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Redistribution, Growth and Welfare democratic governments, greater corruption and larger unofFcial economies – which supports the idea that entry regulations are not in the public interest. Besley and Burgess (2004) Fnd that pro-worker state-level amend- ments to the Industrial Disputes Act in India were associated with lower output, employment, investment and productivity in regis- tered (formal sector) manufacturing and higher urban poverty. 5. Responsiveness and Accountability of Government Recent research has begun to look at how governments can be made more responsive and accountable for their actions Besley and Burgess (2002) show that state governments in India are more responsive to falls in food production and crop ±ood damage via public food distribution and calamity relief expenditure where local newspaper circulation is higher. They also Fnd that higher po-
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Unformatted text preview: litical competition and electoral turnout are associated with greater responsiveness to food production shortfalls and oods. Djankov et al. [2001] develop a remarkable data set on media own-ership patterns in 97 countries and Fnd that state ownership of the media is, on the whole, negatively correlated with good government. Summing Up Empirical approaches based on sub-national data provide the most credible base for economists to inuence the debate about global poverty reduction. The evidence based approach to policy has proven effective in a range of industrialized countries and its expansion into the devel-oping world is long overdue. The overarching theme is the centrality of the institutional context in which policy decisions are made. Development Economics, LSE Summer School 2007 19...
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This note was uploaded on 12/29/2011 for the course ECO 307 taught by Professor Dublin during the Spring '10 term at SUNY Stony Brook.

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