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April 25, 2008

Comments

robertdfeinman

Times haven't changed, but they are changing. Keep up the good work, you never know how long it will take for seeds to sprout.

Gulzar

Dani,
I fully agree with your many recipes approach. Governance and development have become identified with a set of stereotyped cliches - transparency, decentralization, multi-party democracy, open markets, deregulation, strong legal institutions etc. This dominant school of thought which permeates the policy making appraratus in most developing countries, tends to see these prescriptions as ends in themselves and essential preconditions to ushering in development.

However, the development contexts in developing countries exhibit spectacular diversity - racial, linguistic, economic, geographic, societal, and religious. A similar set of problems in different countries may manifest as widely varying outcomes. The same set of policy prescriptions may throw up contrary outcomes in countries with the same social contexts. These forces interact with each other both at the micro and the macro levels, at the individual and societal level, revealing a whole spectrum of socio-economic outcomes. There exists multiple equilibria for each socio-economic and political context.

Quite often the success of NGOs in social and economic development enggineering is presented as proof of the failure of government in addressing development issues. This euphoria invariably overlooks the important fact that such success stories are most often sanitized, isolated and one-off examples. These examples present interesting challenges of scalability and are excellent examples of the inherent limitations of the very model that achieved the success story.

Adding to the examples Dani had to say in his articles, I have listed out a few more in my blog here.
http://gulzar05.blogspot.com/2008/04/many-recipes-in-development-strategy.html

Chandan

"His most recent book is In Search of Prosperity: Analytic Narratives on Economic Growth (Princeton University Press, 2003)."

Is this for real? I thought I read your recent book titled "One Economics, Many Recipes", Princeton University Press, 2007.

Someone needs to update the website with correct bios!

Gabriel

I'm curious. What, exactly, does it mean to ignore the Washington Consensus? When I read the 10 points in the wikipedia entry for example I have a hard time figuring out what should be excluded. Maybe short term capital inflows?

If government officials simply aimed at having sensible fiscal policies (don't spend beyond what you can handle), promote solid education, and clear rules of the game for all most of their problems would be lessened in a generation.

gordon

"The tendency is to want to turn the new diagnostic approaches into ... a check list that can be applied rather mechanically".

And these people are attending your class why, exactly?

Joe S.

Remember Joe Stiglitz's famous line on international economic bureaucrats: "Third-rate economists from first-rate universities." (The quote is approximate, but close enough for blogospheric work.)

Per Kurowski

Dani Rodrik says “New thinking on growth and development policy”

May I humbly suggest some “old thinking on growth and development policy”…like that the banks should have a purpose?

Ever since the Basel regulators came up with the crazy idea that the only objective for the banks was not defaulting and imposed on them the minimum capital requirements based solely on risk they reduced to nothing any other objective of the banks, such as that of creating growth and decent jobs and distributing opportunities.

Do you not think it is high time to restore some purpose to the banks?

josh

Prof. Rodrik,

any chance we can get a look at the reading list for the "new thinking" course?

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