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651. Pro-poor Growth through Export Sector Support: What Works Where and Why

Author:
Peter Gibbon and Henrik Nielsen
Publication Date:
12-2011
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
This report reviews international experiences with pro-poor development assistance to export sectors. Such support has become more common in the last decade and a half, following the emergence of widespread consensus amongst policymakers that export growth can be a key poverty reduction mechanism – since it should increase both national income and formal employment. This contributes to poverty reduction directly through increased employment and indirectly through creating additional resources for governments to pursue pro-poor policies. Nevertheless, policymakers normally also agree that some types of export growth are more (potentially) pro-poor than others, especially but not only in their employment effects. It is initiatives to respond to this challenge that will be treated in this report.
Topic:
Economics, Gender Issues, Poverty, and Labor Issues
Political Geography:
Africa

652. Perceptions of (Micro)Insurance in Southern Ghana: The Role of Information and Peer Effects

Author:
Lena Giesbert and Susan Steiner
Publication Date:
12-2011
Content Type:
Working Paper
Institution:
German Institute of Global and Area Studies
Abstract:
This article investigates the understandings and perceptions of (micro)insurance among low income people in southern Ghana, using evidence from four focus group discussions. It analyzes how the focus group participants think about various types of insurance – among them a micro life insurance product – and how their negative and/or positive evaluations have come about. The evidence indicates that (micro)insurance is mostly positively perceived by the participants of the focus group discussions. However, it is also found that many people's image of insurance is based on incomplete (and sometimes erroneous) information, or even on intuition. In addition, the experiences or opinions of peers turn out to be critical in shaping an individual's perception of insurance. These two factors potentially have a contagious effect, which can lead to unreasonably positive or overly negative ideas about (micro )insurance. Such ideas, in turn, can become detrimental to the further distribution of microinsurance.
Topic:
Health, Political Economy, and Poverty
Political Geography:
Africa and Ghana

653. Direct Redistribution, Taxation, and Accountability in Oil-Rich Economies: A Proposal

Author:
Shantayanan Devarajan, Hélène Ehrhart, Tuan Minh Le, and Gaël Raballand
Publication Date:
12-2011
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
To enhance efficiency of public spending in oil-rich economies, this paper proposes that some of the oil revenues be transferred directly to citizens, and then taxed to finance public expenditures. The argument is that spending that is financed by taxation—rather than by resource revenues accruing directly to the government—is more likely to be scrutinized by citizens and hence subject to greater efficiency. We develop the case as follows: First, we confirm that public expenditure efficiency is lower in oil-rich countries compared with other developing countries. Second, we develop a theoretical model to explain why citizens' scrutiny over public expenditure can be increased by transferring oil revenues to citizens and then taxing them. By receiving transfers and then paying taxes, citizens are better informed about the level of government revenue, and they have an incentive to ensure that their taxes are spent on public goods. Third, we show empirically that enhanced citizens' scrutiny is associated with more efficient government spending decisions and that accountability is stronger in countries that rely more on taxation to finance public spending. We conclude that, while it may be difficult to implement such a proposal in existing oil producers, there is scope for introducing it in some of Africa's new oil producers.
Topic:
Economics, International Trade and Finance, and Oil
Political Geography:
Africa

654. Rethinking Support for Adaptive Capacity to Climate Change

Author:
Simon Levine, Eva Ludi, and Lindsey Jones
Publication Date:
12-2011
Content Type:
Working Paper
Institution:
Oxfam Publishing
Abstract:
The Africa Climate Change Resilience Alliance (ACCRA) was established in 2009 with the aim of understanding how development interventions can contribute to adaptive capacity at the community and household level, and to inform the design and implementation of development planning by governments and non-governmental development partners to support adaptive capacity for climate change and other development pressures. This paper is based on an analysis of three country studies conducted by national research teams in eight research sites in Ethiopia, Uganda, and Mozambique for ACCRA. It describes the Local Adaptive Capacity framework developed for this project, its application during the research, and the evidence found about the impact of development interventions on the adaptive capacity of people and communities.
Topic:
Environment
Political Geography:
Uganda, Africa, and Ethiopia

655. Investir dans l'agriculture au Burundi: Indispensable pour combattre l'insécurité alimentaire et améliorer les conditions de vie des femmes paysannes

Author:
Paula San Pedro
Publication Date:
11-2011
Content Type:
Working Paper
Institution:
Oxfam Publishing
Abstract:
L'agriculture est vitale pour le Burundi. C' est le pilier de l'économie qui emploie 90 % de la population, fournit 95% de l'offre alim entaire, contribue à presque 35% du produit intérieur brut (PIB) et représente 90% des re cettes d'exportation grâce à la vente de café et de thé. 1 Néanmoins, le développement de ce secteur est fortement volatil car il dépend de conditions météorologiques très variabl es, de prix internationaux fluctuants et d'une stabilité politique très fragile.
Topic:
Agriculture, Gender Issues, Political Economy, and Food
Political Geography:
Africa

656. Preparing for the Future? Understanding the influence of development interventions on adaptive capacity at local level in Ethiopia

Author:
Simon Levine, Eva Ludi, and Kindie Tesfaye
Publication Date:
10-2011
Content Type:
Working Paper
Institution:
Oxfam Publishing
Abstract:
Ethiopia is currently ranked 11th of 233 countries and other political jurisdictions in terms of its vulnerability to physical climate impacts, and 9th in terms of overall vulnerability, which is physical impacts adjusted for coping ability (CGD, 2011). Yet little is known about its people's adaptive capacity at individual and community level, or how existing interventions influence a community's ability to adapt.
Topic:
Agriculture, Climate Change, Development, and Governance
Political Geography:
Africa and Ethiopia

657. Preparing for the Future? Understanding the influence of development interventions on adaptive capacity at the local level in Uganda

Author:
Lindsey Jones, Frederik Ayorekire, Margaret Barihaihi, Anthony Kagoro, and Doreen Ruta
Publication Date:
10-2011
Content Type:
Working Paper
Institution:
Oxfam Publishing
Abstract:
Uganda faces the challenge of responding to rapidly changing climate and development pressures. At the local level, many communities do not have the tools, resources or capacity to adapt alone, and will require assistance and support from government and other development actors. Though most development interventions do not seek directly to address issues of climate change, the impacts of project support are likely to influence the ability of people and communities to respond and adapt to changing climate and development pressures. Yet, few development actors have considered how their interventions are influencing communities' adaptive capacity, and what can be done to further enhance it.
Topic:
Agriculture, Climate Change, Development, Government, and Treaties and Agreements
Political Geography:
Africa

658. Competitive Clientelism, Easy Financing and Weak Capitalists: The Contemporary Political Settlement in Ghana

Author:
Lindsay Whitfield
Publication Date:
12-2011
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
Ghana has exhibited rather strong economic growth since the 1980s, but little transformation of the productive structure of its economy. The paper argues that ruling elites' policy choices are shaped by their political survival strategies. In turn, these strategies are shaped by (1) the characteristics of the ruling coalitions, which include a high degree of vulnerability in power, strong lower-level factions of the ruling coalition, and a substantial amount of fragmentation among the higher factions of the ruling coalition; (2) the weak capabilities and political influence of the nascent productive capitalists; and (3) easy access to financing for the state and the ruling coalition from foreign aid, mining and cocoa bean exports. As a result, ruling elites' policy actions did not prioritize the development of new productive sectors (or upgrading of old ones), but were geared towards delivering benefits to the higher and lower levels of the ruling coalition, as well as delivering a small amount of visible goods and services to as much of the population as possible in an effort to 'swing' voters their way at election time. Neither of these political survival strategies resulted in significant productive sector investments.
Topic:
Development, Economics, Politics, Social Stratification, and Governance
Political Geography:
Africa and Ghana

659. Growth without Economic Transformation: Economic Impacts of Ghana's Political Settlement

Author:
Lindsay Whitfield
Publication Date:
12-2011
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
Since the Fourth Republic was inaugurated in 1993, politics in Ghana has been increasingly characterized by competitive clientelism. Ruling coalitions are characterized by a high degree of vulnerability in power due to a strong opposition party, by strong lower-level factions within the ruling coalition due to their importance in winning elections, and by a high degree of fragmentation among the ruling elite. These characteristics, combined with a weak domestic capitalist class and high inflows of foreign aid, have led the ruling elites across political parties to pursue and implement policies that have a short time horizon, that do not significantly shift the allocation of resources towards building productive sectors, and which are often plagued by problems of enforcement. The results have led to growth without economic transformation. In particular, the country has witnessed recurrent macroeconomic instability, a haphazard process of privatization of state-owned enterprises, and no serious attempt to build up productive sectors outside of cocoa and gold.
Topic:
Democratization, Development, Economics, Politics, Social Stratification, Foreign Aid, and Governance
Political Geography:
Africa and Ghana

660. Political Challenges to Developing Non-Traditional Exports in Ghana: The Case of Horticulture Exports

Author:
Lindsay Whitfield
Publication Date:
12-2011
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
The nascent Ghanaian horticulture export sector, which emerged in the mid-1980s, has been ignored by ruling elites, especially after the return to multiparty democracy in 1993. Ruling elites across the two party governments between 1993 and 2008 did not actively pursue initiatives to support the industry. Without sustained political support, the types of public-private coordination of actions and investments needed to help the sector expand and upgrade were not forthcoming in an effective and timely manner. This private sector-driven non-traditional export sector constitutes a neglected opportunity for export diversification and building a new agro-industry, and also highlights some of the factors explaining why the country's economy was still dependent on the traditional exports of cocoa and gold by the close of the 2000s. The political challenges to changing the productive structure in Ghana can be found in the characteristics of ruling coalitions–vulnerability of the ruling elite in power, the high fragmentation within ruling coalitions, and their existing sources of and strategies for financing the state and the ruling coalition, combined with the country's existing economic structure as well as the size and capabilities of domestic capitalists. The characteristics of ruling coalitions in Ghana shaped the incentives facing ruling elites such that the ruling elites were not sufficiently compelled to support new productive sectors, such as horticulture export, which did not (yet) provide substantial revenues.
Topic:
Agriculture, Economics, International Trade and Finance, Social Stratification, and Governance
Political Geography:
Africa and Ghana