The conventional approach of economists to the measurement of poverty in poor countries is to use measures of income or consumption. This has been challenged by those who favour broader criteria for poverty and its avoidance. These include the fulfilment of `basic needs`, the `capabilities` to...

Are new recruits to the development frontline intrinsically motivated in a way that may prevent them from becoming unproductive or corrupt? And are they likely to remain thus motivated as their careers progress? We seek answers to these questions using both survey and experimental data relating...

This paper argues that delegation (optimal institutional design) is not a solution to the dynamic inconsistency problem‚ and can even reinforce it. We show that `optimal` delegation is not consistent with government`s incentives. We solve for delegation schemes that are consistent with these...

This paper examines social capital and its relation with economic development. We focus on the role that interpersonal relationships play in social exchange, whether through the market or through the provision of public goods. By facilitating search and trust, social capital can increase the...

This paper analyses the effect of limits on fiscal deficits when fiscal policy outcomes depend on automatic stabilizers and when fiscal rules lack perfect credibility. The model developed, which includes interactions between monetary and fiscal policy, provides theoretical support for existing...

Although some recent studies have analysed issues relating to credit in African manufacturing, they have not directly tested for the effect of credit on firm growth. The use of bank credit can affect firm growth in two opposite ways. The effect may be positive if credit allows a firm to address...

Using detailed data from three simultaneous surveys of producers, traders, and exporters, this paper examines the transmission of international coffee prices through the domestic value chain in Uganda. We find that producer prices fluctuations are inconsistent with constant transactions costs....

This paper examines the endogenous formation of risk sharing networks in the rural Philippines. We show that geographic proximity is a major determinant of interpersonal relationships. We find little evidence that people form relationships to pool income risk. The existence of a pre-existing...