This economic policy note examines the disparity in per capita incomes of both backward and advanced regions in developing countries, and explores a number of possible causes and policy intervention to bring about equalization (convergence). Among the causal factors discussed are transportation...

There has been much debate recently about the role of international development institutions, such as the World Bank in middle-income countries. Some observers have suggested that middle-income countries have reached a stage in their economic development that calls into question the rationale...

South Africa has begun a new phase in its history. This article reports on a study examining the challenge of promoting equitable and fiscally sustainable growth, and evaluating alternative paths to growth using an econometric model developed by World Bank staff. The broad conclusion is that...

Many people have questioned whether the world's poor share in economic growth. This note synthesizes the empirical evidence. The data show that economic growth typically reduces poverty and can usually be deemed pro-poor. But there is wide divergence across countries. In some cases the poor have...

The 1990s have witnessed several financial crises, of which the East Asia and Mexico tequila crises are perhaps the most well-known. What impact have these crises had on labor markets, household incomes, and poverty? Total employment fell by much less than production declines and even increased...