ippg cluster on state-business relations emerging themes and policy messages
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IPPG Cluster on State-Business Relations Emerging themes and policy messages. Dr Dirk Willem te Velde 15-18 December 2009 CUTS-IPPG meeting Jaipur. Introduction. Diversity; heterogeneity; disciplines Audiences, messages, channels Quick synthesis What’s next?. - PowerPoint PPT PresentationTRANSCRIPT
IPPG Cluster onState-Business Relations
Emerging themes and policy messagesDr Dirk Willem te Velde 15-18 December 2009
CUTS-IPPG meeting Jaipur
Introduction
Diversity; heterogeneity; disciplines
Audiences, messages, channels
Quick synthesis
What’s next?
Diversity in methodology, methods and unit of analysis
Political/historical analysis of SBR Country level State level
Measuring SBR Country level Firm / individual level
Econometrics of effects of SBR Multi-Country level Meso / sector level Micro level
Functional approaches Case studies (sometimes combining all of this!), formal/informal
Audiences
Academia (e.g. journal readers and colleagues, especially those that work in “silos”)
Policy makers (national/state) Politicians (pro labour, pro capital) Business (small and large) CSOs Media External actors, donors, funders (bilateral eg
DFID, multilateral eg World Bank, UNIDO)
Messages
Academic – innovations in literature in institutions and growth
Measurement – new debates amongst disciplines, pushing the disciplinary boundaries
SBRs matter, whether formal or informal (e.g. check variation in states, or countries)
Formalised SBRs fulfill economic functions e.g. through budget process (Zambia, Mauritius)
Formalised SBRs can work, but they can fail to function when there is no buy-in (Mauritius vs South Africa)
Voice of small business in formal BAs (Mauritius) AND in informal bargaining (South Africa) often underrepresented
Channels
IPPG discussion papers IPPG briefing notes Conferences and workshops Breakfast meetings Press releases Blogs E-mail discussions Journal articles Informal contacts
SBR case studies (Africa)Synthesising SBR Research
Drivers Describe/ measure
Economic functions
Effects on growth performance
GhanaHistorical institutionalist inductive theories
Existing data sets Micro econometrics
MauritiusAnalytical and historical account Survey
Effect SBR on budget policy proposals
Micro econometrics / firm performance / macro economics
South Africa
Tracing history of state- business organisation, explore nature of sub-national SBR
Effect SBR on trade and industrila policy
Zambia
Effect SBR on allocation of pro poor public spending
SBR case studies (Africa)Synthesising SBR Research
Drivers Describe/ measureEconomic functions
Effects on growth performance
Ghana
Politics matters for determining forms of SBRs
Number of known politicians and bureaucrats; but formalised SBRs evolving rapidly
Informal networks with civil service and politicians matter, but questions on importance of formalised SBR remain
Mauritius
Long history of co-habitation (though disputed)
Proposals taken over by budgets (new measure)
SBRs affect govt budgets (via JEC) SBRs enhance growth
South Africa
Informal networks (politicians and big business) prevail
Historical accounts of SBRs Not significant No debate within NEDLAC
Zambia Budget proposals submitted
Effect SBR on allocation of pro poor public spending
Emerging themes(from African studies)
Formalised can SBRs matter. Mauritius (Rojid et. al .): Joint Economic Council is influential private sector actor in SBRs in Mauritius; Measured SBR leads to higher growth (1970-2005). How? E.g. suggested budget proposals for better industrial policies are frequently taken over by government budgets.
But effective formalised SBR cannot simply be put in place. South Africa (Natrass, Seekings): Nedlac did not provide a real consensus seeking forum, due to weaknesses in state, although some success in industrial policy.
Formal consultative fora do perform useful functions helping business at macro level. Zambia (Bwalyas, et al.): analysis of new, transparent mechanisms to channel budget proposals suggest that business organisations / actors have influenced budget outcomes (esp using civil servants), more than other stakeholders.
There are informal SBRs; is it a stepping stone towards formalisation. Ghana (Ackah et al.): more developed social networks (politicians, civil servants) of firms (#256) lead to better firm performance
BA membership associated with better form performance. Across Africa (Qureshi and Te Velde): business membership leads to better firm performance by reducing policy uncertainty and lobbying, but individual lobbying remains important!
Linking audiences, messages and channels
Academics – new ways (methods and methodologies) of looking at (PP) growth which include SBRs (empirical examinations rooted in theory); journal articles and workshops
Government policy makers – we know that informal networks matter, but formalised ways of engaging with business can be useful for development, or specific interventions can help a better conduct of SBR, and we have a few specific suggestions how it can be fostered; briefings, informal contacts
Business – engaging in a well informed democratic conversation with government helps; SMEs feel underrepresented; meetings with business
Funders / donors – consider SBRs in advice and indices (eg engagement with WEF); SBRs evolve slowly over time, but there are critical junctures, and investing in SBRs matter; however, effective SBRs cannot simply be put in place; policy briefings
Possible ways forward
Syntheses and messages in print / actioned (academic and policy relevant)
SBR research and practice has a bright future It opens up new debates and can build bridges Gaps: primarily the what and how of economic functions,
interactions between formal and informal SBR, and formal/informal links, social networks/sociological
It has real relevance to today’s problems (e.g. GFC)
Keep on doing it
THANK YOU