VoxDev Development Economics

How can we best protect the most vulnerable in the developing world during the COVID-19 pandemic?

Whilst rural to urban migration can improve the allocation of labour, can it have unintended consequences on risk sharing in rural communities?

Rickshaw drivers in India who randomly received sobriety incentives as part of an experiment significantly reduced their daytime drinking

Does easing the financial stress of short-term workers by paying them earlier lead to productivity improvements?

 Many researchers have suggested that increased sleep at night translates into improved working outcomes, such as higher productivity. But while these researchers have often focused on settings where sleep quality is high, workers in many developing countries suffer from low sleep quality due to factors such as noise, heat, and mosquitoes. In this VoxDev talk, Gautam Rao and Frank Schilbach discuss an innovative experiment that targeted increased sleep among low-income workers in Chennai, India. Fascinatingly, they find that increased sleep at night did not have a positive effect on a range of outcomes including work, decision-making, and health. But can naps at work do the trick?

Why do some countries have high rates of taxation and high compliance, while some failed states have neither?

Why has economic growth stuttered in Mexico despite, on the face of it, implementation of sensible economic policies by successive governments? Since the 1990s, Mexican governments have done a lot right economically speaking. Inflation has been brought down and the economy stabilised, while exports have also flourished. And yet Mexico has struggled to translate this into significant economic growth. In this VoxDev talk, Santiago Levy discusses his book Under-rewarded efforts: The elusive quest for prosperity in Mexico, which attempts to explain this puzzle. He illustrates that the key to this paradox is the huge productivity differences that exist among Mexican firms. 

Some multinationals privately enforce labour standards among their suppliers in developing countries. But is this effective, and does it complement or replace other ways to improve working conditions? Laura Boudreau discusses a recent randomised controlled trial she conducted in Bangladesh to test whether multinational buyers can provide their suppliers in developing countries with incentives to improve compliance with local labour laws. Her experiment exploited a programme by the Alliance for Bangladesh Worker Safety, a coalition of US multinationals, to enforce a new mandate by the Bangladeshi government requiring factories to establish worker-manager health and safety committees. The intervention by the Alliance significantly improved compliance by local suppliers with the new labour law, which in turn led to a small but statistically significant improvement in indicators of factory safety.

In Mexico in 1996, the extreme poverty rate had climbed above 30%, prompting the government to introduce a poverty reduction programme called Progresa, which turned the conventional wisdom on poverty reduction policies on its head. In this VoxDev talk, Santiago Levy, one of the main architects of the programme that was to become Progresa, takes us back to the 1990s to discuss the creation of the project. He also explains how it managed to avoid the traps that have prevented similar programmes in other countries from being as successful. 

Social science research seeks to improve the world we live in. Yet, there is little information on how much political leaders actually value this research when making policy decisions. In this VoxDev talk, Diana Moreira of the University of California, Davis discusses an innovative experiment which took place in more than 2,000 municipalities in Brazil and sheds new light on this topic. The findings suggest that Brazilian mayors not only change their beliefs after evidence briefings, but are also more likely to introduce related policies in their municipalities.