Ronald McKinnon has died
Originally aimed at explaining disparities in economic development, the term has come back in vogue in recent years to describe many of the policy responses to the financial crisis and ensuing recession.
The right kind of interventionism
AMERICA’S economy is finally beginning to feel like it is picking up pace. According to figures published today by the Bureau of Labour Statistics, total employment in America increased by 248,000 in September, driven by big jumps in professional services, retail and healthcare. The unemployment rate dropped below 6% for the first time since 2008. Jobs growth figures for August and July were also revised up by 69,000, suggesting the economy was not as weak in those months as previously thought.
Not spluttering any more
Rwanda is a better place to do business than France, a country with a per-capita GDP about 61 times higher. Another report from the bank shows that of the 20 economies worldwide making the most progress in improving business regulation, nine are in SSA. But on the whole the picture is gloomy. The average ranking for SSA countries is considerably lower than that of the rest of the world (see chart). Some do very badly, taking up 19 out of the bottom 24 countries in the list. Average ranking in "Doing Business" report (Source: World Bank) What can be done to improve the situation? A new paper from the Centre for Global Development, a think tank, has one interesting suggestion:...