Post-Crisis Growth in Developing Countries

The World Bank

Description

The 2008 financial crisis has raised a number of questions about the best strategy for achieving sustained growth and poverty reduction in developing countries, foremost among them whether the failure of the financial system also signifies the broader failure of market-oriented capitalist systems. The Growth Commission believes that the crisis was not a failure of market-oriented systems and that an outward-looking strategy, as suggested in the original Growth Report (published in May 2008), remains broadly valid.
The following questions are discussed in this special report:
- How has the economic landscape changed in the wake of the financial crisis of 2008?
- What factors contributed to the onset of the financial crisis and its transmission from advanced to developing countries?
- Should the crisis be interpreted as a failure of financial-sector regulation or as a broader failure of market-based systems?
- What effects will the financial crisis have on the prospects for economic growth in developing countries?
- How will the crisis impact the formulation of developing country growth strategies going forward?
- What is the outlook for free trade and a growth model that capitalizes on the global economy?
- How do actions by the advanced economies in response to the crisis affect the choices of policy makers in the developing world?
- What is the appropriate role of government in the post-crisis economy?
- How will the lessons of the crisis affect strategies for financial-sector development in developing countries?
- What are the prospects for improved international oversight of global finance and cross-border financial flows?

Sujets

• Capital formation
• Central bank
• Currency
• Developing country
• Development bank
• Economic development
• Financial crisis
• Financial institution
• Financial services

Informations

• Publié par: world-bank-publications
• Publié le: 05 janvier 2010
• Nombre de lectures: 29
• EAN13: 9780821381656
• Langue: English
• Poids de l'ouvrage: 3 Mo

Extrait

i

Post-Crisis Growth

in Developing Countries

A Special Report of the Commission on

Growth and Development on the Implications

of the 2008 Financial Crisis

The Growth Report: Strategies for Accelerating and Sustaining High Growth

Post-Crisis Growth

in Developing Countries

A Special Report of the Commission on

Growth and Development on the

Implications of the 2008 Financial Crisis

Post-Crisis Growth

in Developing Countries

A Special Report of the Commission on

Growth and Development on the

Implications of the 2008 Financial Crisis

COMMISSION ON GROWTH AND DEVELOPMENT

Members of the Commission on Growth and Development

Montek Singh Ahluwalia,
Deputy Chairman, Planning Commission, India
Edmar Bacha,
Director, Casa Das Garças Institute for Economic Policy Studies, and Senior
Adviser, Banco Itaú BBA; former Senior Adviser to the Minister of Finance in the
implementation of the “Plano Real,” and former President of the National Development
Bank (BNDES), Brazil
Dr. Boediono,
Vice President of Indonesia, former Governor of the Bank of Indonesia; former
Coordinating Minister for Economic Affairs; Professor of Economics, Gajah Mada
University, Indonesia
Lord John Browne,
Managing Director, Riverstone Europe LLP; former CEO of British
Petroleum p.l.c., United Kingdom
Kemal

Dervi¸s,
Vice President and Director, Global Economy and Development, The Brookings
Institution; former Head of the UNDP, United States
Alejandro Foxley,
President, Center for Latin American Economic Research (CIEPLAN);
former Minister of Foreign Affairs, Chile; Senior Associate at the Carnegie Endowment
for International Peace, United States
Goh Chok Tong,
Senior Minister in Cabinet and Chairman, Monetary Authority of
Singapore; former Prime Minister, Singapore
Han Duck-soo,
Ambassador of the Republic of Korea to the United States; former Prime
Minister, former Deputy Prime Minister, and former Minister of Finance and Economy, the
Republic of Korea
Danuta Hübner,
Member of the European Parliament
Carin Jämtin,
former Minister for International Development Cooperation, Sweden
Pedro-Pablo Kuczynski,
former Prime Minister and former Minister of Economy and Finance,
urePDanny Leipziger,
Professor, Department of International Business, Graduate School of
Business, George Washington University; former Vice President and Head of Network,
World Bank, United States; Commission Vice-Chair
Trevor Manuel,
Minister in The Presidency, Planning; former Minister of Finance, South
Africa
Mahmoud Mohieldin,
Minister of Investment, Arab Republic of Egypt
Ngozi N. Okonjo-Iweala,
Managing Director, the World Bank Group, United States; former
Minister of Finance and Foreign Affairs, Nigeria
Robert Rubin,
Co-Chairman, Council on Foreign Relations; former Secretary of the Treasury,
United States
Robert Solow,
Nobel Laureate in Economics; Institute Professor Emeritus, Massachusetts
Institute of Technology, United States
Michael Spence,
Nobel Laureate in Economics; Professor Emeritus, Stanford University,
United States; Commission Chair
Sir K. Dwight Venner,
Governor, Eastern Caribbean Central Bank, St. Kitts and Nevis
Hiroshi Watanabe,
President and CEO of the Japan Bank for International Cooperation
(JBIC)
Ernesto Zedillo,
former President of Mexico; Director, Yale Center for the Study of
Globalization, United States
Zhou Xiaochuan,
Governor, People’s Bank of China

MONTEK SINGH AHLUWALIA

EDMAR BACHA

DR. BOEDIONO

LORD JOHN BROWNE

KEMAL

DERVI¸S

ALEJANDRO FOXLEY

GOH CHOK TONG

HAN DUCK-SOO

DANUTA HÜBNER

CARIN JÄMTIN

PEDRO-PABLO KUCZYNSKI

DANNY LEIPZIGER

TREVOR MANUEL

MAHMOUD MOHIELDIN

NGOZI N. OKONJO-IWEALA

ROBERT RUBIN

ROBERT SOLOW

MICHAEL SPENCE

SIR K. DWIGHT VENNER

HIROSHI WATANABE

ERNESTO ZEDILLO

ZHOU XIAOCHUAN

© 2010 The International Bank for Reconstruction and Development / The
World Bank
On behalf of the Commission on Growth and Development
1818 H Street NW
Washington, DC 20433
Telephone: [phone]
Internet: www.worldbank.org
www.growthcommission.org
E-mail: [e-mail]
[e-mail]

All rights reserved

1 2 3 4 5 12 11 10 09

This report is a product of the Commission on Growth and Development,
which is sponsored by the following organizations:

Australian Agency for International Development (AusAID)
Dutch Ministry of Foreign Affairs
Swedish International Development Cooperation Agency (SIDA)
U.K. Department for International Development (DFID)
The William and Flora Hewlett Foundation
The World Bank Group

The fi ndings, interpretations, and conclusions expressed herein do not
necessarily refl ect the views of the sponsoring organizations or the
governments they represent.

The sponsoring organizations do not guarantee the accuracy of the data
included in this work. The boundaries, colors, denominations, and other
information shown on any map in this work do not imply any judgment on
the part of the sponsoring organizations concerning the legal status of any
territory or the endorsement or acceptance of such boundaries.

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NW, Washington, DC 20433, USA; fax: [phone]; e-mail: pubrights@
worldbank.org.

ISBN: 978-0-8213-8165-6
eISBN: 978-0-8213-8166-3
DOI: 10.1596/978-0-8213-8165-6

Library of Congress Cataloging-in-Publication data has been requested.

Cover design: Naylor Design

Contents

Members of the Commission on Growth and Development
Workshop Participants
Preface

Abbreviations

PART 1
Introduction

The Purpose of This Special Report

PART 2
The Crisis
Response to the Crisis
The Post-Crisis Global Economy

PART 3
Questioning the Growth Strategies
What Failed and What Did Not Fail?
Openness

Strategies and Outcomes

PART 4
Openness and Financial Development
Global Imbalances: Protectionism and Fiscal Defi cits
Defi cit Spending, Sustainability, and the U.S. Dollar as a
Reserve Currency
Financial Sector Development

PART 5
Resilience

Countercyclical Policies
Distributional Issues

Contents

vixixxviiiii

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iiv

iv ii

International Agenda
The Poorer Developing Countries
Bad Ideas: Part 2

Concluding Thoughts

Statistical Appendix
1. The Heart Attack
2. Underlying Condition for the Crisis
3. The Emergency Room
4. The Real Economy Impact
5. The Crises of 1929 and 2008

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Contents