Institutions, Innovation, and Industrialization: Essays in Economic History and Development


Book edited by Avner Greif, Lynne Kiesling & John V. C. Nye: “This book brings together a group of leading economic historians to examine how institutions, innovation, and industrialization have determined the development of nations. Presented in honor of Joel Mokyr—arguably the preeminent economic historian of his generation—these wide-ranging essays address a host of core economic questions. What are the origins of markets? How do governments shape our economic fortunes? What role has entrepreneurship played in the rise and success of capitalism? Tackling these and other issues, the book looks at coercion and exchange in the markets of twelfth-century China, sovereign debt in the age of Philip II of Spain, the regulation of child labor in nineteenth-century Europe, meat provisioning in pre–Civil War New York, aircraft manufacturing before World War I, and more. The book also features an essay that surveys Mokyr’s important contributions to the field of economic history, and an essay by Mokyr himself on the origins of the Industrial Revolution….(More)”

Crowdsourcing Data to Fight Air Pollution


Jason Brick at PSFK: “Air pollution is among the most serious environmental problems of the modern age. Although pollution in developed nations like the USA and Germany has fallen since the 1980s, air quality in growing technological countries — especially in the BRIC (Brazil, Russia, India and China) group — grows worse with each year. In 2012, 3.7 million people died as a direct result of problems caused by chronic exposure to bad air, and tens of millions more were made ill.
There is no easy solution to such a complex and widespread problem, but Breathe offers a fix for one aspect and solves it in two ways.
The first way is the device itself: a portable plastic brick smaller than a bar of soap that monitors the presence and concentration of toxic gases and other harmful substances in the air, in real time throughout your day. It records the quality and, if it reaches unacceptably dangerous levels, warns you immediately with an emergency signal. Plug the device into your smart phone, and it keeps a record of air quality by time and location you can use to avoid the most polluted times of day and places in your area.
The second solution is the truly innovative aspect of this project. Via the Breathe app, any user who wants to can add her data to a central database that keeps statistics worldwide. Individuals can then use that data to plan vacations, time outdoor activities or schedule athletic events. Given enough time, Breathe could accumulate enough data to be used to affect policy by identifying the most polluted areas in a city, county or nation so the authorities can work on a more robust solution….(More)”

Launching “Map the Banks” campaign to map the global financial industry


OpenCorporates: “Today, we are happy to announce the launch of our latest campaign: Map the Banks – possibly first ever global sprint to scrape a single class of data from every jurisdiction in the world. For this campaign, we are focussing on how the financial industry is licenced to operate.
The financial crisis cost the world 4 trillion dollars. Before we can disrupt the industry, we need to map it. The financial crisis revealed the damage done by our lack of understanding of the influence and size of banks and financial companies. We no longer want to be in the dark. Citizens and regulators have to take control back by having open and free access to this information. We are taking up the challenge of collecting every banking and financial licence in the world so we can work towards a better banking system, that works for the good of society. We’re joined in this mission by Civio, OpenNorth & many more… (Interested in being a partner? Email us!)
Collecting this data could answer questions like:

  • Which companies have debt collection operations in other jurisdictions? Even with the small amount of data already collected, we know there are at least 178 financial services companies from India that operate in the US.
  • Which countries have the most financial services outsourced to them?
  • What companies are licenced to operate in the largest number of countries worldwide?
  • Which US bank has the most consumer credit licences in Asia?
  • Which organisations appear to operate like financial services companies, yet aren’t regulated as such?
  • Where are credit unions being dissolved or created the fastest?

HOW TO GET INVOLVED…”

An Introduction to the Economic Analysis of Open Data


Research Note by Soichiro Takagi: “Open data generally refers to a movement in which public organizations provide data in a machine-readable format to the public, so that anyone can reuse the data. Open data is becoming an important phenomenon in Japan. At this moment, utilization of open data in Japan is emerging with collaborative efforts among small units of production such as individuals. These collaborations have been also observed in the Open Source Software (OSS) movement, but collaboration in open data is somewhat different in respect to small-scale, distributed collaboration. The aim of this research note is to share the phenomena of open data as an object of economic analysis with readers by describing the movement and providing a preliminary analysis. This note discusses how open data is associated with mass collaboration from the viewpoint of organizational economics. It also provides the results of empirical analysis on how the regional characteristics of municipalities affect the decision of local governments to conduct open data initiatives.”

The Global Open Data Index 2014


Open Knowledge Foundation: “The Global Open Data Index ranks countries based on the availability and accessibility of information in ten key areas, including government spending, election results, transport timetables, and pollution levels.
The UK tops the 2014 Index retaining its pole position with an overall score of 96%, closely followed by Denmark and then France at number 3 up from 12th last year. Finland comes in 4th while Australia and New Zealand share the 5th place. Impressive results were seen from India at #10 (up from #27) and Latin American countries like Colombia and Uruguay who came in joint 12th .
Sierra Leone, Mali, Haiti and Guinea rank lowest of the countries assessed, but there are many countries where the governments are less open but that were not assessed because of lack of openness or a sufficiently engaged civil society.
Overall, whilst there is meaningful improvement in the number of open datasets (from 87 to 105), the percentage of open datasets across all the surveyed countries remained low at only 11%.
Even amongst the leaders on open government data there is still room for improvement: the US and Germany, for example, do not provide a consolidated, open register of corporations. There was also a disappointing degree of openness around the details of government spending with most countries either failing to provide information at all or limiting the information available – only two countries out of 97 (the UK and Greece) got full marks here. This is noteworthy as in a period of sluggish growth and continuing austerity in many countries, giving citizens and businesses free and open access to this sort of data would seem to be an effective means of saving money and improving government efficiency.
Explore the Global Open Data Index 2014 for yourself!”

Test-tube government


The Economist: “INCUBATORS, accelerators, garages, laboratories: the best big companies have had them for years. Whatever the moniker (The Economist once had one called “Project Red Stripe”), in most cases a select few workers are liberated from the daily grind and encouraged to invent the future. Now such innovation units are becoming de rigueur in the public sector too: Boston has an Office of New Urban Mechanics; Denmark has a MindLab; and Singapore has the more prosaically named PS21 Office.
These government laboratories provide a bridge between the public and private sectors. Sometimes governments simply copy what private firms are doing. MindLab is based on the Future Centre, the innovation unit of Skandia, a big insurance firm. Sometimes they get money and advice from private sources: the New Orleans Innovation Delivery Team is partly funded by Michael Bloomberg, the former mayor of New York city and one of America’s biggest media tycoons. Whatever the connection, these units plug the public sector into a new world. They are full of people talking about “disruption” and “iteration”.
The units also provide a connection with academia. Britain’s Behavioural Insights Team, originally based in the Cabinet Office, was the world’s first government outfit dedicated to applying the insights of behavioural economics to public policy (it was known as the “nudge unit”, after the book “Nudge”, by Richard Thaler and Cass Sunstein). David Halpern, the group’s head, says that its mission was to point out the “small details” of policy that can have big consequences (see Free Exchange). It persuaded, for instance, HM Revenue & Customs, Britain’s tax collection agency, to tweak the words of a routine letter to say that most people in the recipient’s local area had already paid their taxes. As a result, payment rates increased by five percentage points.
A new report published by Nesta, a British charity devoted to promoting innovation, and Bloomberg Philanthropies shows how popular these government innovation labs have become. They can be found in a striking variety of places, from developing countries such as Malaysia to rich countries like Finland, and in the offices of mayors as well as the halls of central government.
Whatever their location, the study suggests they go about things in similar ways, with a lot of emphasis on harnessing technology. The most popular idea is co-creation—getting one’s customers to help invent and improve products and services. Boston’s Office of New Urban Mechanics has produced a series of apps which provide citizens with a convenient way of reporting problems such as graffiti and pot holes (by taking a photograph and sending it to city hall, users provide it with evidence and GPS co-ordinates). The staff-suggestion scheme introduced by PS21 in Singapore has produced striking results: one air-force engineer came up with the idea of scanning aircraft for leaks with ultraviolet light, just as opticians scan the cornea for scratches….
The most striking thing about these institutions, however, is their willingness to experiment. Policymakers usually alternate between hostility to new ideas and determination to implement a new policy without bothering to try it out first. Innovation centres tend to be both more daring and happy to test things. Sitra, for instance, is experimenting with health kiosks in shopping centres which are staffed by nurses, provide routine care and stay open late and on weekends. The Centre for Social Innovation in Colombia has developed computer games which are designed to teach pre-teenagers to make sensible choices about everything from nutrition to gang membership. Sitra also tracks the progress of each project that it funds against its stated goals….”

Start-Up Seeks to Provide Inexpensive Satellite Images for Nonprofits


Nicole Wallace at the Chronicle of Philanthropy: “Planet Labs, a Silicon Valley start-up, has ambitious plans to bring down the sky-high cost of satellite imagery and significantly increase the recording frequency of such photos—all with the goal of improving life down here on earth. To make that happen, the company plans to set up a nonprofit arm, Planet.org, to provide satellite images to charities and help them learn how to use the cutting-edge technology to fulfill their missions….
Satellite imagery is expensive, and the photos aren’t updated very often. The interval between image recordings can be from several weeks to more than a year. The satellites themselves are often the size of a school bus, may take as long as a decade to build, and cost hundreds of millions of dollars.
Planet Labs is trying to upend that model. Rather than building custom parts, the company uses cutting-edge—but readily available—electronics and sensors to build shoebox-size microsatellites. The tiny devices have been launched from the International Space State and from unmanned rockets. Modeling its approach on the software industry, Planet Labs redesigns its satellites every three months or so, incorporating new information it learns by testing them in space.
The plan is to encircle the globe with a network of microsatellites that will scan the earth’s surface every day. So far, Planet Labs has launched 71 of the devices. It expects to launch 100 to 150 more satellites to meet a goal of achieving daily imaging in the next 12 to 18 months.
The prospect of cheaper, more up-to-date satellite imagery excites nonprofit technology experts.
Because of the cost, only a handful of large charities have been able to use satellite imagery in their work, says Jim Fruchterman, chief executive of Benetech, a nonprofit technology group in Palo Alto, Calif. He points to Amnesty International’s use of remote imagery to document human-rights abuses in Darfur and Syria as an example.
Lowering the price of the technology will increase the number of nonprofits that can use the data, and more-frequent images will expand the ways groups can use the information, he says. Human-rights groups could, in some cases, use the images to confirm or refute reports they receive, almost in real time, says Mr. Fruchterman….
Some of the ways that nonprofits will probably use the satellite data won’t be that different from applications by the company’s commercial customers, says Mr. Schingler.
One case in point, he says, is agriculture. Many farmers in developed countries already use satellite imagery to help them plan when they should plant and irrigate, says Mr. Schingler. With wider access to remote imagery, he says, nonprofits could help distribute the same information to farmers in developing countries….”

Nominet Trust – celebrating 100 life-changing applications of digital technology


Charles Leadbeater in the Financial Times: “The Nominet Trust, the corporate foundation of Nominet, the organisation which looks after the UK’s system of website addresses, has been scouring the world for innovations in which people use digital technologies to tackle social challenges. The Trust wants to inspire and back UK innovators to realise the still largely untapped social potential of digital technologies, to provide new ways for people to learn, look after their health, find cleaner forms of energy and create new economic activity.

We have just announced the second year of the Nominet Trust 100, our annual celebration of such global digital social innovation. This showcases the incessant, unfolding waves of innovation rippling around the world as cheaper and more reliable digital technologies cross-fertilise and multiply. Such innovation waves build from far off before rushing forward with immense power. One prime example is 3D printing, which is about to become a practical tool rather than an esoteric toy of the rich or hip….
Citizen science
Last year’s NT100 featured Cell Slider, an app from Cancer Research UK that harnessed the power of “citizen scientists” to classify images of cells, helping researchers move more quickly towards finding a cure for cancer. Cellslider’s citizen-science approach meant that in just three months, one million images were classified by people using the app. Reverse the Odds reached that milestone in just two weeks.
Combining state-of-the-art game design, expertise in data analysis and remarkable production values, Reverse the Odds is a mobile puzzle where players are challenged to save a race of adorable minions within a magical world. The mini-puzzles are enough to engage thousands of players but in helping these colourful creatures, players are actually analysing real cancer data, which helps the scientists at Cancer Research UK to move more quickly to finding cures. The charity has terabytes of images of cells that can only be analysed by humans — computers can’t identify the patterns required.
Fighting harassment
HarassMap is an Egyptian innovation to crowd-map sexual harassment, in a country where 83 per cent of women, and 98 per cent of foreign women, have experienced sexual abuse and assault.
The NGO, founded by Rebecca Chiao and three other women in 2010, uses the same technology as Ushahidi did in mapping violence in Kenya’s 2007 elections. Anyone can report and detail each instance of an attack, filed by category, from ogling and catcalling, to indecent exposure and rape, using their mobile phone to upload information to a database which then generates the map.
Victims get an instant, automated message of support including where to get legal aid, psychological counselling, learn self-defence and how to make a police report. The data generated allows the NGO to properly measure the problem of sexual harassment for the first time and help engineer a shift in how the Egyptian media reports sexual attacks. It also gives their network of 1,500 trained volunteers the ammunition to make sexual abuse socially unacceptable by challenging community norms, using hard facts.
HarassMap has a distressingly large potential market. The group has given training and technical assistance to activists from 28 other countries to run similar projects, everywhere from Palestine and Yemen to Bangladesh, Pakistan, Syria, India and the UK….”

The case against human rights


Eric Posner in the Guardian: “We live in an age in which most of the major human rights treaties – there are nine “core” treaties – have been ratified by the vast majority of countries. Yet it seems that the human rights agenda has fallen on hard times. In much of the Islamic world, women lack equality, religious dissenters are persecuted and political freedoms are curtailed. The Chinese model of development, which combines political repression and economic liberalism, has attracted numerous admirers in the developing world. Political authoritarianism has gained ground in Russia, Turkey, Hungary and Venezuela. Backlashes against LGBT rights have taken place in countries as diverse as Russia and Nigeria. The traditional champions of human rights – Europe and the United States – have floundered. Europe has turned inward as it has struggled with a sovereign debt crisis, xenophobia towards its Muslim communities and disillusionment with Brussels. The United States, which used torture in the years after 9/11 and continues to kill civilians with drone strikes, has lost much of its moral authority. Even age-old scourges such as slavery continue to exist. A recent report estimates that nearly 30 million people are forced against their will to work. It wasn’t supposed to be like this.
At a time when human rights violations remain widespread, the discourse of human rights continues to flourish…
And yet it is hard to avoid the conclusion that governments continue to violate human rights with impunity. Why, for example, do more than 150 countries (out of 193 countries that belong to the UN) engage in torture? Why has the number of authoritarian countries increased in the last several years? Why do women remain a subordinate class in nearly all countries of the world? Why do children continue to work in mines and factories in so many countries?
The truth is that human rights law has failed to accomplish its objectives. There is little evidence that human rights treaties, on the whole, have improved the wellbeing of people. The reason is that human rights were never as universal as people hoped, and the belief that they could be forced upon countries as a matter of international law was shot through with misguided assumptions from the very beginning. The human rights movement shares something in common with the hubris of development economics, which in previous decades tried (and failed) to alleviate poverty by imposing top-down solutions on developing countries. But where development economists have reformed their approach, the human rights movement has yet to acknowledge its failures. It is time for a reckoning….
It is time to start over with an approach to promoting wellbeing in foreign countries that is empirical rather than ideological. Human rights advocates can learn a lot from the experiences of development economists – not only about the flaws of top-down, coercive styles of forcing people living in other countries to be free, but about how one can actually help those people if one really wants to. Wealthy countries can and should provide foreign aid to developing countries, but with the understanding that helping other countries is not the same as forcing them to adopt western institutions, modes of governance, dispute-resolution systems and rights. Helping other countries means giving them cash, technical assistance and credit where there is reason to believe that these forms of aid will raise the living standards of the poorest people. Resources currently used in fruitless efforts to compel foreign countries to comply with the byzantine, amorphous treaty regime would be better used in this way.
With the benefit of hindsight, we can see that the human rights treaties were not so much an act of idealism as an act of hubris, with more than a passing resemblance to the civilising efforts undertaken by western governments and missionary groups in the 19th century, which did little good for native populations while entangling European powers in the affairs of countries they did not understand. A humbler approach is long overdue.”

Macon Money: A serious game for civic engagement


Wilson Center Commons Lab: “In 2011, residents of Macon, Georgia received over $65,000 in free local currency—with a catch.
This money was locked in bonds redeemable for an unknown value between $10 and $100. Prior to circulation, each bond was cut in half. Residents of Macon wishing to “cash” their bonds were required to first find the missing half, held by an unknown community member.
These were the rules for Macon Money, a real-world game created by Area/Code Inc. in collaboration with several community partners. Benjamin Stokes was brought on board by the Knight Foundation as an advisor and researcher for the game. Stokes describes real-world games as activities where “playing the game is congruent with making impact in the world; making progress in the game, also does something in the real world.”  Macon Money was designed to foster civic engagement through a number of means.
First, the two halves of each bond were intentionally distributed in neighborhoods on opposite ends of Macon, or in neighborhoods characterized by different socio-economic status. This “game mechanic” forced residents who would not normally interact to collaborate towards a common goal.  Bond holders found each other through a designated website, social media platforms including Facebook and Twitter, and even serendipitous face-to-face interaction.
Bonds were redeemable for Macon Money, a currency that could only be spent at local businesses (which were reimbursed with U.S. currency).  This ensured continuing engagement with the Macon community, and in some cases continuing engagement between players.  Macon Money was also designed to foster community identity through the visual design of the currency itself.  Macon dollars depicted symbols of communal value, such a picture of Otis Redding, a native of the town.
While the game Macon Money is over, researchers continue to analyze the how the game helped foster civic engagement within a local community. Most recently, Stokes described these impacts during a talk at American University co-sponsored by The American University Game Lab, the Series Games Initiative at the Woodrow Wilson International Center for Scholars, the AU Library, and the American University Center for Media and Social Impact. A video for the talk was recently posted here:…”