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This paper examines the political economy of tourism development in islands and uses Gili Trawangan, Indonesia as a case study. A longitudinal study drawing from fieldwork contributes to the discussion of how different types of power shape community development, and how the effects of hosting international tourism play an explicit role. Analysis using Barnett and Duvall’s Taxonomy of Power model reveals the interplay between the types of power over time and its effects on different actors. Results raise questions for Less Developed Countries, and particularly islands, concerning the social costs of using tourism for development. [ABSTRACT FROM AUTHOR]

Summary The link between e-governance and development has been widely leveraged for policy formulation in India, however, little is known about its application to food security. This paper fills the gap with a study of Kerala, where the Public Distribution System (PDS), the main national food security program, has been digitalized in its main functions. Findings reveal that the digital program has been purposefully devised to combat the problem of diversion (“rice mafia”) of PDS goods to the market: however, issues of partial coverage and mistargeting remain. Lessons are drawn for other states computerizing the PDS and their social safety nets. [ABSTRACT FROM AUTHOR]

Summary This paper uses the variations of ethnic diversity between districts in Indonesia to show that diversity leads to lower social capital outcomes. I find that distinguishing between ethnic polarization and fractionalization matters for the results, as polarization has a larger negative effect. The results cannot entirely be attributed to selection on unobservables, and at least part of the relationship should be interpreted as causal. Finally, diversity seems to increase tolerance, despite its negative effect on other social capital variables such as trust, perceived safety, and participation to community activities, and voting in elections. [ABSTRACT FROM AUTHOR]

Summary This paper constructs an enhanced indicator for trade barrier and examines the endogenous relationship between market integration and regional economies across China from 1995 to 2011. Beyond the current literature, this study shows: the endogenous relationship is significant, reflecting a virtuous cycle; domestic openness contributes to the economies in the central region more than in the other regions; the feedback effect is stronger in the eastern and central regions than in the western and northeastern; domestic openness and regional economies are adversely affected by state-owned enterprises and government non-productive expenditure. Several policy implications relevant to Chinese economy are drawn from the findings. [ABSTRACT FROM AUTHOR]

Summary There are several studies on risk and insurance in village economies in the developing world. However, there is a lack of evidence for recent decades in spite of profound changes including structural transformation and widespread market liberalization in most regions. In this paper, I use primary panel data from five rainfed villages in a high-risk region of India and find evidence of considerable exposure as well as vulnerability to idiosyncratic and covariate risks. Further, there is significant wealth differentiated heterogeneity in vulnerability. The findings help identify the scope of public policy in improving risk management in rainfed agriculture. [ABSTRACT FROM AUTHOR]

Summary This paper explores the effects of a mother’s migration on her children’s well-being. I use children with migrant fathers as the main control group to separately identify the effects coming from remittances from those resulting from parental absence. Exploiting demand shocks as an exogenous source of variation in the probability that the mother migrates, I find suggestive evidence that children of migrant mothers are more likely to lag behind in school compared to children with migrant fathers. Controlling for remittances does not change this result, supporting the hypothesis that a mother’s absence has a stronger detrimental effect than a father’s. [ABSTRACT FROM AUTHOR]

Summary Using administrative data on donations channeled through the Commission on Filipinos Overseas, this paper explores which host and home country factors are associated with donations made by permanent migrants to the Philippines. On the host country side, donations increase with the income level of Filipinos and with the number of hate crimes against minorities. On the home country side, donations are not well-targeted. As donations mainly flow to provinces with high emigration rates, they do not reach less developed Philippine provinces. However, the diaspora is responsive to natural disasters and channels donations to provinces when they are hit by a typhoon. [ABSTRACT FROM AUTHOR]

Summary Affirmative action, in the form of reservation policies, to address the issues of inclusion has been in place in India for a long time. While its scope has enlarged with inclusion of new social groups, the efficacy remains a matter of debate. This paper explores if parental education is an appropriate criterion for affirmative action. Empirical results using three rounds of the National Sample Survey data suggest that parental education as a determinant of participation in higher education not only transcends the impact of caste, religious, and economic status, it is also very attractive for the ease of implementation. [ABSTRACT FROM AUTHOR]

Summary This paper evaluates how caste influences economic comparisons in India. Using happiness data from an original panel survey, we find that both within-caste comparisons and between-caste comparisons reduce well-being. Between-caste comparisons reduce well-being three times more than within-caste comparisons. In absolute terms, an increase in rival caste expenditures affects well-being as much as primary expenditure. These findings highlight the strong influence that comparisons between rival castes have on well-being. Yet this comparison scheme turns out to be asymmetrical: only low-caste individuals are affected by the economic successes of their rivals, whereas only higher-caste individuals compete with their fellows. [ABSTRACT FROM AUTHOR]

Summary Public–private partnership (PPP) has gained popularity during the market-oriented reforms in China’s urban infrastructure sectors. This paper explores how city characteristics, spatial pressures, and other institutional forces condition the extent of liberalization reforms in local infrastructure markets. The findings advance the policy diffusion literature by suggesting that the different diffusion mechanisms not only function independently, but also moderate each other’s effects under certain conditions. Specifically, this research finds that the effects of peer pressure undermine the effects of spatial exposure, and the influence of provincial government reduces the effectiveness of peer pressure and epistemic influences. [ABSTRACT FROM AUTHOR]

Highlights: [•] This paper develops a framework of theories of bureaucratic action in development. [•] Tree planting among foresters in India is a partially successful policy. [•] Outcomes are driven by complex, multi-causal processes. [•] Interplay between self-regarding behavior and a logic of appropriateness. [•] Single-issue reforms unlikely to succeed. [Copyright &y& Elsevier]

Highlights: [•] This paper examines returns to education in India for consumption and wages. [•] The returns appear high at the individual level for both men and women. [•] Yet comparing across cohorts the returns are low for men and zero for women. [•] The results are robust to measurement error and school quality. [•] There are higher returns in the regular wage market but that employs few people. [Copyright &y& Elsevier]

Summary: The Mahatma Gandhi National Rural Employment Guarantee Act is India’s (and the world’s) largest employment scheme. While many analyses exist on the impact and implementation faults of this program, scant attention has been dedicated to how political dynamics have influenced implementation. This paper will try to fill this gap with evidence from the southern state of Andhra Pradesh. It will argue that the implementation performance of the scheme has been fairly good, despite the abysmal performance of the state government with previous employment schemes; the key factor in determining such a shift was the political commitment of the state’s chief minister. [Copyright &y& Elsevier]

Summary: This paper explores the mechanisms through which finance affects corporate investments and capital accumulation. We separate the effects of financial conditions from those of financial development. Based on a sample of firms from five Asian emerging economies, we find that (i) financial conditions affect firms’ growth opportunities and investment demand, while financial development primarily affects firms’ external financing constraints; (ii) large firms benefit more from improved financial conditions, while small firms benefit more from financial development; and (iii) these effects are asymmetric—in general, stronger when the global financial crisis was unfolding and weaker during the subsequent rebound. [ABSTRACT FROM AUTHOR]

Summary: This paper shows why corruption is especially difficult to detect under China’s system of decentralized authoritarian rule, which I call a “rule of mandates.” Local officials must pursue high priority political targets but have immense discretion over which laws to implement. A relative standard for corruption consequently arises since non-implementation of laws may be mandate-serving or may be corrupt; and determining which requires extra information on why non-implementation occurred. The theory is supported by evidence from original survey and case research on the implementation of the village elections law. I discuss implications for anticorruption efforts, development patterns, and future research. [Copyright &y& Elsevier]

• Managing risks to production and assets is central to achieving sustained rather than temporary escapes from extreme poverty. • The enabling environment is critical in determining whether households can ultimately sustain escapes from poverty. • Factors constitutive of this enabling environment may be social, economic, political, infrastructural, or climatic. • Policy-makers should acknowledge risks and develop multi-level collective risk management policy portfolios to enhance poverty eradication. The objectives of this research are to identify the difference between sustained and temporary poverty escapes for policy and program design, based on research in Bangladesh, Cambodia, Ethiopia, Kenya, Malawi, Nepal, Niger, the Philippines, Rwanda, Tanzania, and Uganda. The method adopted is the q-squared method used in studies on the dynamics of poverty, embedded in a conceptual extension of the capability approach through a risk chain analysis. The results show that key livelihood factors conducive to sustained escapes include diversification of economic activities typically spanning agricultural and off-farm sectors, and sometimes involving rural-urban migration. Important tangible assets include general asset holdings of consumer durables, farm or business equipment, livestock, and electricity. Intangible assets include the completion of at least lower secondary education of the household head, good health, and different forms of social relationships and networks. However, while livelihood strategies help improve income and build assets necessary for resilience, various risks permeate. In these risky contexts, the study finds that the enabling environment is critical in determining whether households can ultimately sustain escapes from poverty. Interactive features of this environment that are conducive to sustained escapes include context-specific pro-poor policy and infrastructure, for example around livestock insurance, climate-smart agriculture alongside predictable disaster risk management, universal health coverage, and supporting a negotiated approach to norm change. Together, these features place an emphasis on collective risk management, beyond a focus only or even primarily on inclusive growth policies. The paper argues that it is essential to understand the circumstances in which people live, from the local (micro) up to the societal (macro) contexts that can influence their ability to sustain a poverty escape, and respond in ways that together address the multifaceted sources of risk and vulnerability, which in turn allows for the less interrupted development of people's capabilities. [ABSTRACT FROM AUTHOR]

Summary: This paper challenges the idea that there exists a unique model of reform for infrastructure sectors which is equally applicable across regions and countries and expected to yield similar outcomes. We perform an empirical analysis of the impact of privatization of the fixed-line activity of the traditional telecommunications operator on network expansion, tariffs, and labor efficiency in a 1985–2007 data set on a selection of 108 countries that we split into regional sub-samples. We find that the performance of privatization depends to a large extent on regional factors related to market profitability, wealth, and geography. [ABSTRACT FROM AUTHOR]

Summary: This paper examines the evolution of female labor market outcomes from 1987 to 2008 by assessing the role of changing labor demand requirements in four developing countries: Brazil, Mexico, India and Thailand. The results highlight the importance of structural change in reducing gender disparities by decreasing the labor demand for physical attributes. The results show that India, the country with the greatest physical labor requirements, exhibits the largest labor market gender inequality. In contrast, Brazil’s labor requirements have followed a similar trend seen in the United States, reducing gender inequality in both wages and labor force participation. [ABSTRACT FROM AUTHOR]

Summary: This paper uses data from the Indonesian manufacturing census in order to uncover the determinants of firm exports over the period 1990–2005. We examine to what extent differences in firm export propensity and intensity are a consequence of firm-level (microeconomic), of place-based (macroeconomic) first- and second-nature geography characteristics, or of a combination of the two. The results indicate that both internal and external factors matter. Second-nature, rather than first-nature, geography makes an important difference. The conditions of a firm’s province and those of neighboring provinces shape firm exports. Agglomeration effects, education, and transport infrastructure endowment play a particularly relevant role in Indonesian firms’ export propensity, while export spillovers increase export intensity. [ABSTRACT FROM AUTHOR]

Summary: This paper analyzes whether caste impedes access to formal agricultural credit in India. Credit is provided mainly through cooperative and commercial banks. Using national data, we find that cooperative banks discriminate against lower caste borrowers, and find weak evidence that commercial banks instead bias lending in their favor in accordance with affirmative action policies. We compare the organizational structures of the two types of bank, and explain discrimination by cooperative banks in terms of interest group capture at the district level by showing that discrimination takes place in those districts where higher castes dominate. [Copyright &y& Elsevier]

Summary: Asian governments intervene in the world rice market to protect domestic consumers. Whether consumers are nutritionally vulnerable depends on the elasticity of calories with respect to rice prices. Common demand models applied to household survey and market price data ignore quality substitution and force all adjustment onto the quantity (calorie) margin. This paper uses data from Vietnam on market prices, food quantity and quality. A 10% increase in the relative price of rice reduces household calorie consumption by less than 2% but this elasticity would be wrongly estimated to be more than twice as large if quality substitution is ignored. [Copyright &y& Elsevier]

Summary: This paper examines an adaptive strategy using occupational choice that can be undertaken by household members in urban poor areas to help ensure their access to food. Our investigation focuses on self-employed women and men in 14 predominantly slum communities in Bolivia, Ecuador, Philippines, and Thailand. Results of our empirical analysis show that choice of business is associated with household vulnerability to food insecurity, with women in vulnerable households likely to engage in food enterprises. The findings suggest that urban low-income households can mitigate the risk of food shortage through the selection of an enterprise activity that earns money income and is a direct source of food for consumption. [Copyright &y& Elsevier]

Summary: This paper studies the relationship between mothers’ employment and children’s schooling in India. Using the second National Family Health Survey, the results of a multilevel probit model show that the correlation between mothers’ employment and their children’s schooling is negative. Women in poorer households are more likely to work but, given the negative correlation, their additional income does not seem sufficient to enable children’s school attendance. A sensitivity analysis on wealth deciles shows that this negative relationship disappears in urban areas and becomes weaker in rural areas at the top wealth deciles. [ABSTRACT FROM AUTHOR]

Summary: Experimental impact evaluation methods have recently emerged as a dominant force within the development effectiveness movement. Although these methods have improved understanding of what works, their “gold standard” status threatens to exclude a large body of alternative evidence. This paper evaluates the impact of CARE’s SHOUHARDO project in Bangladesh, which employed a rights-based, livelihoods approach. Using a mixed-methods protocol, we find plausible evidence that the project led to an extraordinarily large reduction in child malnutrition. While offering valuable policy lessons, we illustrate how rigorous evaluation can be undertaken even without the randomization and control groups required by the experimental methods. [ABSTRACT FROM AUTHOR]

Summary: This paper examines why private participation in infrastructure (PPI) in water continues to be promoted despite poor results in developing countries. It argues that the main characteristics of infrastructure discourage private investment and necessitate state subsidies which dilute private risks and incentives and facilitate rent-seeking. As a result, PPI is characterized by public financing, selective private investments and inconclusive efficiency gains. This is reflected globally and in Malaysia where PPI continues to be promoted because it provides captive rents. The political factors that drive PPI invariably compromise institutional solutions as Malaysia’s water sector reforms illustrate. [ABSTRACT FROM AUTHOR]

Summary: Although identifying household-level poverty dynamics would have important implications for poverty reduction policies empirical evidence is still scant. This paper employs a novel semiparametric panel data estimator that combines the advantages of estimation methods in the existing literature and applies it to a uniquely long panel data set to examine poverty dynamics in three villages in rural semi-arid India. Structural immobility is pervasive. The currently poor are likely to remain poor, suggesting a structural poverty trap. While all households face static asset holdings, higher castes, larger landholders, and more educated households are significantly less likely to be poor. [ABSTRACT FROM AUTHOR]

Summary: Recent research in Bangladesh highlights an interesting paradox: impressive development outcomes combined with extremely poor quality of governance. The country’s active development NGO sector has been credited with some of the more positive development achievements. The question that this paper sets out to address is why the sector has not made an equivalent contribution on the governance front. It draws on primary survey data to explore the hypothesis that the problem lies in the increasing homogenization of NGOs around the delivery of services, primarily microfinance services, and its shift away from social mobilization organizations. [ABSTRACT FROM AUTHOR]

Summary: Following 77 households over 25 years, the paper traces agrarian change in two settlements in Northeast Thailand. This is distilled into three processes: a delocalisation of living, a disembedding of households, and a dissociation of the village-community, seen in a geriatrification of farming, the re-working of livelihood footprints, the generational drift of non-farm work, and increasing complexity in household form. Policy interventions need to acknowledge the mixed and mobile nature of rural living, the split personality of households, people’s hyrbrid identities, and the diversity of activities in the countryside. [Copyright &y& Elsevier]

Summary: This paper utilizes individual level earnings data from urban India to examine the evolution of wages during 1983–2004 across the entire wage distribution. Quantile regression analysis reveals that the effects of many covariates are not constant across distribution. Returns to secondary and tertiary education not only increased in the 1990s but also became more heterogeneous suggesting wage inequality may increase further in near future as more workers get higher education. Moreover, the quantile regression decomposition suggests that the increase in returns has been the driving force behind the increase in wages in both the 1980s and 1990s. [Copyright &y& Elsevier]

Summary: This paper presents the impact of income inequality on subjective well-being using data from the 2002 Chinese Household Income Project (CHIP) Survey. We find that people feel unhappy with between-group inequality, as measured by the income gap between migrants without local urban hukou (household registration identity) and urban residents, irrespective of whether they are urban residents with or without local hukou. However, when we control for identity-related inequality and other individual, household, and city-level characteristics, inequality (as measured by city-level Gini coefficients) positively correlates with happiness. This study contributes to the inequality–happiness literature by distinguishing between the different effects of between-group and general inequality on happiness. [Copyright &y& Elsevier]

Summary: This paper empirically examines the different comparative advantages of China and India, in relation to their different skill distribution patterns. By utilizing industry export data on China and India from 1983 to 2000, we find that a country with a greater dispersion of skills (i.e.,India, especially in the earlier years) has higher exports in industries with shorter production chains, while a country with a more equal dispersion of skills (i.e., China, especially in the later years) has higher exports in industries with longer production chains. The causal relationship is fairly robust and skill sorting mechanism seems to work behind. [Copyright &y& Elsevier]

Summary: Using rural household panel data from three Chinese provinces, this paper identifies determinants of long-term poverty and tests the duration dependence on the probability to leave poverty. Special emphasis is given to the selection of the poverty line and inter-regional differences across provinces. Results suggest that the majority of population seems to be only temporary poor. However, the probability to leave poverty for those who were poor is differently affected by poverty duration across provinces ranging from no duration dependence in Zhejiang to highly significant duration dependence in Yunnan. The number of nonworking family members, education, and several village characteristics seem to be the most important covariates. [Copyright &y& Elsevier]

Summary: Using firm-level census data, this paper examines the spillover effects of foreign direct investment (FDI) on domestic firms in the Chinese manufacturing industry between 2000 and 2003. Our analysis takes into account the endogeniety of input choices, simultaneity bias, and clustering errors that are known to cause biased and inefficient estimations. Our results suggest that positive spillovers from FDI arise from forward linkages where domestic firms purchase high-quality intermediate goods or equipment from foreign firms in the upstream sectors. Our results also show that domestic firms differ significantly in the extent to which they benefit from FDI. [ABSTRACT FROM AUTHOR]

Summary: Plantings of unapproved genetically modified seeds (GM) happen in many developing countries including Brazil, China, and India even though the law does not permit it. Is regulation impossible and what does that imply for safe use of GM seeds? This paper examines these questions in the case of unapproved GM cotton plantings in Gujarat, India. We find that enforcement was possible and that there are no obvious bio-safety implications. The popularity of unapproved seeds (confirmed by contingent valuations), the de-facto intellectual property of legal seeds and the federal polity of India contributed to non-compliance. This could matter for future innovations. [ABSTRACT FROM AUTHOR]

Summary: Whereas a large number of studies have been devoted to analyzing consumer demand for dietary quantity, much less attention has been paid to the demand for dietary quality. To address this gap in the literature, this paper explores the determinants of dietary quality in Bangladesh using data from a nationally representative household expenditure survey conducted in 2000. We find that while male education plays a positive role, female education has a substantially stronger influence. Further, female household headship is associated with lower dietary quality than male headship. Thus, promoting female education and addressing the unique constraints faced by female headed households with respect to diet quality could be a significant policy instrument for addressing food insecurity in Bangladesh. [ABSTRACT FROM AUTHOR]

Summary: The paper looks at the impact of migration and workers’ remittances on the competitiveness of the home economy. It extends existing research that concentrated on the exchange rate effects of remittances, the so-called Dutch disease effect, by adding labor market effects. The results show that the labor market effects of emigration and remittances have a significant impact on competitiveness that goes beyond the traditional exchange rate effect. [Copyright &y& Elsevier]

Summary: Effective state–business relations are a set of highly institutionalised, responsive and public interactions between the state and the business sector. This paper examines the impact of effective state–business relations on economic growth across Indian states over the period 1985–2006. We propose a measure that captures the various dimensions of effective state–business relations at the sub-national level, and estimate standard growth regressions using dynamic panel data methods. Our results show that effective state–business relations contribute significantly to economic growth and appear to be driven by the intensity of the interactions between the state and the private sector. [ABSTRACT FROM AUTHOR]

Summary: Dominant development policy approaches recommend women’s employment on the grounds that it facilitates their well-being. However, empirical work on the relationship between women’s employment status and well-being as measured by freedom from marital violence yields ambiguous results. Motivated by the ambiguity, this paper uses data from Uttar Pradesh, to examine the effect of women’s employment and asset status as measured by their participation in paid work and house ownership, respectively, on spousal violence. Unlike the existing literature, we treat women’s work status as endogenous and find that engagement in paid work and house ownership, are associated with reductions in violence. [ABSTRACT FROM AUTHOR]

Summary: This article proposes that a potentially significant dimension of technological catching-up and the transition to leadership lies in the quality and dynamics of the local market, rather than in the export market demand as traditionally stressed in catch up studies. Based on an exploratory analysis of the Korean mobile handset industry over the period of the late 1980s to 2005 the paper shows that a transition to leadership in handsets was shaped and driven by domestic users, local service suppliers (mobile telecommunications operators), favorable government policies, and strong producer–user links forged by manufacturers and operators. Traditionally, local demand in latecomer economies has been considered too small and unsophisticated to stimulate innovation and to enable catching up. However, in this case, local demand evolved and acted as an important “test bed” for new products, services, and technologies, shaping the rate and direction of the technological development of both local suppliers and operators. The conclusion argues that while direct implications for other developing countries cannot be drawn from a single case, future research could identify whether, under certain circumstances, the role of local demand and test bed markets could have wider relevance for other advanced developing nations and other sectors approaching the technology frontier. [Copyright &y& Elsevier]

Summary: This paper examines the effect of the financial crisis on off-farm employment of China’s rural labor force. Using a national representative dataset, we find that there was a large impact. By April 2009 off-farm employment reached 6.8% of the rural labor force. Monthly earnings also declined. However, while we estimate that 49 million were laid-off between October 2008 and April 2009, half of them were re-hired in off-farm work by April 2009. By August 2009, less than 2% of the rural labor force was unemployed due to the crisis. The robust recovery appears to have helped avoid instability. [ABSTRACT FROM AUTHOR]

Summary: This paper addresses the public concern of hollowing-out effects of FDI by analyzing firm-specific data on Taiwanese manufacturing multinationals. We estimate ordered probit models with the firms’ own assessment of domestic production and employment effects as dependent variables to investigate whether such effects depend on the size, location, and type of FDI. We find that the probability of negative effects increases slightly with the size of FDI. Furthermore, the effects of locating in China differ from those of locating in advanced countries. In contrast to vertical and export-platform FDI, employment effects of horizontal FDI tend to be positive. [ABSTRACT FROM AUTHOR]

Summary: This paper, using Taiwanese firms as a case study, has identified several factors affecting the formation of local linkages, which has important implications for the embeddedness of MNEs in the host countries. It shows that while the ownership structure, the motivation of overseas investment, and the autonomy given to affiliates are all important, the production networks and experience of affiliates in the host country also play crucial roles in creating local linkage. In addition, country-specific factors (e.g., culture and ethnic ties, the presence of foreign MNEs, and the supply of key components) may be significant forces leading to large local linkages. [ABSTRACT FROM AUTHOR]

Summary: This paper provides an empirical test of whether the Asian Development Bank (ADB) adjusts allocation decisions about environmentally risky projects to reflect borrower environmental performance in previous projects. This type of performance-based decision-making has been repeatedly highlighted as key to achieving favorable development assistance outcomes in a variety of programming areas. I collect recipient environmental performance information from all available post-project evaluations since 1990 and create an indicator of environmental reputation using a Bayesian updating model. I use this environmental reputation indicator to demonstrate that the ADB responds to previous borrower environmental performance when approving environmentally risky projects, but that past environmental performance does not positively influence the allocation of projects with no environmental risks. These results demonstrate that performance-based allocation decisions are possible for development organizations within specific programmatic areas when low performance is a significant risk to the core functions of the organization, which in this case is the ability to approve and disburse lending projects. [ABSTRACT FROM AUTHOR]

Summary: Obstacles to internal migration in China contribute to inefficiency, inequality, and land degradation. Academic and policy debate has primarily focused on discrimination against rural migrants on arrival in urban areas. Meanwhile, barriers to migration out of rural areas have received less attention. This paper examines the role of incomplete rural property rights in the migration decisions of rural households. We examine the relationship between tenure insecurity and restrictions on land rentals, and participation in outside labor markets. The results indicate that tenure insecurity reduces migration. This relationship is particularly pronounced on forest land, which has implications for the conservation of recently replanted forest areas. [ABSTRACT FROM AUTHOR]

Summary: This paper examines whether recently introduced “village funds,” one of the largest microfinance programs ever implemented, improve access to finance. Village funds are analyzed in a cross-sectional approach in comparison to competing financial institutions. We find, first, that they reach the target group of lower income households better than formal financial institutions. Second, village funds provide loans to those kinds of borrowers who tend to be customers of informal financial institutions. Third, village funds help to reduce credit constraints. Thus, village funds provide services in the intended direction, albeit to a seemingly limited degree. [ABSTRACT FROM AUTHOR]

Summary: This paper assesses degradation of forests managed by local communities (Van Panchayats (VPs)), relative to state protected and open access forests in the Indian state of Uttaranchal. It is based on ground-level ecological measures of forest quality (including canopy cover, biomass, lopping, and regeneration) in forest areas adjoining a random sample of villages, and controls for unobserved village heterogeneity, possible endogeneity of management regimes and cross-forest spillovers. Controlling for these factors, VP forests are found to be 20–30% less lopped, and similar on other dimensions. The lopping differences are greater the longer the forest has been under a VP. [ABSTRACT FROM AUTHOR]

Summary: Economic regulation is being introduced into the water services sector in developing economies, where widespread poverty and service inadequacies affect regulatory rationales. This paper analyzes the regulatory experience in 11 metropolitan areas with respect to the challenge of reaching all urban consumers, particularly the poor. Case study evidence suggests that pro-poor regulatory outcomes have been constrained by inadequate framework conditions and a limited understanding of alternative providers. In many cases regulatory governance has been equally vulnerable, although some regulators have demonstrated a capacity and willingness to achieve a balance between the social and financial objectives of water service regulation. [ABSTRACT FROM AUTHOR]

Summary: Community-based development projects are often argued to strengthen social capital. This paper investigates the impact of a women’s empowerment program in India on trust and cooperation, using data on 2,000 households. The program significantly increases trust and stimulates contributions to educational and infrastructural community projects. The effect on informal assistance among households is less consistent. The findings suggest substantial spillovers on the wider community. Households who do not participate in the program themselves but who live in a program village are significantly more trusting and more likely to engage in collective action than households in control villages. [Copyright &y& Elsevier]

Summary: We explore the suitability of the adult Body Mass Index (BMI) to measure health and nutritional inequalities between and within households. The paper applies a macro analysis comparing female BMIs at the country level and a micro-analysis comparing females’ and males’ BMI in Vietnam. At macro level, we estimated an analogue of the Kuznets curve finding a U-shaped relation between development (Human Development Index) and health and nutritional inequality (female BMI). At micro level, we use the panel data characteristics of the Vietnam dataset and show how income improvements registered in the 1990s benefited males considerably more than females. [Copyright &y& Elsevier]

Summary: This paper estimates trends in absolute poverty in urban China using the Chinese Household Income Project surveys. Poverty incidence curves are plotted, showing lower poverty in 2002 than in 1988 irrespective of the poverty line chosen. Incomes of the poorest fell during 1988–95, contributing to a rise in inequality. However, inequality has been fairly constant thereafter. Models of the determination of income and poverty reveal widening differentials by education, sex, and Communist Party membership. Income from government anti-poverty programs has little impact on poverty, which has fallen almost entirely due to overall economic growth rather than redistribution. [Copyright &y& Elsevier]