Targeting the Poor: Local Economic Development in Developing Countries

SES #: 1 · TOPIC: First class / overview · READINGS: No readings

Huang, Yasheng. “China Could Learn from India.” Kantipur Daily , February 2, 2006.

Portes, Alejandro. “The Informal Economy and Its Paradoxes.” Chapter 17 in The Handbook of Economic Sociology . 2nd ed. Edited by Neil J. Smelser and Richard Swedberg. Princeton, NJ: Princeton University Press, 1995. ISBN: 9780691121260.

Saavedra-Chanduvi, Jaime. “The Informal Sector and the State: Institutions, Inequality, and Social Norms.” In Informality: Exit and Exclusion . By Guillermo Perry, William Maloney, Omar Arias, Pablo Fajnzylber, Andrew Mason, and Jaime Saavedra-Chanduvi. Washington, DC: The World Bank, 2007. ISBN: 9780821370926. Required: pp.215-223 (up to “The tax side…”), rest optional.

Peattie, Lisa. “What is to be Done With the Informal Sector? A Case Study of Shoe Manufacturing in Colombia.” In Towards a Political Economy of Urbanization . Edited by Helen Safa. New Delhi, India: Oxford University Press, 1982, pp. 208-232. ISBN: 9780195613070.

Perry, Guillermo, William Maloney, Omar Arias, Pablo Fajnzylber, Andrew Mason, and Jaime Saavedra-Chanduvi. Informality: Exit and Exclusion . Washington, DC: The World Bank, 2007, pp. 147-164 to “Cross country evidence…,” and pp. 175-177. ISBN: 9780821370926.

Kuruvilla, Sarosh, and Bryan Mundell. “Introduction.” In Colonialism, Nationalism and the Institutionalization of Industrial Relations in the Third World . Edited by Sarosh Kuruvilla and Bryan Mundell. Stamford, CT: JAI Press, 1999. ISBN: 9780762304967.

DiMaggio, Paul, and Walter Powell, eds. “The Iron Cage Revisited: Institutional Isomorphism and Collective Rationality in Organization Fields.” In The New Institutionalism in Organizational Analysis . Chicago, IL: University of Chicago Press, 1991, Chapter 3, pp. 63-82. ISBN: 9780226677095.

Meyer, John, and Brian Rowan. “Institutionalized Organizations: Formal Structure as Myth and Ceremony.” In The New Institutionalism in Organizational Analysis . Chicago, IL: University of Chicago Press, 1991, see especially pp. 54-62. ISBN: 9780226677095.

Joshi, Anu. “Public Sector Unions and Policy Reform: The Case of Joint Forest Management in West Bengal.” Draft article. Brighton, UK: University of Sussex, Centre for the Future State, Institute of Development Studies, 2006.

Goetz, Anne Marie. “Local Heroes? How Field Workers Determine Policy Outcomes.” In Women Development Workers: Implementing Rural Credit Programmes in Bangladesh . New Delhi, India: Sage Press, 2001. ISBN: 9789840516100.

Armendáriz, Beatriz, and Jonathan Morduch. “Microfinance: Where Do We Stand?” In Financial Development and Economic Growth: Explaining the Links . Edited by Charles Goodhart. Basingstoke, UK: Palgrave Macmillan, 2005. ISBN: 9781403920669.

Morduch, Jonathan. “Microfinance Without Trade-Offs.” Revised version of a keynote address delivered at the 3rd International Conference on Finance for Growth and Poverty Reduction, held at the University of Manchester, April 10, 2002. Draft dated August 26, 2002, sent by the author.

Bunker, Stephan. “Collaboration, Competition, and Corruption in Colonization Projects.” In Underdeveloping the Amazon . Chicago, IL: University of Chicago Press, 1990, pp. 180-198. ISBN: 9780226080321.

Tendler, Judith. Inside Foreign Aid . Baltimore, MD: Johns Hopkins University Press, 1977. ISBN: 9780801820168. Chapter 1, “Introduction”; chapter 2, “The Task and the Organizational Fit”; chapter 5, “The Abundance of Foreign Development,” pp. 54-58, 71-72, rest optional; chapter 7, “The Organizational Economy of Large Projects”; chapter 8, “Conclusion,” pp. 102-110, rest optional.

Hirschman, Albert O. Development Projects Observed . Washington, DC: The Brookings Institution, 1967 revised, 1997. ISBN: 9780815736516. Read Author’s 1994 preface, pp. vii-xii; Chapter 1 “The Principle of the Hiding Hand,” pp. 9-34; Chapter 2 “Uncertainties,” pp. 35-85 (pp. 75-85 optional); Chapter 3 “Latitudes and Discipline,” pp. 86-127; Chapter 5 “Project Appraisal: The Centrality of Side-Effects,” pp. 160-188. Optional: Foreword, Acknowledgements, and Chapter 4 “Project Design: Trait-Taking and Trait-Making, pp. 128-159.

Ban, Carolyn, and Mark Huddleston. “Exporting Administrative Reform to Eastern Europe and the Former Soviet Union: The Role of the Consultants in Technical Assistance.” Paper prepared for Annual Meeting of the Association of Public Policy and Management, Washington, D.C., November 1999.

Pires, Roberto. “The Forging of Regulatory Capacity: Coproduction Arrangements and Enforcement Styles in the Monitoring of the Labor Regulation.” Draft Paper, Department of Urban Studies and Planning, Massachusetts Institute of Technology, December 13, 2006.

Hirschman, Albert O. “Preliminary Explorations” and “Unbalanced Growth: An Espousal.” In The Strategy of Economic Development . New Haven, CT: Yale University Press, 1958, pp. 1-24 (pp. 1-7, rest optional) and pp. 62075.

Hirschman, Albert O. “Linkages.” In The New Palgrave Economic Development . Edited by John Eatwell, Murray Milgate, and Peter Newman. New York, NY: W.W. Norton & Company, 1989. ISBN: 9780393958508.

“Externalities” (A 3-page list of definitions of this and related concepts gathered from various sources in 2007.)

Ranis, Gustav, and Frances Stewart. “Rural Linkages in the Philippines and Taiwan.” In Macro-policies for Appropriate Technology in Developing Countries . Edited by Frances Stewart. Boulder, CO: Westview Press, 1987, pp. 140-191. ISBN: 9780813373034.

Haggblade, Steven, Peter Hazell, and Thomas Reardon. “Research Perspectives and Prospectives on the Rural Nonfarm Economy.” Chapter 16, including the table “Common Myths About the Rural Nonfarm Economy (RNFE).” In Transforming the Rural Nonfarm Economy: Opportunities and Threats in the Developing World . Baltimore, MD: Johns Hopkins University Press, 2007. ISBN: 9780801886645.

Gotsch, Carl. “Agricultural Mechanization in the Punjab: Some Comparative Observations from India and Pakistan.” In Land Tenure and Peasant in South Asia . Edited by Robert Frykenburg. New Delhi: Orient Longman, 1977.

Moss, Daniel. “Why Aren’t We Looking at Lessons about Producers-Buyers Relationship and Niche Markets in Non-Export Cases? Farmers and Wholesalers in El Salvador’s Central Wholesale Market.” Master’s Thesis, Department of Urban Studies and Planning, Massachusetts Institute of Technology, 2000.

Fajnzylber, Pablo. “Informality, Productivity, and the Firm.” In Informality: Exit and Exclusion . By Guillermo Perry, William Maloney, Omar Arias, Pablo Fajnzylber, Andrew Mason, and Jaime Saavedra-Chanduvi. Washington, DC: The World Bank, 2007. ISBN: 9780821370926. Required: pp. 147-164 up to “Cross-country evidence…,“and pp. 174-177; rest optional.

Brown, Charles, James Hamilton, and James Medoff. “Images of Large and Small Employers,” “The Economic Backdrop,” “Generating New Jobs,” “Wages: Bigger Means More,” “Who Benefits?” and “A Fuller Picture.” In Employers Large and Small . Cambridge, MA: Harvard University Press, 1990. ISBN: 9780674251625. (Chapters 2-5 optional).

Berger, Suzanne. “The Uses of the Traditional Sector in Italy: Why Declining Classes Survive.” In The Petite Bourgeoisie . Edited by Frank Bechafer and Brian Elliot. New York, NY: Saint Martin’s Press, 1981, pp. 71-89. ISBN: 9780333350720.

Almeida, Mansueto F. de Almeida, Jr. “Beyond Informality: Understanding the Dynamics of Public-Private Partnerships in Cluster Upgrading and Compliance in Brazil.” Doctoral Colloquium Paper, MIT, Department of Urban Studies and Planning, 2010.

Biddle, Jesse, and Vedat Milor. “Economic Governance in Turkey: Bureaucratic Capacity, Policy Networks, and Business Associations.” In Business and the State in Developing Countries . Edited by Sylvia Maxfield and Ben Schneider. Ithaca, NY: Cornell University Press, 1997, pp. 277-310. ISBN: 9780801484063.

Coslovsky, Salo. “Economic Development Without Pre-requisites: How Bolivian Firms Displaced Brazilian Competitors and Dominated the Global Brazil-Nut Business.” New York University, Wagner School, Forthcoming 2010.

Kaplinsky, Raphael. “Globalisation and Unequalisation: What Can Be Learned from Value Chain Analysis?” In Globalisation and Trade . Edited by Oliver Morrissey and Igor Filatotchev. London, UK: Routledge, 2001. ISBN: 9780714651590.

Schmitz, Hubert. “Globalized Localities: Introduction.” In Local Enterprises in the Global Economy: Issues of Governance and Upgrading . Edited by Hubert Schmitz. Northampton, MA: Edward Elgar, 2004, pp.1-19. ISBN: 9781845421922.

Hudson, R. “Institutional Change, Cultural Transformation, and Economic Regeneration: Myths and Realities from Europe’s Old Industrial Areas.” In Globalisation, Institutions, and Regional Development in Europe . Edited by Ash Amin and Nigel Thrift. Oxford, UK: Oxford University Press, 1996. ISBN: 9780198289166.

Bazan, Luiza, and Lizbeth Navas-Aleman. “The Underground Revolution in the Sinos Valley: A Comparison of Upgrading in Global and National Value Chains.” In Local Enterprises in the Global Economy: Issues of Governance and Upgrading . Edited by Hubert Schmitz. Northampton, MA: Edward Elgar, 2004, pp. 110-139. ISBN: 9781845421922.

Stiglitz, Joseph. “Democratic Development as the Fruits of Labor,” and explanatory preface to the paper. Keynote Address, IRRA (Industrial Relations Research Association), Boston, January 2000. Also available on Stiglitz Web site, and published with the same title in (1) Perspectives on Work 4 (2000): 31-38; and (2) The Rebel Within . Edited by Ha-Joon Chang. London, UK: Wimbledon Publishing Company, 2001, pp. 279-315. ISBN: 9781898855538.

Rodrik, Dani. “Tensions between Trade and Domestic Social Arrangements” and “Implications.” In Has Globalization Gone Too Far ? Washington, DC: Institute of International Economics, 1997, pp. 29-48 (recommended: pp. 69-85), rest optional. ISBN: 9780881322415.

Jacoby, Sanford. “Risk and the Labor Market: Societal Past as Economic Prologue.” In Sourcebook of Labor Markets: Evolving Structures and Processes . Edited by Ivar Berg and Arne Kalleberg. New York, NY: Kluwer Academic/Plenum, 2001, pp. 31-60. ISBN: 9780306464539.

Wood, Adrian. “Globalization and the Rise in Labor Market Inequalities.” The Economic Journal 108 (1998): 1463-1482.

Tewari, Meenu. “Footloose Capital, Intermediation and the Search for the “High Road” in Low-Wage Industries.” In Labour in Global Production Networks in India . Edited by Anne Posthuma and Dev Nathan. New Delhi: Oxford University, 2010. ISBN: 9780198064138.

Locke, Richard. “Industrial Adjustment and Industrial Relations in the Automobile Industry.” In Remaking the Italian Economy . Ithaca, NY: Cornell University Press, 1997, pp. 103-134. ISBN: 9780801484216.

Wayne Langley, Director, Division of Higher Education, Service Employees International (SEIU) Local 615

Leslie Cohen, Union organizer, steward, union representative, and negotiator.

“Interview with MIT Workers.” SEIU, draft publication, 2010.

Levinson, Jerome. “Worker Rights and the International Financial Institutions.” 2010. (Particular attention to Section IV on page 9 to the end.)

Elliott, Kimberly, and Richard Freeman. Can Labor Standards Improve under Globalization ? Washington, DC: Institute for International Economics, 2003. ISBN: 9780881323320.

O’Rourke, Dara. “Monitoring the Monitors: A Critique of PricewaterhouseCoopers (PwC) Labor Monitoring.” Department of Urban Studies and Planning, M.I.T. September 28, 2000. pp. 1-15.

———. “Multi-stakeholder Regulation: Privatizing or Socializing Global Labor Standards?” World Development 34, no. 5 (2006): 899-918.

Seidman, Gay. “Citizens, Markets, and Transnational Labor Activism”, “Labor Rights as Human Rights: Regulation in the Context of a ‘Thinned” National State,” “Constructing a Culture of Compliance in Guatemala,” “Citizenship at Work”—in chapters 1, 2, 5, and 6 in: Beyond the Boycott: Labor Rights, Human Rights, and Transnational activism . New York, NY: Russell Sage Foundation, 2007. pp. 1-14; 15-46, 102-131, 132-144. Rest optional. ISBN: 9780871547620.

Foster, Lauren and Alexandra Harney. “Why Ethical Sourcing Means Show and Tell.” Financial Times , April 22 2005. Comment and Analysis p. 17.

Keesing, Donald B., and Sanjaya Lall. “Marketing Manufactured Exports from Developing Countries: Learning Sequences and Public Support.” In Trade Policy, Industrialization, and Development: New Perspectives. Edited by Gerry Helleiner . New York, NY: Routledge, 1994. pp. 176-193. [A Study prepared for the World Institute for Development Economics Research (WIDER) of the United Nations University.] ISBN: 9780415107112.

Tewari, Meenu. “Varieties of Global Integration: Navigating Institutional Legacies and Global Networks in India’s Garment Industry.” Competition & Change 12 (March 2008): 49–67.

Tewari, Meenu, and Poonam Pillai. “Global Standards and Environmental Compliance in the Indian Leather Industry.” Oxford Development Studies 33 (June 2004): 246-267.

Helleiner, Gerald. Manufacturing for Exports in the Developing World: Problems and Possibilities . New York, NY: Routledge, 1995. ISBN: 9780415123877.

Wood, Adrian, and Kate Jordan. “Why Does Zimbabwe Export Manufacturers and Uganda Not? Econometrics Meets History.” In Globalisation and Trade. Edited by Oliver Morrissey and Igor Filatotchev . New York, NY: Routledge, 2001. pp. 91-116. ISBN: 9780714651590.

Meyer-Stamer, Jörg. “Local Economic Development: What Makes It Difficult, What Makes It Work.” Chapter 8 in Asymmetries in Regional Integration and Local Development . Edited by Paolo Giordana, Francesco Lanzafame and Jörg Meyer-Stamer. Washington, D.C.: Inter-American Development Bank, 2005. pp. 215-250. ISBN: 9781597820042.

Doeringer, Peter B., and David G. Terkla. “Turning Around Local Economies: Managerial Strategies and Community Assets.” Journal of Policy Analysis and Management 9, no. 4 (1990): 487-506.

Levy, Brian. “Can Intervention Work? The Role of Government in SME Success/Successful Small and Medium Enterprises and their Support Systems: A Comparative Analysis of Four Country Studies.” Policy Research Department, Finance and Private Sector Development Division, The World Bank. February 9, 1994.

Perez-Aleman, Paola. “Learning, Adjustment and Economic Development: Transforming Firms, The State, and Associations in Chile.” World Development 28, no. 1 (2000): 41-55.

Ortez, Omar. “Manufacturing Firms and Local Jobs: The Influence of Competitive Strategies on Labor in the Garment Sector of San Francisco El Alto, Guatemala.” Master’s Thesis, Department of Urban Studies and Planning, Massachusetts Institute of Technology. 2001.

Locke, Richard, Matthew Amengual, and Akshay Mangla. “Virtue out of Necessity?: Compliance, Commitment and the Improvement of Labor Conditions in Global Supply Chains.” Politics & Society 37, no. 3 (September 2009): 319-351.

Locke, Richard, Fei Quin, and Alberto Brause. “Does Monitoring Improve Labor Standards? Lessons from Nike.” Industrial Relations Research Review 61, no. 1 (October 2007): 1-29.

Piore, Michael J. “Labor Standards and Business Strategies.” Chapter 2 in Labor Standards and Development in the Global Economy . Edited by Stephen Herzenberg and Jorge F. Perez-Lopez. Washington, D.C., Department of Labor. 1990, pp. 35-45.

Locke, Richard M. “Industrial Adjustment and Industrial Relations in the Automobile Industry.” Chapter 4 in Remaking the Italian Economy . Ithaca: Cornell University Press, 1995. pp. 103-134. ISBN: 9780801484216.

Beckman, Bjorn. “Trade Unions, Institutional Reform, and Democracy: Nigerian Experiences with South African and Ugandan Comparisons.” In Transition: Critical Perspectives on Southern Africa, no. 48. 2002. (A revised version published in Changing continuities: The Local Politics of Democratisation in Developing Countries. Edited by John Harris, Kristian Stokke, and Olle Tornquist. [London: Palgrave, 2004]).

Murillo, Victoria, and Andrew Schrank. “With a Little Help from my Friends: Partisan Politics, Transnational Alliances, and Labor Rights in Latin America.” Comparative Political Studies 38 (October 2005): 971 - 999.

Hilton, Isabel. “Made in China.” Granta 89 (Spring 2005): 15-54 (particularly pp. 15-19, 43-47).

Winston, Andrew. “Wal-Mart’s new sustainability Mandate in China.” Business Week , Harvard Business Online section, October 28, 2008.

Greenhouse, Steven. “Unions Plan Big Drive for Better Pay at Nonunion Wal-mart.” The New York Times , December 11, 2004.

Shaiken, Harley. “Going South: Mexican Wages and U.S. Jobs After NAFTA.” The American Prospect 15 (Fall 1993): 58-64.

Gonzalez, David, and Samuel Loewenberg. “Banana Workers Get Day in Court.” The New York Times , January 18, 2003. Section B. p. 1.

Greenhouse, Steven. “Local 226, ‘The Culinary,’ Makes Las Vegas the Land of the Living Wage.” The New York Times , June 3, 2004. Section A, pp. 22 (Late Edition—Final).

———. “Union Takes New Tack in Organizing Effort at Pork-Processing Plant.” The New York Times , February 13, 2006. Section A, p.16 (Late Edition – Final).