Annual World Bank Conference on Development Economics 1996

360 pages. Abstract: These articles, initially presented at the Annual World Bank Confer ence on Development Economics, held April 25-26, 1996, address four themes: bank ing failures as crises or opportunities for reform; reducing poverty through tar geted programs and rural finance; legal systems and economic development; and la bor and environmental standards in international trade. Although covering varied topics, the articles share two overarching themes: the shifting role for govern ment in economic development, and the central role for government policy in each area as critical to development. The articles also focus on the role of institu tions, the importance of political and economic competition, and the role of law and political organization. Several articles stress the vital role of instituti ons and related incentives in finance. These articles and the keynote address di scuss the role of government as an institution, the balance between introducing competition within government and devolving government activities to the market, and the balance between deregulation and correction of market failures and the creation of markets. The authors note that political competition in bureaucracie s may be an effective surrogate for market competition. Also discussed is the gr owing recognition that as income rises, so does demand for labor and environment al standards. Another article shows that linking environmental standards to trad e will not achieve the goals sought by the standards and could disrupt trade. Mu ltilateral organizations may have an important advocacy role in ensuring fair pl ay in administering standards. The discussion on the role and the rule of law em phasizes the links between demand for law and the legal and political systems. L.…