What’s Social Policy Got To Do With Economic Growth Report as inadecuate




What’s Social Policy Got To Do With Economic Growth - Download this document for free, or read online. Document in PDF available to download.

So what’s social policy got to do with economic growth? Quite a lot, it would appear, ifone takes the results of cross-country growth regressions at face value, as they are by manysocial policy analysts, even as they criticize the findings of the economic policy part of thevery same regressions. I argue that these regressions are deeply problematic, and areantithetical to social policy analysts’ normal instincts on the importance of country andcommunity specificity. At the same time, attempts to distinguish social policy fromeconomic policy in terms of policy objectives is not very successful, while classifyingpolicy instruments into economic or social also leaves a significant grey area. But theeconomic and social policy analysis literatures can indeed be distinguished in theirapproaches to understanding the mechanisms of policy transmission. Despite thedifficulties of defining social policy analysis, except in contradistinction to economicpolicy analysis, both types of analysis are needed to advance understanding of policyimpact and design of policy. The Bank should (i) play a lead role in developing andassessing such multidisciplinary approaches, (ii) move to a much more outcomes basedsystem of aid allocation in recognition of the country-specific complexities of linkagebetween (economic or social) policy and outcomes, and (iii) understand itself better as aninstitution, and its institutional footprint in countries where it is a big player.

Subject(s): Institutional and Behavioral Economics

Political Economy

Public Economics

Issue Date: 2006

Publication Type: Working or Discussion Paper

PURL Identifier: http://purl.umn.edu/127037

Total Pages: 21

Series Statement: WP

2006-05

Record appears in: Cornell University > Department of Applied Economics and Management > Working Papers





Author: Kanbur, Ravi

Source: http://ageconsearch.umn.edu/record/127037?ln=en







Related documents