Policy Punchline

Rachel Glennerster is the Chief Economist for the UK Department for International Development (DFID), which is the UK's ministry for international development cooperation. Previously, she was the Executive Director of J-PAL (the Jameel Poverty Action Lab) at MIT. This March, Prof. Glennerster gave the closing keynote remarks at the 2020 annual conference at Julis-Rabinowitz Center for Public Policy and Finance, where she touched on challenges of working in fragile states and the linkages between the macro- and micro-levels. The economic policy tools used in advanced economies either do not exist or are ineffective in poor, conflict-afflicted areas. Shifts in macro-level policies can have devastating effects at the household level, leading to hyperinflation, parallel exchange rates, or major debt crises. In this interview, we discuss some of the innovative policy and research tools in fragile states, especially RCT (randomized controlled trials). And we touch on various debates on foreign aid, non-profits,