Nigeria's long-run growth performance has been extremely poor. Between 1960 and 2000, real income per capita grew at only 0.43 percent per year. The situation improved between 2001 and 2006 when real per capita Gross Domestic Product (GDP) grew at an average annual rate of 4.2 percent. This paper demonstrates that the superior growth performance during 2001-06 is largely attributable to the impact of better leadership and economic policy making. The improved performance of the economy after 2003 arose from implementing a comprehensive economic reform program focusing on four main areas: macroeconomic reform; structural reform; governance and institutional reform; and public sector reform. The reforms, backstopped by improved oil revenue management, monetary policy implementation, and debt management, improved overall macroeconomic policy making. This resulted in real GDP growth averaging 7.1 percent per year between 2003 and 2006, an inflation rate of 10 percent in 2006, foreign exchange reserves of US$45 billion in 2006, and total external debt of only US$5 billion in 2006. Clearly, between 1960 and 2000, Nigeria's policy choices were poor, and the reforms that sought to correct them were plagued by inconsistencies, policy reversals, and lack of coherence. In contrast, due to good leadership, the reforms adopted in 2003 were consistent and have been implemented in a coherent manner.
Russia and other countries in the commonwealth of independent states that have implemented voucher privatization programs have to account for the puzzling behavior of insiders manager-owners-who, in stripping assets from the firms they own, appear to be stealing from one pocket to fill the other. This article suggests that asset stripping and the absence of restructuring result from interactions between insiders and subnational governments in a particular property rights regime, in which the ability to realize value is limited by uncertainty and illiquidity. As the central institutions that govern the Russian economy have ceded their powers to the provinces, regional and local governments have imposed a variety of distortions on enterprises to protect local employment. To disentangle these vicious circles of control, this article considers three sets of institutional changes: adjustments to the system of fiscal federalism by which subnational governments would be allowed to retain tax revenues generated locally; legal improvements in the protection of property rights; and the provision of mechanisms for restructuring and ownership transformation in insider-dominated firms. The aim of these reforms would be to change the incentives that local governments, owners, and investors face; to convince subnational governments that a more sustainable way of protecting employment lies in protecting local investment; to raise the cost of theft and corruption by insiders and local officials; and to allow investors to acquire controlling stakes in viable firms.
PRIZE NUMBER. ' APRIL, 1906 ¥OL. XI¥. HO. 2 GETTYSBURG COLLEGE GETTYSBURG, PA. M*Uft«0ftNMtf \m**nmm***mh*m*m EBTT«aBVRaMKEW8» PRIHT, , r HELP THOSE WHO HELP US. The Intercollejlate Bureau or Academic Costume. Cotrell & Leonard, ALBANY, N. Y. Makers of Caps, Gowns and Hoods to the American Colleges and Universities from the A tlan-- tie to the Pacific- Class contracts a specialty, Rlcia. G-owxis fcr tlxe ZF-u.lpit a-zid.Beaaels.- Seniors Going into Business or Technical Work should write us to-day for full information concerning desirable posi-tions in all parts of the country. We already gave 1,2:51 definite places for College, University and Technical School graduates to be-gin work in July or September and the list is growing daily. A choice of the beat opportunity is yours if you write us at once, stating age, course taken, practical experience if any. and line of work preferred. ^5e3a.n.s37-l-va.ziia. B'ld.g-., I»ls.ila,«a.elp3a.ia" ^a,.- Offices in Twelve Other Cities. Come and Have a Good Shave, or HAIR-CUT at Harry B. Seta's BARBER SHOP 35 Baltimore St. BARBERS' SUPPLIES A SPECIALTY. Also, choice line of fine Cigars. R. A. WONDERS Corner Cigar Parlors. A full line of Cigars, Tobacco, Pipes, etc. Scott's Corner, opp. Eagle Hotel GETTYSBURG, PA. Pool Parlors in Connection. IF YOU CALL ON C. A. Bloehe*, deuueler, Centre Square, He can serve you in anything you may want in REPAIRING)- or JEWELRY. i WE RECOMMEND THESE FIRMS. Established 1867 by Allen Walton SJfc Allen K. Walton, Pres. and Treas. Kobt. J. Walton, Superintendent. Hummelstown Brown Stone Company and Manufacturers of BUILDING STONE, SAWED FLAGGING, and TILE, WALTONVILLE, Iade in his image thou must nobly dare The thorny crown of sovereignty to share. Think not too meanly of thy low estate ; Thou hast a choice ; to choose is to create." THE MERCURY. 43 SONG OF THE WAITERS. BY ROE EMMBRT, '06. OH, we belong to the boarding-house, The boarding-house caf£, Oh, we don't bother with etiquette, For manners are in the way ; If you've got the " mon " you steps right in, And every man has his say ; You pays yer cash, And you gets yer hash, At the boarding-house cafe\ We brings yer in and we sets yer down, At the boarding-house cafd ; You bows yer face and you says yer grace,. If it happens to be yer way ; When you ask for bread look out for yer head',. And keep it out of the way, For we slings 'em down, And don't pass 'em around, At the boarding-house caf£. And we ain't a first class restaurant, At the boarding-house cafe ; We've just a common eatin-hou.se And there's no champagne-frappe Yer soup comes hot, right out of the pot, But it ain't no consomme ; But it goes to the spot, And yer gets a lot, At the boarding-house cafe. Oh, we feeds ten dozen students, At the boarding-house cafe ; Oh, we piles it in their faces, Just three times every day ; We starts 'em in for breakfast With some shredded, flaked, baled hay ; For dinner its mash, For supper its hash, At the boarding-house caf£. 44 THE MERCURV. O'1) things look mean and they ain't too clean, At the boarding-house cafe ; When the outfit ain't too dirty, Why you bet we lets 'em lay, For we feeds the college students And they don't care anyway ; They pays their cash, And they gets their hash. At the boarding-house cafe. A MODEL Y. M. C. A. BUILDING. G. E. WOLFE, '09. By the death of Sir George Williams, which occured some weeks ago, the world was newly reminded of the great organi-zation, the Young Men's Christian Association, which he es-tablished sixty-one years ago. In these years the Association has undergone such a great transformation that today it is a mighty factor for good every-where, devoting itself to a broad and diversified development of young men and boys and engaging in many enterprises for general social advancement. The most characteristic monu-ment to the memory of this noble man will be found not in St. Paul's Cathedral, where his body will lie, but in the Association buildings which have been erected all over the world for the carrying on of its great work. It is the purpose of this paper to sketch what the writer, and others who have seen it, consider a model Association building. No one walking down one of the principal streets, in the not far distant city of Lancaster, could fail to observe this model Young Men's Christian Association building, for it occupies one of the most imposing corners in the city, and is of consider-able size; the main building being four stories in height, 180 feet long by 63 feet wide, and extending, together with the an-nexed gymnasium, practically the length of a half-square. The external appearance of the building is also such as to at-tract notice, distinguished as it is for its beauty of architecture THE MERCURY. 45 and material. One's first impressions, then, on entering the building, are very pleasing, and, as one continues to make an inspection of it throughout, these first impressions invariably continue with the spectator. A marked- feature of the internal appearance of the building is its cheerfulness—it has a homelike air. The fact that care and taste has been exercised in the arrangement of every part is clearly in evidence. ' The walls throughout the building are hung with some of the most beautiful pictures that are to be had—fine reproductions of famous paintings, most of them, framed in neat, substantial frames ; all of them the gift of one of the city's most generous educators. These are not only pleas-ing to behold, but also make interesting and inspiring subjects for study. The attractive paper on the walls also adds greatly to the cheerfulness of the interior of the building—the designs in some of the rooms being quite rich—as do also the furnish-ings, which are elegant and serviceable. In fact, the internal appearance of the building,is all that one could desire. But the purpose to which every part of this splendid Asso-ciation building is dedicated is the thing that will interest one most, when making a tour of it. The basement is the first de-partment- visited,-and ihe first objects there to claim one's at-tention are the Twin Regulation Howling Alleys, the Manual Training Room, which is well equipped for practical work, and the Locker Rooms. The Swimming Pool, 40 feet long by 18 feet wide and 3 1-2 to 6 1-2 feet deep, the seven beautiful marble and nickeled Shower-Baths, constituting a most elegant bath equipment; the Boiler Rooms, Workshop and Store Cel-lars are also located on this floor. On the first floor are seven Store Rooms, the rentals of which contribute materially to the financial needs of the Asso-ciation, and the splendid Gymnasium with 2806 feet of floor space, equipped with the best appliances for health and devel-opment. The second floor is the working floor of the Association and contains the Reading Room, which is open to all the men of the city; the Library with its 8000 volumes; Member's and 46 THE MERCURY. Ladies' Parlors; the main floor of the Auditorium, which has a seating capacity of 835 ; and the Reception Halls and General Offices. On the third floor are located the Banquet Halls; a suite of rooms given over entirely to boys' work; the Bible Study Room; Committee Room; Auditorium Gallery; Magazine Closets and Kitchen. The fourth and top floor contains the Dormitories, the com-fortable rooms of which are furnished and maintained by the Ladies' Auxiliary; Educational Class Rooms, where young men can and do increase their store of learning in various branches.; Camera Dark Room, where the developing, toning, printing and mounting of pictures can be done most conven-iently ; and Boys' Printing Office. The value of this beautiful building is over $200,000, but the fact that it stands for all that is best in the physical, mental, social, and moral development of manhood, is what gives it its true worth. It provides an ideal place for the boy, as well as the young man, who is seeking to improve his spare moments, and who recognizes the value of association with his fellows in a healthful atmosphere. Though it is not by any means a mere place of amusement, it does furnish that which is most beneficial in this direction ; indeed the Association puts forth definite effort along this liner- to offset, if at all possible, the tendency of so many young men to gratify this element of their character in unclean places, the number of which in a city es-pecially is far too great. As an example of what is being done: in addition to the approved games constantly available, and the Star Course of entertainments, the Auditorium every Saturday evening during the winter season throws open its doors to the crowds, and furnishes most excellent entertainment in some form or another. The Physical Department in Association work today receives special attention, and this building providing as.it does the best gymnasium and apparatus obtainable, together with a most competent instructor, is there to offer men who need it the best possible means for scientific body building and health producing THE MERCURY. 47 work and there are many such, who from long hours in the office, behind the counter or in the study are forced to cry out for some sort of vigorous recreation. The Swimming Pool not only provides a luxury, which one must have enjoyed to ap-preciate, but is also an ideal place to acquire the fine art of swimming at any season of the year. However, all the various phases of Association life in an As-sociation building, interesting as they are, cannot be touched upon here, but it does seem in.place to express finally the hope that, especially in view of the fact that the Young Men's Chris-tian Association of Gettysburg College is striving to have a building of its own and thus increase its sphere of usefulness, this little description of a model Association building may arouse a deeper earnestness on the part of our students and friends to the extent that the time for the erection of the build-ing which will meet our needs here may be hastened. The necessity tor such a building is obvious, and it is to be hoped that all are interested. AMERICAN HUMORISTS. THOMAS E. SHEARER, '07. AMERICAN literature from its very beginning has had a delicate and exquisite humor. Who that has read the works of Washington Irving, the Father of American Litera-ture, has not been charmed with his humor? The same ques-tion might be asked concerning the works of J. Fenimore Cooper, the Founder of American Romance, and also of the earlier writings of Lowell, such as the " Biglow Papers," or his " Fable for Critics." Dr. O. W. Holmes acquired fame as a humorist from his Breakfast Table series, and even Hawthorne, with his " undercurrent ot melancholy and serious thoughtful-ness," has given glimpses of the higher and brighter side of life. Yet in this earlier period it would hardly have been predicted that there would ever be a class of writers who would make it a business to excite the laughter of the public. But the pro-fessional humorist made his appearence in the early '5o's, in 48 THE MERCURY. the persons of Benj. P. Shillaber and Frances M. Whitcher, of " Widow Bedott" fame. The former known to the public as " Mrs. Partington," was a very popular humorist. He was born in Portsmouth, N. H., in 1S14. For some years he was connected with various periodicals, and afterwards (1852) pub-lished " Rhymes With Reason and Without." This was fol-lowed by " Liie and Sayings of Mrs. Partington," " Partington-ian Patchwork " and " Ike Partington and His Friends." The droll sayings and blunders of " Mrs. Partington," drew smiles to the gravest of faces and made her a conspicuous character. Scarcely less prominent and slightly preceding her in time, was " Widow Bedott." Her quaint humor and playful descriptions of country life and society brought the writer immediate fame. " Widow Spriggins," added to the " Widow Bedott Papers," increased her fame. This authoress was born in Whitesboro, N. Y. in 1811 and died in 1852. Closely following these was a great number of humorists, among whom Samuel L. Clemens, Chas. Farrar Browne, Henry W. Shaw, Marietta Holly and E. William Nye are the most noted. Samuel L. Clemens, or-Mark Twain, as he is better known to the public, was one of the most successful of professional humorists. He was born in Florida, Mo., in 1835. He early learned the printing trade, was pilot on a river steamboat from 1855-*6i, when he became private secretary to his brother who then held a government position. He afterwards lived in Cali-fornia and in Hawaii, and later in Hartford, Conn., where he attained fame as a humorous lecturer. In the field of author-ship his broad humor soon gained for him a wide circle of readers. His most successful work was " The Innocents Abroad" published in 1869. Other well known works are " Adventures of Tom Sawyer," " Huckleberry Finn," etc. A good example of his humor is his story of playing jokes on a guide. The party was traveling in Italy, and after they had noticed the satisfaction the guide took in exciting their emotions, they never took any interest in anything. The doc-tor asked the questions, as he could keep his countenance, and ' MHBMMHHHHHMHHH1 THE MERCURY. 49 I looked more like an inspired idiot than any of the others. " It comes natural to him," said Mark. When the guide showed them relics of Columbus, none of them had ever heard of him, and so it was of everything else. " The guide was bewildered, nonplussed," he continues. " He walked his legs off, nearly, hunting up extraordinary things, and exhausted all his inge-nuity on us, but it was a failure; we never showed any interest in anything. He had reserved what he considered was his greatest wonder till the last—a royal Egyptian mummy. He took us there. He felt so sure, this time, that some of his old enthusiasm came back to him." " See, gentelmen !—Mummy ! Mummy !" The eyeglass came up as calmly, as deliberately as ever- « Ah what did I understand you to say the gentleman's name was ?" " Name ? he got no name ! Mummy !—'Gyptian mummy!" " Yes, yes, born here ?" " No, 'Gyptian mummy." " Ah just so. Frenchman, I presume ?" ■• No !—not Frenchman, not Roman !—born in Egypta !" " Born in Egypta. Never heard ot Egypta before. Foreign locality, likely. Mummy—mummy. How calm he is—how self possessed ! Is—ah—is he dead ?" " Oh, sacte bleu ! been dead three thousan' year!" The doctor turned on him savagely: " Here now, what do you mean by such conduct as this ? Playing us for Chinamen because we are strangers and trying to learn ! Trying to im-pose your vile second-hand carcasses on us ! Thunder and lightning! I've got a notion to—to—if you've got a nice fresh corpse, fetch him out!—or, by George, we'll brain you !" " Artemis Ward," as Chas. Farrar Browne is known, was a natural born humorist. Humor seems to have been his birth-right. It came from him as naturally as water flows from a spring. It sparkled in his conversation and gleams forth from all his writings. He was born in Maine, in 1834, and at an early age went West to make his fortune. After roving about for some time he entered newspaper work, contributing de- f I 5° THE MEKCURV. scriptions of an imaginary travelling menagerie, under the style of " Artemis Ward, Showman," while on a lecturing tour he had an opportunity to study the Mormons, and soon after, his book " Artemis Ward Among the Mormons," appeared. He was fond of giving himself the character of a showman and mingling lessons of good common sense with his droll witti-cisms. As such a character he tells the following experience with a " Woman's Club." " I pitched my tent in a small town in Injianny, one day last season, and while I was standin' at the dore takin' money a deppytashun of ladies came up and sed they was members of the Bunkumville Female Reformin and Wimins' Rites Asso-ciashun, and they axed me if they cood go in without payin.'" " Not exactly," sez I, " but you can pay without goin' in." " Dew you know who we air?" said one of the wimin—a tall and feroshus lookin' critter, with a blew kotton umbreller under her arm—" do you know who we air, Sir? " " My impreshun is," sed I, " from a kersey view, that you are females." " We air, Sur," sed the feroshus woman, " we belong to a Society whitch beleeve wimin' has rites—whitch beleeves in razin' her to her proper speer-—whitch beleeves she is endowed with as much intelleck as man is—whitch beleeves she is trampled on and aboozed—and who will resist hence4th and forever the encroachments of proud and domineerin men." During her discourse, the exsentric female grabbed me by the coat koller and was swinging her umbreller wildly over my head. " I hope marm," sed I, starting back, " that your intentions is honorable ! I'm a lone man hear in a strange place. Be-sides, I've a wife to hum." " Yes," cried the female, " she's a slave! Doth she never think of throwin' off the yoke of tyrinny and thinking and votin' for herself!—Doth she never think of these here things?" "Not bein' a natural born fool," sed I, by this time a little riled, " I kin safely say that she dothunt." - i THE MERCURY. 5 l "Oh what, what," screamed the female, " 0, what is the price that woman pays for her experiunce ! " " I don't know " sed I; " the price of my show is 15 cents pur individooal." " & can't our society go in free?" asked the female. " Not, if I know it," sed I. " Crooil, crooil, man ! " she cried and burst into teers. . " Won't you let my darter in ? " sed another of the exsentric females, " O, please let my darter in—she's a sweet gushin' child of nature." " Let her gush ! " roared I, as mad as I could be at their tarnal nonsense, " let her gush " whereupon they all sprung back with the simultaneous observashun that I was a Beest. " My female friends," sed I, " be-4 you leeve, I've a few re-marks to remark ; way them well. The female woman is one of the greatest institutions of which this land can boste. It's on-possible to get along without her. She is good in sickness— good in wellness—good all the time. O woman, woman," I cried, my feelin's worked up to a high poetick pitch, " you air an angel when you behave yourself, but when you take off your proper apparail & (metyforicolly speakin') get into panyloons— when you desert your firesides, & with your heds full of wimin's rites notions go round like roaring lions, seeking whom you may devour somebody—in short, when you undertake to play the man, you play the devil and air an emfatic noosance. " My iriends," I continued, as they were indignantly departin,' " way well what A. Ward has sed." Marietta Holley was a writer who saw the humorous side of things wherever one was to be found, and she presents it to her readers in the most agreeable manner. Her humor is with-out any apparent effort or anything that is far-fetched. It flows along in a natural spontaneous way that is delightful. Miss Holley was born near Adams, N. Y. In her early years she began to write sketches, poems and essays, some of which were published in a local paper and gave indications of the future success of the writer. Her first real literary effort appeared in a Philadelphia magazine under the pen name \1 S'< THE MERCURY. " Jemyme." After this she used the name of "Josiah Allen's Wife," by which she is now best known. It is said that her first book was refused by the publishing house, but that one member of the firm assumed the responsi-bility of bringing it out, and did so with eminent success.* Af-terwards, she published " My Opinions and Betsy Bobbet's" which was so successful that since then her books have been in constant demand. " Samantha at the Centennial" and " Sweet Cicely, or Josiah Allen's Wife as a Politician," both had large sales, but her most successful book was " Samantha at Saratoga" for which she received $ 10,000 before it was pub-lished. Nearly, one quarter of a million copies of this book have been sold. Owing to their length no example of her writings can be given here. Her biographer, however, says, " Her humor is of the wholesome type, imbued with common sense and she never provokes laughter at anything which is good. Ratherr in the most playful and laughter provoking manner, does she hit off the follies and foibles of society. She can see some-thing humorous in almost every person, every snatch of con-versation and every style of dress." Edward William Nye was a writer of humorous sketches. He is known to the public as " Bill Nye," the signature under which his articles were published. He was born in Shirley, Maine, in 1850. While he was yet a child the family moved to the West, and he received his education at Falls River, Wis, Later he went to Wyoming where he studied law and was ad-mitted to the bar in 1876. At an early age he began to con-tribute humorous sketches to the papers. For some years he was connected with various western journals and it was while he was editor of the Laramie "Boomerang" that his fame spread beyond the confines of the West. He finally settled in New York, where he contributed to the " World " and to some other prominent papers. He made a lecturing tour through Europe, and on his return lived at Ashe-ville, N. C, where he died in 1896. His writings have been — HBHMMM BHMHP If THE MERCURY. 53 published in book form under the titles—" Bill Nye and Boom-erang," " The Forty Liars," " Baled Hay," and " Remarks." He says the discovery of New York occurred in this man-ner : " About this time a solitary horseman might have been seen at West Two Hundred and Ninth street, clothed in a lit-tle brief authority, and looking out to the West as he petu-lantly spoke in Tammany dialect. As he stands there aboard of his horse one sees that he is a chief in every respect, and in life's great drama would naturally occupy the middle of the stage. It was at this moment that Hudson slipped down the river from Albany, past Fort Lee, and, dropping a knickle into the slot at One Hundred and Twenty fifth street, weighed his anchor at that place. As soon as he had landed and discovered the city, he was approached by the chief, who said :." We gates. I am on the the committe to show you our little town. I suppose you have a power of attorney, of course, for dis-covering us?" " Yes," said Hudson. " Very good," said the chief, as they jogged down town on a Sixth Avenue elevated train towards the wigwams on Four-teenth street. " We do not care especially who discovers us so long as we hold control of the city organization. How about that, Hank ?" " That will be satisfactory," said Mr. Hudson, taking a pack-age of imported cheese and eating it, so they could have the car to themselves. Thus was New York discovered via Albany and Fort Lee, and five minutes after the two touched glasses, the brim of the Schoppin and the Manhattan cocktail tinkled together, and New York was inaugurated." There yet remains space, to say but a few words about " Josh Billings " and to give his " Letter to Farmers." Henry W. Shaw, or " Josh Billings," was the son of a Massachusetts Congressman and was born April 21,1818, He entered Hamil-ton College but soon tired of college life and ran away to the West. There he led a roving life, at one time he was a coal-dealer ; again, he was a farmer, and then he became a steam- 54 THE MERCURY. boat captain. He finally settled in Poughkeepsie, N. Y., as a real estate agent and auctioneer. The quaint spelling he adopted has had much to do with the popularity of his productions. He wrote an " Essay on the Mule" which received no notice; then adopting dialectic spel-ling his " Essa on the Muel, by Josh Billings," was reproduced in halt the papers of the country. His homely humor, plain common sense and droll manner, made him popular as a lectuier. Among his publications are— " Josh Billings on Ice ; " " Every Boddy's Friend ;" " Trump Kards ; " and " Josh Billings Allminax," which continued for ten years with a circulation of over one hundred thousand copies a year. He died in Monterey, Cal, in 1883. LETTER TO FARMERS. Beloved Farmers : Agrikultur iz the mother ov farm pro-duce ; she is also the step.mother of garden sass. Rize at half-past 2 o'clock in the morning, bild up a big fire in the kitchen, burn out two pounds ov kandles, and greeze yure boots. Wait pashuntly for dabrak. When day duz brake, then commence tew stir up the geese and worry the hogs. The happiest man in the world iz the farmer; he rizes at 2 o'clock in the morning, he watches for dalite tew brake, and when she duz brake, he goes out and stirs up the geese and worries the hogs. What iz a lawyer ?—what is a merchant ?—what is a dok. tor?—what is a.minister?—I answer, nothing. A farmer is the nobless work ov God ; he rizes at 2 o'clock in the morning, and burns out a half a pound of wood and two kords ov kandles, and then goes out tew worry the geese and stir up the hogs. Beloved farmers, adevv, JOSH BILLINGS. S THE MERCURY. 55 THE USE OF ROUTINE. E. VICTOR ROLAND, '07. THERE has never been an age when activity so pervaded every phase and condition of life, as in our present age. Whether we take a view of the industrial world, with its varied enterprises, or survey the broad field of intellectual pursuits, we behold every successful and renowned man actively engaged in his particular work. This must needs be true of every in-dividual, whether he be farmer or manufacturer, lawyer, preacher, or what not. We live in an age of great things, and consequently great things are expected of us, and in order that we may not be a disappointment to ourselves and others we must follow out some system or. routine of work. It shall not be our purpose to speak of the use of routine in the many pursuits of life, where it must necessarily be followed, if suc-cess is sought, but to consider it in relation to education and its importance in student life. A splendid example of routine is found in almost all of our schools and colleges. Take for instance the system followed out in every well regulated public school. The child takes up the study of certain branches, and continues these from day to day and from term to term, until he is able to take up other studies, ior the development of his higher faculties, and thus he continues until he has prepared to enter college, where the course is continued on the same plan. Just what routine should be adopted by the student when he enters college is hard to map out, but it is most essential that every college man adopt some routine to be followed out in his daily life. Now in order that one may not err in the mapping out of this daily plan of action there are three things that he must realize. First, that he has come to college above everything else to be a Christian man. Secondly, that he has come to college to acquire the training, that comes from the pursuit of such.studies as the curriculum offers. Thirdly, that there are various outside activities of the col-lege life that he must help maintain. r; I 56 THE MERCURY. Now as to the first. How is the student to maintain his Christian life, and raise it to a higher standard ? There seems to be only one reasonable way to do this, and that is to set apart a portion of every day, for the study of God's Word, and the cultivation of the secret prayer life. The college man has peculiar temptations, and it is only by following out the above plan, that he can hope to combat successfully with them. 'Twill not be necessary to say to the one who follows out the above plan, that he should attend as many of the religious services associated with the institution, as are possible. So then we will consider this as the first step toward a successful routine. It would hardly seem necessary to say that every student who enters college, should pursue energetically the studies composing the regular course. It is only through this plan that he can ever expect to become a learned man. Taking for granted, that every student realizes this, there might be added a word in regard to how these studies should enter into the day's work. Every lesson should have a certain portion of the day in which to be gotten out, and if possible nothing else should be allowed to interfere. It might be added here, that a portion of every, day could be well used, if it were allotted to the study or reading of good literature. It is fitting also to say that some portion of the day, should be allotted for glancing over the daily newspapers. And now we come to the consideration of the outside work of college life, such as the literary societies, the college publi-cations, the musical clubs, and the various athletic sports. How much time a student can devbte to such matters, will de-pend largely on his ability to get out his required work. The ordinarily intelligent student will have some time to put on such work, and so he should help in whatever field he is fitted for. Every student should engage in some form of athletics, if it is possible lor him to do so, as all decent sports, will aid in giving him a strong body, which is the best condition for a free and healthy mind. It is a sad thing that many students do not realize the importance of the exercise of their physical organism, and thus quite a few leave college physical wrecks. ■■■■■Hi THE IVfERCURY Entered at the Postoffice at Gettysburg: as second-class Matter VOL. XIV GETTYSBURG, PA., APRIL, 1906 No. 2 Assoi tale Editors GEO. W. KESSLER, '08 J. K. ROBB, '08 EDMUND L. MANGES, '08 Advisory Board PROF. J. A. HIMES, LITT.D. PROF. G. D. STAHLEY, M.D. PROF. J. W. RICHARD, D.D. Editor-in-chief WARD B. S. RICE, '07 Exchange Editor THOS. E. SHEARER, '07 Business Manager THOMAS A. FAUST, '07 Ass't Bus. Managers. HENRY M. BOWER, '08 H. WATSON DAVISON,- '08 Published each month, from October to June inclusive, by the joint literary societies of Pennsylvania (Gettysburg) College. Subscription price, one dollar a year in advance; single copies 15 cent3. Notice to discontinue sending the MERCURY to any address must be accompanied by all arrearages. Students, Professors and Alumni are cordially invited to contribute. All subscriptions and business matter should be addressed to the Busi-ness Manager. Articles for publication should be addressed to the Editor. Address THE MERCURY, GETTYSBURG, PA. EDITORIALS. WE consider it no little pleas-ure to send to our readers, this month, a double prize number, consisting of the inter-collegiate oratorical prize oration, and the Senior Graeff prize essay. By these we are enabled to judge our position among the institu-tions of our rank, and to become acquainted with the merits and qualities of orations and essays which are worthy of reward and applause. 58 THE MERCURY. MUCH interest has been shown of late by the members of the literary societies. Some of the students are just beginning to realize the invaluable, practical benefits that are derived from this line of work. We note, with pleasure, a great im-provement in the work of the members and particularly of those who have been most active. It is this unceasing toil, this ever readiness to act, that has raised the plain of the achieve-ments of the societies so much nearer that of their ideal. The one great object of the societies is to create a desire in the hearts of their members for better and higher achievements in the literary field. We study our text books so that we may develop our minds, cultivate our intellects, and broaden our sphere of thought, but how are we to impart our knowledge to others, unless we learn to give expression to our.thoughts. If we should study our text books from now until eternity, what would we get ? Theory, that's all, simply theory. It is very good as far as it goes, but it doesn't go very far unless we are able to put it into practice. Be practical, are the key-words to success. By continued application we develop our intellect, but what will this development avail us unless we rightly direct it. The literary societies are the practical agents whereby an ease of speech and clearness of expression is at-tained. If you don't believe it, try it. Thousands of others have done so, and are now at the top of the ladder above the wrangling of the rabble. We congratulate the societies upon the rapid strides they have made toward excellence in every branch of their work, and, in the literary field, among the students, we hope soon to see even greater activity. * * * 1 GETTYSBURG has again triumphed. It was not on the ath-letic field ; it was not a victory over brute muscle and brawn ; but we are gratified to say that it was in the intellectual arena that she has shown her strength. One of Gettysburg's sons has brought honor to his Alma Mater from a field from which heretofore she has retreated in defeat, though honor-able, and each time with a firmer determination to finally con-quer. Her earnestness has now been compensated, and the THE MEKC'JRV. 59 victorious ivy of the 1906 inter-collegiate contest waves over her head. This victory, which several times has been on the point of being ours, but is now a reality, should be a stimulus to every loyal Gettysburg student. It should be our purpose to hold that which has been placed in our hands; it should be an at-tainment to which all should turn with that firm determination which is characteristic of final success. Then let us all realize the situation and prepare ourselves to contend with the future. Our chance will be small, if we put too much confidence in letting tomorrow care for itself; or if we attempt, in the very latest hour, to make a dash, for there is much truth in a bor-rowing from Hare : " Nothing bursts forth at once, the light-ning may dart out of a cloud ; but the day sends forth his bright heralds before him to prepare the world for his coming." We hope, fellow students, that you will not regard this lightly; for we know that these things are not mere chance, but the re-sults of careful and steady preparation. Nor do we believe that we are hoping for impossibilities, for we are confident that there are those in our midst who can again lead the Orange and Blue to victory. EXCHANGES. We acknowledge the receipt of the following exchanges: The Amulet, The Haverfordian, The Scio Collegian, The Sus-quehamia, Juniata Echo, The Forum, The Manitou Messenger, The Red and Blue, Augustana Observer, The State Collegian, The Dickinsonian, The College Student, The Drury Mirror, The Monthly Bulletin, Temple Echos, The Lesbian Herald, The Philomatliean Monthly, The Mountaineer, The Augsburg S. S. Teacher, The Star and Sentinel, The Gettysburg Compiler, and the Western Maryland College Monthly. The College Student contains a very readable essay on " Chas. Lamb—His Personal Qualities, His Dictaion and Rank as a Critic." The writer treats his subject systematically and the result is a unity which is very pleasing. 60 THE MERCURY. " American Students in Christian Mission " in The Philo-mathean Monthly contains some concise statements concerning the great Student Missionary Conventions. There have been five such conventions in America. The first was held in Cleve-land, Ohio, in 1891, and was attended by 680 delegates ; the second, at Detroit, Mich., enrolled 1325 delegates; the third was at Cleveland again, with 2221 delegates ; at the fourth, at Toronto, Canada, there were 2957 delegates and at the fifth, at Nashville, Tenn., their number was almost 5,000. The Augustana Observer this month is below par. Neither of its two articles are up to the standard, although one is writ-ten by an alumnus. Just the reverse is The Manitou Messen-ger. Its neat appearance is pleasing and the contents are in keeping with the appearance. The review of " Tito Melema " and the article on " Joan of Arc " are both good. We find The Red and Blue especially attractive this month. " The Sketch Book " is a novel feature, but highly entertaining. The article " The Lure of Bohemia " was read with profit and enjoyment. Prize Contest Essays are usually very profitable reading, but there is one in The Sitsquehanna entitled " Conrad Weiser— The Patron of two Races " that makes us wonder if the prize is not a booby affair. From all appearances the essay seems to be a compilation of heterogenous sentences, nearly every one of which is placed in a separate paragraph regardless of content. We trust there are other competitors, for we should not like to see a prize of any value and honor won by such an essav. PATRONIZE OUR ADVERTISER'S • i FURNITURE Mattresses, Bed Springs, Iron Beds, Picture Frames. Repair Work done promptly. Under-taking a specialty. * Telephone No. 97. £9C. E- Bender 37 Baltimore St., Gettysburg, Pa. The Windsor Hotel 1217=2 Filbert St., Philadelphia. Headquarters for Students. Thoroughly Renovated, Refurnished and Remodeled FRANK M. SCHEIBLEY, Manager. Graduate of Lafayette College 1898. A. G. Spalding & Bros. 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Background of the research This study intends to analyses the involuntary resettlement of an indigenous Dayak community due to the implementation of the Bakun Dam Project in Sarawak, Malaysia. The significance of this research is that it raises important questions on the impact of development imposed by the state government of Sarawak on the indigenous people who have been regarded as in need of change and to be brought closer to urbanization vis-à-vis modernization through resettlement. Involuntary resettlement due to development projects or infrastructure improvements is not a singular phenomenon and in this context it is often argued that development projects provide employment to the local population and enforce development. However, a dam project also displaces local people from their homes and traditional livelihood. This research focuses on the forced displacement of the indigenous communities at Sg. Asap resettlement because of the implementation of the Bakun Hydro-electric Project (BHP). It is viewed as an involuntary resettlement as the indigenous communities who were residing within the area of the planned BHP had no choice but to move to the resettlement. Their villages and native lands were claimed by the state government for the implementation for the BHP. Thus, the whole problem is focused on the question of why is the resettlement that is promised as a development program for the people by the state government of Sarawak being regarded as forced displacement. In this research, forced displacement is observed at three different levels. First, prior to resettlement, potential settlers are faced with the critical decision of abandoning their homes and livelihoods, causing emotional distress. Secondly, after moving to the new settlement, settlers are often confronted with inadequate compensation for their loss of natural resources, social heritage and land, adding misery to their already distressed situation. Thirdly, resettling people into an area without any supportive resources, i.e. resources whose, purpose is to improve the lives of the settlers compared to their previous situation, fails to accomplish the very purpose of such resettlement. Research objectives and Questions This research utilizes Michael Cornea's analysis, the Impoverishment Risks and Reconstruction (IRR) Model (2000), which brings to the main objective of this research that is to examine the outcomes of involuntary resettlement of the indigenous people. This research compares the situation confronted by the settlers in Sg. Asap resettlement to that definition of "involuntary population resettlement" advanced by Michael Cernea (1998). In this definition, there are two sets of distinct but related processes: displacement of people and dismantling of their patterns of economic and social organization, and resettlement at a different location and reconstruction of their livelihood and social networks. Other than that, the objectives of this research are: to observe if involuntary resettlement planned for meeting the labor needs for the oil palm estates is a catalyst for socio-economic development for settlers. And for policy recommendations, the sub-objectives are: •To subsequently evaluate the problems of accessing resources. •To study to what extent the involuntary resettlement has affecting the social and power structures. •To show the level of changes in social and power structure influencing livelihood strategies. •To examine the most effective network that has provided the people a platform to generate their livelihood. This research details the process and impact of the forced and involuntary displacement faced by the settlers. Factors highlighted include the indigenous people's coping mechanism and strategy in dealing with various issues related to land rights and usage, disagreement and differences in the new social structure, competition over limited natural resources and changing power structure and relations. Issues such as the problems within the household because of the changing family structure and changing role of elderly, men and women in the domestic unit are also highlighted in this research. Most important, this research focuses not only at the displacement issue but also illustrates how settlers rebuild and restructure their life and livelihood. Therefore, based on important concepts, livelihood, coping strategies and power structure, research questions raised are: 1.How do settlers cope with the fact of being involuntarily resettled and what do they do to deal with unanticipated consequences of the social changes that occur? 2.How do settlers manage the new social structure, conflict over limited resources and changing power structures and relations within their own community? 3.Which strategies currently used by these settlers have the potential to build a sustainable livelihood in the new settlement? Theoretical background This research takes the approach of regarding resettlement first and foremost as a catalyst for social change. However, resettlement in the context of 'force' or 'involuntary,' certainly does not ensure positive changes. Dessalegn (1989) defined resettlement in a different context: land settlement, colonisation, or transmigration, all referring to the phenomenon of people distribution, either planned or 'spontaneous'. Accordingly, 'resettlement as in Ethiopia implies moving people or people moving to new locations; colonization as in Latin America implies opening up or reclaiming lands for utilization; and transmigration is favoured by those writing on the Indonesian experience and the word suggests cross-ocean or cross island relocation' (Dessalegn, 1989:668). Palmer refers to resettlement as 'a planned and controlled transfer of population from one area to another' (1979:149). Tadros (1979:122), in analyzing resettlement schemes in Egypt, applied the United Nations definition of human settlement as: 'development of viable communities on new or unused land through the introduction of people' and further defined resettlement in two models: spontaneous and paternalistic. The spontaneous model leaves full scope for individual initiatives, and no support is provided by national or international organisations. No attention is paid to the proper place and function of the settlement within the national context. In the paternalistic model, technical support such as education, tools, equipment and other assistance is provided to the settlers (Tadros, 1979:122). The above definitions can be used in a different fashion for this research, thus the term 'forced' or 'involuntary resettlement'. In reality, despite the good intentions for developing communities, resettlement can also 'under develop' communities in the sense that such communities face greater hardship compared to life before resettlement. To this extent, the working definition of 'resettlement' in this research is a poorly planned resettlement through a forced, involuntary relocation of communities onto unused land that is inadequate for communities to develop a productive and fully functional socio-economic system. This research has adapted the concepts proposed by Michael Cernea (1998), looking at involuntary resettlement in general. The concept of involuntary resettlement (in this research also termed as forced resettlement), which is the comprehensive concept most often used in the current social science literature, integrates 'displacement' and 'resettlement' into one single term, in which the emphasis on involuntariness directly connotes the forced displacement. The usual description of 'involuntary population resettlement' consists, as mentioned earlier, of two sets of distinct but related processes: displacement of people and the dismantling of their patterns of economic and social organization, and resettlement at a different location with reconstruction of their livelihood and social networks. Resettlement refers to the process of the physical relocation of those displaced, and to their socio-economic re-establishment as family/household micro-units and as larger communities. Displacement implies not only physical eviction from a dwelling, but also the expropriation of productive lands and other assets to make possible an alternative use of the space. This is not just an economic transaction or a simple substitution of property with monetary compensation. Involuntary displacement is a process of unravelling established human communities, existing patterns of social organization, production systems and networks of social services. Overall, forced displacement of communities causes an economic crisis for most or all of those affected, entails sudden social disarticulation, and sometimes triggers a political crisis as well (Cernea, 1998:2-3). This research investigates the implications of resettlement and the reconstruction of the livelihood of the affected settlers. Impoverishment Risks and Reconstruction Model (IRR) provides important variables to explore these issues further. Several important variables in the IRR model are utilised to create an independent framework for this research, and is explained in the following section. As Cernea explained, the IRR is a model of impoverishment risks during displacement, and of counteractions to match the basic risks where the multifaceted process of impoverishment was deconstructed into its fundamental components. The components are: landlessness, joblessness, homelessness, marginalisation, food insecurity, increased morbidity and mortality, loss of access to common property assets, and community disarticulation. This analytical deconstruction facilitates understanding of how these sub-processes interlink, influence, and amplify each other. Reconstruction, then, is the reversal of the impoverishment processes, and can be understood and accomplished along the same variables, considered in a holistic, integrated way (Cernea, 2000:5; 2003:40). IRR focuses on the social and economic contact of both segments of the process: the forced displacement and the re-establishment. The model captures processes that are simultaneous, but also reflects the movement in time from the destitution of displacement to recovery resettlement (Cernea, 2000:18). There are three fundamental concepts at the core of the model: risk, impoverishment and reconstruction. Each is further split into sets of specifying notions or components (as mentioned above) that reflect another dimension, or another variable of impoverishment or reconstruction (for example, landlessness, marginalisation, morbidity or social disarticulation). These variables are interlinked and influence each other; some play a primary role while others play a derivative role in either impoverishment or reconstruction (largely as a function of given circumstances). The conceptual framework captures the disparity between potential and actual risk. All forced displacements are prone to major socio-economic risks, but they are not fatally condemned to succumb to them. Cernea further explains that in this framework the concept of risk, as stated by Giddens (1990), is to indicate the possibility that a certain course of action will trigger future injurious effects – losses and destruction. Following Luhman (1993), the concept of risk is posited as a counter-concept to security: the higher the risk, the lower the security of displaced populations (Cernea, 2000:19). The model's dual emphasis – on risks to be prevented and on reconstruction strategies to be implemented – facilitates its operational use as a guide for action. Like other models, its components can be influenced and 'manipulated' through informed planning to diminish the impact of one or several components, as given conditions require or permit. That requires considering these variables as a system, in their mutual connections, and not as a set of separate elements. The model is also flexible as a conceptual template, allowing for the integration of other dimensions, when relevant, and for adapting to changing circumstances (Cernea, 2000:20). This model can be linked with other conceptual frameworks, to achieve complementary perspectives and additional knowledge (Cernea, 2000:21). There are four distinct, but interlinked, functions that the risks and reconstruction model performs: A predictive (warning and planning) function A diagnostic (explanatory and assessment) function A problem-solution function, in guiding and measuring resettlers´ reestablishment A research function, in formulating hypotheses and conducting theory-led field investigations For this research, the function falls under the third function, the problem-resolution. As Cernea explained, the problem-resolution capacity results from the model's analytical incisiveness and its explicit action orientation. The IRR model is formulated with an awareness of the social actors in resettlement, their interaction, communication, and ability to contribute to resolution. The model becomes a compass for strategies to reconstruct settlers´ livelihoods (Cernea, 2000:22). The IRR model clearly points out the results of social change and social disorganisation caused by involuntary resettlement. For the purpose of analysis, the two major variables used for the framework are: loss of access to common property assets and; social and community disarticulation, give a crucial foundation to exhibit the implications of forced displacement. Both of the major variables have been linked to understand the problems that are occurring in the community and households (shown as dependent variables - the coping mechanisms, the way settlers manage risks and the type of resources that people engage to strategise their livelihood). Each component respectively points out the results of change caused by involuntary resettlement i.e. competition over forest resources, state land and living space, and; dismantling of traditional power structure, communal structure and family structure. Although the central theme of the theoretical framework is forced displacement, the framework is expanded to the investigation of coping mechanisms, power structure and relations, and the way settlers strategize their livelihood. The research framework has aimed clearly at the impact of involuntary resettlement which is concluded in this research as causing the changes and social disorganization in the social structure of the settlers. However, the framework also extends to another level for the investigation of the strategies of rebuilding and restructuring of settlers. Main research findings With regard to the perspective to develop the indigenous people through resettlement program, as shown in this research, there are more losses than gains being achieved especially on the settlers' side. What they have left behind (history, livelihood, rights and identity) at their natural environment cannot be retrieved, and uncompensated. And it is also a fact, as proven in this research that the uncompensated losses continue to be the sole grievances of settlers and the factor of causing continuous displacement amongst settlers. This research concludes that as much as the involuntary resettlement has brought many new challenges to the Kenyah-Badeng, many of these challenges are beyond their capability to manage. The underlying problem is settlers were not actively involved in designing their future in the new settlement from the very beginning the project was proposed. The settlers were receiving diminutive information about the resettlement program, and very limited public platform for them to participate or to voice out their concerns and suggestions before its implementation. The factor that causes their continuous displacement is the non-existence of natural resources and land (other than the three acres given to them as part of the compensation) for them to generate income (remember that most of them are farmers without any skill useful to work in non-agricultural activities). Their life in the former village was hard but they were free to explore as much resources as possible, and they owned their native land. In the resettlement, they are as much strangers to the place as to the way of life they are faced with at the new settlement. In other words, settlers simply do not know how to behave appropriately in radically changed social situations because they are not equipped with necessary living tools. The study of the displacement of the Kenyah-Badengs is concluded in three important aspects as follows: Power structure and relations - In power structure and relations, kinship has always been an important aspect that became the reference for any struggle over leadership issue. Kinship is viewed on a larger scale that includes not only blood relation, but also aspects such as others who came from the same root, indicating that kinship in that term was very much related to sharing of the same history of settlement, migration and culture. It has been proposed that kinship was one crucial aspect that binds this community together, but not likely to be true at the new settlement. The power structure in the Kenyah-Badeng community at the resettlement stand as a separate system, failed to bind the people together, no orders from the leader and not accepting orders by the people. However, they carry out the norm of being as peaceful community, as they have always been. Coping through family network – Because of the failure of power structure and relations, the Kenyah-Badeng become family/household oriented in their livelihood strategies. The family network proves to be the most important coping mechanism for such challenging social environment. The family network provides a platform for its members to generate income, employment, social and moral support, education, and security in general. Livelihood strategies – With the absence of promised resources, settlers are faced with many problems with regards to economic aspects at the new settlement. Their agriculture knowledge is insufficient to success them for employment in town. They mainly work on their allocated three acres of land with other problems tagged along as the lands are located at sloppy and slumps area, as well as faced with low grade soil. For their agriculture productions, they are faced with marketing problem because of the established sellers who refused to allow them to get into the network. This research also humbly suggesting an alternative for settlers to improve their livelihood based on the available resources at the resettlement with the assistance of the state government, at least to initiate strategies for marketing. Settlers need "retooling" in many aspects of agriculture knowledge as that is what they have known best to build their livelihood. Government agencies should assist in terms of skill training related to effective methods to produce quality agriculture productions on their three acres of land. Horticulture should be encouraged on their three acres plot and this method has been carried out by the settlers in their swidden agriculture (slash and burns) at their former village areas. At the new settlement, the prospect of horticulture on pesticide free and organic food can be very encouraging. Methods The information and data for this research were obtained through formal and informal interviews, household survey, household in-depth interviews, and secondary data from available sources in prints, documents and internet. Questions for the interviews were formulated first based only on the research questions. At the field site, questions were expanded and added after numerous trial interviews with key informants to improve the questions before the real interviews were conducted. There were 55 household surveys, and from this survey, 20 households were selected randomly for the household in-depth interviews. The head of households were both male and female. Outline of the thesis This research is organized in chapters as the following summary: Chapter 1 provides the background information of the research area i.e. descriptively introduces Belaga, the region where Bakun Hydroelectric Project (BHEP) was implemented, the implementation of BHEP and the reaction of the local inhabitants. The resettlement in Sg. Asap, and the composition of the settlers are also discussed in this chapter. Chapter 2 touches the historical perspective of the Kenyah-Badeng focuses on their livelihoods at Long Geng, their former village before they resettled at Sg. Asap. This chapter also includes a brief history of their migration and settlement to Long Geng, and also the political structure in Long Geng. Chapter 3 discusses the power structure and relations of the Kenyah-Badeng. This chapter draws on the first stage of displacement i.e. processes of losing common property and space with prominent issues such as compensation, land rights and the expected involvement of local leaders in the whole process of the resettlement as highlights of the discussion. Brief history of land legislation in Sarawak based on the interpretation of Native Customary Land and native's rights over ancestral land based on literature reviews is illustrated in this chapter. The purpose of this illustration is to understand the background and general problems of land identification within the Kenyah-Badeng community prior to payment of compensation. Chapter 4 focuses on the discussion of the coping mechanisms employed by the settlers in handling crucial issues pertaining to their livelihood at the resettlement. In fact, this chapter continues the discussion of the stages of displacement highlighting the other two stages by discussing in-depth the situation of "loss of access to common property and space" and "social and community disarticulation". The headings of objectives outlined by State Planning Unit, Sarawak in the development plan of the resettlement are utilized as the base to explain the cause of the displacement and to illustrate the reality at present life of the Kenyah-Badeng. Chapter 5 focuses on the livelihood strategy in which family network is important as the platform for pooling resources. Departing from forced displacement, this chapter illustrates the emergence of coping reaction amongst the settlers by analyzing the family network discovered within the households interviewed in this research. Chapter 6 highlights the changing livelihood of the settlers highlighting the significant of wage employment where remittance is crucial to support their family who are living at the resettlement. The current perspective of settlers towards education and their willingness to invest into their children's education is also discussed in this chapter. Chapter 7 summarizes the research findings and concludes the research.
Over the last 20 years, the international community has significantly stepped up its efforts to prevent, detect, and deter money flows related to criminal activities and terrorism financing. Since the early 2000s, this drive has extended to developing countries, with most of them introducing anti-money laundering (AML) policies. The primary driver behind this is law enforcement; these policies are aimed at detecting and tracing flows of ill-gotten money, which would enable authorities to fight and prevent crime and recover assets of crime, corruption, and tax evasion. The core objective of this study is to introduce economics into the international debate about anti-money laundering, and to introduce the idea of the usefulness and effectiveness of such policies. The study focuses on two developing countries: Malawi, a low-income country, and Namibia, a middle-income country. The findings presented in this study are based on an extensive literature research; World Bank discussions with numerous public- and private-sector officials and representatives of the Governments of Malawi and Namibia during a Bank mission in November 2010; and workshops conducted in both countries in February 2011 to obtain feedback on the preliminary findings. In conducting this study, the team adopted an interactive approach. This was critical because mobilization of local expertise is essential not only in establishing a complete picture of current and future AML challenges, but also in designing policy considerations that subsequently are widely supported.
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For countries as diverse as China and Mauritius, Special Economic Zones (SEZs) have been a powerful tool to attract foreign investment, promote export-oriented growth, and generate employment; for many others, the results have been less than encouraging. While the benefits and limitations of zones will no doubt continue to be debated, what is clear is that policymakers are increasingly attracted to them as an instrument of trade, investment, industrial, and spatial policy. Since the mid 1980s, the number of newly-established zones has grown rapidly in almost all regions, with dramatic growth i
This Fifth Edition of the Uganda Economic Update presents evidence that if the urbanization process is well managed, it has the potential to stimulate economic growth and to provide productive jobs for a greater proportion of Uganda's young and rapidly expanding population. In many countries across the world, the growth of cities has stimulated the establishment and expansion of productive businesses by reducing the distance between suppliers and customers. The growth of cities has also facilitated provision of social services and infrastructure through economies of scale. These positive effects from urbanization are already visible in Uganda since the poverty rate is seven percentage points lower in urban areas than in rural areas. Most of the recent job creation is found in cities, and social indicators are also better in urban areas, especially in education and health.
The Lebanon Economic Monitor provides an update on key economic developments and policies over the past six months. It also presents findings from recent World Bank work on Lebanon. It places them in a longer-term and global context, and assesses the implications of these developments and other changes in policy on the outlook for Lebanon. Lebanon continues to be impacted by the domestic political stalemate and regional turmoil, particularly along its border with Syria. Economic activity picked up in the second half of 2014. Stronger economic performance and lower oil prices pushed real GDP growth to an estimated 2.0 percent in 2014, compared to 0.9 percent in 2013. One-off cosmetic and unsustainable measures rather than policy actions helped improve the fiscal balance in 2014. We estimate the overall fiscal deficit to have declined by 2.3 percentage points. Declining imports lead an improvement in the current account balance. In 2014, a fall in merchandize imports induced a 4.4 pp reduction in the current account deficit to a still-elevated 22.2 percent of GDP. This trend is projected to continue in 2015 helped by falling oil prices and a depreciating euro, Headline inflation plummeted from 2.7 percent in 2013 to 1.9 percent in 2014 and is expected to remain tempered over the medium term. Lebanon s economy continues to be exposed to external shocks. The border with Syria is increasingly menacing as coordinated attacks by ISIS and Al Nusra are being launched more frequently from their bases in Syria. Inefficiencies in power generation impose sizable macroeconomic costs on Lebanon. The Lebanese electricity sector has been underperforming for decades with considerable socio-economic costs. The macroeconomic impact has been massive.
Based on preliminary estimates, the Lao People's Democratic Republic (PDR) economy grew by 7.5 percent in 2014, compared to an average of 8 percent over 2011-13. Looking forward, real gross domestic product (GDP) growth is projected to slow further in 2015 before accelerating in the medium term. Average annual inflation in 2014 decelerated to 4.2 percent from 6.4 percent a year earlier, driven primarily by slower growth in food prices and a decline in fuel prices. In response to a widened fiscal deficit in FY2012-13, the government embarked on much needed fiscal corrective measures in FY2013-14 and FY2014-15. Foreign exchange reserves coverage remains low as compared with prudential benchmarks. While the nominal exchange rate remained relatively stable within the band set by the Bank of Laos (BOL), the real exchange rate continued to appreciate. Indications in 2014 are that bank credit growth is slowing down sharply compared to its previous rapid pace over several years. In order to grasp new opportunities and enjoy the benefits of regional integration, it is necessary for Lao PDR to take steps to create a conducive business environment. In order to achieve broad-based, inclusive growth and poverty reduction in Lao PDR, channeling greater resources toward tackling key workforce skills and productivity challenges is of significant importance.
By increasing access to finance for out-of-reach households and families, microfinance continues to be an essential tool for improving livelihoods at the base of the pyramid. The last 20 years have seen remarkable growth in the microfinance sector. From its early stages in small-scale microenterprise lending, through its commercial expansion to offer savings and a broad array of financial services to low-income customers, to its entry into new markets and incorporation of technological innovations, microfinance is ensuring that an ever-greater number of households have permanent access to a range of high-quality and affordable financial services. The microfinance industry is estimated at $60 to $100 billion globally, where several thousand microfinance organizations reach an estimated 200 million clients, most of whom were not previously served by the formal financial sector. However, 2.5 billion adults still lack access to formal financial services. Financial services for low-income people are an important factor when it comes to poverty reduction, as it enables them to build assets, increase incomes and reduce their vulnerability to economic stress. Moreover, microfinance continues to be an important tool when it comes to empowering women. IFC is the World Bank Group s main investor in microfinance, working with around 300 microfinance institutions (MFIs) and SME-focused financial institutions, which provide financial services in 91 countries. IFC is also one of the leading global investors in terms of volume. In fiscal year 2014, we committed $519 million in 43 projects with MFIs. Our cumulative investment portfolio in microfinance exceeded $3.5 billion, with outstanding commitments of $2.0 billion. In fiscal year 2014, IFC advisory services comprised $74.2 million, representing advisory assistance for 86 projects. This smart book, titled from small beginnings to great opportunities, presents practical lessons learned from the work that authors have been doing on microfinance projects over the last twenty years. From launching the Microfinance Enhancement Facility to help the industry stay afloat during the time of crisis, to working on a project to support microfinance clients to fulfill their housing dreams, these narratives are both engaging and insightful.
The community of development partners in the Republic of Moldova would be honored to engage in the development policy dialogue with the new Government. This briefing book from development partners is offered as a first step in such a dialogue and is solely intended to assist the new Government by providing development partners views and proposals that it can use to the extent it considers useful and relevant. These recommendations are based on Moldova s existing policy orientations as set out in the National Development Strategy Moldova 2020, its international obligations, and the Association Agreement (AA) with the European Union (EU). Moldova made a formal commitment to accelerate the country s development by making it capital-intensive, sustainable and knowledge-driven. With a strategic framework outlining Moldova s development path in place, it is now critical to accelerate implementation of the reforms including those set out in the Association Agenda to move closer to the EU. Moldova faces significant risks in the financial sector, which should be addressed as a matter of urgency. A well-regulated and reliable banking sector is fundamental to business, people and international investors. At the same time a robust system of public financial management should be in place to ensure transparency and accountability of public finances. Moldova should develop a competitive business environment attractive to new investment. Moldova should also take advantage of new trading opportunities through effective implementation of the Deep and Comprehensive Free Trade Area (DCFTA).
This Fifth Edition of the Uganda Economic Update presents evidence that if the urbanization process is well managed, it has the potential to stimulate economic growth and to provide productive jobs for a greater proportion of Uganda s young and rapidly expanding population. In many countries across the world, the growth of cities has stimulated the establishment and expansion of productive businesses by reducing the distance between suppliers and customers. The growth of cities has also facilitated provision of social services and infrastructure through economies of scale. These positive effects from urbanization are already visible in Uganda since the poverty rate is seven percentage points lower in urban areas than in rural areas. Most of the recent job creation is found in cities, and social indicators are also better in urban areas, especially in education and health. This report conveys the following key messages: (1) over the past 12 years, the number of people living in Uganda s urban areas has been increasing by an average of 300,000 people per year, (2) during the past few decades, similarly rapid rates of urbanization have been recorded in many emerging countries, (3) as is the case in many other developing countries, the prospects of good jobs, higher incomes and better living conditions in the cities continue to attract Ugandans from rural areas, (4) currently, the opportunity presents itself for Uganda to leverage urbanization to benefit a large proportion of the population, and (5) through the implementation of smart policies, Uganda can ensure that its cities are both competitive and livable.
Economic growth in Sub-Saharan Africa (SSA) has averaged roughly 5 percent per year over the past decade, improving living standards and bolstering human development indicators across the continent. Stronger public institutions, a supportive, private sector focused policy environment, responsible macroeconomic management, and a sustained commitment to structural reforms have greatly expanded opportunities for countries in SSA to participate in global markets. In recent years, many countries in the region have benefited from an increasingly favorable external environment, high commodity prices, and an especially strong demand for natural resources by emerging economies, particularly China. Over the longer term, leveraging Chinese investment to support broad-based growth will require policies designed to boost the competitiveness of sectors in which China s economic rebalancing may create a comparative advantage for SSA. To date, few African countries have been able to benefit from large-scale Chinese investment outside the resource sector. However, as China s growth slows and its economy shifts toward a more consumption-driven model, it is likely that global demand for resource imports will slow as well. Countries with the most heavily concentrated export mix, particularly in the mineral and oil sectors are the most vulnerable to China s economic rebalancing and should be ready to adopt measures to mitigate the impact of negative terms-of-trade shocks. By contrast, as wage rates in China continue to rise and firms refocus their attention on domestic demand, countries in SSA will be well positioned to exploit emerging opportunities for investment in export-oriented manufacturing. Ethiopia provides an instructive example, as its inexpensive yet relatively skilled labor force, coupled with the government s proactive efforts to court Chinese investors, have enabled Ethiopia to attract substantial investments in labor-intensive industries. Infrastructure enhancement, workforce development, and good-governance reforms offer a promising strategy for many countries in the region. Although the establishment of industrial zones has yielded mixed results, several salient success stories warrant careful attention. This report discusses how Africa could take advantage of the untapped opportunities offered by China s progressively intensifying investment and trade ties with SSA. It is hoped that this analysis will enrich the ongoing dialogue between policy makers, private firms, and civil society regarding China s increasingly important role in the growth and development of Sub-Saharan Africa.