Working Papers

As developing countries pursue infrastructure projects, they should aim to address a combination of the pandemic, climate, inequality, and other crises with the right mix of economic and social infrastructure. To do this, governments must invest in a national infrastructure planning process, align planning with the SDGs, and prioritize sustainable infrastructure over infrastructure that does not put people and the planet first. There is no silver bullet for all the challenges; however, incremental changes based on innovative precedents can potentially make a difference on the ground. This paper proposes an analytical framework to consider these challenges and concludes with possible…

We provide a history of past periods of rapid technological change starting from the Industrial Revolution continuing up to today. We find that it takes decades for technological breakthroughs to make a difference to the aggregate economy. The reason for this delay is that to realize the value of these breakthroughs requires complementary investments. Second, for good or for bad, government has played an important role in facilitating these transitions through both investments in physical infrastructure and legal reforms. We also emphasize that because technological breakthroughs are difficult to predict, the responses of governments are necessarily improvisational.