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Shelter strategies for the urban poor : idiosyncratic and successful, but hardly mysterious

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Author Info
Buckley, Robert M.
Kalarickal, Jerry

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Abstract

In 1986 the World Bank prepared a strategy for low-income housing in developing countries. This work grew out of the Bank's efforts to support the urban poor through an extensive housing assistance program that was launched by Bank President McNamara's speech on urban poverty. By that time, the Bank had provided more than $4 billion of such assistance, and had undertaken an extensive research effort to design support for that lending. Much has changed since that time, not only in the way the Bank provides shelter assistance, more than doubling its support since that review, but also in the changing consensus as to what shelter strategy should be. The authors review the emerging consensus. They examine three new research areas: the empirical analysis of the effects policy has on housing supply; the richer understanding of the effects that land market regulations have on specific projects and on the functioning of urban areas; and the alleged mysterious effects that de Soto, for example, claims that effective property rights have not only for shelter policy but for development more generally. The authors also examine the emergence of both a new financial innovation, micro-enterprise finance, and the increased emphasis given to project design based on community participation, showing how these approaches more fully reconcile the incentives faced by beneficiaries and donors. In sum, the authors argue that the evolving consensus on shelter strategy is not nearly as mysterious as some would claim. Housing markets in most developing countries remain highly idiosyncratic and constrained. Nevertheless, the evolving consensus on shelter strategy appears to recognize these idiosyncrasies and policy constraints as evidenced by the strong and improving performance of the Bank's shelter lending.

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Paper provided by The World Bank in its series Policy Research Working Paper Series with number 3427.

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Date of creation: 01 Oct 2004
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Handle: RePEc:wbk:wbrwps:3427

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Keywords: Regional Governance; Banks&Banking Reform; Housing&Human Habitats; Public Sector Management and Reform; Urban Governance and Management; Urban Governance and Management; Regional Governance; Banks&Banking Reform; Public Sector Management and Reform; Housing&Human Habitats;

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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  28. Bertaud, Alain & Malpezzi, Stephen, 2001. "Measuring the Costs and Benefits of Urban Land Use Regulation: A Simple Model with an Application to Malaysia," Journal of Housing Economics, Elsevier, vol. 10(3), pages 393-418, September. [Downloadable!] (restricted)
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Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Takeuchi, Akie & Cropper, Maureen & Bento, Antonio, 2006. "The welfare effects of slum improvement programs : the case of Mumbai," Policy Research Working Paper Series 3852, The World Bank. [Downloadable!]
  2. Lall, Somik V. & Suri, Ajay & Deichmann, Uwe, 2005. "Household savings and residential mobility in informal settlements," Policy Research Working Paper Series 3596, The World Bank. [Downloadable!]
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