rafmacalaba/datause-encoder-data huggingface dataset:
as the sum of wages (number of workers) of all types of workers which have an average number of years of education strictly larger than the number of years needed to complete secondary school divided by the total wage bill (total number of employees).<sup>28</sup> For Brazil, we use direct information on the percentage of workers with some college education.<sup>29</sup> In Table 3 Panel A, we present summary statistics on wage bill shares and employment shares of skilled workers according to our three measures. In both countries, wage bill shares and employment shares of nonproduction workers are larger than those of workers in engineering, technical and managerial occupations (by de fi nition) and these are in turn larger than those of workers with college education. For any given de fi nition of skills, average wage bill shares are larger than average employment shares. According to all skills measures, Brazil has lower average shares of skilled workers than China.

# 3.1.2 Absorptive Capacity and International Economic Activities

As measures of plants’ learning and absorptive capacities, we use a dummy variable for R&D expenditures and a dummy variable for the introduction of new product lines.<sup>30</sup> To measure the presence of international economic activities, we use a dummy variable for plants that export, the plant’s share of sales that are exported, a dummy variable for plants that are foreign-owned, the plant’s foreign ownership share, a dummy variable for plants that use imported inputs and the plant’s imported inputs share. For Brazil, we use data on direct exports, i.e. those not done through a distributor, whereas for China we use data on total exports since the survey does not distinguish between direct and indirect exports.<sup>31</sup> In Table 3 Panel B, summary statistics are shown for the different measures of absorptive capacity and international economic activities.

> 28The implicit assumption made in constructing this measure is that all workers of a given type have exactly the average level of education of that worker type.

> 29Wage bill shares for this education-based measure of skills are not available for Brazil.

> 30R&D and the introduction of new product lines can be viewed as, respectively, an input into and an output from a knowledge production function (see Chennells and Van Reenen, 1999).

> 31However, the empirical fi ndings for Brazil are very similar when considering total exports.

12
**Figure 1 Share of the Population Older than 60**

<!-- Start of picture text --> n <10% 1Z10-15% 15-18% 18-20% 0 >20%<br><!-- End of picture text --> As highlighied by Figure 1, the elderly share of the population of many of the transition countries is higher, and sometimes considerably higher than it is in developing countries where 9 percent of the population are elderly, or even the older OECD countries, where the elderly account for 14 percent of the population, see World Bank (1997). The transition countries tend to be older societies. Moreover, they are societies where poverty among the elderly has increased substantially even if not disproportionately. Poverty has increased at the same time that the elderly have become owners of significant amounts of unencumbered housing wealth. At the same time, financial markets remain underdeveloped throughout the region and, at least in the short run, are unlikely to be able to innovate to address these potential demands.

Of course, it may be expensive to overcome the elderly's potential initial lack of both understanding of the product or distrust in the providers of such services. However, these costs should also be weighed against the effects that the transition process itself has imposed on the elderly through changes in the distribution of risk. In particular, by changing the income streams of the elderly from being among the most stable in the economy to being among the most volatile, the transition has made pensioners among the most vulnerable to shocks of all groups. Unlike younger worklers, many of the elderly have little in the way of marketable human capital 15
- 7 -

the high capital costs in India, the observed effective protection rates need to be interpreted with caution. India is almost unique in levying such high taxes and tariffs on capital goods. Most other countries usually exempt machinery from import duties and domestic taxes. For example, in Brazil which has had very high protection for the domesti **c** apital goods Industry, the tariff collection rate in 1984 was 17% in non-electrical and 11% in electrical machinery. In Korea, the tariff collection rates on machinery for domestic use was about 9% during the late 1970s and early 1980s. Tariff collection rates on machinery for export use was negligible. Even in Pakistan (which has the second highest overall tariff collection rate after India), the tariff collection rate on machinery was 15% in 1987/88. In comparison, the average tariff collection rates on machinery in India were about 75% in 1983/84 and 67% in 1987/88. Higher prices for capital goods (domestic or imported) paid by Indian firms imply that their value added should include a larger return to capital (interest, depreciatioa **n** d return on equity). This contributes, ceteris paribus, to domestic value added exceeding the value added in international prices, and to positive EPRs. That is, the firms in India which may be as efficient as the foreign firms, will nevertheles **s** how higher, prices and EPRs. Thus, to make EPR estimates in India comparable to other countries, the effects of higher capital costs have to be taken into account.

13. Ettori (1990), has collected data on 60 appraisal reports for new investments prepared by ICICI and IDBI during 1988 and 1989. The data on these project appraisals have been reestimated to separate the effect of capital costs on EPRs. This data should be interpreted with caution for the following reasons. First, the parameters and data used in project appraisal reports tend to be favorable to comparative prices (domestic versus CIF) for the projects' outputs. Second, the projections implicitly assume that the projects will be operated efficiently to minimize production costs (inputs, labor, capacity operating ratio, ... ). In practice, actual production costs are often higher than projected during -ppraisal, and domestic ex-factory prices are then increased as much as permitted by domesti **c** ompetition and the degree of protection provided by the QRs and tariffs. Third, in many cases excise (or CVD) taxes on inputs that are reimbursed under MODVAT, could not be separated from input prices. So the input prices are overestimated. For these reasons, actual effective protection rates are underestimated (see Ettori, 1990 for the details of estimation).
|**Table 6: Impact**|**of female reservatio**|**n on perceived quality**|**of public service de**|**livery**||
|---|---|---|---|---|---|
||**Total**|**Water, schools,**<br>**health, sanitation**|**Roads, electricity,**<br>**lights, irrigation**|**Credit, schemes,**<br>**NRM, communic.**|**Absence of govt.**<br>**officials from duty**|
|**_Model 1_**||||||
|Reserved now|-0.130***|-0.0419***|-0.0291***|-0.0215***|0.0185*|
||(-5.459)|(-5.702)|(-4.375)|(-3.141)|(1.739)|
|Reserved now|-0.0330**|-0.00196|-0.00167|-0.0169***|-0.0389***|
|* female|(-1.969)|(-0.334)|(-0.330)|(-3.281)|(-3.998)|
|Reserved lag1|0.0938***|0.00355|0.0357***|0.0249***|0.0147|
||(3.593)|(0.450)|(4.826)|(3.313)|(1.268)|
|Reserved lag1|0.000436|0.00558|-0.00395|-0.00104|0.00762|
|* female|(0.0236)|(0.903)|(-0.713)|(-0.189)|(0.739)|
|Observations|23,479|23,479|23,479|23,479|23,479|
|R-squared|0.168|0.131|0.155|0.091|0.064|
|Tests|52.02***|37.43***|22.94***|35.77***|4.53**|
||14.40***|1.45|20.24***|11.77***|4.29**|
|**_Model 2_**||||||
|Reserved now|-0.109***|-0.0423***|-0.0203**|-0.0150*|0.0271**|
||(-3.639)|(-4.734)|(-2.563)|(-1.805)|(2.071)|
|Reserved now|-0.00417|0.00329|0.00290|-0.00745|-0.0365***|
|* female|(-0.210)|(0.481)|(0.501)|(-1.252)|(-3.185)|
|Reserved lag1|0.0791**|-0.00649|0.0392***|0.0213**|0.0134|
||(2.560)|(-0.707)|(4.613)|(2.436)|(0.986)|
|Reserved lag1|0.00157|0.00680|-0.00649|0.000691|0.00971|
|* female|(0.0746)|(0.968)|(-1.048)|(0.113)|(0.828)|
|Reserved lag2|-0.0399|-0.0218**|-0.00366|-0.00357|0.0264*|
||(-1.267)|(-2.282)|(-0.445)|(-0.403)|(1.901)|
|Reserved lag2|-0.0102|-0.00319|-0.00574|0.00102|-0.00222|
|* female|(-0.507)|(-0.463)|(-0.967)|(0.166)|(-0.184)|
|Observations|17,848|17,848|17,848|17,848|17,848|
|R-squared|0.074|0.040|0.102|0.047|0.049|
|Tests|15.99***|20.02***|5.27**|8.51***|0.64|
||7.57***|0.01|16.48***|6.85***|3.38*|
||2.72*|7.23***|1.34|0.09|3.54*|

Note: For columns 1-4, dependent variable is the share of local public good issues for which performance of the current panchayat was rated to have been „better‟ or „much better‟ than in the previous period. Column 5 is a zero-one indicator for whether problems due to absence of government officials from their duties have been reduced. See text for more details. Regressions are clustered at household level and information on education, age, gender, marriage status, household size as well as dummies for cast, religion, land ownership, and overall wealth are included in all regressions but not reported.

25
Interviews and focus groups confirmed that physicians prefer posts which are close to urban areas or located in semi-urban areas for both personal and economic reasons: urban areas offer better schools and basic services such as electricity and piped water while both urban and semi-urban areas offer better potential for lucrative private practices. According to one State B physician: “The incentive to continue to occupy [one’s] current post is to not disturb family and sometimes to protect thriving private practice.” Interviewees also affirmed the need for political influence and side payments to obtain preferred postings. Political influence to bypass the counseling process was captured in the following statement from two physicians in State A: _“On confronting the counseling committee on not including a vacant PHC of his preference, the administrative staff supporting the committee snidely remarked it is reserved for a candidate with political connection...”_ _“With right connections and some political (as well as local community) influence, it is possible to manipulate the system.”_

# (c) Transfers

Transfers<sup>14</sup> can be used by physicians to secure a desired posting (or avoiding an extended stay in an undesirable post) usually by making use of parallel systems. Transfers are also used by administrators to fill undesirable posts and “punish” staff for disciplinary breaches while politicians use transfers to secure postings for “preferred” candidates or remove the less preferred.

As in the case of postings, there is no structured transfer policy in state B, and there is no minimum or maximum tenure requirement (88 percent of State B PS respondents). Perception survey results suggest that DH officials have little role in the process (77 percent agreement), transfers occur at the behest of politicians (94 percent agreement), and physicians must make use of political connections (90 percent agreement) and side payments (78 percent agreement) to secure or block a transfer. The perception of one 11
- 22 -

"hypothetical market rent," which is derived from an analysis of rental values in the uncontrolled segment of the market. (To avoid the consequent problem of landlords paying property taxes based on "market" rents when their actual Incomes reflect the controls, the tax is imposed on occupants.) A variant of this approach has been under consideration in Madras, India. There, in the absence of an officially uncontrolled market, the taxing authority was proposing to base its mass appraisal on a survey of "actual [that is, illegal, market] rents." The proposal, however, has been rejected by the state government.

# C. Updating ProDertXY ILformation

3.59 The valuer's job does not end once all the properties have been discovered and assigned values. To ensure that property records continue to reflect changes in the tax base, discovery and valuation must be ongoing. The more effective this "maintenance" function, the more buoyant the tax base and the less the taxing authority must depend on nominal tax rate increases and indexation to maintain the growth of the tax base.

3.60 Changes in the tax base are of two types. First are changes in property characteristics. New properties come into existence through subdivision or the annexation of rural areas. New buildings are constructed or existing ones improved. To maintain comprehensive coverage of the tax base, these physical changes must be incorporated as they occur. Second are changes in ownership, which must be captured on an ongoing basis to ensure the collectibility of the tax.

3.61 Cross Reference to Update Data on Physical Characteristicgs an QOnershig. All developing countries use a combination of two methods to discover changes in the physical characteristics of the tax base and changes in ownership: regular field surveys and cross referencing.

3.62 In principle, all the data needed to update the taxing authority's property records should be already in the public domain. The entity responsible for approving subdivision plans should be aware of the creation of new parcels through subdivision. Data on new construction should be available in the agency that issues building and occupancy permits. Changes in ownership should be known to the entity char3ed with registering deeds or titles. Provided this information is accessible to the taxing authority, the administrative costs of tracking these changes down independently can, in theory, be eliminated.

3.63 Such cross referencing is often mandated by regulation. In the Philippines, surveyors (private or public) are required to provide the taxing authority with copies of approved subdivision plans within thirty days of their receipt from the Bureau of Lands. When property is sold, the registrar of deeds is required to provide the taxing authority with a copy of the deed of sale, and both the purchaser and the seller are required to separately notify the taxing authority within sixty days. In the case -P new construction, both the official issuing the building permit--generally the municipal engineer--and the owner are required to notify the taxing authority.
- (iv) As a rsdt of the experinc of the Bank and its Legal Dqptment in financing legal cuical as siae, several important lessons have been leamed, among them:

- Each country needs to make a choice about the direction of its legal refonn.

- Mm assistance financed by the Bank shoud fit with the needs of te country as weU a with the Bak's country assistance strategies. Countries usualy benefit from prior diagnostic studies or sector analyses.

- It is impolrnt for the uccess of lepl reforns that each country priontse its refbrm needs to reflect the pardtcar circumstances of that country.

- a In designing legal technical assistance projects it is impotnt to bear in mind that the Bank may not be inwldved in fiancing leal reifrm activities that do not have a dect and obvious link to economic development.

- I The lcas<sup>t</sup> support for a stable and predictable business envirm nent fre of g,overmntal arbitrariness may well include assistance to the judidary in its borrowing member counlries.

- Lga refonns are complex and long-tenn efforts. Therefore the most suitable nding instruments for leg technical asistance, odher than urgently needed

- legslion, are usually those that disburse over a longer period of ime or, alternatively, a series of lending operations.

- Coumtries are often reluctan **t** o bonow for legal technical assisne. This is particularly true for _borrowing fiom_ nthe _IBRD (rher tan_ IDA).

- In order for legal tehn assistance to bnng about the desred results, the recipent governments need to demone a clear commitmt to legal reform and take full ownership of the legal reform process.
Table 2 continued

||Year|Unemployment<br>rate|Working age<br> <br>population<br>in 1995<br>(thousands)|Source|Income<br>group|
|---|---|---|---|---|---|
|South Asia<br>||||||
|Sri Lanka<br>Pakistan<br>Bangladesh<br>India|1991<br>1991<br>1989<br>1991|14.1<br>6.3<br>1.2<br>2.5|11,706<br>72,119<br>72,677<br>560,958|w<br>w<br>s<br>s|low<br>low<br>low<br>low|
|Sub-Saharan Africa<br>||||||
|Seychelles<br>|1985<br>1|22.5<br>2|33<br>422|r<br>|middle<br>iddl|
|Reunion<br>|990<br>|3.7<br>|<br>|r<br>|me<br>|
|Cote dlvoire<br>|1986<br>|2.5<br>|6,967<br>|_r_<br>|low<br>|
|Ghana<br>|1989<br>|1.6<br>|9,045<br>|s<br>|low<br>|
|Kenya<br>|1986<br>|6.9<br>|13,845<br>|r<br>|low<br>|
|South Africa<br>Nigeria|1993<br>1989|12.8<br>4.0|24,994<br>63,988|s<br>s|middle<br>low|

Note: Working age population for countries of the former Yugoslavia, forner Czechoslovakia, and former Soviet Union arc calculated by a forward projection ofthe 1980-90 growth rate, see text for dtails.

Sources: r=Topel, Levy and Rama 1994, w=ILO 1994, o=OECD 1994, s=Country sources, see text for details 25
**Figure 11: Workers' remittances and compensation of employees, received, Togo, 1974‐2007 (LHS), and Workers' remittances and compensation of employees received, Togo and Benchmarks, 2007 (RHS) (% of GDP).**

<!-- Start of picture text --> 12<br>High income<br>Middle income<br>10 Low income<br>Cape Verde<br>Togo<br>8 Sierra Leone<br>Liberia<br>6 Senegal<br>Guinea‐Bissau<br>Gambia, The<br>4 Nigeria<br>Benin<br>2 Mali<br>Niger<br>Cote d'Ivoire<br>0 Ghana<br>Burkina Faso<br>0 1 2 3 4 5 6 7 8 9 10<br><!-- End of picture text --> _Source:_ DDP Data, World Bank.

# **4.3 Demand Distribution of Growth**

**An initial post‐independence decade of prudent macroeconomic policies in the 1960s was followed by a period of expansionary fiscal policies, debt growth and a questionable public investment program in the 1970s** . Government expenditures and (mainly public) capital formation increased in the period at rates close to 10% per year (see Table 1), but did not result in substantial growth as most of purchased goods were of foreign origin. The sudden oil price shock in the early 1980s put an end to an era of easy access to international capital markets at a time when Togo’s external debt had already become unsustainable. The 1980s were a time period of contracted government expenditures and public and private investments, with private consumption providing most of the contribution to growth in aggregate demand. The structural adjustment program included measures to reduce the budget deficit mainly through a control of government expenditure and a gradual disengagement of the government from some sectors of activity. However, it contributed to a recession as the reduced government expenditure was not compensated by increased private activity.

**Capital formation fell in the 1990s while government expenditures remained mostly stagnant, as the ongoing economic liberalization program and reforms were, at best, only partially applied** . Policy inconsistencies were a result of social unrest and economic mismanagement, and a wider perception of corrupt public officials led to increasing dysfunction of the public authority. During this same time period, exports also remained stagnant, represented mainly by traditional agriculture commodities and phosphates. Private consumption was, again in the 1990s, the main driver of aggregate demand.

**Government expenditures, investment and exports have slightly recovered in the 2000s, following a period of increased macroeconomic and political stability and continued liberalization and reforms.** A significant portion of the registered growth of aggregate demand in the 2000s can be attributed to the exportable sector (more on this on the following section). However, as a significant proportion of supply has been provided by imported goods, real GDP growth has remained low, and even negative in per capita terms.

15
**Table 10. Determinants** **<u>of Decentralization – Role of Information</u>**

||(1)|(2)|(3)|(4)|(5)|(6)|(7)|(8)|
|---|---|---|---|---|---|---|---|---|
||_Province road_<br>_mileages_|_Province telecom_<br>_infrastructure_|_Province_<br>_internet users_|_Intangibility_|_ROS_<br>_dispersion_|_TFP OLS_<br>_dispersion_|_TFP Olley-Pakes_<br>_dispersion_|_TFP Index_<br>_Number_<br>_dispersion_|
|Distance(t-1)|0.0104***<br>(0.0010)|0.0193***<br>(0.0036)|0.0088***<br>(0.0013)|0.0052***<br>(0.0009)|0.0039***<br>(0.0011)|(0.0009)<br>-0.0005|-0.0006<br>(0.0026)|-0.0004<br>(0.0023)|
|Distance(t-1)*|-0.0003***|-0.0017***|-0.0005***|0.0730**|0.0192**|0.0055***|0.0062***|0.0058***|
|Information|(0.0000)|(0.0004)|(0.0002)|(0.0327)|(0.0079)|(0.0016)|(0.0020)|(0.0017)|
|Intensity|||||||||
|Information Intensity|0.0014***|-0.0010|0.0022|-0.3068**|-0.1140**|-0.0286**|-0.0312**|-0.0289**|
||(0.0004)|(0.0072)|(0.0030)|(0.1488)|(0.0479)|(0.0117)|(0.0140)|(0.0122)|
|Other control variables|YES|YES|YES|YES|YES|YES|YES|YES|
|Oversight government<br>dummies|YES|YES|YES|YES|YES|YES|YES|YES|
|Year dummies|YES|YES|YES|YES|YES|YES|YES|YES|
|Observations|41,684|41,684|41,684|41,681|41,684|41,684|35,660|41,684|
|Pseudo R2|0.123|0.123|0.123|0.121|0.121|0.121|0.119|0.122|

This table reports _probit_ regression results on the determinants of firms’ decentralization. Marginal effects evaluated at the mean and standard errors are listed. The dependent variable takes on the value of 1 if a firm is decentralized in year t, and 0 otherwise. Standard errors are clustered at the level of the same oversight government.

*, ** and *** indicate statistical significance at 10%, 5% and 1% levels, respectively.

41