Development Planning and Its Critics

PIA 2501 Development Policy and Management

Development Planning Under the Microscope

Next Two Weeks

“Going Operational- What that means”

The “What is to be Done Syndrome”

Theory vs. Policy vs. Management

Overview Review of Themes

Limitations of Planning

Review of Structural Changes

Planning Assumptions

The Blue Print Model Problem

The History and Logic of Planning

Definitions of Development Planning: Overview

Planning is the application of rational ordered choice to social and economic affairs.

An Oxymoron?

Question

Is this an oxymoron?

Review of the Debate- 5 Perspectives

Neo-Orthodox View of Planning

The Oxymoron Theory

Review-1: To what extent is the state planning approach necessary?

Expanded government meant specialized planning organizations and the rise of development economics as a discipline

Physical and Social Changes Require Strategic Planning

Remains Mandated by technical assistance and Donors

Review-2: To what extent is the state planning approach necessary?

There was rhetoric of a command economy as opposed to a market economy with two extremes and the soft state in-between

The issue of grass roots participation was raised

The Reality is in-between: Public Private Partnerships

Review 3: Limitations of Planning

To what extent is the state planning approach possible?

Issue of growth vs. distribution

Issue of planning vs. ways in which budget priorities are set

Debate about the coordination of planning voluntary vs. hierarchical authority

Structural Reforms- Review- 4:

The Change: Overemphasized the Anti-State theme

Result Since 1985, privatization, public sector

reform and structural adjustment New Theories

Neo-orthodoxy based upon Public and Social (Rational Choice) ideas

What was “Developmental” in the 1990s?

Rational Choice?

Contemporary Themes of Development- Review 5:

Except for the Newly Industrializing Countries(NICs), the failure of Development Management as a method

Question: does failure occur as a result of state collapse? (Goran Hyden)

What is the future of Development Planning

The Problematic Goal

Level of Analysis Issue & Planning

Public Policy Overall decisions to take action

Programs Ongoing areas of activity within a

policy area, a nucleus to carry out program

Projects Discrete time-bound, often sector

or spatially based activity

Contemporary Themes of Development Problem of government as a

negative; a state centric vs. society centric view

How does that translate into public private partnerships? (Robert Bates, Elinor Ostrom)

Issue of "implementation," the neglected component of development policy (Pressman)

Contemporary Themes of Development

• Conflict Mediation

• Institution building is a pre-requisite

• Development Policy is environmentally bound;

• Importance of micro-macro linkages (Kathleen Staudt)

• Gender

Haryana Community Forestry Institution Building Project (India)

Development Planning

The Blue Print Approach

Triumph of the Donor

Need for the "Blueprint" approach- Donors

Donors vs. the Learning Process

The Blue Print problem and Project Management

Blue Prints- Six Perspectives

Blueprint Planning Requires Broad Consensus within Society

The Blueprint Approach-1Identification of available resources and setting of financial priorities

Need to distinguish incremental budgeting from capital or development budgets

Capital or Development Budgets are one time investments

Key: Built-in (sunken) costs and problem of maintenance and recurrent implications

The Blueprint Approach-2

Defined by a series of steps:

Identification of or selection of appropriate means (Funding)

Formulation of specific activities

Provision for plan's implementation

Blue Print-3

Secure coordinated action and cooperation

especially in problem of communications

Seek funding for projects Make Go/No Go Decision

Implementation:

Monitoring and Evaluation

Location, Location, Location-4

Location of planning Center: Manager of the Blueprints

Ultimately a political question- Central Control

President or Prime Minister’s Office Ministry of Finance and

Development Planning

Location, Location, Location-5

Location of planning Center: Manager of the Blueprints Separate Departments or

Commissions for Development and Planning Exercises

Depends upon International Technical Assistance

Private or NGO Contractor Regional and local government Social Funds

Location, Location, Location-6

Location of planning Center: Manager of the Blueprint

Use and overuse of inter-departmental committees

Afghanistan, 2005- Office of President

Central to Project

Or The Concept of the Pork Barrel

Intermission

Ten Minute Break

Development Planning: Origins

Prologue: The European and Colonial Origins of Planning

Soviet Union--New Economic Period in the 1920s and the use of the five-year plan

British India--1930s. National planning and industrialization

Development Planning

GOALS

Prologue: Planning (Cont.)

Eastern vs. Western Europe after WWII

Britain in the 1950s--Labour Party flirts with plans

Two varieties: Command vs. Keynesianism

John Maynard Keynes, (1883-1946)

Extreme Planning: Command Economies

Soviet Union Under Stalin

Mao’s China

Albania before 1989

Cuba

North Korea

Symbols of Industrialization

Development Planning: An Overview- Four Themes

Planning Defined

Planning Goals

Anti-Planning

Post-Planning

Definitions of Development Planning: Government Function

Development planners and development administrators are action-oriented and goal-oriented civil servants striving to promote economic and social development

Definitions of Development Planning

Development planning is the setting of priorities for the use of scarce resources

Goals of Development Planning

Foster economic growth

Strengthen human and organizational capacities

Plan and develop physical infrastructure (roads, dams, railways, buildings, etc.)

Goals of Development Planning, continued

Promotion of greater equality in distribution of opportunities

Provide framework for wider participation in the economic system

Support social capital development in the form of stronger families, communities, interest associations and grass-root institutions

Social Capital?

Development Planning as a Process

Goal is to change societal behavior:

At the center: original goal planning the National Plan

monitoring and managing the economy

includes setting targets and achievement of goals

Russian FiveYear Plan

Development Planning and Organization

At the center, overall goals are set through National Plan (the wish list) and through monitoring and “managing” the economy

planners set targets and measure goals

Key emphasis placed on local government authorities, extension services, and district administrations for service delivery

Integrated Rural Development Schemes

Rural Planning in Bangladesh

Development Planning: Local Level In regions and districts, planner has a

coordination responsibility that includes in some cases social mobilization (Forced Labor?)

At regional and local level, goals are regional planning, coordination and mobilization

Overall--government agents or their contractors act as change agents, and provide “stimulus” to society

Forced Labour Convention ILO Poster

Controversy over the nature of planning

Cadre of Economists, budget specialists and project analysts

Informal ties with planner/economists in other ministries and Departments

Special issue of foreign international expatriate planners

Planning as shopping list for donors (pork barrel projects)

Politicos emphasis on physical planning infrastructure--problem of maintenance

Ruth Prawer Jhabvala and Carlos Fuentes

Discussion: Case Studies of the Week

Carlos Fuentes, “The Cost of Living”

Ruth Prawer Jhabvala, “The Interview”

Kushwant Singh

1950s Contemporary

Kurban Said- The Controversy

Lev Nussimbaum (Baku, 1905- (Positano, 1942) was a prolific writer, journalist and orientalist, an Azerbaijani Jew from Baku, who successfully reinvented himself as a Muslim prince.

Books of the Week Kushwant Singh, Train to Pakistan

Kurban Said, Ali and Nino

1. What do these books warn us about?

2. What are the strengths and weaknesses?

3. What do they tell us about development issues?

Discussion

Discussion- Next Week

What Does the Reading (Thus Far) Tell Us About Development Policy and Management?

John Seitz

Michael Edwards

John Rapley

Next Week Phd : What Is Worth Reading?

Goran Hyden, No Shortcuts to Progress

Jennifer M. Brinkerhoff, Partnership for International Development

Arturo Escobar, Encountering Development

Author of the Week: Arturo Escobar

What Does Escobar say about the concepts Development Economics and Planning?

How does he "Deconstruct" development?

What does that mean?

Question of Next Week: PhD level

"What Is To Be Done?" according to Escobar.