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  • Author: Amanda Glassman, Justin Sandefur
  • Publication Date: 07-2014
  • Content Type: Working Paper
  • Institution: Center for Global Development
  • Abstract: Across multiple African countries, discrepancies between administrative data and independent household surveys suggest official statistics systematically exaggerate development progress. We provide evidence for two distinct explanations of these discrepancies. First, governments misreport to foreign donors, as in the case of a results-based aid program rewarding reported vaccination rates. Second, national governments are themselves misled by frontline service providers, as in the case of primary education, where official enrollment numbers diverged from survey estimates after funding shifted from user fees to per pupil government grants. Both syndromes highlight the need for incentive compatibility between data systems and funding rules.
  • Topic: Development, Foreign Aid, Foreign Direct Investment, Governance, Developing World
  • Political Geography: Africa
  • Author: Michael Clemens, Gabriel Demombynes
  • Publication Date: 09-2013
  • Content Type: Working Paper
  • Institution: Center for Global Development
  • Abstract: The Millennium Villages Project is a high profile, multi-country development project that has aimed to serve as a model for ending rural poverty in sub-Saharan Africa. The project became the subject of controversy when the methodological basis of early claims of success was questioned. The lively ensuing debate offers lessons on three recent mini-revolutions that have swept the field of development economics: the rising standards of evidence for measuring impact, the “open data” movement, and the growing role of the blogosphere in research debates.
  • Topic: Development, Economics, Poverty, Foreign Aid
  • Political Geography: Africa
  • Author: Benjamin Leo
  • Publication Date: 12-2013
  • Content Type: Working Paper
  • Institution: Center for Global Development
  • Abstract: The United States government has made repeated declarations over the last decade to align its assistance programs behind developing countries' priorities. By utilizing public attitude surveys for 42 African and Latin American countries, this paper examines how well the US has implemented this guiding principle. Building upon the Quality of Official Development Assistance Assessment (QuODA) approach, I identify what people cite most frequently as the 'most pressing problems' facing their nations and then measure the percentage of US assistance commitments that are directed towards addressing them. By focusing on public surveys over time, this analysis attempts to provide a more nuanced and targeted examination of whether US portfolios are addressing what people care the most about. As reference points, I compare US alignment trends with the two regional multilateral development banks (MDBs) – the African Development Bank and the Inter-American Development Bank. Overall, this analysis suggests that US assistance may be only modestly aligned with what people in Sub-Saharan Africa and Latin America cite as their nation's most pressing problems. By comparison, the African Development Bank – which is majority-led by regional member nations – performs significantly better than the United States. Like the United States, however, the Inter-American Development Bank demonstrates a low relative level of support for people's top concerns.
  • Topic: Security, Crime, Development, Economics, Foreign Aid
  • Political Geography: Africa, United States, America, Latin America
  • Author: Vijaya Ramachandran, Benjamin Leo, Ross Thuotte
  • Publication Date: 04-2012
  • Content Type: Working Paper
  • Institution: Center for Global Development
  • Abstract: The World Bank Group faces significant operational changes over the near to medium term. More than half of poor countries are projected to graduate from the World Bank's International Development Association (IDA) concessional assistance over the next 15 years. As a result, IDA's country client base is projected to become dominated by African fragile states. To its credit, the World Bank Group recognizes these coming changes and the unique needs and constraints present in fragile environments. It has publicly expressed a plan to develop an organization-wide strategy tailored specifically for fragile and conflict-affected situations.
  • Topic: Development, Foreign Aid, Fragile/Failed State, World Bank
  • Political Geography: Africa, South Sudan
  • Author: Todd Moss, Stephanie Majerowicz
  • Publication Date: 07-2012
  • Content Type: Working Paper
  • Institution: Center for Global Development
  • Abstract: Ghana's largest and most important creditor for the past three decades has been the International Development Association (IDA), the soft loan window of the World Bank. That will soon come to an end. The combination of Ghana's rapid economic growth and the recent GDP rebasing exercise means that Ghana suddenly finds itself above the income limit for IDA eligibility. Formal graduation is imminent and comes with significant implications for access to concessional finance, debt, and relations with other creditors. This paper considers the specific questions related to Ghana's relationship with the World Bank, as well as the broader questions about the country's new middle-income status.
  • Topic: Development, Economics, Poverty, Foreign Aid, Foreign Direct Investment
  • Political Geography: Africa
  • Author: Vijaya Ramachandran, Benjamin Leo, Ross Thuotte
  • Publication Date: 04-2012
  • Content Type: Policy Brief
  • Institution: Center for Global Development
  • Abstract: In recent years, the World Bank Group has made increasingly strong and explicit commitments to fragile and conflict-affected states, putting them at the top of the development policy agenda. These commitments are promising, but give rise to significant operational challenges for the various arms of the World Bank Group, including the International Development Association (IDA), the International Finance Corporation (IFC), and the Multilateral Investment Guarantee Agency (MIGA). The bank also faces steady pressure from shareholders to scale up involvement in fragile states while also improving absorptive capacity and project effectiveness.
  • Topic: Development, Economics, Markets, Foreign Aid, World Bank
  • Political Geography: Africa
  • Author: Dean Karlan, Ryan Knight, Christopher Udry
  • Publication Date: 11-2012
  • Content Type: Working Paper
  • Institution: Center for Global Development
  • Abstract: We show how financial and managerial constraints impede experimentation and thus limit learning about the profitability of investments. Imperfect information about one's own type, but willingness to experiment to learn one's type, leads to short-run negative expected returns to investments, with some outliers succeeding. We find in an experiment that entrepreneurs invest randomized grants of cash and adopt advice from randomized grants of consulting services, but both lead to lower profits on average. In the long run, they revert back to their prior scale of operations. In a meta-analysis, results from 19 other experiments find mixed support for this theory.
  • Topic: Development, Economics, Markets, Foreign Aid, Foreign Direct Investment
  • Political Geography: Africa