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Online job vacancies from a Ukrainian website were explored to assess the skills that employers look for among their new hires. The demand for cognitive, socioemotional, and technical skills across a range of medium- and high-skilled occupations were assessed. Most employers highly demand all three skills categories, more so than education level. Most occupations demand a variety of socioemotional skills, while the demand for cognitive and technical skills focuses on one or two skills. Cognitive and socioemotional skills appear as complementary: they are demanded similarly for a given occupation. Overall, online job vacancies are an informative complement to traditional sources to assess skills in demand.
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In many developing countries (and beyond), public sector workers are not just simply implementers of policies designed by the politicians in charge of supervising them-so called agents and principals, respectively. Public sector workers can have the power to influence whether politicians are elected, thereby influencing whether policies to improve service delivery are adopted and how they are implemented, if at all. This has implications for the quality of public services: if the main purpose of the relationship between politicians and public servants is not to deliver quality public services, but rather to share rents accruing from public office, then service delivery outcomes are likely to be poor. This paper reviews the consequences of such clientelism for improving service delivery, and examines efforts to break from this "bad" equilibrium, at the local and national levels.
Clientelism --- Governance --- National Governance --- Public Sector Development --- Public Sector Reform --- Rent Seeking --- Service Delivery
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The World Development Report 2017 Governance and the Law (World Bank, 2017) highlights the intimate connection between the effectiveness of policy reforms and governance. The Report argues that power asymmetries play an important role in ensuring that policy reforms are credible and overcome collective action problems; with one particular manifestation being clientelism. Further, it notes that in order to expand the set of implementable policies, there is need to change the policy arena by: (a) changing incentives; (b) reshaping preferences; and (c) increasing the contestability of the decision-making process. In this background paper, The author focusses on how power structures affect incentives for policy reforms and ultimately outcomes in the context of public service delivery. Here, It have a particular power structure in mind, namely when public servants themselves hold power. In many developing countries (and beyond), public servants are not just the agents tasked with delivering services by the principal (the clients of the service, usually represented by politicians), they are also elites, in the sense that they can have direct influence on policy design and implementation. This has implications for the quality of public services: if the main purpose of the relationship between principal and agent is not to deliver quality public services, but rather to share rents accruing from public office, then service delivery outcomes are likely to be poor. Breaking such an equilibrium may be difficult and successful policy reform needs to take these kind of power constraints into consideration. In the first part make the case that public servants "aside from delivering services" may capture rents in a multitude of ways : through the allocation of jobs, through above market wages, and through low performance on the job, including with absenteeism or moonlighting. This research also suggests why public sector reform may be so difficult: if rent-sharing arises as part of a tacit agreement between politicians and public servants in which rents are transferred in exchange for political support, then any reform that tries to make public servants more accountable and reduce their rents will likely be seen as reneging on such an agreement and be met with opposition.In the second part of the paper, we review research that has focused on making public servants more accountable. This, mainly experimental literature, usually takes the political power constraints as given, and highlights the importance of information and the identity of those monitoring the public servant. We discuss to what extent such local reforms can be successful.
Clientelism --- Governance --- Macroeconomics and Economic Growth --- National Governance --- Politics and Government --- Public Sector Development
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Three recent rounds (2003, 2006, and 2009) of the Family Income and Expenditure Survey are matched to rainfall data from 43 rainfall stations in the Philippines to quantify the extent to which unusual weather has any negative effects on the consumption of Filipino households. It is found that negative rainfall shocks decrease consumption, in particular food consumption. Rainfall below one standard deviation of its long-run average causes food consumption to decrease by about 4 percent, when compared with rainfall within one standard deviation. Positive deviations above one standard deviation have a limited impact. Moreover, for households close to a highway or to a fixed-line phone, consumption appears to be fully protected from the impact of negative rainfall shocks.
Climate Change Economics --- Climate Change Mitigation and Green House Gases --- Climatic variability --- Food consumption --- Household adaptation strategies --- Macroeconomics and Economic Growth --- Negative rainfall shocks --- Poverty Reduction --- Regional Economic Development --- Science of Climate Change --- Standard deviation --- Water Conservation
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COVID-19 was a major shock to youth entrepreneurs and their businesses in Kenya. This paper studies the causal impact of grants-worth two months of baseline business revenue-and business development services as potential mitigation measures. Using multiple rounds of phone surveys up to seven months from the start of the pandemic, the analysis finds that youth who are assigned business grants or a combination of grants and business development services are significantly more likely to maintain a business, earn more revenue and profits, retain employees, and report higher confidence and satisfaction with life. There are no corresponding effects of business development services alone, although the follow-up period is extremely short for training effects to materialize. These results suggest that cash infusion for young entrepreneurs in times of an aggregate shock can be instrumental in moderating its immediate harmful impacts.
Business Development Services --- Business Grant --- Business Training --- Coronavirus --- Covid-19 --- Disease Control and Prevention --- Enterprise Development and Reform --- Entrepreneurship --- Health, Nutrition and Population --- Pandemic Response --- Private Sector Development --- Youth Entrepreneurs
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In this paper, the authors use the lab to test a series of policy proposals designed to constrain rent-seeking behaviour in a policymaking context. The baseline governance game is conducted in the following way: subjects are randomly assigned to groups of four, with one subject randomly selected to be the "policymaker", while the other three are the "citizens". Citizens are informed that they can use their endowments to contribute to a group account. Any amount contributed to the group account are doubled. Once citizens have made their contribution decisions, the policymaker observes the contribution decisions of each citizen, and the total amount in the group account. The policymaker formulates a distribution "policy" to distribute the tokens among all four group members. The game is repeated for 20 rounds. With this basic framework, the authors implement and test the effect of three institutions designed to constrain policymaker rent-seeking behaviour: voting, policy commitment, and punishment. The results show that voting and enforced commitment are the most effective policy mechanisms to constrain rent-seeking, and improve citizen welfare. The authors find policymaker punishment regimes to be largely ineffective, both in reducing rent-seeking and improving welfare of citizens.
Finance --- Game theory --- Governance --- National Governance --- Politics and Government --- Voting
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