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Working through the Crisis documents how the Great Recession affected employment outcomes in developing countries and how those countries governments responded. The chapters comprise a unique compilation of data and analysis from different sources, including an inventory of policies implemented during the crisis, among countries in Latin America, Eastern Europe, Asia, and Africa. The effects of the crisis depended on the size of the shock, the channels through which it was manifested, the structure of institutions in the country especially labor institutions and the specific policy responses undertaken. Although these factors resulted in differing outcomes among the countries studied, common patterns emerge. In terms of impacts, overall adjustments involved reductions in earnings growth rather than in employment growth, although the quality of employment was also affected. Youth were doubly affected, being more likely to experience unemployment and reduced wages. Men seemed to have been more severely affected than women. In most countries where data are available, there were no major differences between skilled and unskilled workers or between those living in urban and rural areas. In terms of policy responses, this crisis was characterized by a high prevalence of active interventions in the labor market and the expansion of income protection systems, as well as countercyclical stimulus measures. When timed well and sufficiently large, these stimulus measures were effective in reducing adverse employment effects. Specific sectoral stimulus policies also had beneficial effects when they were well targeted. However, social protection and labor market policy responses were often ad hoc, and not in line with the types of adjustments workers experienced. As a result, these policies and programs were typically biased toward formal sector workers and did not necessarily reach those who needed them the most. In retrospect, there is a sense that developing countries were not well prepared to deal with the effects of the Great Recession, and that the further development of social protection systems is crucial to better protect workers and their families from the next crisis."
The Results-Based Initiatives (RBI), launched in 2007, were a pioneering attempt to provide comprehensive, coherent and rigorous evidence on effective interventions to foster the economic empowerment of women. The RBI comprised five small pilots with built-in impact evaluation designed to identify what works best in promoting better outcomes for women as entrepreneurs, wage earners or farmers, under different country contexts. The programme was an innovative experiment in an important policy area. While there is a clear rationale for policy interventions to help remove constraints to women's economic empowerment, knowledge of what interventions work best in different settings remains limited. When the RBI were conceived, rigorous evidence in this area was close to nonexistent because no systematic impact evaluations had been carried out in developing countries. However, the RBI fell short of meeting several of their ambitious objectives. This study highlights lessons from the RBI with respect to both the impact of the interventions and dos and don'ts in the design and implementation of pilots. Regarding the impact on economic opportunities, the interventions did not generally increase women's earnings, with the exception of the Peru pilot. However, women who received training generally appreciated the access to new information and felt their skills and their involvement in business associations and networks had increased. However, it would be wrong to conclude that these interventions were not effective. The lack of robust positive impact may be due to the evaluations being conducted too soon to show fully the long-term effects of the interventions, or to problems in the design, implementation, or measurement of pilot outcomes. In particular, there was a clear need of an 'early warning system' to synchronise the corrections in the interventions with the design of the impact evaluation. The RBI were overambitious regarding what could be achieved with a limited budget and a short time frame.
Large regional disparities in labor market indicators exist in Central Europe and the Baltic region. Such disparities appear to be persistent over time indicating, in part, a lack of flexibility in the prevailing adjustment mechanisms. Internal labor mobility is often seen as an important instrument to reduce adjustment costs when other mechanisms fail. Drawing from a variety of data sources and utilizing a common empirical framework and estimation strategy, this study identifies patterns and statistical profiles of geographical mobility. It finds internal migration to be generalily low and highly concentrated among better-educated, young, and single workers. This suggests that migration is more likely to reinforce existing inequalities than to act as an equalizing phenomenon. By way of contrast, commuting flows have grown over time and are more responsive to regional economic differentials. The findings suggest the need for appropriate and country-tailored policy measures designed to increase the responsiveness of labor flows to market conditions.
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