the reform process (Arndt since 1990 and Tyner since 1985). The process has been drawn out, halting, and highly complex. Throughout this article, we have tried to strike a balance between the need to generalize, in order to make the discussion accessible to readers unfamiliar with the evolution of Moroccan agricultural policy, and the need to present enough detail to be true to the facts. In this paper, we draw from available sources and our experience to argue three related points. 1) The impacts of reforms undertaken to date have, by and large, been positive. This reflects much more the dismal state of agricultural policy in 1985 rather than a positive rating of the reform process or the current policy environment.