VoxDev Development Economics

The modern state, and the way in which is governs, is clearly very important. It provides social programs, education, disaster relief or, on the other side, it can cause violence and repression. We tend to assume that there is one model of a successful state, and the emergence of government has followed a single path with, as Francis Fukuyama wrote, “Getting to Denmark” as its end point. But is that the story that the historical record tells? And are successful states today, even in high-income countries, all governed in a way that matches our assumptions? Leander Heldring of Northwestern University is the author of a chapter on the forthcoming Handbook of Political Economy that examines the historical data and the types of government that have succeeded and failed. He tells Tim Phillips what he has discovered about what types of bureaucracy have succeeded in history, what forms of government that citizens in different times and places have chosen, and whether there is one true evolutionary path to a successful state.

We think of trade-driven growth during the era of hyper-globalisation as having created many “growth miracles” since the 1990s. But how did that happen? If we look at what created these miracles more closely, will that help us to understand how the geopolitical and technology shifts of the last decade have affected, and will continue to affect, the relationship between international trade and development?  Penny Goldberg of Yale and Michele Ruta of the IMF are the authors of a chapter in the forthcoming Handbook of Development that questions many of our assumptions about the role of trade in growth miracles. They tell Tim Phillips about how this engine of development really worked – and why it might not work as well in future.

How can we train the next generation of entrepreneurs? In developing economies, more than a billion dollars a year is spent on this type of training, but does it work, are we training the right people with the right skills – and what opportunities are there to do better? David McKenzie of the World Bank is one of the senior editors of the latest version of the VoxDevLit on Training Entrepreneurs. He tells Tim Phillips what we know about what training can achieve, why training programmes are not “one size fits all”, and what this all means for policy.  The VoxDevLit on training entrepreneurs: https://voxdev.org/voxdevlit/training-entrepreneurs

What is the relationship between religion and economic development? Does economic development mean fewer people become religious, or more? What causes people to believe, and does organised religion adapt as societies change, and competition from other religions increases? Sara Lowes of UC San Diego, Eduardo Montero on the University of Chicago, and Benjamin Marx of Boston University are the authors of a new review of religion in emerging and developing regions. They talk to Tim Phillips about how our assumptions about what religion is, and why people believe, are not always accurate – and how an understanding of religiosity can help policymakers understand our motivations and create social policy that is effective.

“ Africa must become a full participant in global knowledge production, not just a passive recipient of solutions from elsewhere.” The journey of Leonard Wantchekon from teenage revolutionary in Benin to professor of economics at Princeton also led him to found the African School of Economics.  In this week's episode, Leonard talks to Tim Phillips about what he learned from imprisonment and torture, how to improve African democracy, the legacy of slavery on trust, and how African economists can contribute to development in the region. 

A fascinating new book called A Sixth of Humanity, Independent India’s Development Odyssey examines 75 years of development in the world’s most populous country – the successes and failures, the compromises, and the ways in which India has defied many of our ideas of how development should happen. The authors are Devesh Kapur of Johns Hopkins University School of Advanced International Studies, and Arvind Subramanian of the Peterson Institute, also of course formerly Chief Economic Advisor to the Government of India. They speak to Tim Phillips about what Indian politicians and policymakers around the world can learn from India’s economic transformation. The book is called A Sixth of Humanity: Independent India’s Development Odyssey. It is published by HarperCollins India. https://harpercollins.co.in/product/a-sixth-of-humanity/

Policymakers and politicians like to talk about creating infrastructure like roads, schools and transport systems: how it grows the economy, provides jobs, and strengthens domestic firms. But that infrastructure needs raw materials, people and constructors to create it. Martina Kirchberger of Trinity College Dublin is an expert on how stuff gets built in developing countries. Are the materials they need expensive? Will a construction boom also create jobs? Are there local firms who can do the work and, if not, who makes projects happen in the global construction sector? She talks to Tim Phillips about investment, partnership, and the surprising cost of cement. 

Everywhere, women’s labour force participation is lower than men’s. There are many reasons to close this gap, but there are just as many reasons why it’s hard to do it. Research is discovering new and important insights into how financial constraints, social norms, the backlash from man and the problems of travelling safely reduce the opportunities to work from home. But which policies can change this? Release 2 of the VoxDev Lit on Female Labour Force Participation sets out this research, and Rachel Heath of the University of Washington tells Tim Phillips what it tells us about how work helps women, and policy helps women to find work. 

When children are victims of bullying or social exclusion at school, it can be devastating for every part of their lives. This is a global problem, but with a global solution: if we can teach kids about empathy, self-control, or the effects of their violent behaviour, it can reduce bullying. How well do these policies work, and can they be scaled up successfully?  JPAL is about to publish a policy insight on this topic, bringing together the research and summarising what we know. Sule Alan of Cornell University tells Tim Phillips about how we can spot bullying and exclusion in the classroom, and the interventions that work.

Macroeconomists know that our economic activity influences – and is influenced by – the natural environment in which it is embedded, but we have learned that modelling those effects is far from easy. The scientific consensus around climate change is strong, but there’s not similar agreement over appropriate economic policies to deal with it. On the eve of COP 30, a new review of macroeconomics and climate shows how far we have come but also points out where the gaps in our knowledge are. Adrien Bilal of Stanford University tells Tim Phillips about the state of research, its missing links, and the limits of what economists can do to influence the policy agenda.