The National Audit Office's Evaluation of RIAs: Reflections on the Pilot Year

In 2003, the National Audit Office undertook its first year of evaluations of the quality of a sample of Regulatory Impact Assessments (RIAs). This article reflects on the experiences of this pilot year. It sets out the background to the National Audit Office's work, describes the methodology adopted, and then explains the main findings. Finally, it considers the benefits and limitations of this type of ex-post evaluation of the quality of RIAs.     

Banking and the Real Economy

Ed Clark discusses the importance of banking in the real economy, the weakening of trust of banks on the part of the public, and what banks must do to reclaim that trust. In particular, he cites the need for adequate capitalization and the need for cultural change within banking. There must be a shift back to a focus on the needs of customers rather than the potential gains from casino-like activity. He also discusses changes that have taken place in technology and operating practices in basic banking to provide better service to customers. He expresses a need for more informed bank regulation to avoid asset bubbles.     

Juridisch Germanisme

Hilversum, 1 Maart 1902Door omstandigheden is de opname van dit artikel onwillekeurig vertraagd.Red.     

Crop Price Indemnified Loans for Farmers: A Pilot Experiment in Rural Ghana

Farmers face a particular set of risks that complicate the decision to borrow. We use a randomized experiment to investigate (1) the role of crop‐price risk in reducing demand for credit among farmers and (2) how risk mitigation changes farmers’ investment decisions. In Ghana, we offer farmers loans with an indemnity component that forgives 50 percent of the loan if crop prices drop below a threshold price. A control group is offered a standard loan product at the same interest rate. Loan uptake is high among all farmers and the indemnity component has little impact on uptake or other outcomes of interest.