PSet 3 Solutions

PSet 3 Solutions - ECON 116 Problem Set 5 Suggested Answers 1 Question 1 Only 5 percent of World Bank loans are reviewed for their development

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Unformatted text preview: ECON 116 Problem Set 5 Suggested Answers 1 Question 1 Only 5 percent of World Bank loans are reviewed for their development impact. These evalua- tions are based in part on self-evaluations by the staff in charge of the original projects and their implementing agencies, are done on a paltry budget, and are often sanitized as they are reviewed by management. There are several ways that can improve the evaluation process, for example, specifying concrete and measurable objectives in advance, disclosing case study information to outside scholars, using controlled experiments of particular interventions, or using an independent evaluation. 2 Question 2 Urban primacy is measured by the percentage of a countrys urban population that lives in the main city. Henderson shows that higher urban primacy increases commuting time in non-primate cities, which potentially reflects a drain of resources from investment in the non-primate cities public transport infrastructure (and towards the needs of the main city).public transport infrastructure (and towards the needs of the main city)....
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This note was uploaded on 01/20/2012 for the course ECON 116 taught by Professor Hoshi during the Spring '08 term at UCSD.

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PSet 3 Solutions - ECON 116 Problem Set 5 Suggested Answers 1 Question 1 Only 5 percent of World Bank loans are reviewed for their development

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