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1. What is the (New) Deal with Fragile States?

Author:
Wim Naudé
Publication Date:
01-2012
Content Type:
Policy Brief
Institution:
United Nations University
Abstract:
Some states lack the capability and/or the willingness to progressively promote the shared development of their citizens and are particularly vulnerable to external shocks and internal conflicts. They have been described as "fragile states". The poor governance and lack of state capabilities in around 45 fragile states pose a threat to global security and development. Effective international partnerships are necessary to pull them out of low-development–high-conflict traps. The "New Deal on Fragile States" announced on 30 November 2011 at the Fourth High-Level Forum on Aid Effectiveness in Busan by the g7+ (see "The International Dialogue on Peace-building and State-building and the g7+" Box) is the most recent initiative to foster such partnerships.
Topic:
Security, Development, Political Economy, Terrorism, Foreign Aid, and Fragile/Failed State

2. Innovation and Entrepreneurship in Developing Countries

Author:
Wim Naudé, Adam Szirmai, and Micheline Goedhuys
Publication Date:
01-2011
Content Type:
Policy Brief
Institution:
United Nations University
Abstract:
Nobody can be left in any doubt as to the importance of innovation for prosperity upon reading that “people living in the first decade of the twentieth century did not know modern dental and medical equipment, penicillin, bypass operations, safe births, control of genetically transmitted diseases, personal computers, compact discs, television sets, automobiles, opportunities for fast and cheap worldwide travel, affordable universities, central heating, air conditioning . . . technological change has transformed the quality of our lives.”
Topic:
Development, Economics, Globalization, and Markets

3. Promoting Entrepreneurship in Developing Countries: Policy Challenges

Author:
Wim Naudé
Publication Date:
04-2010
Content Type:
Policy Brief
Institution:
United Nations University
Abstract:
This policy brief provides some fresh perspectives on the relationship between entrepreneurship and development, and considers policy design issues. It reports on the UNU-WIDER two-year research project “Promoting Entrepreneurial Capacity”, which aimed to understand whether and how entrepreneurship matters for development, how it could derail development, how entrepreneurs function in high growth as well as in conflict environments, and how female entrepreneurship differs across countries at various stages of development.
Topic:
Development, Economics, Emerging Markets, and Third World
Political Geography:
Afghanistan, Iraq, and Burundi

4. Entrepreneurship and Structural Economic Transformation

Author:
Thomas Gries and Wim Naudé
Publication Date:
06-2008
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
A stylized fact of economic development is the structural transformation of countries from traditional, mainly agricultural societies to modern economies dominated by manufacturing and services. In this paper we provide an endogenous growth model to illuminate the role of entrepreneurial start-up firms in structural economic transformation. We follow the Lewis-model's distinction between a traditional and modern sector, and underpin this with micro-foundations. We specify mature and start- up entrepreneurs and make a distinction between survivalist self-employment activities in the traditional sector, and opportunity-driven entrepreneurship in the modern sector. The model shows how opportunity-driven entrepreneurship can drive structural transformation through innovation, provision of intermediate inputs and services (which permits greater specialization in manufacturing), and by increasing employment and productivity in both the modern and traditional sectors.
Topic:
Development and Economics

5. Entrepreneurship in Economic Development

Author:
Wim Naudé
Publication Date:
03-2008
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
What is the role of entrepreneurship in economic development? At a minimum the answer should be able to explain the role of entrepreneurs in the structural transformation of countries from low income, primary-sector based societies into high-income service and technology based societies. More broadly though, it should also be able to explain the role of entrepreneurs in the opposite pole of stagnating development (including conflict) and in high innovation-driven growth. Although economic development lacks a 'general theory' of entrepreneurship, which could encompass a variety of development experiences, much progress has been made in extending the understanding of entrepreneurship in the process of development. This paper surveys the progress with the purpose of distilling the outlines for a more general theory of entrepreneurship in economic development. Entrepreneurship in developing countries remains a relatively under-researched phenomenon, so by surveying the current state of research, and by discussing the role of entrepreneurship in dual economy models of structural transformation and growth, a secondary objective of this paper is to identify avenues for further research. Finally, the policy implications from the economic literature suggest that a case for government support exists, and that this should focus on the quantity, the quality, and the allocation of entrepreneurial ability. Many routinely adopted policies for entrepreneurship, such as provision of credit and education, are shown to have more subtle effects, not all of which are conducive to growth-enhancing entrepreneurship.
Topic:
Development and Economics

6. Measuring the Vulnerability of Subnational Regions

Author:
Mark McGillivray, Wim Naudé, and Stephanié Rossouw
Publication Date:
05-2008
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
A small but growing literature has been concerned about the economic (and environmental) vulnerability on the level of countries. Less attention is paid to the economic vulnerability of different regions within countries. By focusing on the vulnerability of subnational regions, our paper contributes to the small literature on the 'vulnerability of place'. We see the vulnerability of place as being due to vulnerability in various domains, such as economic vulnerability, vulnerability of environment, and governance, demographic and health fragilities. We use a subnational dataset on 354 magisterial districts from South Africa, recognize the potential relevance of measuring vulnerability on a subnational level, and construct a local vulnerability index (LVI) for the various districts. We condition this index on district per capita income and term this a vulnerability intervention index (VII) interpreting this as an indicator of where higher income per capita, often seen in the literature as a measure of resilience, will in itself be unlikely to reduce vulnerability.
Topic:
Security, Demographics, Development, and Economics
Political Geography:
Africa and South Africa

7. Vulnerability in Developing Countries

Author:
Mark McGillivray, Wim Naudé, and Amelia U. Santos-Paulino
Publication Date:
02-2008
Content Type:
Policy Brief
Institution:
United Nations University
Abstract:
The first Millennium Development Goal aims to halve the number of people in the world living in extreme poverty. In this research brief, emanating from the UNU-WIDER project on “Fragility and Development”, the premise is that we should also be concerned about households which are vulnerable to poverty. This includes those who have little likelihood of escaping from poverty and those who are at risk of falling into poverty in the future. Household vulnerability to poverty is affected by, and affects, vulnerability in other dimensions and levels, such as the vulnerability of a country or region to natural hazards and macro-economic shocks. To address household vulnerability in developing countries requires an understanding of the concept and nature of vulnerability, its measurement and its application. Therefore, this research brief asks what is vulnerability? How can vulnerability be measured? How should households, governments and development agencies respond to vulnerability?
Topic:
Development, Political Economy, Post Colonialism, Poverty, and Third World