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51. Poverty and wellbeing impacts of microfinance: What do we know?

Author:
Mathilde Maîtrot and Miguel Niño-Zarazúa
Publication Date:
11-2017
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
Over the last 35 years, microfinance has been generally regarded as an effective policy tool in the fight against poverty. Yet, the question of whether access to credit leads to poverty reduction and improved wellbeing remains open. To address this question, we conduct a systematic review of the quantitative literature of microfinance’s impacts in the developing world, and develop a theory of change that links inputs to impacts on several welfare outcomes. Overall, we find that the limited comparability of outcomes and the heterogeneity of microfinance-lending technologies, together with a considerable variation in socio-economic conditions and contexts in which impact studies have been conducted, render the interpretation and generalization of findings intricate. Our results indicate that, at best, microfinance induces short-term dynamism in the financial life of the poor; however, we do not find compelling evidence that this dynamism leads to increases in income, consumption, human capital and assets, and, ultimately, a reduction in poverty.
Topic:
Development, Poverty, Developing World, Finance, and Microeconomics
Political Geography:
Global Focus

52. Oxfam’s Future of Business Initiative: Promoting Equitable Businesses and Fourth Sector Development

Author:
Oxfam Publishing
Publication Date:
09-2017
Content Type:
Working Paper
Institution:
Oxfam Publishing
Abstract:
Since the turn of the century, the poorest half of the world’s population has received just 1% of the total increase in global wealth. Meanwhile, half the new wealth has gone to the richest 1%. At present, mainstream business is driving, rather than reversing, this disturbing trend. To help reverse this trend, we need rapid growth of equitable business structures with purpose, fairness and sustainability embedded into their model. In efforts to promote such equitable business structures, and the fourth sector, Oxfam is launching the Future of Business Initiative. Through this initiative, Oxfam will help such enterprises access finance and work with global companies on how they can include them in their supply chains. Oxfam will also investigate how having more businesses structured more equitably can contribute towards tackling global inequality, and ways government policies can better foster them, and the broader fourth sector.
Topic:
Development, Poverty, Labor Issues, Private Sector, and Equity
Political Geography:
Global Focus

53. Moving Towards More Socially-Connected Educational Systems: From Theory to Practice

Author:
Maxime Honigmann
Publication Date:
10-2016
Content Type:
Policy Brief
Institution:
Institute for the Study of International Development, McGill University (ISID)
Abstract:
Education has long been viewed as a key component in the empowerment of individuals, communities, and nations alike. Study after study has highlighted how improvements in educational systems can lead to lasting development benefits, including decreased poverty, improved gender parities, and all-around better economic opportunities. Schooling can act as a societal equalizer, giving disadvantaged individuals the chance to improve their socioeconomic standing and end up better off than their predecessors. Education promotes self-determination on individual and collective levels, and as such is deeply intertwined with an individual’s empowerment, self-respect, and respect for their community (Khisty 2006, 438). Depending on how they are oriented, educational systems may support or subdue the identities of individuals and groups, with the identities of disadvantaged or minority groups particularly at risk of suppression. If incorrectly or insufficiently addressed by educational policies, the physical and socioeconomic differences of disadvantaged or minority groups can percolate through the educational process in a way that can add to pre-exiting disparities. When the performance standards of educational systems do not properly take these differences into account and concentrate resources on higher achieving groups early on, they create otherwise-avoidable learning gaps, which in the long-run contribute to isolating conditions such as higher instances of poverty (Kenny et al. 2002; Peters and Oliver 2009; Botezat 2016). For example, an analysis of household surveys from thirteen countries found that the well-noted link between disability and poverty in adulthood was negated when educational attainment was controlled for (Filmer 2008, 150).
Topic:
Education, Poverty, and Economic Development
Political Geography:
Global Focus

54. Olympics remind us of the importance of local governance

Author:
Jonah Lefkoe and Charles Cadwell
Publication Date:
08-2016
Content Type:
Commentary and Analysis
Institution:
Urban Institute
Abstract:
As the world’s greatest athletes, brave tourists, and the eyes of a global TV audience (London 2012 brought 3.6 billion global viewers, and Rio is expected to break viewership records in the United States) descend on Rio for the 2016 Olympics, Brazil’s political troubles and urban infrastructure are also in the spotlight. Awarding the Olympics to Rio was not a completely foolish act. In 2009, when Brazil won its Olympic bid, the country was recovering from the 2008 financial crisis faster than the United States and enacting new social programs to further assist its poor populations. From 2003 to 2014, 29 million Brazilians were lifted out of poverty, and income inequality, measured by the Gini coefficient, fell 11 percent. When the International Olympic Committee announced Brazil’s selection as the Olympic host, Brazilians threw a party on Copacabana Beach, and then-president Luiz Inácio Lula da Silva (Lula) declared a new era for Brazil’s progress.
Topic:
Development, Poverty, Governance, Sports, and Olympics
Political Geography:
Global Focus

55. Putting politics into international development? It’s about time

Author:
Charles Cadwell
Publication Date:
04-2016
Content Type:
Commentary and Analysis
Institution:
Urban Institute
Abstract:
It may be difficult in the current political season to welcome news that international development agencies are paying more attention to the politics of reform when designing their assistance programs to poor countries. But we should be relieved that agencies like the World Bank, the UK’s Department for International Development, and our own US Agency for International Development are doing just that. For too long, aid programs operated with the convenient fiction that assistance work was purely technical. The premise of many programs was “simply transfer missing knowledge, skills, or cash to people in the foreign government or local organizations, and they could adopt policies and programs to promote growth and reduce poverty."
Topic:
Poverty, Foreign Aid, International Development, and Economic Growth
Political Geography:
Europe, Global Focus, and United States of America

56. Researching the Killer Fact That Highlighted Global Economic Inequality

Author:
Leila Smith
Publication Date:
12-2016
Content Type:
Working Paper
Institution:
Oxfam Publishing
Abstract:
This case study of research in practice describes how in 2014 Oxfam staff researched and developed a powerful killer fact ' that the 85 richest people owned as much wealth as the poorest 3.5 billion people ' and how this triggered international media coverage, political commentary, and record-level website hits.
Topic:
Poverty, Media, Inequality, and Economic Inequality
Political Geography:
Global Focus

57. Core Support for the New Economy

Author:
Neva Goodwin
Publication Date:
06-2016
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
This paper proposes an income guarantee that would be defined as compensation for household activities such as childcare, food preparation, care of elderly or ill persons in the home, maintenance of the home and of household vehicles and appliances, and household-based transportation. I will call it Core Support, or CS. The Core Support proposal is put forth as a way to achieve a number of important goals, including reduction of poverty and inequality, increased fairness and better old-age security, and improved possibilities for good child care and education. It could replace much of the burdensome and expensive apparatus of welfare and some other government programs. Rather than providing a handout, it would expressly reward and enable some of the unpaid work on which every society depends, validating these activities as legitimate labor. As described in this proposal, it could have a significant impact in healthy redefinition of gender norms. In addition, the proposed program would reduce the requirement for all members of society to take paid work, thus rebalancing power between employers and employees. By reducing the pressure to create jobs, regardless of their quality or their impact, it would make it easier to cease production of socially or environmentally harmful goods and services. However, it would create a not inconsiderable amount of new work in managing the program. Depending on whether there is too much, or too little, demand for labor in the macroeconomy, this could be desirable, or not. This idea builds on literature on Basic Income Guarantees (BIG), as well as on some work in feminist economics. The latter tends to be skeptical of BIG proposals. It is hoped that the CS proposal, by addressing intra-household allocations – a topic normally absent from BIG proposals – can respond to this skepticism by showing how a basic income system can be designed so as to promote deep cultural changes in gender norms and widen respect for those who do the essential core work of a society. If it is assumed that the CS funds depend on taxable income, then it would be necessary for the economy in which it is implemented to have a preexisting flow of money from the sale of privately produced goods and services; thus it would appear that this approach would not be feasible in poor countries. Hence, given a focus on the U.S. context, some attention will be paid to the question of how “wealthy” this country will be in coming decades. It is possible to imagine macroeconomic conditions in which people are “poor” because they lack money to buy needed goods and services that are in fact being produced in the economy. In this case the central bank could create money to be distributed in amounts that would enable local trade, benefiting both producers and households, and possibly leading to higher levels of output.
Topic:
Gender Issues, Poverty, Women, Inequality, and Economic Inequality
Political Geography:
Global Focus

58. An Economy For the 1%: How privilege and power in the economy drive extreme inequality and how this can be stopped

Author:
Deborah Hardoon, Ricardo Fuentes-Nieva, and Sophia Ayele
Publication Date:
01-2016
Content Type:
Policy Brief
Abstract:
The global inequality crisis is reaching new extremes. The richest 1% now have more wealth than the rest of the world combined. Power and privilege is being used to skew the economic system to increase the gap between the richest and the rest. A global network of tax havens further enables the richest individuals to hide $7.6 trillion. The fight against poverty will not be won until the inequality crisis is tackled.
Topic:
Economics, Human Welfare, International Trade and Finance, Poverty, and Social Movement
Political Geography:
Global Focus

59. Spotlight on Yemen's Forgotten War and Humanitarian Disaster: Preventing the Next Syrian Refugee Crisis

Author:
Jacqueline Lopour
Publication Date:
03-2016
Content Type:
Working Paper
Institution:
Centre for International Governance Innovation (CIGI)
Abstract:
Humanitarian crises across the world are the worst since World War II, and the situation is only going to get worse. According to the UN Refugee Agency (UNHCR), almost 60 million people worldwide have been forcibly displaced from their homes — that is approximately one in every 123 people on the planet (UNHCR 2016a). The problem is growing, as the number of those displaced is over 60 percent greater than the previous decade. As a result, UN Secretary-General Ban Ki-moon has announced the first ever World Humanitarian Summit to be held May 23-24, 2016. The world’s attention is focused on the Syrian refugee crisis, which has displaced 11 million people. But in doing so, the global community has lost sight of an equally severe humanitarian and displacement crisis — the situation in Yemen. Yemen now has more people in need of aid than any other country in the world, according to the UNOCHA Global Humanitarian Overview 2016. An estimated 21.2 million people in Yemen — 82 percent of the population — requires humanitarian aid, and this number is steadily growing (UNOCHA 2016a).
Topic:
Conflict Resolution, Development, Human Rights, Humanitarian Aid, Poverty, War, and Refugee Issues
Political Geography:
Yemen and Global Focus

60. The Rise of the World’s Poorest Countries

Author:
Steven Radelet
Publication Date:
10-2015
Content Type:
Journal Article
Journal:
Journal of Democracy
Institution:
National Endowment for Democracy
Abstract:
For more than two decades now, the majority of the world’s poorest countries have been making some of the fastest and biggest development gains in history. The momentous progress achieved since the early 1990s is unprecedented. One-billion people have been lifted out of extreme poverty, the child death rate has been cut in half, life expectancy has increased significantly, millions more girls are enrolled in school, deaths in civil wars have dropped by three-quarters, average incomes have almost doubled, food production has increased by half, and democracy has spread like never before in the world’s poorest countries, notwithstanding with many setbacks, obstacles, and imperfections along the way. Some of these gains—especially the declines in poverty and child mortality—rank among the greatest achievements in human history. Yet few people are aware that this progress is even happening.
Topic:
Poverty, Economic Inequality, Mortality, and Quality of Life
Political Geography:
Global Focus