This paper analyzes the dynamic effects
of rate-of-return regulation on firms’ emissions compliance
behavior when the price of emissions permits is uncertain.
The paper shows that uncertainty regarding the price of
permits would motivate a regulated firm to adopt a more
self-sufficient strategy and would reduce the
cost-effectiveness of emission allowance trading. When
allowance transactions are treated as capital investments,

In May 2005, the Bank adopted a new
policy and new procedures on Additional Financing
(OP/BP13.20) for investment lending, replacing the previous
policy on supplemental financing. This policywas later
revised in March 2012. This learning product assesses the
performance of the AdditionalFinancing (AF) operations
approved since then and draws lessons from their
implementationexperience. The assessment focuses on AF in

This report follows the evolution of
carbon pricing around the world. Last year's report
mapped the main carbon pricing initiatives. This year the
report presents the status of each of these developing
initiatives and explores the emerging trends of carbon
pricing. The focus is on the recent highlights from around
the world and on key lessons that can be drawn from the
growing experience. Despite the difficult ongoing

The inability to unlock natural resource
wealth for the benefit of developing countries’ local
populations, a phenomenon popularly known as the ‘resource
curse’ or the ‘paradox of plenty’, has spawned extensive
debate among researchers and policy makers in recent years.
There is now a well-established body of literature exploring
the links between natural resources and conflict, with some
sources estimating that over the past 60 years, 40 percent

Most trade moves along a few
high-density routes: the corridors. Improving their
performance has emerged as a necessary ingredient for growth
and integration into the regional and global economy. In
Africa, this is recognized at the continental level, where
program for infrastructure development in Africa (PIDA) has
identified 42 corridors that should form a core network for
regional integration and global connectivity. Several

The Millennium Ecosystem Assessment
(MEA), The Economics of Ecosystems & Biodiversity study
(TEEB) and the Intergovernmental Platform on Biodiversity
and Ecosystem Services (IPBES) provide a comprehensive and
useful framework to understand human dependence on ecosystem
services and how best to protect these services in
perpetuity. In these three authoritative studies, payment
for ecosystem services (PES) is listed as one of the

Although the potentially negative
impacts of credit constraints on economic development have
long been discussed conceptually, empirical evidence for
Africa remains limited. This study uses a direct elicitation
approach for a national sample of Rwandan rural households
to assess empirically the extent and nature of credit
rationing in the semi-formal sector and its impact using an
endogenous sample separation between credit-constrained and

This issue includes the following
headings: finding the right broadband public-private
partnership (PPP): whats key for emerging economies?; reform
has its rewards: telecom takes off in Myanmar; e-gov
excellence: models from Colombia, Ghana, India, and
Portugal; know what you know: creating a government
technology strategy; and closing the gap: Facebook and intel
connect the unconnected.

This paper explores the challenges and
opportunities that government officials face in designing
coherent 'rules of the game' for achieving urban
sustainability during times of growth. Sustainability is
judged by three criteria. The first involves elements of
day-to-day quality of life, such as having clean air and
water and green space. The provision of these public goods
has direct effects on the urban public's health and

The development community is
increasingly accepting the importance of evidence, feedback,
and learning. Some of which is generated through research,
monitoring, and self-evaluation during policy-making,
program design, and implementation. Others come from
feedback from people directly affected by interventions who
have gained a greater voice, be it through third-party
feedback mechanisms, social media, beneficiary surveys, or

This report describes efforts by the
ClimateWorks Foundation and the World Bank to quantify the
multiple economic, social, and environmental benefits
associated with policies and projects to reduce emissions in
select sectors and regions. The report has three objectives:
1) to develop a holistic, adaptable framework to capture and
measure the multiple benefits of reducing emissions of
several pollutants; 2) to demonstrate how local and national

The Association of Southeast Asian
Nations (ASEAN) brings together ten countries with over 620
million people and a combined gross domestic product of more
than USD 2.5 trillion. These countries are well integrated
into the global economy and have benefited from this
integration. And, as evidenced by their adoption of the
ambitious goal of forming an ASEAN Economic Community (AEC)
by 2015, they are committed to even deeper regional