White, Howard and Leavy, Jennifer (2000): Economic Reform and Economic Performance: Evidence from 20 Developing Countries. Published in: European Journal of Development Research , Vol. 13, No. 2 (2001): pp. 120-143.
Preview |
PDF
MPRA_paper_6594.pdf Download (236kB) | Preview |
Abstract
Do adjustment policies assist or retard growth? This paper presents data on economic performance (aggregate and sectoral growth, inflation, investment and external account) for 20 countries. The data are classified on an annual basis according to the country’s policy stance in that year: controlled economy, partially or fully liberalised. This approach allows both control-group and before-versus-after analyses which are combined with a review of growth regressions and an analysis of case study material on adjustment. The evidence suggests three hypotheses. First, countries with controlled economies have performed badly compared with those which have moved towards greater market orientation. Second, economic performance does not differ greatly between fully-fledged market economies and partially liberalised ones: partly because several countries have pursued liberalisation with no improvement in performance. Third, given that there is little difference in manufacturing and agricultural growth between full and partial liberalisers yet overall growth is more rapid for the former, the additional growth must be in the service sector. These hypotheses suggest that the balance between state and market should be tilted more toward the state than is currently supported by international development agencies.
Item Type: | MPRA Paper |
---|---|
Original Title: | Economic Reform and Economic Performance: Evidence from 20 Developing Countries |
Language: | English |
Keywords: | economic reform; economic peformance; structural adjustment; macroeconomic policy; inflation; growth; developing countries |
Subjects: | O - Economic Development, Innovation, Technological Change, and Growth > O1 - Economic Development > O11 - Macroeconomic Analyses of Economic Development O - Economic Development, Innovation, Technological Change, and Growth > O5 - Economywide Country Studies > O57 - Comparative Studies of Countries O - Economic Development, Innovation, Technological Change, and Growth > O4 - Economic Growth and Aggregate Productivity |
Item ID: | 6594 |
Depositing User: | Howard White |
Date Deposited: | 06 Jan 2008 16:55 |
Last Modified: | 03 Oct 2019 12:43 |
References: | Barro R. J., 1997, Determinants of Economic Growth: a cross-country empirical study, Lionel Robbins Memorial Lecture, Cambridge, Mass: MIT Press Beinefeld, M., 1995, Structural Adjustment and Tanzania's Peasantry: assessing the likely long-term impact, pp88-130 in Jamal 1995 Bhaduri, A. and Skarstein R., 1996, ‘Short-Period Macro-economic Aspects of Foreign Aid’, Cambridge Journal of Economics, Vol 20 No 2: 195-206 Bryceson, D., 1999, ‘African Rural Labour, Income Diversification and Livelihood Approaches: a long term development perspective’, Review of African Political Economy, Vol 80: 171-89 Bryceson, D., Kaye, C. and Mooij, J. (eds), 1999, Disappearing Peasantries? Rural Labour in Africa, Asia and Latin America, London: Intermediate Technology Publications Calamitsis, E., Basu, A. and Ghura, D., 1999, ‘Adjustment and Growth in sub-Saharan Africa’, IMF Working Paper WP/99/51, Washington DC: IMF Cornia, G. A and Helleiner, G. K, 1994, Adjustment to Development in Africa: conflict, controversy, convergence, consensus? United Nations Children’s Fund Ddumba-Ssentamu, J., Dijkstra, G. and Donge, J. K. van, 1999, ‘Swedish Programme Aid to Uganda; An Evaluation’, Global Evaluation of Swedish Programme Aid, Working Paper No 5, Kampala: Makerere University / The Hague: ISS Dijkstra, A. G., 1999a, ‘Debt, Dependence and Fragile Development. Programme Aid to Nicaragua’, Sida Evaluation 99/17: 4, Stockholm: SIDA 1999b, ‘Programme Aid, Policies and Politics: Programme Aid and Conditionality’, SIDA Evaluation 99/17: 10, Stockholm: SIDA Easterly, W. and Levine, R., 1997, ‘Africa’s Growth Tragedy: Policies and Ethnic Divisions’, Quarterly Journal of Economics, Vol CXII No 4: 1,203-50 Easterly, W. and Rebelo, S., 1993, ‘Fiscal Policy and Economic Growth: An Empirical Investigation’, Journal of Monetary Economics, Vol 32 No 3: 417-58 Economist Intelligence Unit, 1999a, Country Profile Guinea-Bissau 1998/1999, London: EIU 1999b, Country Profile Eritrea, Somalia, Djibouti 1998/1999, London: EIU 1999c, Country Profile Sri Lanka 1998/1999, London: EIU 1999d, Country Profile Kenya 1998/1999, London: EIU Engberg-Pedersen, P., Gibbon, P., Raikes, P. and Udholt, L. (eds), 1996, Limits of Adjustment in Africa, Oxford: James Currey / Portsmouth: Heinemann: 141-214 Eriksson Skoog, G., 1998, The Soft Budget Constraint: the emergence, persistence and logic of an institution. The case of Tanzania 1967-1992, Stockholm: the Economic Research Institute, Stockholm School of Economics Goldstein, M. and Montiel, P., 1986, ‘Evaluating Fund Stabilisation Programmes with multicountry data: some methodological pitfalls’, IMF Staff Papers, Vol 32 No 2: 304-44 Guhan, S. and Nagaraj, K., 1995, ‘Adjustment, Employment and Equity in India’, Employment Papers 4, Geneva: International Labour Office Employment Department Hanmer, L., Pyatt, G. and White, H., 1999, ‘What do the World Bank’s Poverty Assessments teach us about poverty in sub-Saharan Africa?’, Development and Change, Vol 30 No 4: 795-823 Harvey, C. (ed), 1996, Constraints on the Success of Structural Adjustment Programmes in Africa, Basingstoke: Macmillan Horton, S., Kanbur, R. and Mazumdar, D., 1994, Labor markets in an Era of Adjustment, Washington, D.C.: Economic Development Institute Husain, I. and Faruqee, R., 1994, ‘Adjustment in Seven African countries’, in I. Husain and R. Faruqee (eds), 1994, Adjustment in Africa: lessons from country case studies, Washington, D.C.: World Bank: 1-10 Jamal, V., 1995, Structural Adjustment and Rural Labour Markets in Africa, London: Macmillan Press Kanji, N., 1995, ‘Gender, Poverty and Economic Adjustment in Harare, Zimbabwe’, Environment and Urbanisation, Vol 7 No 1: 37-54 Killick, T., 1995, ‘Structural Adjustment and Poverty Alleviation: an interpretative survey’, Development and Change, Vol 26 No 2: 305-31 1999, ‘Making Adjustment Work for the Poor’, ODI Poverty Briefing No 5 May 1999, London: Overseas Development Institute Kirkpatrick, C. and Weiss, J., 1995, ‘Trade Policy Reforms and Performance in Africa in the 1980s’, Journal of Modern African Studies, Vol 33 No 2: 285-98 Krishnan P., Selassie, T.G. and Dercon, S., 1998, The Urban Labour Market During Structural Adjustment: Ethiopia 1990–1997, DPS 98.17, Université Catholique de Louvain: Center for Economic Studies Lall, S., 1995, ‘Structural Adjustment and African Industry’, World Development, Vol 23 No 12: 2,019–31 Lensink, R., 1996, Structural Adjustment in Sub-Saharan Africa, London: Longman Lensink, R. and White, H., 1999a, ‘Assessing Aid: a manifesto for aid in the 21st Century’, Global Evaluation of Swedish Programme Aid Working Paper No 15, Stockholm: SIDA 1999b, ‘Is there an Aid Laffer Curve?’, CREDIT Research Paper No 99/6, Nottingham: Centre for Research in Economic Development and International Trade, University of Nottingham Levin J., 1994, ‘Kenya: two steps backwards and one step forward’, Swedish International Development Authority Planning Secretariat Macro-economic Studies 47/94, Stockholm: SIDA Levine, R. and Zervos, S., 1993, ‘What Have We Learned about Policy and Growth from Cross-Country Regressions?’, American Economic Review Papers and Proceedings, Vol 83 No 2: 426-30 Matin, K. and Wasow, B., 1992, ‘Adjustment and Private Investment in Kenya’, IBRD Policy Research Working Papers No 878, Washington DC: World Bank Mosley, P., Harrigan, J. and Toye, J., 1991, Aid and Power: the World Bank and policy-based lending, Vol I, London: Routledge Mosley, P., Subasat, T. and Weeks, J., 1995, ‘Assessing Adjustment in Africa’, World Development, Vol 23 No 9: 1,459-73 Ojo, O. and Oshikoya, T., 1995, ‘Determinants of Long-Run Growth: some African results’,Journal of African Economies, Vol 4 No 2: 163-91 Otani, I. and Villanueva, D., 1990, ‘Long Term Growth in Developing Countries and its Determinants: an empirical analysis’, World Development, Vol 18 No 6: 769-83 Riphenburg, C., 1997, ‘Women’s Status and Cultural Expression: changing gender relations and structural adjustment in Zimbabwe’, Africa Today, Vol 44 No 1: 33-50 Rodrik D., 1999, ‘The New Global Economy and Developing Countries: making openness work’, Overseas Development Council Policy Essay No 24, Washington, D.C.: Johns Hopkins University Press for the Overseas Development Council Roemer, D., 1996, Advanced Macro-economics, New York: McGraw Hill Sahn, D., Dorosh, P. and Younger, S., 1994, ‘Economic Reform in Africa: a foundation for poverty alleviation’, Cornell Food and Nutrition Policy Program Working Paper No 72, Ithaca: Cornell Food and Nutrition Policy Program Sala-i-Martin, X., 1997, ‘I Just Ran Two Million Regressions’, American Economic Review, Papers and Proceedings, Vol 87 No 2: 178-83 Savvides, A., 1995, ‘Economic Growth in Africa’, World Development, Vol 23 No 3: 449-58 Schiff, M. and Valdes, A., 1992, The political economy of agricultural price intervention in Latin America, San Francisco: International Center for Economic Growth ICS Press Sowa, N. and White, H., 1996, An Evaluation of Netherlands Co-financing of World Bank Activities in Ghana 1983–1996, The Hague: ISS / Accra: CEPA Stewart, F., 1994, ‘Are Short-term Policies Consistent with Long-term Development Needs in Africa?’ in Cornia and Helleiner (1994): 98-128 Stiglitz, J., 1998, Towards a New Paradigm for Development: strategies, policies and processes, 1998 Prebisch Lecture, mimeo Toye, J., 1994, ‘Structural Adjustment: context, assumptions, origin and diversity’ in R. van der Hoeven and F. van der Kraaij, Structural Adjustment and Beyond in sub-Saharan Africa, London: James Currey Ltd van Donge, J. K. and Dijkstra, G., 1999, ‘Development by Default: programme aid to Bangladesh’, SIDA Evaluation 99/17: 1, Stockholm: SIDA van Donge, J. K. and White, H., 1999, ‘Counting the Donors’ Blessings: programme aid to Tanzania’, SIDA Evaluation 99/17: 5, Stockholm: SIDA van Donge, J. K, White, H. and Le Xuan Nghia, 1999, ‘Fostering High Income Growth: programme aid to Vietnam’, SIDA Evaluation 99/17: 7, Stockholm: SIDA White, H., 1996a, ‘The economic and social impact of adjustment in Africa: further empirical analysis’, ISS Working Paper, The Hague: ISS 1996b, ‘Adjustment in Africa - Review Article’, Development and Change, Vol 27 No 4: 785-815 1997, ‘Poverty and Adjustment in Sub-Saharan Africa: a review of the literature’, report prepared for the evaluation of SPA, The Hague: ISS 1999a, ‘Dollars, Dialogue and Development: an evaluation of Swedish programme aid’, SIDA Evaluation 99/17, Stockholm: SIDA 1999b, ‘Reform, Rehabilitation and Recovery: programme aid to Mozambique’, SIDA Evaluation 99/17: 3, Stockholm: SIDA 1999c, ‘A Black Sheep Among the Reformers: programme aid to Zambia’, SIDA Evaluation 99/17: 8, Stockholm: SIDA 1998, Aid and Macro-economic Performance: theory, empirical evidence and four country case studies, Basingstoke: Macmillan White, H. and Leavy, J., 1999, ‘The Impact of Adjustment Policies: programme aid and reforms’, SIDA Evaluation 99/17: 11, Stockholm: SIDA White, H. and Leefmans, N., 1999, ‘Supporting Success: programme aid to Cape Verde’, SIDA Evaluation 99/17: 2, Stockholm: SIDA Williams, G., 1994, ‘Why Structural Adjustment is Necessary and Why Doesn’t it Work?’, Review of African Political Economy, Vol 60 No 21: 214-25 World Bank, 1994, Adjustment in Africa: reforms, results and the road ahead, Oxford: Oxford University Press, for the World Bank 1995, Strengthening the Effectiveness of Aid: lessons for donors, Washington, D.C.: World Bank World Bank World Development Indicators, 1999, CD-Rom, Washington, D.C.: World Bank |
URI: | https://mpra.ub.uni-muenchen.de/id/eprint/6594 |