The Second Wave of Independence : Shopping for Solutions

Gaarder, Marie M. ; Bartsch, Ulrich

World Bank Group, Washington, DC

关键词: ACCOUNTABILITY;    AGRICULTURE;    AIR POLLUTION;    BALANCE SHEETS;    BENEFICIARIES;   

DOI  :  10.1596/1813-9450-7069
RP-ID  :  WPS7069

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

In the 21st century, many developingcountries will become emerging markets and will no longer bein need of the carrot-and-stick approach to developmentassistance most prevalent today: development financing madeavailable conditional on certain policies and interventions.This paper suggests that interactions between developmentagencies and recipient governments are mostly about inputsdeemed (but not known) to contribute to improvements inliving standards in recipient countries, rather thanoutcomes. The paper argues that the development marketplaceis beset by market imperfections because of externalities,principal-agent problems, and decision making underuncertainty, which not only make it difficult to achieve theright outcomes, but also take away incentives to learn aboutoutcomes. A fundamental rethink of responsibilities andaccountabilities in the development business would make surethat development outcomes are traded in the developmentmarketplace. It would put recipient countries in charge ofcontracting development agencies to provide these outcomes.Development agencies would commit to and be held financiallyaccountable for outcomes, that is, real improvements inwelfare indicators. The paper describes the role of theevaluation function in aligning incentives with the ultimategoal of improving lives and provides examples of emerging solutions.