The authors focus on two ...

The authors focus on two broad questions: 1) what is the proper role for project evaluation in today's world, where countries have reduced major economic distortions and are reconsidering the role of the state? and 2) besides project evaluation, how else can economic analysis ensure high-quality projects? The authors argue for a shift in the emphasis of project evaluation away from a concern with precise rate of return calculations to a broader examination of the rationale for public provision. In this context, three areas critical for proper project appraisal are the counterfactual private sector supply response, the fiscal impact, and the fungibility of lending. (1) Counterfactual private sector supply response. Any type of cost-benefit analysis - be it in the public or the private sector - requires the project evaluator to specify the counterfactual: what would the world have looked like in the absence of the project? Since World Bank projects are public sector projects, the relevant counterfactual involves assessing what the private sector would have otherwise provided, and the relevant magnitude for evaluation purposes is the net contribution of the public project. Failure to consider explicitly the private sector counterfactual during evaluation biases the lending mix of the Bank away from projects with strong public good characteristics toward projects with private good characteristics. (2) Fiscal impact. Applying the private sector couterfactual would lead the Bank to undertake projects with a reasonable case for public intervention, such as basic infrastructure, primary education, and rural health. These projects typically share the characteristics that costs are borne by the public sector while benefits are enjoyed by the private sector. But in the absence of nondistortionary, lump sum taxes, there is likely to be a positive marginal cost of taxation and a premium on public income. Since the Bank has not used such a premium and treats public costs and private benefits equally, it has systematically overestimated the net benefits of these projects. (3) Fungibility of lending. Project-specific appraisal can at best assess only the rate of return and the acceptability of the project being appraised. This limitation is problematic because the project might have been undertaken even without Bank financing. If that is the case, the Bank is actually financing some other project - one not subject to appraisal by the Bank - that would not have been in the investment program without Bank financing. This problem arises because financial resources are fungible to some extent. One way to alleviate this concern is to conduct public expenditure reviews before embarking on the appraisal and financing of specific projects. Furthermore, financing a portion of the government's sectoral investment program may be more effective than project-specific lending.

This books presents general principles and methodologies of quantitative risk analysis; provides theory and practice of how to evaluate health, transport and education projects and describes how to assess the environmental impact of projects. It looks at how the tools of cost benefit analysis can be applied from the point of view of the private sector, public sector, bankers, and the country as a whole. It encourages analysts to answer a number of key questions that are likely to increase success rather than simply describing techniques. This book as aimed at all concerned with resource allocation and is presented in an accessible fashion. It is required reading at World bank Institute courses.

Content Description #Includes bibliographical references.

Outcomes on World Bank education projects are better when the quality of project appraisal is good.

When a country emerges from violent conflict, the management of the environment and natural resources has important implications for short-term peacebuilding and long-term stability, particularly if natural resources were a factor in the conflict, play a major role in the national economy, or broadly support livelihoods. Only recently, however, have the assessment, harnessing, and restoration of the natural resource base become essential components of postconflict peacebuilding. This book, by thirty-five authors, examines the experiences of more than twenty countries and territories in assessing post-conflict environmental damage and natural resource degradation and their implications for human health, livelihoods, and security. The book also illustrates how an understanding of both the risks and opportunities associated with natural resources can help decision makers manage natural resources in ways that create jobs, sustain livelihoods, and contribute to economic recovery and reconciliation, without creating new grievances or significant environmental degradation. Finally, the book offers lessons from the remediation of environmental hot spots, restoration of damaged ecosystems, and reconstruction of the environmental services and infrastructure necessary for a sustainable peace. Assessing and Restoring Natural Resources in Post-Conflict Peacebuilding is part of a global initiative to identify and analyze lessons in post-conflict peacebuilding and natural resource management. The project has generated six books of case studies and analyses, with contributions by practitioners, policy makers, and researchers. Other books address highvalue resources, land, water, livelihoods, and governance.

This title was first published in 2001. This detailed empirical study illustrates the different sources of political and economic pressure that combine to produce a process of incremental innovation in Mexican state-society relations. Invaluable to political economists who have a specific focus on Latin America, Mexican politics and public sector reform.

The book is about the revival of China in the 20th century and the first decade of the 21st century. It has eight parts: (1) The civil revolution in China, (2) The countryside bases, (3) The Long Match of the Red Army, (4) The Anti Japanese War, (5) Decisive civil battles before the establishment of the People’s Republic of China, (6) The Mao Era before the Great Cultural Revolution, (7) The Great Cultural Revolution, and (8) The Reform and opening up. This version of the book is with pictures.