rafmacalaba/datause-encoder-data huggingface dataset:
COST RECOVERY, EQUITY, AND EFFICIENCY IN WATER TARIFFS IN AFRICA

# Annex I Structure of tariffs for standposts and public fountains

|Utility|Official<br>standpost price<br>(US$/m<br>3)|Unofficial<br>standpost price<br>(USD/m<br>3)|Official price at<br>4m<br>3|Ratio of<br>unofficial to<br>official price|Ratio of official<br>piped water price<br>at 4m<br>3to official<br>standpost price|
|---|---|---|---|---|---|
|SONEB|0.41|1.91|0.41|4.66|0.99|
|ONEA|0.51|0.48|0.90|0.94|1.76|
|SODESI|0.45|0.93|0.04|2.06|0.09|
|ELECTRA|—|9.44|2.67|—|—|
|REGIDESO|0.05|1.02|0.05|20.40|0.93|
|AWSA|0.19|0.87|0.19|4.55|1.02|
|ADAMA|—|—|0.26|—|—|
|Dire Dawa|—|—|0.14|—|—|
|GWCL|3.64|5.51|0.52|1.52|0.14|
|NWASCO|n.a|1.73|0.18|—|—|
|KIWASCO|Nav|—|0.60|—|—|
|WASA|n.a|2.58|0.40|—|—|
|JIRAMA|0.14|1.24|0.11|8.60|0.75|
|ADeM Beira|||0.96|||
|Adem Maputo|0.31|0.98|0.96|3.17|3.09|
|AdeM Nampula|—|—|0.96|—|—|
|AdeM Pemba|—|—|0.96|—|—|
|AdeM Quelimane|—|—|0.96|—|—|
|LWB|—|—|0.91|—|—|
|BWB|0.29|1.16|0.12|4.00|0.41|
|CRWB|—|—|0.58|—|—|
|Walvis Bay|—|—|0.71|—|—|
|Windhoek|1.41|n.a|1.45|n.a|1.02|
|Oshakati|—|—|1.97|—|—|
|SEEN|0.24|0.48|0.52|1.97|2.13|
|FCT WB|—|—|0.39|—|—|
|Kaduna WB|n.a|n.a|0.16|n.a|n.a|
|Katsina WB|—|—|0.19|—|—|
|Electrogaz|0.44|1.79|0.44|4.07|1.00|
|NWC Khartoum|0.92|1.15|0.37|1.25|0.40|
|NWC South Darfur|—|—|0.64|—|—|
|NWC Upper Nile|—|—|0.59|—|—|
|SDE|0.54|1.53|0.37|2.83|0.69|
|STEE|n.a|n.a|0.22|n.a|n.a|
|DAEASCO|0.58|0.87|0.39|1.51|0.67|
|DUWASA|—|—|0.99|—|—|
|MWSA|—|—|0.51|—|—|
|NWSC|0.39|1.40|0.88|3.63|2.28|

42
In addition to tackling the current urgent reemployment training needs mostly from SOEs, China should also find ways to train the increasing number of rural emigrants (most of whom only have lower secondary education level, table 16), and to deal with the huge future demand for continuous education or on-the-job training as projected in table 17. The government should also provide training and various support services for SMEs and new business start-ups. The training could focus on basic or core business skills, such as accounting, financing, marketing, business plan development, business registration, and taxation.

**-** **<u>Table 16. The Educational Levels of the Rural Emigrants (%, 1997 2000)</u>**

||1997|1998|1999|2000|
|---|---|---|---|---|
|Illiterate or half-illiterate|1.9|1.6|1.5|1.2|
|Primary|21.3|19.9|18.6|18.1|
|Junior Secondary|58.5|58.7|59.7|61.2|
|Senior Secondary|13.8|14.3|14.2|13.4|
|Secondary Professional Schools|3.5|4.3|4.6|4.7|
|College or above|1.0|1.3|1.3|1.4|

Source: MOE: _China Education & Human Resource Report – Stride from a Country of Tremendous Population to a Country of Profound Human Resources_ , Part Four, Higher Education Press, Beijing, 2003.

**Table 17.  Projection for the Continuous Education or On-the-job Training Needs for the** **<u>Next 50 Years (100 million):</u>**

||Senior high school and<br>below|College and above|Total|
|---|---|---|---|
|2001-2010|2.0|0.4|2.4|
|2011-2020|2.0|0.5|2.5|
|2021-2030|1.8|0.9|2.7|
|2031-2040|1.7|1.1|2.8|
|2041-2050|1.6|1.5|3.1|

Source: MOE: China Education & Human Resource Report – Stride from a Country of Tremendous Population to a Country of Profound Human Resources, Part Four, Higher Education Press, Beijing, 2003.

To fulfill such a daunting task, China needs an overall national strategy and policy framework for training and retraining, which should consist of: 1) to strengthen the cooperation and coordination among education, labor, and industry in the provision and financing of training; 2) to overcome the mismatch between skills supply and demand; 3) to provide policies for deregulating private provision and undertaking quality assurance; and 4) to fully unleash the great potential of distance learning, which is very promising considering China’s huge geography.

# **IV. Conclusion**

China stands at a critical point in its overall development, faced with both opportunities and challenges, with severe unemployment being the immediate hurdle. A well-defined strategy would be crucial for China to overcome the challenges and truly become a global player in the 21<sup>st</sup> century.

31
Since the GTAP model does not differentiate across firms based on their ownership structure, as in Tarr and Rutherford (2010), cross-broader services trade liberalization is reflected following Walmsley _et al_ . (2006) and representing the opening of the service sectors to foreign competition as an efficiency improvement. Doytch and Uctum (2011) show that service FDI spurs growth in the sector while a number of papers (Haskel _et al._ , 2007; Markusen _et al._ 2005) show a positive association between a firm’s productivity and the extent of foreign ownership of the firm. Haskel _et al._ (2007) find a robust and significant positive correlation between the productivity of British firms and the extent of foreign ownership whereas Markusen _et al_ . (2005) argue that foreign presence in services provides substantial benefits to domestic firms. The efficiency boost to service companies engaged in cross-border service trade is implemented as a productivity shock which lowers the effective prices of imported services. In order to estimate the size of the productivity shocks, services productivity _Π_ is represented as a function of the trade restrictiveness policies affecting this sector, given by index _Ψ_ , and other factors, represented as _Ω_ . This way productivity _Π_ is given by _Π(Ψ, Ω)_ and the percentage change in productivity is , where ε is the elasticity of the productivity _Π_ to change in the index _Ψ_ . With the ΠΠelasticity ε equal to 1, changes in the trade restrictiveness index<sup>�</sup> = εεΨΨ<sup>�</sup> _Ψ_ translate into changes in productivity.<sup>10,11</sup> Using the World Bank’s Services Trade Restrictions (STR) database, which contains values of the STR index (STRI) for several service sectors in the Levant countries, and assuming that trade liberalization will reduce the STRI to the minimum of the corresponding indexes in the Euromed area, we computed the implied productivity changes. Sectoral STRIs were available only for financial services and insurance, communications, trade, transportation,

> 10 This approach allows us to assess the effect of services liberalization without estimating the ad valorem tariff equivalents of the policies restricting trade in services. The process of computing the tariff equivalents is complex and requires additional information which was not available for the Levant countries.

> 11 Although the STR indexes are not constructed with regard to a specific factor such as productivity, their construction takes into account supply implications and thus the productivity levels in the sector.

14
# 7. REFERENCES

CRAES (Chinese Research Academy of Environmental Sciences), 1994, _Proposalfor the Policy Study on the Industrial Pollution Control and Investment in China,_ Beijing, November Gray, W., and R. Shadbegian, 1993, "Environmental Regulation and Manufacturing Productivity at the Plant Level," Center for Economic Studies, U.S. Census Bureau, Discussion Paper No. CES 93-6 Hamilton, M., 1994, "Selling Pollution Rights Cuts the Cost of Cleaner Air," _Washington Post,_ August 24, p. Fl Hartman, R., M. Singh and D. Wheeler, 1995, _The Cost of Air Pollution Abatement,_ Policy Research Working Paper, World Bank Hettige, M., M. Huq, S. Pargal and D. Wheeler, 1995, _Determinants of Pollution Abatement in South and Southeast Asia,_ paper presented at the Annual Meetings of the American Economic AssoJiation, Washington, D.C., January Mundle, S., S. Mehta and U. Shankar, 1994, "Incentives and Regulation for Pollution Abatement, With an Application to Waste Water Treatment," presented to the 50th Congress of the International Institute of Public Finance, August 25-29, Harvard Porter, Michael, 1991, "America's Green Strategy," _Sciemtific American,_ April, p. 168 Oates, W., K. Palmer and P. Portney, 1993, "Environmental Regulation and International Competitiveness: Thinking About the Porter Hypothesis," Resources for the Future (mimeo.) Wheeler, D., 1992, _The Economics of Industrial Pollution Control: An International Perspective,_ Industry and Energy Department Working Paper, World Bank.

Wang, H. and D. Wheeler, 1996, _Pricing Industrial Pollution in China: An Econometric Analysis of the Levy System,_ Policy Research Department, March (mimeo.) Xu, Xiping, Jun Gao, Douglas Dockery and Yude Chen, 1994, "Air Pollution and Daily Mortality in Residential Areas of Beijing, China," _Archives of Environmental Health,_ 49(4), 216-22 Xu, Z.Y., X. Xu, C.H. Chen, T. Kjellstrom et. al., 1995, "Air Pollution and Daily Mortality in Shenyang" (mimeo.) 23
salaries than their non-overweight counterparts. Based on a new measure of anti-obesity bias, the authors showed survey participants’ resumes with pictures of female candidates before and after they had undergone bariatric surgery – so, the same woman’s picture was viewed more than once, in a set of resumes. The obese women were found to be regarded as much less suitable for employment, for leadership, and regarded as being less deserving of higher remuneration.

Employer preferences for a certain type of physical appearance sometimes translate into a preference for age; so, younger workers are considered more attractive and more suitable for some jobs. This is particularly the case for female workers. Lahey’s (2005) labor market experiment to determine hiring conditions for older women in entry-level jobs in Boston, MA and St. Petersburg, FL found that a younger worker is more than 40% more likely to be offered an interview than an older worker. The hospitality industry is notorious for such screening for both men and women. The case of female crew in India’s state airline, Air India shows that female crew members have only recently been allowed to assume inflight supervisory roles, after a long fought legal battle (Menon, 2011). Differential retirement ages are another case in point and many countries retire women earlier than they do men. In China for instance, women’s retirement ages are lower than those of men in almost every category of state employment and are considered part of the state’s role of protecting female workers.

In many countries, age based discrimination against women is often linked to the relationship of women with the state, more broadly. For instance, women workers may be treated as though they need protection and in a bid to curtail trafficking and exploitation of women, several countries have put in place age restrictions and other safeguards. The Indian Emigration Act was amended to prevent women under age 30 from migrating as housemaids and caregivers. NGOs expressed concern that this would lead to illegal and undocumented migration of younger women and prevent them from accessing any benefits they may be entitled to in the receiving country. Other countries also have age limits for women migrants, but whether this contributes to women’s welfare or increases vulnerability is unclear (Manchanda 2007). There are three clear aspects to age based 21
There is a mismatch between R&D investment behavior and differences in innovative behavior across types of firms and countries. For example, while in India small or domestic firms show more R&D intensity, they are not necessarily more innovative. This is likely to reflect the fact that as we will see below, a significant amount of innovation activity is imitation – innovation that is only new to the firm – and this may require some R&D but not large R&D intensity.

<u>Table 8. Innovation by Foreign Status (% of all firms in each category)</u><sup>8</sup>

||||**Techn**|**ological**|**Non-Techn**|**ological**|
|---|---|---|---|---|---|---|
|**Countries**|**Category**|**Product**|**Process**|**Product & Process**|**Organizational**|**Marketing**|
||All|44%|61%|78%|37%|91%|
|Bangladesh|Domestic|44%|61%|77%|37%|91%|
||Foreign|73%|81%|92%|40%|96%|
||All|8%|8%|15%|15%|72%|
|Pakistan|Domestic|8%|9%|15%|15%|71%|
||Foreign|8%|0%|8%|13%|13%|
||All|53%|61%|83%|55%|82%|
|India|Domestic|53%|61%|83%|55%|82%|
||Foreign|53%|61%|95%|42%|81%|
||All|12%|10%|21%|37%|87%|
|Nepal|Domestic|12%|10%|21%|37%|87%|
||Foreign|28%|28%|28%|55%|100%|
||All|19%|13%|26%|53%|-|
|ECA|Domestic|18%|12%|25%|52%|-|
||Foreign|26%|15%|34%|65%|-|
||All|26%|31%|45%|43%|-|
|Africa|Domestic|27%|31%|45%|43%|-|
||Foreign|21%|31%|41%|41%|-|
|i|All|21%|17%|28%|68%|-|
|Russan<br>Federation|Domestic|19%|17%|26%|64%|-|
||Foreign|50%|22%|71%|96%|-|
||All|5%|6%|9%|63%|-|
|Turkey|Domestic|4%|5%|7%|57%|-|
||Foreign|32%|32%|33%|98%|-|

Source: Author’s elaboration from Enterprise Survey (2014) <u>Differences across sectors: Indian and Bangladeshi firms located in the food, apparel, automobile, and</u> electronics sectors are very innovative in terms of technological innovations compared to organizational innovations (Figures 2). The most dynamic sectors are electronics in Bangladesh and apparel in India. This contrasts with what is observed in Nepal, where the rate of firms introducing non-technological innovations is higher than the rate of firms introducing product and/or process innovations, especially in the apparel and

> 8 Foreign-owned firms are those that have over 25% ownership by private foreign individuals, companies or organizations.

16
Finally, we also divide the sample by income level, revealing that the poorest families show the weakest response to the intervention. Across all interventions, those households at the bottom of the income distribution show almost no response to the treatment (only the 1.8 percentage point increase in attendance is statistically significant), while wealthier families show much stronger responses. All of the households in the sample, of course, are poor. The results suggest, however, that the transfer may just be too small to make a difference in the lives of the poorest families, reporting a total income of less than 3 USD a day. This differential effect highlights the importance of targeting interventions towards individual families.

# **D. Effect on other Household Members**

If families redistribute academic opportunities and labor market responsibilities to reflect available resources and the relative costs of a child’s education, then the receipt of the treatment by one child may affect the activities of other children. How this happens depends on the method of distributing resources and educational opportunities within the family. For example, families may redistribute resources between children so that children have equal opportunities, or, if some children are preferred, families may allocate resources less equally than before. While we do not have sufficient detail to fully unpack the decision process within the family, the intra-family variation in treatment assignment does provide an opportunity test in reduced form whether or not the receipt of the transfers changes the allocation of opportunities within the household.

The first decision that families within our data faced is whether or not they chose to enroll a child in the randomization lottery. Surprisingly, not all children were enrolled. On average, the 6,619 families who completed a follow-up survey had 2.5 kids in the appropriate age range to enroll in the lottery, but only enrolled 1.3 children. This decision already seems to reflect the allocation of activities within the household. In families that received no subsidies, 93 percent of registered children reportedly attend school while only 75 percent of unregistered children attend. Similarly, registered children work 3.1 hours less a week (1.4 hours versus 4.6 hours in the last week worked) than non-registered children.

The most direct test allowed by our research design is to directly compare families who registered more than one child in the lottery. Unfortunately, most families (5,132) only

- 30 -
# **ANNEX SECTION 2: ASEAN MULTILATERAL AGREEMENTS IN AIR TRANSPORT**<sup>**17**</sup>

The discussions on regional air services agreements started in November 2004, the 10th ASEAN Transport Ministers’ Meeting (ATM) held in Cambodia with adoption of a document called the Action Plan for ASEAN Air Transport Integration and Liberalization 2005-2015. The Action Plan, together with an accompanying document known as the Roadmap for Integration of Air Travel Sector (RIATS), established the objective of achieving an effective “open skies” regime for the region by the target date of 2015. The RIATS aimed to fully liberalize air cargo services by 2008 and allow 3<sup>rd</sup> , 4<sup>th</sup> , and 5<sup>th</sup> freedom flights to the regional air passenger service providers between designated points within ASEAN subregions by 2006 and between ASEAN capital cities by 2010.

Subsequently, the RIATS commitments for passenger services were formalized as two legal agreements for ASEAN member states’ acceptance. These are the Multilateral Agreement on Air Services (MAAS) and the Multilateral Agreement for Full Liberalization of Passenger Air Services (MAFLPAS), adopted in 2009 and 2010 respectively. Concurrently, an agreement for cargo transport was also adopted - the 2009 Multilateral Agreement for Full Liberalization of Air Freight Services (MAFLAFS).

# **What is allowed under the agreement?**

Overall, the objectives of the agreements remain fairly modest - market access relaxations stop simply at the third, fourth and fifth freedoms, and do not extend to the seventh, eighth and ninth freedoms.<sup>18</sup> More specifically, the MAAS Implementing Protocols specify the following “third”, “fourth” and “fifth” freedom market access rights:

> 17 This Annex Section is based on the insightful study by Tan (2013).

> 18 **Third and fourth freedom** : If the Singapore carrier has rights to carry passengers from Singapore to Bangkok, it is utilising the “third freedom” granted by Thailand to Singapore. The reverse journey back to Singapore with the same rights would constitute the “fourth freedom”. **Fifth freedom** : In both directions, if the carrier have the right to stop over in Malaysia to drop off some passengers and fill up the vacated seats with new passengers picked up from there, this is the “fifth freedom” granted to Singapore by both Thailand and Malaysia that permits Singapore carriers to carry traffic between their respective points. **The seventh freedom:** Refers to the right of a carrier to connect two international points _outside of its home country_ . **The eighth freedom** : It means if the flight originates in the carrier’s home country (Malaysia), and operates between domestic points within the contracting party (Jakarta and Bali). **The ninth freedom** : It means, the same carrier operates between domestic points  (Jakarta and Bali) of contracting party without starting or ending in the home country.

9
_Note_ s: The figure presents the impulse response function of the primary balance to the adoption of a fiscal rule, with the rule(s) adopted at year _h_ = 0. The blue line shows the cumulative improvement in the primary balance _h_ years after fiscal rule adoption, compared to the counterfactual scenario of no adoption. The shaded blue area represents the 90% confidence interval. The analysis is based on 108 countries; the number of observations included in each regression ranges between 1,807 and 1,817.

# **4.2. Country characteristics**

Past studies have shown that the effectiveness of fiscal rules depends on specific country characteristics. Fiscal rules tend to be less effective in developing countries (Bova, Carcenac, and Guerguil 2014; Ardanaz and Izquierdo 2022) and in commodity-exporting countries (Bova, Medas, and Poghosyan 2016). Building on the baseline results, we break down the reaction of the primary balance to the adoption of fiscal rules based on these country characteristics.<sup>15</sup> We follow the approach of Jordà and Taylor (2024) and estimate the model across a set of _Dt-r_ data bins, allowing for state-dependent responses. Let represent a binary indicator capturing the state variable at time _t – r_ , where _r_ > 0 denotes the period prior to the adoption of fiscal rules. We can then estimate the local projections as follows: Here, _φ_<sup>_hz_</sup> captures the response of the primary balance to the adoption of fiscal rules in regime _z_ = 0,1 for different values of _h_ . Hence, we capture the average response to fiscal rules adoption, conditional on the current regime and controlling for relevant factors, while accounting for all possible future trajectories, including any future shifts in the state variable (Jordà and Taylor 2024).

<u>Figure 3</u> presents the results when distinguishing between advanced economies and EMDEs. In line with the existing literature, we find that fiscal rules in advanced economies have a significant and lasting impact on the primary balance (Debrun and

> 15 We apply the classification criteria used in World Bank (2024) to distinguish between advanced economies (AEs) and emerging market and developing economies (EMDEs), as well as to classify countries as either ‘commodity exporters’ or ‘commodity importers’.

14
Table 10: Comparing demand-driven and overall program effects by subgroup

|**Estimated coef**|**cients**|
|---|---|
|Demand-driven program|Pronatec (all)|
|(1)|(2)|
|All sectors<br>0.086***|0.005|
|_Panel A: by occupational group_||
|Industrial Processes and Production<br>0.106**|0.001|
|Management and Business<br>0.093***|0.079*|
|Infrastructure<br>0.085***|0.064***|
|Information and Communication<br>0.153***|0.074|
|Environment, Health and Education<br>0.088**|0.117***|
|Food Production<br>0.185*|0.171***|
|Natural Resources, Culture and Tourism<br>0.118**|0.056*|
|_Panel B: by occupational skill/wage level_||
|1 (Low)<br>0.080**|0.046***|
|2<br>0.090***|0.057***|
|3<br>0.086***|-0.043|
|4<br>0.127***|-0.328***|
|5 (High)<br>-0.198*|-0.771***|
|_Panel C: by region_||
|North<br>0.105***|0.017|
|Northeast<br>0.078***|0.016|
|Southeast<br>0.090***|0.014|
|South<br>0.043*|-0.024|
|Midwest<br>0.045**|0.027|
|_Panel D: by worker education level_||
|Primary Incomplete<br>0.056|-0.043|
|Primary<br>0.236***|0.107***|
|Middle<br>0.094***|0.026|
|Secondary<br>0.074***|0.052***|
|Post-secondary<br>0.036|0.033|

Notes: Columns 1 and 2 present difference-in-differences IV estimates of course completion, estimated separately by course or trainee characteristics in firm-requested and broader _Pronatec_ courses. Significance for coefficients presented in Columns 1 and 2 indicated by: _∗ p < ._ 1, _∗∗ p < ._ 05, _∗∗∗ p < ._ 01.

37