Reducing the Transaction Costs of Development Assistance Ghana's Multi-Donor Budget Support (MDBS): Experience From 2003 To 2007
This paper examines whether the structure of the Multi-Donor Budget Support (MDBS) in Ghana evolved over time to minimize transaction costs commonly found in accessing and delivering development assistance in multi-donor settings. While the MDBS was expected to reduce the transaction costs involved...
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| Format: | Elektronisch E-Book |
| Sprache: | English |
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Washington, D.C
The World Bank
2007
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| Online-Zugang: | BSB01 EUV01 HTW01 FHI01 IOS01 Volltext |
| Zusammenfassung: | This paper examines whether the structure of the Multi-Donor Budget Support (MDBS) in Ghana evolved over time to minimize transaction costs commonly found in accessing and delivering development assistance in multi-donor settings. While the MDBS was expected to reduce the transaction costs involved in dealing with multiple development agencies, it created three additional sources of transaction costs: coordination failures, the costs of collective action, and measurement costs. The answer that emerges from this paper is that the structure of the MDBS evolved to mitigate these transaction costs. The problems associated with coordination was addressed by delegating the policy dialogue to sector-specific groups aimed at reaching agreements over a narrower set of issues and amongst a smaller group of participants. Also, the MDBS reduced the cost of collective action by devising rules that allowed all the participating agencies to have a role in the decision-making process, and, in doing so, encouraged these agencies to increase the share of their contribution coming through the MDBS, rather than through large projects and off-budget disbursements. There was less success in reaching a settled view on how to reduce so-called measurement costs, however. While the group of development agencies made several attempts to overcome the difficulties in measuring progress in the program supported by the MDBS, it was not able to reach consensus on the extent to which the monitoring of the program should rely on outcome indicators. The Government did not favor the use of outcome indicators, and some development agencies placed greater emphasis on maintaining a dialogue around policy actions aimed at reaching the desired outcomes |
| Beschreibung: | 1 Online-Ressource (27 Seiten)) |
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| 520 | 3 | |a This paper examines whether the structure of the Multi-Donor Budget Support (MDBS) in Ghana evolved over time to minimize transaction costs commonly found in accessing and delivering development assistance in multi-donor settings. While the MDBS was expected to reduce the transaction costs involved in dealing with multiple development agencies, it created three additional sources of transaction costs: coordination failures, the costs of collective action, and measurement costs. The answer that emerges from this paper is that the structure of the MDBS evolved to mitigate these transaction costs. The problems associated with coordination was addressed by delegating the policy dialogue to sector-specific groups aimed at reaching agreements over a narrower set of issues and amongst a smaller group of participants. Also, the MDBS reduced the cost of collective action by devising rules that allowed all the participating agencies to have a role in the decision-making process, and, in doing so, encouraged these agencies to increase the share of their contribution coming through the MDBS, rather than through large projects and off-budget disbursements. There was less success in reaching a settled view on how to reduce so-called measurement costs, however. While the group of development agencies made several attempts to overcome the difficulties in measuring progress in the program supported by the MDBS, it was not able to reach consensus on the extent to which the monitoring of the program should rely on outcome indicators. The Government did not favor the use of outcome indicators, and some development agencies placed greater emphasis on maintaining a dialogue around policy actions aimed at reaching the desired outcomes | |
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| spelling | Cavalcanti, Carlos Verfasser aut Reducing the Transaction Costs of Development Assistance Ghana's Multi-Donor Budget Support (MDBS) Experience From 2003 To 2007 Cavalcanti, Carlos Washington, D.C The World Bank 2007 1 Online-Ressource (27 Seiten)) txt rdacontent c rdamedia cr rdacarrier This paper examines whether the structure of the Multi-Donor Budget Support (MDBS) in Ghana evolved over time to minimize transaction costs commonly found in accessing and delivering development assistance in multi-donor settings. While the MDBS was expected to reduce the transaction costs involved in dealing with multiple development agencies, it created three additional sources of transaction costs: coordination failures, the costs of collective action, and measurement costs. The answer that emerges from this paper is that the structure of the MDBS evolved to mitigate these transaction costs. The problems associated with coordination was addressed by delegating the policy dialogue to sector-specific groups aimed at reaching agreements over a narrower set of issues and amongst a smaller group of participants. Also, the MDBS reduced the cost of collective action by devising rules that allowed all the participating agencies to have a role in the decision-making process, and, in doing so, encouraged these agencies to increase the share of their contribution coming through the MDBS, rather than through large projects and off-budget disbursements. There was less success in reaching a settled view on how to reduce so-called measurement costs, however. While the group of development agencies made several attempts to overcome the difficulties in measuring progress in the program supported by the MDBS, it was not able to reach consensus on the extent to which the monitoring of the program should rely on outcome indicators. The Government did not favor the use of outcome indicators, and some development agencies placed greater emphasis on maintaining a dialogue around policy actions aimed at reaching the desired outcomes Online-Ausg Benchmark Benchmarks Debt Debt Markets Development Agencies Development Assistance Development Economics and Aid Effectiveness Development Policy Economic Theory and Research Finance and Financial Sector Development Fiscal Policy GDP Government Expenditures Macroeconomic Stability Macroeconomics and Economic Growth Public Sector Corruption and Anticorruption Measures Public Sector Expenditure Analysis and Management Cavalcanti, Carlos Sonstige oth Cavalcanti, Carlos Reducing the Transaction Costs of Development Assistance Ghana's Multi-Donor Budget Support (MDBS) http://elibrary.worldbank.org/content/workingpaper/10.1596/1813-9450-4409 Verlag URL des Erstveröffentlichers Volltext |
| spellingShingle | Cavalcanti, Carlos Reducing the Transaction Costs of Development Assistance Ghana's Multi-Donor Budget Support (MDBS) Experience From 2003 To 2007 Benchmark Benchmarks Debt Debt Markets Development Agencies Development Assistance Development Economics and Aid Effectiveness Development Policy Economic Theory and Research Finance and Financial Sector Development Fiscal Policy GDP Government Expenditures Macroeconomic Stability Macroeconomics and Economic Growth Public Sector Corruption and Anticorruption Measures Public Sector Expenditure Analysis and Management |
| title | Reducing the Transaction Costs of Development Assistance Ghana's Multi-Donor Budget Support (MDBS) Experience From 2003 To 2007 |
| title_auth | Reducing the Transaction Costs of Development Assistance Ghana's Multi-Donor Budget Support (MDBS) Experience From 2003 To 2007 |
| title_exact_search | Reducing the Transaction Costs of Development Assistance Ghana's Multi-Donor Budget Support (MDBS) Experience From 2003 To 2007 |
| title_exact_search_txtP | Reducing the Transaction Costs of Development Assistance Ghana's Multi-Donor Budget Support (MDBS) Experience From 2003 To 2007 |
| title_full | Reducing the Transaction Costs of Development Assistance Ghana's Multi-Donor Budget Support (MDBS) Experience From 2003 To 2007 Cavalcanti, Carlos |
| title_fullStr | Reducing the Transaction Costs of Development Assistance Ghana's Multi-Donor Budget Support (MDBS) Experience From 2003 To 2007 Cavalcanti, Carlos |
| title_full_unstemmed | Reducing the Transaction Costs of Development Assistance Ghana's Multi-Donor Budget Support (MDBS) Experience From 2003 To 2007 Cavalcanti, Carlos |
| title_short | Reducing the Transaction Costs of Development Assistance Ghana's Multi-Donor Budget Support (MDBS) |
| title_sort | reducing the transaction costs of development assistance ghana s multi donor budget support mdbs experience from 2003 to 2007 |
| title_sub | Experience From 2003 To 2007 |
| topic | Benchmark Benchmarks Debt Debt Markets Development Agencies Development Assistance Development Economics and Aid Effectiveness Development Policy Economic Theory and Research Finance and Financial Sector Development Fiscal Policy GDP Government Expenditures Macroeconomic Stability Macroeconomics and Economic Growth Public Sector Corruption and Anticorruption Measures Public Sector Expenditure Analysis and Management |
| topic_facet | Benchmark Benchmarks Debt Debt Markets Development Agencies Development Assistance Development Economics and Aid Effectiveness Development Policy Economic Theory and Research Finance and Financial Sector Development Fiscal Policy GDP Government Expenditures Macroeconomic Stability Macroeconomics and Economic Growth Public Sector Corruption and Anticorruption Measures Public Sector Expenditure Analysis and Management |
| url | http://elibrary.worldbank.org/content/workingpaper/10.1596/1813-9450-4409 |
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