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  • Author: Sam Jones
  • Publication Date: 03-2009
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: Careful consideration of the appropriate level and composition of aggregate public spending is vital in low income countries, especially in the presence of large volumes of foreign aid. Not only can expansion of the public sector weaken economic growth, but also provision of public services may be difficult to re­trench. These issues are relevant to Mozambique as the share of government in GDP already is comparatively high and strategic management of aggregate public spending historically has been weak. A new long-term macroeconomic model quantifies the implications of alternative aggregate spending profiles. It shows that small increases in minimum levels of government spending correspond to large increases in the duration to aid independence. Sharp reductions in aid availability would necessitate significant fiscal and economic adjustments, including cuts in real public spending per capita. For this reason, there is no room for complacency as regards the future of development finance to Mozambique.
  • Topic: Development, Economics, Humanitarian Aid, International Political Economy, Poverty, Third World
  • Political Geography: Africa
  • Author: Sam Jones
  • Publication Date: 05-2009
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: External financial flows have long held a central place in debates about how to promote socio-economic development in poor countries. Alternative development theories typically map into different views regarding the desirable form and volume of external inflows. Over the past decade, development policy has witnessed a clear shift towards a poverty reduction agenda. Unsurprisingly, this has been accompanied by changes in views concerning development finance. A dominant refrain of the present agenda is that 'traditional' approaches to development finance, characterised by official bilateral and multilateral assistance to discrete projects through a combination of loans and credits, have been inadequate. In response, reforms of traditional aid and alternative approaches to financing have been advocated.
  • Topic: Development, Humanitarian Aid, Poverty
  • Political Geography: Africa
  • Author: Sam Jones, Peter Gibbon, Yumiao Lin
  • Publication Date: 04-2009
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: This paper examines the revenue effects of certified organic contract farming and of use of organic farming methods in a tropical African context. These are compared with 'organic by default' conventional farming systems without contractual relations. Survey data from a medium-size cocoa-vanilla contract farming scheme in Uganda is reported using a standard OLS regression and propensity score matching approaches. The analysis finds that there are positive revenue effects for the certified crops from both participation and, more modestly, from using organic farming techniques.
  • Topic: Agriculture, Economics, International Trade and Finance
  • Political Geography: Africa
  • Author: Dennis Rweyemamu
  • Publication Date: 09-2009
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: Tanzania's current growth and poverty reduction strategies are contained in its second PRSP. This document, and the processes leading to its formulation, has helped to mobilize donor funds. However, the content of the PRSP is largely irrelevant for implementation, and has contributed little to better inter-sectoral linkages and synergies both of which were its main purposes. The immediate reasons for this irrelevancy include a participatory planning process not aligned with the domestic political process and with no budget constraints which led to a shopping list of un-prioritized initiatives; an implementation machinery around the budget process which in practice does not ensure that resources are allocated in line with the document's priorities; and limited understanding and/ or acceptance across the spectrum of government institutions and political leadership that the PRSP is the overall strategic guiding document.
  • Topic: Development, Economics, Poverty, Foreign Aid
  • Political Geography: Africa, Tanzania
  • Author: Anne Mette Kjaer, Fred Muhumuza
  • Publication Date: 09-2009
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: This paper explores the poverty agenda in Uganda, its drivers and its effects. We show that transforming the economy by increasing productivity was initially considered more important than to reduce poverty through redistributive policies. However, as a consequence of the 1996 elections a consensus on poverty eradication through health and education emerged. The Poverty Eradication Action Plan (PEAP) had a shopping list nature and it is therefore difficult to establish whether it was implemented. Growth and poverty reduction during the PEAP period was mainly due to a continuation of macro-economic policies that were introduced prior to the PEAP. Around the multi-party elections in 2006, policy priorities changed towards more focus on agricultural production, agro-business and infrastructure. The government now has a two-edged focus: poverty reduction through economic transformation and poverty reduction through social services. However, there is also a political agenda about remaining in power which threatens to undermine the results achieved so far.
  • Topic: Education, Health, Poverty
  • Political Geography: Uganda, Africa
  • Author: Lindsay Whitfield
  • Publication Date: 09-2009
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: This paper describes and explains the impact of the international-driven 'New Poverty Agenda' in Ghana, focusing on the impact of the Poverty Reduction Strategy Papers (PRSPs) adopted by the New Patriotic Party government in power from 2001 until 2008. The paper argues that the New Poverty Agenda has had some impacts, but not they have been limited and not necessarily helpful in achieving long term poverty reduction. The PRSP was seen by the government in Ghana as necessary to secure debt relief and donor resources, and the strategies produced by the government contained broad objectives rather than concrete strategies on how to achieve those objectives and thus had little impact on government actions. The paper discusses what was actually implemented under the NPP government and the factors influencing those actions. It highlights the constraints Ghanaian governments face in pursuing economic transformation within contemporary domestic and international contexts.
  • Topic: Economics, Government, Poverty
  • Political Geography: Africa
  • Author: Peter Hansen
  • Publication Date: 10-2009
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: This paper examines the role of the mild stimulant khat in the economic and political transformation of the independent, yet internationally unrecognized Republic of Somaliland. Rather than seeing khat as a hindrance for nation-state formation and as a developmental problem, the paper argues that khat has been important to the economic viability of Somaliland and to the formation of political practices and identities. In this sense, khat should be seen not only as a drug contributing to violence, state failure and inadequate development, but also as underpinning economic processes, political identities and societal structures that have been crucial to the formation and political success of Somaliland. The paper adds to our understanding of the links between emerging political and economic orders in a post-conflict society.
  • Topic: Economics, Peace Studies, Political Economy, Narcotics Trafficking, Fragile/Failed State
  • Political Geography: Africa, Somalia
  • Author: Lindsay Whitfield
  • Publication Date: 11-2009
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: At the centre of the Paris Declaration on Aid Effectiveness is the idea of country ownership. It is meant to change the situation in many aid dependent African countries where donors dominate decision-making over which policies are adopted, how aid is spent, and what conditions are attached to its release. This article assesses the impact of recent aid reforms to put ownership into practice.
  • Topic: Foreign Exchange, Poverty, Third World, Foreign Direct Investment
  • Political Geography: Africa
  • Author: Neil Webster
  • Publication Date: 11-2009
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: There are two fundamentally different understandings of how to bring about development. One argues that through the right policies it is possible to create an enabling environment for the development of people and societies. The other emphasises that development can only take place if those who are supposed to benefit from it, insist on it themselves. In the second understanding development cannot be created from above or from outside. So-called cash transfer programmes having spread from Latin America to Africa and Asia are based on this understanding as they transfer money to poor people on certain conditions. The question is to what extent these programmes contribute to development.
  • Topic: Development, Poverty, Foreign Aid
  • Political Geography: Africa, Asia, Latin America
  • Author: Kate Meagher
  • Publication Date: 12-2009
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: Do network theory really offer a suitable concept for the theorization of informal processes of economic regulation and institutional change? This working paper challenges both essentialist and skeptical attitudes to networks through an examination of the positive and negative effects of network governance in contemporary societies in a range of regional contexts. The analysis focuses on three broad principles of non-state organization – culture, agency and power – and their role in shaping processes of economic and political governance. It will be shown that the effective theorization of informal regulatory processes requires attention to the specific interaction of culture, agency and power in particular social contexts. Emphasizing a grounded theory approach, this article draws on cutting-edge network research from East Asia, Eastern Europe, Africa and Western societies to develop theoretical tools for the comparative study of non-state governance and its impact on wider processes of institutional change.
  • Topic: Political Theory, Sociology, Governance, Culture
  • Political Geography: Africa, Europe, East Asia