Media and DevelopmentMedia and Development- - New Approaches, New Approaches,

Changing ParadigmsChanging Paradigms

Anupama DokeniyaAnupama Dokeniya(adokeniya@worldbank.org)(adokeniya@worldbank.org)

World Bank InstituteWorld Bank Institute

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OverviewOverview ObjectivesObjectives

• Understanding the role and challenges of the mass media Understanding the role and challenges of the mass media in furthering economic developmentin furthering economic development

Traditional view of media and developmentTraditional view of media and development• Media as a tool of the ‘development project’Media as a tool of the ‘development project’• Communicating development messages to peopleCommunicating development messages to people

New paradigm of media and developmentNew paradigm of media and development• Enabling Enabling efficient functioning of marketsefficient functioning of markets by correcting by correcting

imperfect information (market information gap)imperfect information (market information gap)• Articulating citizen preferences and supporting Articulating citizen preferences and supporting better policy better policy

outcomesoutcomes (policy information gap) (policy information gap)• IImproving institutional mechanismsmproving institutional mechanisms for development for development

Challenges and Strategies for Improving Challenges and Strategies for Improving CapacityCapacity• Capacity building, Regulatory reformCapacity building, Regulatory reform

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Media & Development Media & Development - Traditional Paradigm- Traditional Paradigm

Traditional paradigm – intended to support Traditional paradigm – intended to support the ‘development enterprise’the ‘development enterprise’

The media were communication The media were communication intermediaries – behavior change for intermediaries – behavior change for development effortdevelopment effort

Communicating development messages Communicating development messages and policy decisions to peopleand policy decisions to people

Mirrored linear understanding of Mirrored linear understanding of development as a ‘modernization’ projectdevelopment as a ‘modernization’ project

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Limitations of Traditional ParadigmLimitations of Traditional Paradigm

Top-down modernization paradigmTop-down modernization paradigm

• Development as a function of people’s attitudes Development as a function of people’s attitudes and constraints – less emphasis on weak and constraints – less emphasis on weak institutions or policy failuresinstitutions or policy failures

• One-way communications – more focus on One-way communications – more focus on communicating development messages to communicating development messages to people than communicating citizen preferences people than communicating citizen preferences to governmentsto governments

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Limitations of Traditional ParadigmLimitations of Traditional Paradigm

Separation between the economic and the Separation between the economic and the politicalpolitical

• Media freedom considered a political issue, and Media freedom considered a political issue, and media as watchdog of democracy did not have media as watchdog of democracy did not have impact on development per seimpact on development per se

• Criticism could be considered being anti-Criticism could be considered being anti-developmentdevelopment

• Many post-colonial developing states used this Many post-colonial developing states used this as a means of subverting the mediaas a means of subverting the media

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Towards a New Paradigm of Media & Towards a New Paradigm of Media & DevelopmentDevelopment

Role of Media in addressing underlying Role of Media in addressing underlying constraints to development constraints to development

• Market EfficiencyMarket Efficiency Imperfect InformationImperfect Information

• Policy weaknessesPolicy weaknesses

• Institutional MechanismsInstitutional Mechanisms Corruption Corruption InefficiencyInefficiency Poor governance standards Poor governance standards Lack of participationLack of participation

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Media and DevelopmentMedia and Development

Nobel Laureate Amartya SenNobel Laureate Amartya Sen• There has been no famine in a country There has been no famine in a country

with a free presswith a free press

Besley et al (British economists) have Besley et al (British economists) have done research following on Sen and done research following on Sen and supported these conclusionssupported these conclusions

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Media’s Role in Addressing Media’s Role in Addressing Market EfficiencyMarket Efficiency

Provide crucial information about the Provide crucial information about the functioning of the economy – prices, supply functioning of the economy – prices, supply information etc.information etc.

Hence enable markets to function Hence enable markets to function effectively. If media have low capacity, effectively. If media have low capacity, imperfect information in the market, and will imperfect information in the market, and will not function well (prices – commodities, not function well (prices – commodities, stocks, business information)stocks, business information)

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Media’s Role in Addressing Media’s Role in Addressing Market Efficiency: Market Efficiency: ChallengesChallenges

Media might have low capacity to report Media might have low capacity to report on key economic issueson key economic issues

Improving skills and knowledge of Improving skills and knowledge of economic and business issues (eg: WBI’s economic and business issues (eg: WBI’s EBJ program)EBJ program)

Limited information availability in the Limited information availability in the market (infrastructure, systems not well market (infrastructure, systems not well developed)developed)

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Media’s Role in Addressing Media’s Role in Addressing Policy ChoicesPolicy Choices

Media can force policy decisions that are responsive to Media can force policy decisions that are responsive to needs of majority because of voting pressuresneeds of majority because of voting pressures

Economics of the Media – because of economies of scale Economics of the Media – because of economies of scale and large audiencesand large audiences

The characteristics of commercial media determined by The characteristics of commercial media determined by logic of advertisers – the audiences that advertisers favor logic of advertisers – the audiences that advertisers favor etc.etc.

Media production – economies of scale – the cost of Media production – economies of scale – the cost of additional information not significantly high. Hence the additional information not significantly high. Hence the media aim for larger audiencesmedia aim for larger audiences

Media can also elicit cooperation and popular support for Media can also elicit cooperation and popular support for good policies and reform programsgood policies and reform programs

(Source: Stromberg, 2002)(Source: Stromberg, 2002)

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The ‘Dividend’ of Good GovernanceThe ‘Dividend’ of Good Governance

Infant Mortality and Corruption

0

10

20

30

40

50

60

70

80

90

Weak Average Good

Control of Corruption x

0

2,000

4,000

6,000

8,000

10,000

12,000

Weak Average Good

Regulatory Burdenx

Per Capita Income and Regulatory Burden

Literacy and Rule of Law

0

25

50

75

100

Weak Average Good

Rule of Law xDevelopment

Dividend

Per Capita Income and

Voice and Accountability

0

1000

2000

3000

4000

5000

6000

7000

8000

9000

10000

Weak Average Strong

Voice and Accountability

Note: The bars depict the simple correlation between good governance and development outcomes. The line depicts thepredicted value when taking into account the causality effects (“Development Dividend”) from improved governance to betterdevelopment outcomes. For data and methodological details visit http://www.worldbank.org/wbi/governance.

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Media Role in Governance & Institutional Media Role in Governance & Institutional MechanismsMechanisms

CorruptionCorruption Expose instances of corruption without fear of being Expose instances of corruption without fear of being

penalized, and thus can provide a check on corruption penalized, and thus can provide a check on corruption (has to be supported by institutions of enforcement)(has to be supported by institutions of enforcement)

AccountabilityAccountability Hold governments accountable for the performance of Hold governments accountable for the performance of

their services, for policy decisions and for public their services, for policy decisions and for public expenditures (eg: citizen scorecards in Bangalore)expenditures (eg: citizen scorecards in Bangalore)

Enable citizen voice and participation – rather than Enable citizen voice and participation – rather than behavior change, channeling citizen voice in behavior change, channeling citizen voice in governmentgovernment

EfficiencyEfficiency Expose inefficiency in governments and public service Expose inefficiency in governments and public service

and force governments to become more effectiveand force governments to become more effective

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Free Press is Correlated with Less Free Press is Correlated with Less Corruption and Better Rule of LawCorruption and Better Rule of Law

0

40

80

Not Free Average Free

Per

cen

tile

Ran

k

Rule of Law

Control of Corruption

Sources: Freedom House, 2002 and KK2002

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Defining Media IndependenceDefining Media Independence

Independence refers to ‘the media industry’s Independence refers to ‘the media industry’s ability to report information it receives without ability to report information it receives without undue fear of being penalized’ – media industry undue fear of being penalized’ – media industry that is not controlled by any pressure group but that is not controlled by any pressure group but still has access to necessary data. (Islam, 2002)still has access to necessary data. (Islam, 2002)

Press freedom is a closely related concept, and Press freedom is a closely related concept, and emphasizes the media’s right to report and emphasizes the media’s right to report and comment on critical issues of public interestcomment on critical issues of public interest

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Global Snapshot of Press Global Snapshot of Press FreedomFreedom

1616Source: Privacy InternationalSource: Privacy International

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Freedom House Press Freedom Freedom House Press Freedom Survey, 2005Survey, 2005

Free (Score 1-30)Free (Score 1-30)• Western Europe, US (17), UK (18), Mali (23), Western Europe, US (17), UK (18), Mali (23),

Ghana (26), South Africa (26), Namibia (29)Ghana (26), South Africa (26), Namibia (29)

Partly Free (Score 31-60)Partly Free (Score 31-60)• India (38), Burkina Faso (40), Lesotho (42), India (38), Burkina Faso (40), Lesotho (42),

Uganda (44), Tanzania (51), Nigeria (52), Uganda (44), Tanzania (51), Nigeria (52), Sierra Leone (59)Sierra Leone (59)

Not Free (Score 61-100)Not Free (Score 61-100)• Kenya (61), Singapore (66), Ethiopia (68), Kenya (61), Singapore (66), Ethiopia (68),

Gambia (72), Guinea (73), China (82)Gambia (72), Guinea (73), China (82)

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Press Freedom: Comparing Europe Press Freedom: Comparing Europe and Sub-Saharan Africaand Sub-Saharan Africa

(Press Freedom Survey, 2005, Freedom House)(Press Freedom Survey, 2005, Freedom House)

Press Freedom in Western Europe

23

2

Free Partly Free

Press Freedom in Sub-Saharan Africa

8

16

24

Free Partly Free Not Free

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Countries Characterized as Not FreeCountries Characterized as Not Free (Press Freedom Survey, 2005, Freedom House)(Press Freedom Survey, 2005, Freedom House)

Countries Characterized as 'Not Free'

0 410

16

15

24

Western Europe Americas Central & Eastern EuropeMiddle East & North Africa Asia Pacif ic Sub-Saharan Africa

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Dimensions of Media IndependenceDimensions of Media Independence

Roumeen Islam (2002): Roumeen Islam (2002): • OwnershipOwnership• Economic Structure and FinancingEconomic Structure and Financing• Legal Structure (regulatory environment)Legal Structure (regulatory environment)• Policies Relating to Media IndustryPolicies Relating to Media Industry

Press Freedom Survey: Press Freedom Survey: • Economic DimensionsEconomic Dimensions• Political DimensionsPolitical Dimensions• Legal DimensionsLegal Dimensions

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Ownership TrendsOwnership Trends

Media ownership tends to be very highly Media ownership tends to be very highly concentratedconcentrated

Global Survey (97 countries): State controls over 60 Global Survey (97 countries): State controls over 60 per cent of TV stations and 29 per cent of per cent of TV stations and 29 per cent of newspapersnewspapers

Global Survey: family-controlled newspapers are 57 Global Survey: family-controlled newspapers are 57 per cent of total, and TV stations 34 per cent of totalper cent of total, and TV stations 34 per cent of total

In Africa, governments control 61 percent of the top In Africa, governments control 61 percent of the top five newspapers, and reach 85 percent of the five newspapers, and reach 85 percent of the audience for the top five television stationsaudience for the top five television stations

State ownership of the media tends to be higher in State ownership of the media tends to be higher in poorer countriespoorer countries

(Source: Djankov et al, 2002) WB research on ownership patterns)(Source: Djankov et al, 2002) WB research on ownership patterns)

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Ownership Ownership (Implications of State Ownership)(Implications of State Ownership)

State ownership is adversely correlated with press State ownership is adversely correlated with press freedomfreedom

Negative impact on citizen’s rights and corruption Negative impact on citizen’s rights and corruption (government ownership restricts information flows (government ownership restricts information flows to citizens, and hence rights, also lowers to citizens, and hence rights, also lowers accountability)accountability)

Negative correlation with security of propertyNegative correlation with security of property

In countries with high state ownership of media, In countries with high state ownership of media, poor health and education indicatorspoor health and education indicators

(Djankov et al, 2002, WB research on ownership patterns)(Djankov et al, 2002, WB research on ownership patterns)

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Ownership Ownership Corporate Ownership and IndependenceCorporate Ownership and Independence

Restrictions of state ownership being replaced by Restrictions of state ownership being replaced by commercial considerations and dominance by large commercial considerations and dominance by large corporate housescorporate houses

Nexus between politicians, media ownersNexus between politicians, media owners

Commercial interests can drive media to manipulate Commercial interests can drive media to manipulate information – advertising revenues are important in information – advertising revenues are important in both developed and developing countries.both developed and developing countries.

Large conglomerates – might be biased towards Large conglomerates – might be biased towards other interest controlled by itother interest controlled by it

(Source, Islam, 2002, James Dean et al. Media & Empowerment in (Source, Islam, 2002, James Dean et al. Media & Empowerment in Developing Countries)Developing Countries)

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Political EnvironmentPolitical Environment

Norms/traditions/political culture equally Norms/traditions/political culture equally importantimportant The BBC is state owned and accountable to the The BBC is state owned and accountable to the

government, but its charter gives in anonymity government, but its charter gives in anonymity in content and functioningin content and functioning

Even when privately owned, governments Even when privately owned, governments might harrass media (in fact, harrassment might harrass media (in fact, harrassment might be a substitute for ownership)might be a substitute for ownership)

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Sources of InformationSources of Information

The Right to Tell, World Bank The Right to Tell, World Bank InstituteInstitutehttp://www.worldbank.org/wbi/righttotell.htmlhttp://www.worldbank.org/wbi/righttotell.html

Press Freedom Index, Freedom Press Freedom Index, Freedom HouseHousehttp://www.freedomhouse.org/research/http://www.freedomhouse.org/research/

pressurvey.htmpressurvey.htm

Thank YouThank You