Jump to ContentJump to Main Navigation
International DevelopmentIdeas, Experience, and Prospects$
Users without a subscription are not able to see the full content.

Bruce Currie-Alder, Ravi Kanbur, David M. Malone, and Rohinton Medhora

Print publication date: 2014

Print ISBN-13: 9780199671656

Published to Oxford Scholarship Online: April 2014

DOI: 10.1093/acprof:oso/9780199671656.001.0001

Show Summary Details
Page of

PRINTED FROM OXFORD SCHOLARSHIP ONLINE (oxford.universitypressscholarship.com). (c) Copyright Oxford University Press, 2021. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in OSO for personal use. date: 10 May 2021

Development Strategy: Balancing Market and Government Failure

Development Strategy: Balancing Market and Government Failure

(p.65) Chapter 4 Development Strategy: Balancing Market and Government Failure
International Development

Shantayanan Devarajan

Ravi Kanbur

Oxford University Press

This chapter describes the evolution of development economics thinking after the Second World War as one of a constantly shifting balance between addressing market failures and government failures. The pendulum has swung from statist “big push,” through market-oriented “Washington Consensus,” to a more balanced approach between state and market that also includes the role of civil society as a third player. The chapter interprets these swings as not just technical responses to real-world problems with either approach, but as the result of political forces and institutional incentives. Looking ahead, the chapter sees development thinking in the future being dominated by two issues that go beyond the “market-versus-state” dichotomy: sub-national pockets of poverty, and global public goods. The chapter concludes by noting that development economics thinking proceeds in evolutionary rather than revolutionary steps, with each shift building on the experience of the previous phase.

Keywords:   market failure, government failure, Washington Consensus, civil society, politics, global public goods, sub-national government

Oxford Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.

Please, subscribe or login to access full text content.

If you think you should have access to this title, please contact your librarian.

To troubleshoot, please check our FAQs , and if you can't find the answer there, please contact us .