\ oo5 Public Disclosure Authorized 1FH E WORILD BA NIK RJESEARCHI IPROGRAM Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized ABSTRACTS1 O CURRENT STUIES THE WORLD BANK RESEARCH PROGRAM 1996 Abstracts of Current Studies The World Bank Washington, DC Objectives and Definition of World Bank Research The World Bank's research program has four basic objectives: * To support all aspects of Bank operations, including the assessment of development progress in member countries * To broaden understanding of the development process * To improve the Bank's capacity to give policy advice to its members * To help develop indigenous research capacity in member countries. Research at the Bank encompasses analytical work designed to produce results with wide applica- bility across countries or sectors. Bank research, in contrast to academic research, is directed toward recognized and emerging policy issues and is focused on yielding better policy advice. Although motivated by policy problems, Bank research addresses longer-term concerns rather than the imme- diate needs of a particular Bank lending operation or of a particular country or sector report. Activities classified as research at the Bank do not, therefore, include the economic and sector work and policy analysis carried out by Bank staff to support operations in particular countries. Economic and sector work and policy studies take the product of research and adapt it to specific projects or country settings, whereas Bank research contributes to the intellectual foundations of future lending opera- tions and policy advice. Both activities-research and economic and sector work-are critical to the design of successful projects and effective policy. Copyright @ 1996 by the International Bank for Reconstruction and Development/THE WORLD BANK 1818 H Street, NW, Washington, DC 20433, U.S.A. All rights reserved. First printing September 1996 Manufactured in the United States of America ISSN 0258-3143 ISBN 0-8213-3577-4 This report has been prepared by the staff of the World Bank. The judgments expressed do not necessarily reflect the views of the Board of Executive Directors or of the governments they represent. CONTENTS Introduction 1 Studies by Subject Area 3 Abstracts of Current Studies 11 Poverty and Social Welfare 13 Labor Markets and Education 34 Environmentally Sustainable Development 49 Infrastructure and Urban Development 69 Macroeconomics 80 International Economics 90 Domestic Finance and Capital Markets 116 Transition Economies 125 Private Sector Development and Public Sector Management 151 Bank Research Output 165 Index of Studies by Department 193 iii INTRODUCTION The World Bank's lending program and advisory role frequently used for further research: more than three- are grounded in an understanding of the theory and quarters of the government organizations responding to practice of development. This volume, which contains the survey and more than half the commercial firms use abstracts of current Bank research projects, reflects the the publications for that purpose. But more than half the continuing contributions of Bank research to this critical government agencies and nearly three-quarters of the knowledge. It describes research projects that address policymakers also turn to Bank publications when for- governments' policy concerns, meet the practical needs mulating policy. of Bank operational staff, develop research tools and Another measure of the influence of publications is methods,and construct databases (which are made avail- how often people refer to them in their own writing. Data able to interested researchers in and outside the Bank). on citations of articles in 1,400 professional journals published in 35 countries show that articles in the Bank's What Is the Impact of Bank Research? two research journals, the World Bank Research Observer and World Bank Economic Review, are cited more often The value and relevance of Bank research were con- than articles in any other development economics jour- firmed by a recent assessment of the quality of the Bank's nal. These two journals rank in the top third of all research program and of its influence in the academic economics journals by this measure. Authors cite the and policymaking community. This assessment was Proceedings of the World Bank Annual Conference on Devel- part of a broader effort to determine how best to use the opment Economics even more often. Bank's resources for research, driven in part by the 30 Findings of World Bank research also are dissemi- percent decline in Bank funding for research between nated through many non-Bank publications. Bank au- fiscal 1992 and 1996. The results show that Bank research thors published nearly 300 articles in professional jour- isbroad in its coverage, influential among policymakers, nals in each of the past two fiscal years. The quality and and well regarded by researchers, and that published relevance of this work are high: journal articles by Bank output from Bank research is widely read and heavily authors are cited 10-50 percent more often than the used as teaching material. The investigation also identi- average economics article. This work receives wide press fied areas in which efforts need to be strengthened, the coverage, further extending its influence. An average of scope of research expanded, and the exposition of find- 13 reviews of Bank research findings appeared in news- ings improved. The comments of evaluators participat- papers, magazines, and journals every month during the ing in the assessment have led to a number of changes past two years, with the number increasing during the in the Bank's processes for designing and conducting period. research. University courses in economic development draw The assessment used quantitative indicators of per- often on studies originating in the Bank. In a recently formance (counts of bibliographic citations and use in published collection of 25 reading lists (most for gradu- curriculums), qualitative methods (surveys, structured ate courses) a sixth of the entries were by Bank authors. interviews, and case studies), and evaluation of research The Economic Development Institute draws heavily on products by internationally recognized experts. A sur- Bank research in its courses, workshops, and seminars, vey designed to determine the reach and influence of the reaching thousands of participants in developing and World Bank's publications and its broader dissemina- transition economies. tion efforts elicited responses from more than 3,400 readers in 113 countries. Among Bank publications, What Research Is Now Under Way? those stemming from research were found to be some of the most extensively distributed. The World Development This volume reports on research projects initiated, under Report continues to be the Bank's flagship publication, way, or completed in fiscal 1996 (July 1, 1995, through and the research journal the World Bank Economic Review June 30, 1996). The abstracts in the volume describe, for is the most widely read Bank publication in developing each project, the questions addressed, the analytical and transition economies. World Bank publications are methods used, the findings to date, and their policy 1 Introduction implications. Each abstract also identifies the expected obtain them. Finally, the volume indexes the abstracts completion date, the research team, and any reports or by the sponsoring unit. publications produced. And to make it easier to obtain information and data, each abstract gives the Internet How to Get More Information address for the research project's supervisor. The abstracts cover about 230 research projects from Thisannual volume is the only compendium of current throughouttheBank,groupedunderninemajorheadings: Bank research. Readers interested in obtaining more * Poverty and social welfare, including equity, de- frequent and up-to-date information on Bank research mographics, health and nutrition, and gender and projects and their findings may wish to subscribe to the development quarterly Policy and Research Bulletin. Each issue in- * Labor markets and education cludes information on recent World Bank publications * Environmentally sustainable development, includ- and working papers, abstracts of newly initiated re- ing environmental economics, energy, agriculture, and search projects and summaries of recent research find- natural resources ings, a column identifying electronic information avail- * Infrastructure and urban development able from the Bank, and a form for ordering reports * Macroeconomics, including monetary and fiscal featured in that issue. The bulletin is available free of policy and adjustment charge. For information on how to subscribe, see the * International economics, including trade, finance, subscription request form at the back of this volume. and debt The bulletin, the Abstracts of Current Studies, ab- * Domestic finance and capital markets stracts of articles in the World Bank Research Observer * Transition economies and World Bank Economic Review, and a host of other * Private sector development and public sector man- Bank reports are available on the World Wide Web at agement, including industrial organization, regulation, http://www.worldbank.org. Research reports and infor- institutions, political economy, and privatization. mation on the World Bank's research branch, the De- An appendix to this volume lists reports and publica- velopment Economics Vice Presidency, are available at tions produced