Rising Inequality in Mexico: Household Characteristics and Regional Effects

We use an empirical framework to identify the contributions of microeconomic factors to the sharp rise in household (per capita) income inequality in Mexico between 1984 and 1994. Results indicate that changes in returns to household characteristics, in particular changes in returns to education, are responsible for about half of the increase in the Gini coefficient. The deteriorating conditions in rural areas relative to the urban areas and of the southern region relative to other regions account for another fourth of the increase in the Gini.     

Widening Inter-County Inequality in Jiangsu Province,China, 1950-95

Scholars have heatedly debated the change of regional inequality in China and policies for intervention. However, most studies on China are based on macro regions and provinces, and have paid less attention to trends and mechanisms of regional inequality within provinces. This paper uses time-series county data to examine inter-county inequality in Jiangsu from 1950 to 1995. We find that inter-county inequality in Jiangsu did not change much under Mao and during the rural reform period (1978-84), but dramatically intensified in the urban-based comprehensive reform period (since 1984). Regression analysis reveals that the institutional structure, agglomeration effects, and human capital are important factors underlying the divergence of inter-county inequality in Jiangsu.     

Economic Reform and Social Change in China: Past, Present, and Future of the Economic State

China's socioeconomic crisis before 1978 and its success over the past two decades can be viewed as a zigzag process of politicization and depoliticization of the economic state. By summarizing the Chinese experience, this article shows the importance of a specific pattern of general public policy (GPP) in determining the nature of a policy system. China's economic and serialized reforms since 1978 are reviewed in order to illuminate the current situation and future direction of the nation. The changes have undermined the economic state by creating a trend of de-economicization in the Chinese government. If economic reform and social change are to continue smoothly, another transfer of state emphasis to more balanced development is required.     

Toward Evaluating the Effectiveness of Regional Partnerships for Economic Development in U.S. Metropolitan Areas

During the past few decades, there has been a dramatic increase in the number of regional partnerships in the United States to enhance economic development across local government jurisdictions. This trend has been mirrored by an increase in regional organizations in Europe, Asia and South America to enhance economic development, usually across national boundaries. While the literature has examined the formation, structure and activities of regional partnerships for economic development in the United States, this is the first study that attempts to measure their effectiveness across a large number of geographical areas using quantitative methods. The findings provide some evidence of their effectiveness in that there is a positive and significant relationship between regional partnerships and employment; the relationship between regional partnerships and income is positive but insignificant. This study may be informative in the further study of regional economic development organizations in other countries as well as regional partnerships and organizations in other policy arenas.     

Economic Growth and Convergence in Latin America

Little is known about the convergence process among developing countries in general and in Latin America in particular. For the period as a whole there is no evidence of a narrowing in the cross-country dispersion of income (sigma convergence). But there is evidence of convergence to different steady state income levels at a speed that is common to all countries (conditional beta convergence). The article also shows that the estimates of convergence are sensitive to the way in which GDP per capita is measured.     

From London to Beijing: Training and Development as an Agent of Policy Learning in Public Management

The education and training of international public managers is a powerful mechanism for policy learning and transfer. In a way similar to the globalization of MBA studies, which has contributed to the international diffusion of Western derived management concepts, a number of countries are investing in overseas training programs for their public servants to bring back international “know how” and good practice. Although this practice has been coterminous with the expansion of relatively easier and affordable international travel, policy learning activity in the area of administrative reform appears to have intensified.

Though largely undocumented, the UK has witnessed a sharp increase in the number of cohorts of Chinese civil servants arriving to enroll in short courses. Many of these courses are conducted outside the University system and are arranged and hosted by independent organizations. Despite this being a growth industry, the impacts are unclear and raise a number of questions, such as, what is being learned about UK public administration and how much of it is being transferred back to China? What is it about UK public administration that has particular appeal to China? Although training and development may have a multiple agenda, the assumption is that its primary purpose is to facilitate knowledge transfer. This article sets out to understand whether this recent trend constitutes an agent of international policy transfer between Britain and China. To do this, the article analyses the nature of policy learning from the UK within a cohort of senior Chinese public servants.     

The Impact of Foreign Direct Investment (FDI) Inflows on Economic Growth in Barbados: An Engle-Granger Approach

The purpose of this article is to look at the impact of foreign direct investment (FDI) inflows on economic growth in Barbados in the long and short run from 1979 to 2008 with the use of the Engle-Granger two-step procedure. The study shows that in the long run, a 1 percent increase in FDI inflows will expand economic growth by 0.10 percent while in the short run, the relationship between FDI and economic growth will be positive but almost flat. These results imply that any policy by Government aimed at boosting economic growth using FDI inflows will have to be considered for the long run since Government could not rely on FDI inflows in the short run.     

Economic Transition in Latin American and Post-Communist Countries: A Comparison of Multilateral Development Banks

This article examines regional development banks and their relationship with the World Bank. Specifically, the article analyzes the roles of the Inter-American Development Bank (IDB) and the European Bank for Reconstruction and Development (EBRD), and the factors that have influenced the creation of these international financial institutions. Most of the literature examines regional development banking practices and development strategies as if all regional banks were the same. However, the missions of the IDB and the EBRD are quite distinct. While the IDB primarily provides social sector loans to nation-states, the EBRD primarily provides private sector loans for finance and business development. Given that Latin America and the former Soviet Union share many of the same economic, political and social problems, it is surprising that these institutions are so different. What accounts for the different missions of these regional banks? We find that the influence of borrowing and non-borrowing member states in the creation of these banks can help explain some of the differences between the IDB and the EBRD.     

How Does Globalisation Affect Regional Inequality within A Developing Country? Evidence from China

Developing countries are increasingly concerned about effects of globalisation on regional inequality. This paper develops an empirical method for decomposing the contributions of two major driving forces of globalisation, foreign trade and foreign direct investment (FDI), on regional inequality and applies it to China. Even after controlling for many other factors, globalisation is still found to be an important factor contributing to the widening regional inequality. The paper ends by investigating the role of factor market segmentations in aggravating the distributional effect of changing regional comparative advantages in the process of globalisation.     

The Role of FDI,Exports and Spillover Effects in the Regional Development of China

The objective of this analysis is to assess the impacts of export expansion, inward FDI, domestic investment and labour on the growth of China's Eastern, Central and Western regions using panel data over the period 1984 to 1998. A major contribution of the study is its tests for the presence of interregional spillover effects. The study indicates that both inward FDI and domestic investment stimulate growth in all three regions and for the PRC as a whole and that export expansion stimulates the growth of the PRC, Eastern and Central China, but not the West. Labour enhances the growth of the more traditional Western region, but not the more capital intensive Eastern seaboard or the PRC in its entirety. Finally, output growth spills over from the East to Western and Central China and from the Central area to Western China. These results are fully explained in the text.     

Growth,governance and corruption in Bangladesh: a re-assessment

This paper revisits Bangladesh’s ‘double paradox’ – sustained macroeconomic growth despite the poor state of governance and a high level of corruption – by critically reviewing trends in governance and corruption indicators during 1990–2017 vis-à-vis other South Asian countries. In addition, we draw upon data from a purposefully designed survey of manufacturing firms to assess the state of economic governance in the export-oriented ready-made garments (RMG) sector, the country’s main source of foreign exchange and driver of economic growth. Consistent with the country’s poor ranking in a host of indicators of investment climate and corruption perception, in-depth interviews of RMG factory owners confirm the high cost of doing business in various forms. We also find no evidence of growth-mediated improvements in indicators of governance. On the contrary, our review of print media reports suggests a growing governance deficit in the country’s financial sector. We conclude by discussing the implications of our findings for the country’s future growth as well as performance of the RMG sector.     

Decentralization and Economic Growth: Specification,Measurement, and Direction of Causal Relationship

The concept of decentralization has attracted the attention of scholars and policy makers alike for number of decades. Yet, there still remains a significant amount of confusion over its measurement and its contribution to an economy. Current literature on decentralization is characterized by the multitude of conflicting definitions and measurement instruments. Current literature on the relationship of decentralization and economic growth is also mixed. This article builds on the existing literature and develops a decentralization index that includes its most frequently mentioned dimensions. We find that our newly developed index captures decentralization concept better than other tools and that there is no significant relationship between decentralization and economic growth.     

Poverty and Inequality in a Rapid Growth Economy: Chile 1990-96

Using parametric and non-parametric methods this article examines the evolution of poverty and inequality in Chile between 1990 and 1996. This period is interesting because of the rapid growth exhibited by the Chilean economy. Using the Datt-Ravallion decomposition economic growth accounts for over 85 per cent of poverty reduction. The evidence suggests that the sustained level of high inequality is not necessarily associated with a lower welfare level. By comparing the evolution of poverty and inequality over time, we observe a continuous decrease in poverty, while inequality remains stable. This pattern has left everyone (both poor and rich individuals) better off.     

China’s development: a new development paradigm?

The emergence of China as a development actor across the global South has raised significant questions regarding the extent to which the country presents new development opportunities to its compatriots in the South. My aim is to reflect on and parse out the experiences and policies that have shaped China’s development to assess how it can inform the field of development studies. I argue that we need to critically engage in China’s development process, as China’s own development has led to the emergence of many more problems than solutions, ranging from increasing inequality to exclusionary development practices pertaining to ethnic minorities.     

Eastern Africa’s tobacco value chain: links with China

Abstract

While debates continue about China’s role in sub-Saharan Africa, there is growing consensus that China is a different kind of development partner. One distinct feature of Chinese partnerships is that they include support for the tobacco industry, a sector other donor states and institutions shun. Not only is tobacco a primary agricultural export in a number of Africa states, the state-owned Chinese National Tobacco Corporation is the largest tobacco company in the world. This paper analyses Chinese support for the tobacco industry in three states – Zimbabwe, Malawi and Zambia – documenting how co-operation is shaped by Chinese state capitalism and assessing the development and governance implications. Following an introduction situating the analysis within the context of China–Africa co-operation and tobacco’s global value chain, Chinese engagement in each country is analysed. Findings indicate that, despite differences across case studies in terms of development outcomes, common governance implications are apparent. African elites initiated tobacco-related co-operation to meet their interests, but Chinese interests dominated implementation. Consequently, Chinese investments have maintained hierarchal governance of an exploitive and harmful industry. Analyses of Chinese African co-operation need to move beyond public–private paradigms and interrogate the nuances of Chinese state capitalism in Africa.     

Reform Strategies Matter: Explaining the Perplexing Results of Regional Government Reforms in Norway and Denmark

Reforming the public sector often means imposing immediate costs on well-organised interests in return for longer-term, diffuse benefits to voters and taxpayers. Nonetheless, reforms sometimes are carried through. Investigations of this puzzle have followed two approaches: The first is structural and explains reforms as a consequence of the institutional setting in which policymakers operate. The second focuses on human agency. It investigates how reformers search for ways to overcome structural obstacles. This approach has lived a quiet life in recent decades. In this paper, we investigate recent attempts to reform the regional government level in Norway and Denmark. Despite very similar structural settings and political preferences, the reforms failed in Norway, but were successful in Denmark; failure and success being defined by the two governments' intensions. We argue that the explanation lies in the different reform strategies pursued by the central governments in the two countries.     

Posttraumatic Growth in Latina Immigrants

Abstract

This study used a Spanish version of the Posttraumatic Growth Inventory to examine the extent to which Latinas report post-traumatic growth (PTG) following the stressful experiences of immigration and explored demographic, stress-related and social context correlates of this growth (N = 100). Findings indicate a moderate level of stress and a high level of PTG but no association between stress and growth variables. Level of stressfulness was related to type of separation and to participation in counseling. Overall, posttraumatic growth was related to participation in counseling and the Philosophy of Life factor was related to the importance of religion. Findings support using a strength perspective to study and service Latina immigrants.     

Towards a conception of the systemic impact of China on late development

Abstract

The tremendous expansion of the Chinese economy since the turn of the century, especially in terms of its external dynamics, is of world-scale significance. It seems to justify the quest for appropriate conceptions of China’s systemic impact on late development worldwide. A large number of scholarly studies have coalesced to analyse two crucial aspects of the impact, namely: impact on the performance of industrialisation and the condition of labour in the developing world. This paper seeks to critically appraise and reinterpret the existing studies. The appraisal is not so much a critique but rather an attempt to appropriately position the studies in the systemic context. It is submitted that the existing studies’ focus on market competition, as the main form through which China’s impact manifests, needs to be complemented and underpinned by the more fundamental consideration of productive investment. In the direction of constructing a systemic conception, it is further submitted that the China impact can potentially serve as a countervailing force against the prevailing dynamics of the world economy under neoliberal globalisation – ie the rising predominance of speculative finance that tends to crowd out productive investment, thereby hampering industrialisation and worsening labour conditions in the developing world.     

Tax Evasion and the Role of the State Actor(s) in Bangladesh

Little attention has been paid to tax evasion in developing countries due to a lack of data. This article addresses this lacuna by investigating the tax evasion practices and finds significant increases in tax evasion in Bangladesh. The study makes a major contribution to the literature in tax evasion, and indicates that the norms of state actor(s) (i.e. the National Board of Revenue–the sole tax authority in Bangladesh) lie in the interests of politicians and the continuation of corruption. The legitimacy of the state actors in this case means that they act as facilitators for increasing tax evasion practices. Therefore, the current system has endured remarkably robustly to date, and coercive isomorphism is indeed needed in the institutionalization process.