rafmacalaba/datause-encoder-data huggingface dataset:
From creativity to innovation
Talent is the bedrock of a creative
            society. Augmenting talent involves mobilizing culture and
            tradition, building institutions to increase the stock of
            human capital, enhance its quality, and instill values
            favoring achievements and initiative. The productivity of
            this talent in the form of ideas can be raised by nurturing
            wikicapital-the capital arising from networks. Translating
            creativity into innovation is a function of multiple
            incentives and sustaining innovation is inseparable from
            heavy investment in research. Finally, the transition from
            innovation to commercially viable products requires the
            midwifery of many service providers and the entrepreneurship
            skills of firms small and large.
From creativity to innovation
WPS4262

# **From Creativity to Innovation**

# **By**

**Shahid Yusuf Development Research Group**

**World Bank Washington, D.C.**

## World Bank Policy Research Working Paper 4262, June 2007

_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 view of the World Bank, its Executive Directors, or the countries they represent. Policy Research Working Papers are available online at http://econ.worldbank.org._
Financial intermediation in the
            pre-consolidated banking sector in Nigeria
This paper uses unique bank-by-bank
            balance sheet and income statement information to
            investigate the intermediation efficiency in the Nigerian
            pre-consolidated banking sector during 2000-05. The author
            analyzes whether the Central Bank of Nigeria's policy
            of recent banking consolidation can be justified and
            rationalized by looking at the determinants of spreads. A
            spread decomposition and panel estimations show that the
            reform of the banking sector could be the first step to
            raise the intermediation efficiency of the Nigerian banking
            sector. The author finds that larger banks have enjoyed
            lower overhead costs, increased concentration in the banking
            sector has not been detrimental to the spreads, both
            increased holdings of liquidity and capital might have led
            to lower spreads in 2005, and a stable macroeconomic
            environment is conducive to a more efficient channeling of
            savings to productive investments.
Power to the people : evidence from
            a randomized field experiment of a community-based
            monitoring project in Uganda
This paper analyzes the importance of
            strengthening the relationship of accountability between
            health service providers and citizens for improving access
            to and quality of health care. How this is to be achieved,
            and whether it works, however, remain open questions. The
            paper presents a randomized field experiment on increasing
            community-based monitoring. As communities began to more
            extensively monitor the provider, both the quality and
            quantity of health service provision improved. One year into
            the program, there are large increases in utilization,
            significant weight-for-age z-score gains of infants, and
            markedly lower deaths among children. The findings on staff
            behavior suggest that the improvements in quality and
            quantity of health service delivery resulted from an
            increased effort by the staff to serve the community.
            Overall, the results suggest that community monitoring can
            play an important role in improving service delivery when
            traditional top-down supervision is ineffective.
Jump-starting self-employment
            Evidence among welfare participants in Argentina
One important concern of governments in
            developing countries is how to phase out large safety net
            programs. The authors evaluate the short-run effects of one
            possible exit strategy-programs that promote
            self-employment-in Argentina. They provide evidence that a
            small fraction of beneficiaries were attracted by this
            program. Overall, potential participants to self-employment
            are more likely to be female household heads and more
            educated beneficiaries relative to the average Jefes
            beneficiaries. Using nonexperimental methods, the authors
            show that participation in the program does affect the labor
            supply of participants, by reducing the probability of
            having an outside job, especially for males, and increasing
            the total number of hours worked. But the intervention fails
            to produce on average income gains to participating
            individuals and households in the short run. The fact that a
            small subset of former welfare beneficiaries are attracted
            to the program, coupled with the fact that only a subset of
            participants (younger and more educated beneficiaries, and
            with previous self-employment experience) benefited from
            participation has important implications for this
            intervention to represent a viable exit strategy from welfare.
Construction, corruption, and
            developing countries
The construction industry accounts for
            about one-third of gross capital formation. Governments have
            major roles as clients, regulators, and owners of
            construction companies. The industry is consistently ranked
            as one of the most corrupt: large payments to gain or alter
            contracts and circumvent regulations are common. The impact
            of corruption goes beyond bribe payments to poor quality
            construction of infrastructure with low economic returns
            alongside low funding for maintenance-and this is where the
            major impact of corruption is felt. Regulation of the sector
            is necessary, but simplicity, transparency, enforcement, and
            a focus on the outcomes of poor construction are likely to
            have a larger impact than voluminous but poorly enforced
            regulation of the construction process. Where government is
            the client, attempts to counter corruption need to begin at
            the level of planning and budgeting. Output-based and
            community-driven approaches show some promise as tools to
            reduce corruption. At the same time they will need to be
            complimented by a range of other interventions including
            publication of procurement documents, independent and
            community oversight, physical audit, and public-private
            anticorruption partnerships.
Are labor regulations driving
            computer usage in India's retail stores
A recent survey of 1,948 retail stores
            in India conducted by the World Bank's Enterprise
            Surveys shows that 19 percent of the stores use computers
            for their business. In some states like Kerala, computer use
            is as high as 40 percent. Using this data the author finds
            labor regulation as an important determinant of computer
            use. His estimates suggest that when faced with burdensome
            labor regulations, the probability of using a computer rises
            by over 36 percentage points for an average store. These
            findings formally confirm a commonly held but untested view
            that labor regulation may be responsible for the spread of
            labor saving modern technology.
Can foreign lobbying enhance
            development The case of tourism in the Caribbean
There exist legal channels for
            informational lobbying of U.S. policymakers by foreign
            principals. Foreign governments and private sector
            principals frequently and intensively use this institutional
            channel to lobby on trade and tourism issues. The authors
            empirically study whether such lobbying effectively achieves
            its goal of trade promotion in the context of Caribbean
            tourism and it is the first paper to examine the potential
            for using foreign lobbying as a vehicle for development.
            They use panel data to explore and quantify the association
            between foreign lobbying by Caribbean principals and U.S.
            tourist arrivals to Caribbean destinations. A variety of
            sensitivity analyses support the finding of a strong
            association. The policy implications are obvious and
            potentially important for developing countries.
Can foreign lobbying enhance
            development The case of tourism in the Caribbean
# WPS4275

CAN FOREIGN LOBBYING ENHANCE DEVELOPMENT? THE CASE OF TOURISM IN THE CARIBBEAN

**KISHORE GAWANDE**<sup>**1**</sup> **TEXAS A&M UNIVERSITY**

**WILLIAM MALONEY WORLD BANK**

## **GABRIEL V. MONTES ROJAS UNIVERSITY OF ILLINOIS, URBANA-CHAMPAIGN**

**Abstract:** There exist legal channels for informational lobbying of U.S. policymakers by foreign principals.  Foreign governments and private sector principals frequently and intensively use this institutional channel to lobby on trade and tourism issues. This paper empirically studies whether such lobbying effectively achieves its goal of trade promotion in the context of Caribbean tourism and it is the first paper to examine the potential for using foreign lobbying as a vehicle for development.  Panel data are used to explore and quantify the association between foreign lobbying by Caribbean principals and U.S. tourist arrivals to Caribbean destinations.  A variety of sensitivity analyses support the finding of a strong association. The policy implications are obvious and potentially important for developing countries.

Keywords: Foreign Lobbying; Tourism; Panel data. Fixed Effects.

JEL Code: F13, O54, C2, C3.

## World Bank Policy Research Working Paper 4275, July 2007

_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 view of the World Bank, its Executive Directors, or the countries they represent. Policy Research Working Papers are available online at http://econ.worldbank.org._ 1 Corresponding author. Bush School of Government and Department of Economics, Texas A&M University. Phone: (979) 458-8034. Email: <u>kgawande@tamu.edu.</u> Funding from the World Bank is acknowledged.
Human capital, trade liberalization,
            and income risk
Using data from Mexico, the authors
            study empirically the link between trade policy and
            individual income risk and the extent to which this varies
            across workers of different human capital (education)
            levels. They use longitudinal income data on workers to
            estimate time-varying individual income risk parameters in
            different manufacturing sectors in Mexico between 1987 and
            1998, a period in which the Mexican economy experienced
            substantial changes in trade policy. In a second step, they
            use the variations in trade policy across different sectors
            and over time to estimate the link between trade policy and
            income risk for workers of varying education levels. The
            authors' findings are as follows. The level of openness
            of an economy is not found to be related to income risk for
            workers of any type. Furthermore, changes in trade policy
            (that is, trade policy reforms) are not found to have any
            effect on the risk to income faced by workers with either
            low or high levels of human capital. But workers with
            intermediate levels of human capital are found to experience
            a statistically and economically significant increase in
            income risk immediately following liberalization of trade.
            The findings thus point to an interesting non-monotonicity
            in the interaction between human capital, income risk and
            trade policy changes.
The impact of climate change on
            livestock management in Africa : a structural Ricardian analysis
This paper develops the structural
            Ricardian method, a new approach to modeling agricultural
            performance using cross-sectional evidence, and uses the
            method to study animal husbandry in Africa. The model is
            intended to estimate the structure beneath Ricardian results
            in order to understand how farmers change their behavior in
            response to climate. A survey of over 5,000 livestock
            farmers in 10 countries reveals that the selection of
            species, the net income per animal, and the number of
            animals are all highly dependent on climate. As climate
            warms, net income across all animals will fall, especially
            across beef cattle. The fall in net income causes African
            farmers to reduce the number of animals on their farms. The
            fall in relative revenues also causes them to shift away
            from beef cattle and toward sheep and goats. All farmers
            will lose income but the most vulnerable farms are large
            African farms that currently specialize in beef cattle.
            Small livestock and large livestock farms respond to
            climates differently. Small farms are diversified, relying
            on dairy cattle, goats, sheep, and chickens. Large farms
            specialize in dairy and beef cattle. Estimating a separate
            multinomial logit selection model for small and large farms
            reveals that the two types of farm choose species
            differently and specifically have different climate response
            functions. The regressions of the number of animals also
            reveal that large farms are more responsive to climate. The
            results indicate that warming will be harmful to commercial
            livestock owners, especially cattle owners. Owners of
            commercial livestock farms have few alternatives either in
            crops or other animal species. In contrast, small livestock
            farms are better able to adapt to warming or precipitation
            increases by switching to heat tolerant animals or crops.
            Livestock operations will be a safety valve for small
            farmers if warming or drought causes their crops to fail.
Governance Matters VI: Aggregate and
            Individual Governance Indicators, 1996-2006
This paper reports on the latest update
            of the Worldwide Governance Indicators (WGI) research
            project covering 212 countries and territories and measuring
            six dimensions of governance between 1996 and 2006: voice
            and accountability, political stability and absence of
            violence, government effectiveness, regulatory quality, rule
            of law, and control of corruption. This latest set of
            aggregate indicators are based on hundreds of specific and
            disaggregated individual variables measuring various
            dimensions of governance taken from 33 data sources provided
            by 30 different organizations. The data reflect the views on
            governance of public sector, private sector, and
            nongovernmental organization experts, as well as thousands
            of citizen and firm survey respondents worldwide. The paper
            also explicitly reports the margins of error accompanying
            each country estimate. These reflect the inherent
            difficulties in measuring governance using any kind of data.
            It finds that even after taking margins of error into
            account, the WGI permit meaningful cross-country
            comparisons, as well as monitoring progress over time. In
            less than a decade, a substantial number of countries
            exhibit statistically significant improvements in at least
            one dimension of governance, while other countries exhibit
            deterioration in some dimensions. The decade-long aggregate
            indicators, together with the disaggregated individual
            indicators, are available in a newly-redesigned website at www.govindicators.org.
Innovation shortfalls
There is a common perception that low
            productivity or low growth is due to what can be called an
            "innovation shortfall," usually identified as a
            low rate of investment in research and development (R&D)
            when compared with some high innovation countries. The usual
            reaction to this perceived problem is to call for increases
            in R&D investment rates, usually specifying a target
            that can be as high as 3 percent of GDP. The problem with
            this analysis is that it fails to see that a low R&D
            investment rate may be appropriate given the economy's
            pattern of specialization, or may be just one manifestation
            of more general problems that impede accumulation of all
            kinds of capital. How can we know when a country suffers
            from an innovation shortfall above and beyond the ones that
            should be expected given the country's specialization
            and accumulation patterns? This is the question the authors
            tackle in this paper. First, they show a simple way to
            estimate the R&D gap that can be explained by a
            country's specialization pattern, illustrating it for
            the case of Chile. For this country they find that although
            its specialization in natural-resource-intensive sectors
            explains part of its R&D gap, a significant shortfall
            remains. Second, the authors show how a calibrated model can
            be used to determine the R&D gap that should be expected
            given a country's investment in physical and human
            capital. If the actual R&D gap is above this expected
            gap, then one can say that the country suffers from a true
            innovation shortfall.
A cross-country analysis of public
            debt management strategies
This paper analyzes results of a survey
            on debt management strategies conducted by the Banking and
            Debt Management Department of the World Bank. The analysis
            focuses on (1) whether a public debt management strategy
            exists in a given country, (2) whether it is made public,
            and (3) in which form it is imparted. The paper analyzes the
            distribution of the latter characteristics over different
            regions, income groups, and levels of indebtedness using
            graphical analysis. Using regression analysis, it
            investigates the extent to which basic economic factors can
            explain the characteristics of public debt management
            strategies across countries.
Sensitivity of cropping patterns in
            Africa to transient climate change
The detailed analysis of current
            cropping areas in Africa presented here reveals significant
            climate sensitivities of cropland density and distribution
            across a variety of agro-ecosystems. Based on empirical
            climate-cropland relationships, cropland density responds
            positively to increases in precipitation in semi-arid and
            arid zones of the sub-tropics and warmer temperatures in
            higher elevations. As a result, marginal increases in
            seasonal precipitation lead to denser cropping areas in arid
            and semi-arid regions. Warmer temperatures, on the other
            hand, tend to decrease the probability of cropping in most
            parts of Africa (the opposite is true for increases in
            rainfall and decreases in temperatures relative to current
            conditions). Despite discrepancies and uncertainties in
            climate model output, the analysis suggests that cropland
            area in Africa is likely to decrease significantly in
            response to transient changes in climate. The continent is
            expected to have lost on average 4.1 percent of its cropland
            by 2039, and 18.4 percent is likely to have disappeared by
            the end of the century. In some regions of Africa the losses
            in cropland area are likely to occur at a much faster rate,
            with northern and eastern Africa losing up to 15 percent of
            their current cropland area within the next 30 years or so.
            Gains in cropland area in western and southern Africa due to
            projected increases in precipitation during the earlier
            portions of the century will be offset by losses later on.
            In conjunction with existing challenges in the agricultural
            sector in Africa, these findings demand sound policies to
            manage existing agricultural lands and the productivity of
            cropping systems.
The impacts of climate change on
            regional water resources and agriculture in Africa
This paper summarizes the methods and
            findings of the hydrological assessment component of the
            project studying likely impacts of climate change on water
            resources and agriculture in Africa. The first phase of the
            study used a version of a conceptual rainfall-runoff model
            called WatBal (Water Balance) applied to gridded data to
            simulate changes in soil moisture and runoff across the
            whole continent of Africa rather than to any particular
            catchment or water resource system. The model inputs were
            the climate variables of the 1961-90 climatology and
            physiological parameters (such as soil properties and land
            use) derived from global datasets for each of the 0.5 degree
            latitude/longitude cells across the continent. The primary
            model output comprised a time series (monthly time step) of
            simulated runoff for all the grid cells for each of the
            districts in the countries of interest. The second phase of
            the study extended the hydrology analyses to update the
            above hydroclimatic series to the year 2000 using updated
            input data. To ascertain the possible impacts of climate
            change within the districts being investigated this study
            used synthetic or GCM-based climate change scenarios as
            input to the WatBal model. The WatBal model was used to
            determine the impact of these different scenarios on runoff
            and actual evaporation and hence flow in the districts under
            study. The generated hydroclimatic series and scenario
            analyses were used as inputs into various Ricardian
            regressions in other analyses measuring likely impacts of
            climate change on the agricultural economies of Africa.