Examines the contribution of policies to the diversity in growth performance across the world, with special attention to complementarities among different policies and reforms, country-specific initial conditions, and the consequences of growth for income distribution and poverty reduction.
Institutions and Governance
Examines the impact of governance on multiple dimensions of economic performance, from service delivery to the effectiveness of pro-growth policies; explores the social and political incentives for governments to make decisions in the interest of citizens; and assesses policy responses to poor governance environments.
Financial Globalization and Financial Development
Examines, among many other things, the benefits and challenges of financial globalization and financial development, the causes and consequences of capital flows, exchange rate policy in a financially globalized world, the macroeconomic effects of aid and debt forgiveness, the functioning of financial institutions and markets, risk management, and access to finance.
Investment Climate and the Microeconomics of Growth
Analyzes how the various dimensions of the business environment—property rights, rule of law, regulatory framework, access to financial and infrastructure services—provide the incentives and opportunities for firms to invest, create jobs, and expand.
Studies the forces behind the high macroeconomic instability faced by developing countries, the role of country-specific institutional and structural features in amplifying or mitigating the effects of shocks, and the policy responses to limit the frequency and impact of disturbances.