Political instability and savings in less developed countries: Evidence from Sub‐Saharan Africa

A four‐equation model is used to investigate the effects of political instability (PI) on the savings rate in Sub‐Saharan Africa. Utilising a comprehensive measure of PI, we find that political instability has a deleterious effect on the savings rate both directly and indirectly through a reduction in investment and economic growth. The negative effects of PI on savings rate occurs contemporaneously as well as with a lag. We also find that economic growth has a stabilising effect on the political system and that not accounting for these effects through a simultaneous equations model results in biased coefficient estimates. These relationships are robust with respect to model specification. The implication of our results is that ‘economic factors’ alone cannot explain the development process in Less Developed Countries.     

Directed credit and investment in small‐scale industry in India: Evidence from firm‐level data 1965–78

Panel data on 788 modern sector Indian firms during 1965–78 are used to analyse the link between the size of a firm and its financial environment. Exogeneity tests reveal that large firms with improved investment prospects could obtain external finance at the margin, but that small firms could not. The policy of directing bank credit accordingly relaxed a binding constraint on small firms, raising investment. Assuming that all of the rise in the credit‐sales ratio in small firms was policy‐induced then so was about one third of the 170 per cent rise during 1965—78 in their investment—sales ratio.     

Inter‐industrial wage differentials: Evidence from Latin American countries

The recent literature on inter‐industrial wage differentials for the United States suggests that the labour market equilibrium features non‐competitive elements. However, the lessons from the United States need not carry over to other countries, especially developing economies. This article analyses the wage differentials in selected Latin American countries. Despite the sharp contrasts between the Latin American and the US economies, our results show more similarities than differences with those reported in past studies. Wage differentials are substantial and persist over time; the differentials are also correlated across occupations and, to a lesser extent, across establishment sizes.     

Does democratic local governance facilitate local economic development? Evidence from Bangladesh

ABSTRACT

This paper tests whether the improvement of democratic local governance (DLG) positively impacts local economic development (LED). Based on a nationally representative citizen perception survey of 3,024 households across 56 Union Parishads (UPs) in Bangladesh, the results suggest that, although the UP governance program (UPGP) has improved the administrative governance of UPs, functional governance involving citizens remains weak. Thus, due to partial improvement of DLG, UPGP does not appear to have a significant impact on the overall local economic development and service delivery of UPs. A significant gap can be seen to exist between the claims of UPs and the perceptions of citizens around UPs’ governance performance, which may result from the poor awareness building structures of the UPGP. However, our results suggest that providing training to UP officials can partially offset the shortfalls of DLG in its pursuit of LED.     

Women’s Empowerment and Wellbeing: Evidence from Africa

We use household survey data from Senegal to model the effects of empowerment within the home on married women’s wellbeing. The estimated effects of empowerment are at least as large as more conventional development indicators, such as household income. The size of the empowerment effect is robust to alternative estimation techniques, including an Instrumental Variables estimator.     

From peasant community to production co‐operative: An analysis of recent government policy in Peru

Discussions concerning rural development in Peru since the military coup of 1968 have focused mainly on the large‐scale land reform programme under which the coastal estates and many of the livestock and agricultural haciendas in the highlands have been expropriated [Petras and Rimensnyder, 1970, Quijano, 1971, and Hobsbawm, 1971]. This has tended to deflect interest from other important aspects of rural development policy. It would be wrong to assume that, prior to the latest reforms, the Peruvian scene consisted almost entirely of latifundia agriculture, for a substantial proportion of the productive agricultural land in both the highlands and coastal valleys was, and remains, in the control of smallholder farmers, or is held under communal ownership by peasant communities. In an attempt to incorporate these non‐hacienda zones into the plan for national development [Plan del Peru: 1971–1975], the government is encouraging the expansion of smallholder commercial production, the establishment of new, or the improvement of existing, marketing and servicing co‐operatives, and is promoting a re‐organisation of peasant communities with the long‐term objective of transforming them into modern production or multipurpose co‐operatives. This paper outlines recent legislation aimed at reforming these peasant communities and examines the social consequences of the new policy, particularly as it affects smallholder regions. We address ourselves mainly to two problems: Firstly, we wish to assess the effectiveness of the policy in transferring the benefits of community resources to the poorer strata of the rural population, a central aim of the reforms; and secondly, we want to isolate the factors which inhibit the emergence of viable modes of co‐operative organisation and which limit the role that community institutions can play in promoting local development. It is necessary in a paper of this length to confine ourselves mainly to an analysis of the situation in one district of the Mantaro Valley of Central Peru—that of Matahuasi—for which we have detailed data; although many of our conclusions, we believe, raise problems of general significance for interpreting the types of development strategies and priorities favoured by the present government.     

The behaviour of indigenous and non‐indigenous farmers: A case study

This paper contrasts the economic performance of a group of immigrant Chinese paddy farmers in West Malaysia with their native Malay counterparts. The situation involves their differing response to the introduction of doublecropping. Productivity measures, production function estimates, and field observations indicate significant differences in performance. The reasons for these differences are attributed to the characteristics of immigrant groups, differences in perception of the innovations, and historical factors.     

‘Ground-Truthing’ Chinese Development Finance in Africa: Field Evidence from South Africa and Uganda

A new methodology, Tracking Underreported Financial Flows (TUFF), leverages open-source information on development finance by non-transparent, non-Western donors. If such open-source methods prove to be valid and reliable, they can enhance our understanding of the causes and consequences of development finance from non-transparent donors including, but not limited to, China. But open-source methods face charges of inaccuracy. In this study we create and field-test a replicable ‘ground-truthing’ methodology to verify, update, and improve open-source data with in-person interviews and site visits in Uganda and South Africa. Ground-truthing generally reveals close agreement between open-source data and answers to protocol questions from informants with official roles in the Chinese-funded projects. Our findings suggest that open-source data collection, while limited in knowable ways, can provide a stronger empirical foundation for research on development finance.     

Backward‐bending supply curves and behaviour of subsistence farmers

This paper formulates a model of the peasant economy to test the hypothesis that subsistence farmers are not responsive to economic opportunities and behave according to the notion of a backward‐bending supply curve. The productivity of farmers is analysed with respect to farm size, tenancy, off‐farm income, and other variables. The hypothesis is then tested using data from three paddy areas in Malaysia, each differing in the level of social and economic development. The results indicate that farmers in the more subsistence‐oriented area behave according to the backward‐bending supply curve hypothesis, while the more commercialised farmers do not.     

Discontent and Uncertainty in the Borderlands: Soviet Moldavia and the Secret Speech 1956–1957

This article examines reactions to de-Stalinisation in Soviet Moldavia between February 1956 and March 1957. The article is based on evidence from the archives of both the former Communist Party of Moldavia and the Moldavian KGB. It highlights the uncertainty there was at local levels because of the denunciation of Stalin. Local party reports demonstrate concern about the activities of religious activists, Western propaganda, nationalism and disaffected youth. The Hungarian revolution of 1956 caused the party to change tack, and to begin a clampdown. These reports highlight that Soviet rule had very shallow roots in Moldavia.     

Programme Participation Intensity and Children’s Nutritional Status: Evidence from a Randomised Control Trial in Mozambique

Abstract

Agricultural interventions are thought to have the potential to improve nutrition, but little rigorous evidence is available about programmes that link the two. In this article, we study impacts of an integrated agricultural and nutritional biofortification project, the REU in Mozambique. We first provide evidence on dietary impacts of the programme and then examine impacts of the programme by participation intensity. Using OLS and IV techniques, we find that more intense participation in both project components led to larger impacts. The results therefore have important implications for refining the design of future projects attempting to link agricultural and nutrition interventions.     

Joint Land Certification Programmes and Women’s Empowerment: Evidence from Ethiopia

This paper connects two important development policy issues: women’s empowerment and land certification. We use propensity score matching to study the impact of the Ethiopian joint land registration and certification programme on women’s empowerment. Data are collected using surveys and a field experiment, enabling construction of complementary indices for empowerment. Our main result is that joint land certification has significant effects on women’s empowerment, particularly on dimensions that indicate female participation and roles outside the home. This result is robust to various sensitivity checks and alternative model specifications.     

Gender Discrimination in Microfinance? Some Evidence from Uganda

Abstract

Microfinance literature has proved the existence of gender discriminatory practices against women in some specific contexts. Discrimination is often explored from the access side (loans approved or denied). Following Agier and Szafarz (2013), we deviate from this practice and use the variable loan size, considering up to four loans for each client. Drawing on data from a microfinance programme in Uganda, we find no evidence of gender discrimination against women clients, even though our results show that the loan size is influenced by personal characteristics and that women, in contrast to men, are rewarded according to their credit history.     

Educational human capital and levels of income: Evidence from states in India, 1965 – 92

Abstract

This paper examines the long-run (steady-state) relationship between levels of educational human capital and levels of income for the 15 major states of India between 1965 and 1992. The relationship is estimated using the Pooled Mean Groups (PMG) technique; which produces common long-run coefficients but allows heterogeneity of the short-run adjustment parameters. The results suggest that levels of educational human capital, proxied by high school enrollment rates, have a robust positive impact on steady-state levels of income. This is true for male and female education, and the regressions also suggest that states which have larger gender-gaps in education have lower steady-state incomes. The estimated relationship is robust to the inclusion of alternative measures, added controls, and variation in the degree of state coverage.     

Joining it up? Health and Wellbeing Boards in English Local Governance: Evidence from Clinical Commissioning Groups and Shadow Health and Wellbeing Boards

Statutory responsibility for health care and social care has long been separated between National Health Service (NHS) bodies and local government authorities. Repeated policy attempts to promote service integration through collaboration between such authorities have achieved little. The latest of such policy interventions are the Health and Wellbeing Boards (HWBs) established by the 2012 Health and Social Care Act (HSCA) alongside a range of other organisational innovations, including Clinical Commissioning Groups (CCGs). These organisations await full legal and operational status but have begun to develop structures and processes. HWBs are intended to lead the integrated assessment of local needs to inform both NHS health and local authority social care commissioners. We undertook detailed qualitative case studies in eight CCGs during 2011–2012 and here report observational and interview data related to CCGs’ perspectives and observations of early HWB developments. We found that developing HWBs vary greatly in their structure and approach, but we also identified a number of significant issues that are familiar from earlier research into health and social care integration. These include heavy dependence on voluntary agreements to align the strategic plans of the many different new statutory bodies; a significant role for mundane organisational processes in determining the extent of effective co-operation; and problems arising from factors such as size and the arrangements of local boundaries.     

Can Islamists be secularized? Religion and politics in urban Bangladesh

As in many other Muslim majority states, the Islamist parties play a significant role in the body politic of Bangladesh. Because of their counter-hegemonic modus operandi, the question arises regarding the ability of the Islamists to cohabit democratically in a secular or a quasi-secular political system. The literature on secularization, secularism, and Islam relies on a grand narrative of the reasons to address the question and provides us with polarized answers regarding the Islamists’ ability to accommodate the principle of secularism. However, almost all of the works have been done on the abstract, theoretical level and do not address the interplay of social and political factors in Muslim societies. None of the research on Islamism in Bangladesh addresses Islamist parties’ ability or inability to participate in a quasi-secular, democratic system through acclimating to secularism in the rubric of their political ideology, Islamism. This study therefore examines the grassroots-level socio-political interplays of the Islamist activists with the non-Islamists and analyzes their willingness and ability to accommodate secularism in order to democratically participate in a quasi-secular political system.