rafmacalaba/datause-encoder-data huggingface dataset:
We have to consider that regional governments with higher levels of royalties due to larger mining revenues could have different patterns of expenditure than other regions. Regional governments that receive more royalties could spend more in sectors that directly influence child health, such as health and sanitation. This could bias the results. Following Altonji and Card (1991), I avoid introducing any bias that might be due to the amount of unanticipated regional mining revenues, by using the expenditure structure present in 1999 to generate the fraction spent in each sector in 2002 and 2006. In 1999, most regions (56%) did not receive royalties and the royalties represented only 1.7% of total expenditure. Due to changes in the law in 2002<sup>45</sup> , the percentage of mining income assigned to royalties increased greatly. During 2002 and 2006 royalties represented on average 5.6% of total expenditure, furthermore, 92% of regions received royalties. In order to test the hypothesis that the type of expenditure made in each region could be driving the urban–rural impact differential, I run a regression that measures the impact on nutritional outcomes of the total amount spent on education, poverty alleviation programs<sup>46</sup> , health, sanitation, transport, and agriculture in each region. These are the most important expenditure groups in terms of average regional participation in total spending<sup>47</sup> , but most importantly they are also the ones that could most directly be related to improvements in the nutritional status of children. In addition, per capita expenditure in each of these areas increased dramatically during the study period (2002–2006). Educational expenditures grew by 35%, expenditure in poverty alleviation programs by 16%, health and sanitary infrastructure spending by 38%, transportation expenditures by 40%, and agriculture by 19%.

> 45 In January 2002 the Mining Canon Regulations (Supreme Decree No 005-2002-EF) were approved. This meant that starting in the year 2002 regional and local governments would be entitled to 50% of the income and rents obtained by the central government from the exploitation of mining activities in their jurisdictions (Mining Royalties). Before 2002, this percentage was only 20%.

> 46 This sector finances most nutritional interventions in Peru.

> 47 Education represented 35% of the average regional total spending, poverty alleviation programs 27%, health and sanitary infrastructure 14%, transport 9%, and agriculture 5%.

19
Policy Research Working Paper 8681

# **Abstract**

This paper investigates the effect of multiple minimum wages, known as remuneration orders, on employment and working hours in Mauritius. Using data between 2004 and 2014, the analysis indicates that a 10 percent increase in the minimum wages brings about a slightly positive effect on employment in the covered sector, with an estimated employment elasticity of 0.113, which is within the range of elasticities found in previous studies of employment effects of minimum wages in low- and middle-income countries. The positive employment effect of minimum wages is also associated with a 2.3 percent increase in average working hours for men but a 1.8 percent decline in average working hours for women in the covered sector. In the uncovered sector, the significant positive effect along the intensive margin, estimated at 4.2 percent, is driven by changes in labor supply among men.

This paper is a product of the Poverty and Equity Global Practice. It is part of a larger effort by the World Bank to provide open access to its research and make a contribution to development policy discussions around the world. Policy Research Working Papers are also posted on the Web at http://www.worldbank.org/research. The authors may be contacted at mranzani@worldbank.org.

_The Policy Research Working Paper Series disseminates the findings of work in progress to encourage the exchange of ideas about development issues. An objective of the series is to get the findings out quickly, even if the presentations are less than fully polished. The papers carry the names of the authors and should be cited accordingly. The findings, interpretations, and conclusions expressed in this paper are entirely those of the authors. They do not necessarily represent the views of the International Bank for Reconstruction and Development/World Bank and its affiliated organizations, or those of the Executive Directors of the World Bank or the governments they represent._ Produced by the Research Support Team
Second, surveying existing studies, La Porta et al (2007, p.20) note that: “The most important aspect of these results from our viewpoint is how pervasive is the influence of legal origins.” Our approach uses a broad-based measure of the quality of governance which allows us to capture all possible ways in which legal tradition may matter for governance. One advantage of this is that we are able to show that the effect of legal tradition on governance holds even after controlling for the known covariates of legal tradition (regulation, contract enforcement, etc). That is, there is more to legal tradition than what existing work has unearthed. Lastly, the use micro data allow us to deal with potential problems in existing work due to heterogeneity across data points.

The plan of the paper is as follow. In section 2 we describe our data and the main variables. Main empirical results are contained in section 3 and robustness checks in section 4. The concluding section provides a summary of the important results.

# **2. Data and Main Variables**

We use firm level data from the World Bank’s World Business Environment Survey (WBES, 1999), complemented with additional data sources for GDP, legal origin, etc. The WBES data are a stratified random sample of firms with a common questionnaire and sampling methodology for all participating countries.

The dependent variable, _Governance_ , is based on the response of firms to the following statement in the WBES: “All in all, for doing business I perceive the state as: very helpful, mildly helpful, neutral, mildly unhelpful or very unhelpful.” We index firm’s response on a 1-6 scale with a higher value implying a more helpful government ( _Governance_ ). In our sample, 15% of the firms reported government as very unhelpful, 2
Table 1. Average Annual Growth Rates **for** Cotton in Francophone and Anglophone SSA.

|..<br>**-**|**< 1**<br>**Area**|**-**<br>**-**<br>**;**<br>Yield<br>Production<br>Exports|
|---|---|---|
|Francophone|1.- .-,<br>.|p.................|
|1964-79|~~~0.8|_5.8_<br>_6.6_<br>_5.5_|
|1 809 . .'n;'<br>'<br>.<br>-'' '::',''<br>**I SSAI**|6.6|3.0<br>9 7<br>.<br>12.0|
|1964 ........<br>-90<br>**-:--:-**<br>196479|1.1'<br>_-0-_<br>_:_|f<br>i ,<br>_5'_<br>6.3'<br>6.3'<br>_M0_<br>_-07_<br>_-1586_<br>_70_|
|,1on.; rancop one<br> <br>_._<br>_._|_._<br>|.<br> <br>_._<br> <br>_._<br> <br> <br> <br>|
|_1980..._<br>_9:_<br>_03Q-2A_<br>1964-9<br>**-**<br>1980-90<br>t964-90<br>..|_.-_<br>_0 6_<br>_._<br> <br>**2.;:**<br>1<br>0.6<br>-. 2|_6_<br>_f_<br>_._<br>_-_<br>_._.12.6.<br>_0.5_<br>1_.2_<br>00<br>_..- 630 :_<br>_.8-._<br>_-_<br>_-_<br>_l_<br>4~~<br>~<br>~~~~~~~~~.1<br>477<br>. ,:- 2.5<br>20,<br>l|

Source: Calculated from International Cotton Advisory Committee Data.

With mill consumption of cotton growing only slowly (at 0.1 % p.a.) **in** the francophone countries, their export volume increased at an average rate of 12% p.a. **in** the 1980s. Exports increased from an annual average of 84,000 tons during the 1964-66 period to an average of 467,000 tons during the 1988-90 period. The share of SSA's cotton exports accounted for by the francophone countries increased from 20% in the mid-1960s to _55%_ in recent years.

In the other SSA countries, cotton area peaked in 1972 and declined in both sub-periods presented in Table 1. In those countries, average yields were virtually stagnant during the 1964-79 period but increased at a rate of 2.6% p.a. during the 1980-90 period. Cotton production increased at 3.8% p.a. between 1964 and 1974. Production declined sharply after 1975 due to the collapse of world cotton prices in the previous year, and because of the conversion of cotton area to production of foodcrops following the drought in the Sahel region of the continent. However, aggregate production recovered at 4
Gains in speed do not appear to negatively affect procedural quality, as captured along three dimensions. First, the quality of the pre-trial itself is not negatively affected. The completeness of the evidence assembled, measured by the likelihood of pre-trial being declared insufficient and the decision being postponed, remains unchanged. Second, we do not find evidence of judges’ effort displacement from decision to pre-trial stage: decision hearings are scheduled at the same speed, the number of decision hearings does not increase, and the quality of decisions (measured by the length of the justification and the number of articles cited) is not negatively affected. Finally, the decree does not affect parties’ intentions to appeal court decisions. Taken together, these results contribute court-level causal evidence on the role of legal reforms in strengthening institutions, complementing and extending a literature that has relied on cross-country and within-country evidence (Djankov et al., 2003; La Porta et al., 2008; Chemin, 2018; Bosio et al., 2020).

Next, we combine tax administration records and primary firm survey data to show that the improvement in pre-trial speed legislated by the reform is associated with meaningful economic gains for firms. We use monthly firm revenue data from value-added tax (VAT) declarations to show that having a case significantly hurts firms’ activity: OLS results indicate that starting pre-trial is associated with an 8% reduction in revenue. This penalty is concentrated among firms whose cases spend over four months in pre-trial: these firms experience an 11% decline in revenue, relative to an imprecise 4% decline for firms whose cases complete pre-trial in under four months (p-value of the difference _<_ 0.1). We use the fact that the reform exogenously increased the probability of completing pre-trial in under four months to instrument for speed of treatment. While both reduced form and 2SLS results are imprecise, OLS and 2SLS magnitudes are similar.

Firm surveys corroborate these results and point to both increased firm debt and failure to invest as key mechanisms of the economic cost of judicial inefficiencies. Firms state being willing to pay 50% more in legal costs to experience post-reform speed, relative to pre-reform 3
Column (2) and (3). Therefore, the results stress the nuanced effect of the prime, which only affects certain strata of the population.

_Table 4: Results using poverty thresholds, model (2) and (3)._

||(1)|(2)|(3)|(4)|
|---|---|---|---|---|
|VARIABLES|**>1200kcal**|**>2100kcal**|**>**�<br>2<br>3<br>~~�~~Poverty Line|**>Poverty Line**|
|Treatment|0.010|0.069*|0.063*|0.029|
||(0.027)|(0.037)|(0.037)|(0.036)|
|Observations|3,955|3,955|3,955|3,955|
|R‐squared|0.067|0.098|0.118|0.135|
|State FE|YES|YES|YES|YES|
|Month FE|YES|YES|YES|YES|
|Controls|YES|YES|YES|YES|
|Controls Interacted|YES|YES|YES|YES|

# 5. Treatment heterogeneity and robustness <u>Heterogenous effects:</u>

If the primes would reduce misreporting, stronger effects are to be expected among subpopulations that have higher incentives to misreport, e.g., aid‐reliant IDPs. In order to assess this channel more thoroughly, (i) heterogenous effects are estimated contingent on aid reliance and (ii) the sample is compared to a non‐IDP comparison group.

Parts of the respondents from the CRS and HFS were also interviewed with regard to their previous support through UN agencies. This dummy indicator can be used for an assessment of heterogenous effects.<sup>17</sup> The model is analogous to equation (3), where we add UN assistance as a further control variable as well as an interaction term of UN assistance with the behavioral treatment. The results are depicted in Table 5 and indicate no clear pattern. Only for the number of consumption items a positive significant coefficient is found. The significant positive interaction of the treatment and previous aid exposure could be treated as some weak evidence that the prime is more effective for aid exposed IDPs, but should not be overstated due to the non‐significance for the other three outcomes of interest.

_Table 5: Channel – UN assistance._

> 17 The results can only be interpreted as an explorative analysis as UN assistance was not balanced across treatment and control groups, where treatment households have a higher probability of being previously exposed to aid.

15
# _Quality control_

Price comparisons would be much more credible if we could effectively control for differences in quality. However, in the absence of more information, we can only implement two implicit controls. First, as our selected procedures are routine and relatively uncomplicated, they do not require a relatively high level of surgical expertise. Hence, there is a presumption that there are not big quality variations for these procedures between the best hospitals in developing countries and those in developed countries. Second, since Vanbreda’s clients abroad are mainly international organizations that have citizens from industrial countries on staff, their claims data from foreign countries reflects prices of procedures in the best hospitals in that country, thereby mitigating the quality differentials concern. While these implicit quality controls are imperfect, no superior alternative was feasible given the lack of data on quality of care in developing countries.

# _Price comparisons_

The results of the cost comparison are illustrated in the last column of Table 4. The column contains an estimate of cost savings that would accrue if ten percent of the number of patients requiring a procedure in the US instead chose to undergo the procedure overseas.<sup>25</sup> Since the patient volumes are for 2002, while the prices pertain to the year 2004, our calculation of savings assumes that annual demand for procedures stays unchanged. In fact, studies have shown that the annual patient volumes for many of our selected procedures, e.g., knee and shoulder surgeries have displayed a rising trend over the last few years (see e.g., American Association of Orthopedic Surgeons).

As shown in Table 4, the gains from trade are large. If one in ten patients currently undergoing these fifteen procedures in the US instead were treated abroad, the savings would amount to $1.4 billion dollars annually. Based on the volume of Medicare patients in the H-CUP sample, we estimate that $690 million of these savings would accrue annually to the Medicare program alone. If we expand the list of tradable procedures to include coronary artery bypass grafts, which are already being consumed abroad in growing numbers, the estimate of annual savings would exceed $2 billion.

> 25  It is conceivable that foreign prices for these services could increase in the short run with greater consumption by visiting foreign patients, but in the long run, higher revenues could be used to create additional capacity in foreign hospitals, thereby mitigating price increases.

19
producers, journal editors, and policymakers in addition to estimating the frequency with which efficiency analysis currently appears in published impact evaluations for the first time.

This paper combines results from exploratory research that queried individual impact evaluators, VFM experts, policymakers, as well as representatives of international development multilateral, bilateral, philanthropic, and research institutions and academic peer-reviewed journals using semi-structured and unstructured interviews, surveys, a small randomized control trial, and portfolio analyses of World Bank and worldwide impact evaluations.

# **Data**

Data for the evaluation were procured through five data collection activities:

**NEAR CENSUS OF WORLD BANK IMPACT EVALUATIONS** – A data set of 30 World Bank impact evaluations with VFM analyses was constructed from a sample of 168 World Bank impact evaluations produced between 2000 and June 2010.<sup>4</sup> Of the 168 impact evaluations, 40 were found to contain “a simple comparison of costs with benefits, cost-benefits analysis, economic rate of return, or cost-effectiveness analysis across treatment types or programs” (IEG 2012). Three were dropped because they were falsely tagged as including efficiency analysis when they did not, and two because they did not report the information needed to make a determination. Five IE publications could not be found. The remaining 30 World Bank IEs with VFM analysis were reviewed in detail.

**SAMPLE OF GLOBAL IMPACT EVALUATIONS FROM THE DATABASE OF THE INTERNATIONAL INITIATIVE FOR IMPACT EVALUATION** – We obtained a random sample of 236 impact evaluations from the 3ie’s Impact Evaluation Repository (IER), representing 10 percent of IER studies that were published between 1986 and 2012. The IER records all published impact evaluations of the effectiveness of development interventions that were identified through systematic search of over 30 databases, search engines and websites. Included interventions must have been carried out in low- or middle-income countries using recognized experimental or quasi-experimental estimation strategies.

**SEMI-STRUCTURED AND UNSTRUCTURED INTERVIEWS WITH IE PRODUCERS AND CONSUMERS, INDIVIDUAL RESEARCHERS, INSTITUTIONAL REPRESENTATIVES, AND POLICY MAKERS** – Thirty-three face-to-face or telephone interviews were conducted with a purposive sample of impact evaluators, impact evaluation funders, policymakers, and individuals specializing in cost-benefit and cost-effectiveness methodologies to learn about the range of institutional barriers and incentives of integrating Value for Money analysis into impact evaluations.

**SURVEY OF POLICYMAKERS** —In partnership with the World Bank’s Strategic Impact Evaluation Fund (SIEF), we designed a survey that was emailed to 3,623 individuals on a contact list maintained by SIEF of policy-minded individuals. These individuals were asked

> 4 A list of the World Bank impact evaluations that were included in the sample is available from the authors.

5
this condition in an eligible province cannot benefit from the 6 additional points subsidy if any other firm or branch under the same establishment with this firm has any outstanding debts or administrative fines. Importantly, the amount implied by the 5 points reduction in the disability, old age, and death insurance is calculated from the actual wage reported to the Social Security Institution, whereas the amount of reduction through the 6 additional points is calculated from the minimum wage irrespective of the actual wage of the employee.

# **4. Data**

## 4.1. Description of the administrative data set and data construction

The Social Security Institution (SSI) hosts all data related to formal employment in Turkey. To formally register workers under the SSI, each firm must first register as a formal employer under SSI, which then uses the employer identification number to track employers. SSI also assigns separate identification numbers for each worker registered under the employer, who can be linked to their employers by matching the employer and employee identification numbers.

SSI collects detailed information about formal employers and employees in various databases and we rely on two different anonymized databases provided by SSI in this study. The first one is the registry database that includes all relevant information on employers, including date of establishment, location, sector as well as other details. The declaration database is the main database that covers information on all registered workers on a monthly basis, and includes details such as occupation, location, gross wage and days worked in that month, and any subsidy that the individual benefits from.

SSI provided a random sample of the full database for the current analysis, which includes a 30 percent sample of the universe of all employers that ever benefitted from the 5-point subsidy, irrespective of the duration they benefitted from it. Once these establishments were randomly selected, the SSI staff then tracked all relevant variables for all time periods available in the database for that employer. In practice, though, information prior to 2004 was scattered and unreliable, and we decided to keep observations starting from 2004 only.

A source of duplication in the raw dataset can come from edits in declarations that the employers submit after the end of the month, such as editing the days worked or gross wages. We investigated and prepared the data meticulously together with the technical team of SSI in order to help them prepare and share the anonymized dataset with us for the purpose of this analysis. Finally, we reorganized the dataset we received from SSI to generate a dataset that can be readily analyzed.

10
percentage of men attending school reflects the older ages relative to the women. The men were also more likely than women to have ever had sex and to report being currently sexually active. Eighty-five percent report ever having sex and 59 percent report being sexually active. Sixteen percent of men reported ever having impregnated a woman. The same proportion of men were married. Because of the widespread availability of VCT in Malawi, it is not surprising that just under half of the sample had been tested prior to the testing offered by the MTM VCT team. Men were more likely to have been tested than women (53 percent versus 40 percent).

As discussed above, those tested (especially when recently tested) may respond differently to an additional test than those who have a test for the first time. Table 2 shows the traits of men and women in 2008 by their prior testing status. Those with a prior testing experience were on average older, had higher education, were more likely to be married, sexually active, and to have ever been pregnant. In each round, respondents reported the likelihood they assigned to being infected with HIV at the time of the interview. Respondents chose one of four categories: no likelihood, low likelihood, medium likelihood, and high likelihood. Table 3 shows the stated beliefs in 2008, just before the testing offer. The table reports the beliefs overall and by some specific traits. Generally this sample reported low levels of beliefs about their own infectivity; very few reported a medium or high likelihood that they are HIV infected, so that most fall within the “no likelihood” or “low likelihood” categories.<sup>11</sup> There are notable gender differences in the reporting of low likelihood. While 28 percent of young women assigned at least some likelihood to being infected, only eight percent of men reported the same. Some variation also exists across social and demographic groups. T-tests confirm that respondents were significantly more likely to assign at least some likelihood to

> 11 This distribution likely reflects the young age of the respondents although the same question posed to adults in rural Malawi yielded a similarly lopsided distribution, albeit with slightly greater percentages falling into the medium and high likelihood categories (Smith and Watkins 2005).

10