Learning from the Experiments That Never Happened : Lessons from Trying to Conduct Randomized Evaluations of Matching Grant Programs in Africa

Matching grants are one of the most common policy instruments used by developing country governments to try to foster technological upgrading, innovation, exports, use of business development services and other activities leading to firm growth. Ho...

Full description

Bibliographic Details
Main Authors: Campos, Francisco, Coville, Aidan, Fernandes, Ana M., Goldstein, Markus, McKenzie, David
Format: Policy Research Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2013
Subjects:
SME
WEB
Online Access:http://documents.worldbank.org/curated/en/2012/12/17103546/learning-experiments-never-happened-lessons-trying-conduct-randomized-evaluations-matching-grant-programs-africa
http://hdl.handle.net/10986/12200
id okr-10986-12200
recordtype oai_dc
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic ACCESS TO CREDIT
ACCESS TO INFORMATION
ACCESS TO NETWORKS
ACCOUNTING
ADVERTISING
APPLICATION PROCESS
AUDITING
BACK-UP
BANK LENDING
BANK LOAN
BANK LOANS
BANKS
BLOG
BRANCH
BUSINESS APPLICATIONS
BUSINESS COMMUNITY
BUSINESS DEVELOPMENT
BUSINESS DEVELOPMENT SERVICE
BUSINESS DEVELOPMENT SERVICES
BUSINESS ENVIRONMENT
BUSINESS NEEDS
BUSINESS OWNER
BUSINESS OWNERS
BUSINESS PLAN
BUSINESS REGISTRATION
BUSINESS SERVICE
BUSINESS SERVICE PROVIDERS
BUSINESS SERVICES
BUSINESS TOOLS
BUSINESS TRAINING
BUSINESSES
BUYERS
CAPITAL EXPENDITURE
CAPITAL INVESTMENTS
CAPITAL MARKET
CERTIFICATE
CHAMBER OF COMMERCE
CHAMBERS OF COMMERCE
COMPANY
COMPETITIVENESS
CONSULTING SERVICES
COST-SHARING
CREDIT CONSTRAINTS
CREDIT GUARANTEES
CREDIT LINE
CREDIT MARKET
CREDIT MARKET FAILURE
CURRENT MARKET PRICE
DATA COLLECTION
DAY-TO-DAY OPERATIONS
DECISION-MAKING
DISTRIBUTION SYSTEMS
E-COMMERCE
ECONOMIC GROWTH
EDUCATIONAL BACKGROUND
ELECTRICITY
ELIGIBILITY CRITERIA
ELIGIBILITY CRITERION
ELIGIBLE APPLICANTS
EMPLOYEE
EMPLOYMENT
ENTERPRISE ASSISTANCE
ENTERPRISE DEVELOPMENT
ENTERPRISE GROWTH
ENTERPRISE SUPPORT
ENTREPRENEURS
ENTREPRENEURSHIP
EQUIPMENT
EQUIPMENT PURCHASES
EQUITY INVESTMENT
EXCESS DEMAND
EXPENDITURE
EXPORT DEVELOPMENT
EXPORT PROMOTION
EXTERNALITIES
FINANCIAL SYSTEMS
FIRM SIZE
FIRMS
GENDER
GOVERNMENT FUNDING
GOVERNMENT INTERVENTION
GOVERNMENT OFFICES
GRANT PROGRAMS
HUMAN CAPITAL
IMPACT ASSESSMENTS
INFORMATION TECHNOLOGY
INNOVATION
INNOVATION POLICY
INNOVATIONS
INTELLECTUAL PROPERTY
INTELLECTUAL PROPERTY RIGHT
INTEREST RATE
INTERNATIONAL BANK
INVESTMENT OPPORTUNITIES
INVESTMENT PROPOSALS
LABOR MARKET
LACK OF INFORMATION
LEARNING
LIMITED ACCESS
LOAN
LOAN APPLICATIONS
LOCAL GOVERNMENTS
MANUFACTURER
MANUFACTURING
MARKET DEVELOPMENT
MARKET RESEARCH
MARKETING
MARKETING STRATEGIES
MARKETING STRATEGY
MATCHING FUNDS
MATCHING GRANTS
MEDIUM ENTERPRISE
MEDIUM ENTERPRISES
MICRO ENTERPRISES
MICROENTERPRISES
MICROFINANCE
MICROFINANCE INSTITUTIONS
ONLINE FORMS
OPEN ACCESS
OUTREACH
OUTSOURCING
PARTIAL CREDIT
PRIVATE FUNDING
PRIVATE INVESTMENT
PRIVATE SECTOR
PRIVATE SECTOR DEVELOPMENT
PRIVATE SECTOR FIRM
PROCUREMENT
PROCUREMENT PROCESS
PRODUCT DEVELOPMENT
PRODUCTIVITY
PROMOTION ACTIVITIES
PUBLIC FUNDS
RADIO
RECEIPTS
RED TAPE
REGISTRY
RESULT
RESULTS
SEARCH
SERVICE PROVIDER
SERVICE PROVIDERS
SMALL ENTERPRISE
SMALL FIRMS
SME
SME DEVELOPMENT
SUPPLIER
SUPPLIERS
TARGETS
TECHNICAL ASSISTANCE
TECHNICAL SKILLS
TECHNICAL SUPPORT
TECHNOLOGY DIFFUSION
TECHNOLOGY TRANSFER
TELEVISION
TELEVISION ADVERTISEMENTS
TRAINING PROGRAMS
TRUST FUNDS
UNEMPLOYMENT
USES
VENTURE CAPITAL
VENTURE CAPITALIST
WAGES
WEB
WORKING CAPITAL
AFRICA GENDER POLICY
GENDER INNOVATION LAB
WOMEN AND YOUTH EMPLOYMENT
spellingShingle ACCESS TO CREDIT
ACCESS TO INFORMATION
ACCESS TO NETWORKS
ACCOUNTING
ADVERTISING
APPLICATION PROCESS
AUDITING
BACK-UP
BANK LENDING
BANK LOAN
BANK LOANS
BANKS
BLOG
BRANCH
BUSINESS APPLICATIONS
BUSINESS COMMUNITY
BUSINESS DEVELOPMENT
BUSINESS DEVELOPMENT SERVICE
BUSINESS DEVELOPMENT SERVICES
BUSINESS ENVIRONMENT
BUSINESS NEEDS
BUSINESS OWNER
BUSINESS OWNERS
BUSINESS PLAN
BUSINESS REGISTRATION
BUSINESS SERVICE
BUSINESS SERVICE PROVIDERS
BUSINESS SERVICES
BUSINESS TOOLS
BUSINESS TRAINING
BUSINESSES
BUYERS
CAPITAL EXPENDITURE
CAPITAL INVESTMENTS
CAPITAL MARKET
CERTIFICATE
CHAMBER OF COMMERCE
CHAMBERS OF COMMERCE
COMPANY
COMPETITIVENESS
CONSULTING SERVICES
COST-SHARING
CREDIT CONSTRAINTS
CREDIT GUARANTEES
CREDIT LINE
CREDIT MARKET
CREDIT MARKET FAILURE
CURRENT MARKET PRICE
DATA COLLECTION
DAY-TO-DAY OPERATIONS
DECISION-MAKING
DISTRIBUTION SYSTEMS
E-COMMERCE
ECONOMIC GROWTH
EDUCATIONAL BACKGROUND
ELECTRICITY
ELIGIBILITY CRITERIA
ELIGIBILITY CRITERION
ELIGIBLE APPLICANTS
EMPLOYEE
EMPLOYMENT
ENTERPRISE ASSISTANCE
ENTERPRISE DEVELOPMENT
ENTERPRISE GROWTH
ENTERPRISE SUPPORT
ENTREPRENEURS
ENTREPRENEURSHIP
EQUIPMENT
EQUIPMENT PURCHASES
EQUITY INVESTMENT
EXCESS DEMAND
EXPENDITURE
EXPORT DEVELOPMENT
EXPORT PROMOTION
EXTERNALITIES
FINANCIAL SYSTEMS
FIRM SIZE
FIRMS
GENDER
GOVERNMENT FUNDING
GOVERNMENT INTERVENTION
GOVERNMENT OFFICES
GRANT PROGRAMS
HUMAN CAPITAL
IMPACT ASSESSMENTS
INFORMATION TECHNOLOGY
INNOVATION
INNOVATION POLICY
INNOVATIONS
INTELLECTUAL PROPERTY
INTELLECTUAL PROPERTY RIGHT
INTEREST RATE
INTERNATIONAL BANK
INVESTMENT OPPORTUNITIES
INVESTMENT PROPOSALS
LABOR MARKET
LACK OF INFORMATION
LEARNING
LIMITED ACCESS
LOAN
LOAN APPLICATIONS
LOCAL GOVERNMENTS
MANUFACTURER
MANUFACTURING
MARKET DEVELOPMENT
MARKET RESEARCH
MARKETING
MARKETING STRATEGIES
MARKETING STRATEGY
MATCHING FUNDS
MATCHING GRANTS
MEDIUM ENTERPRISE
MEDIUM ENTERPRISES
MICRO ENTERPRISES
MICROENTERPRISES
MICROFINANCE
MICROFINANCE INSTITUTIONS
ONLINE FORMS
OPEN ACCESS
OUTREACH
OUTSOURCING
PARTIAL CREDIT
PRIVATE FUNDING
PRIVATE INVESTMENT
PRIVATE SECTOR
PRIVATE SECTOR DEVELOPMENT
PRIVATE SECTOR FIRM
PROCUREMENT
PROCUREMENT PROCESS
PRODUCT DEVELOPMENT
PRODUCTIVITY
PROMOTION ACTIVITIES
PUBLIC FUNDS
RADIO
RECEIPTS
RED TAPE
REGISTRY
RESULT
RESULTS
SEARCH
SERVICE PROVIDER
SERVICE PROVIDERS
SMALL ENTERPRISE
SMALL FIRMS
SME
SME DEVELOPMENT
SUPPLIER
SUPPLIERS
TARGETS
TECHNICAL ASSISTANCE
TECHNICAL SKILLS
TECHNICAL SUPPORT
TECHNOLOGY DIFFUSION
TECHNOLOGY TRANSFER
TELEVISION
TELEVISION ADVERTISEMENTS
TRAINING PROGRAMS
TRUST FUNDS
UNEMPLOYMENT
USES
VENTURE CAPITAL
VENTURE CAPITALIST
WAGES
WEB
WORKING CAPITAL
AFRICA GENDER POLICY
GENDER INNOVATION LAB
WOMEN AND YOUTH EMPLOYMENT
Campos, Francisco
Coville, Aidan
Fernandes, Ana M.
Goldstein, Markus
McKenzie, David
Learning from the Experiments That Never Happened : Lessons from Trying to Conduct Randomized Evaluations of Matching Grant Programs in Africa
geographic_facet Africa
relation Policy Research Working Paper; No. 6296
description Matching grants are one of the most common policy instruments used by developing country governments to try to foster technological upgrading, innovation, exports, use of business development services and other activities leading to firm growth. However, since they involve subsidizing firms, the risk is that they could crowd out private investment, subsidizing activities that firms were planning to undertake anyway, or lead to pure private gains, rather than generating the public gains that justify government intervention. As a result, rigorous evaluation of the effects of such programs is important. The authors attempted to implement randomized experiments to evaluate the impact of seven matching grant programs offered in six African countries, but in each case were unable to complete an experimental evaluation. One critique of randomized experiments is publication bias, whereby only those experiments with "interesting" results get published. The hope is to mitigate this bias by learning from the experiments that never happened. This paper describes the three main proximate reasons for lack of implementation: continued project delays, politicians not willing to allow random assignment, and low program take-up; and then delves into the underlying causes of these occurring. Political economy, overly stringent eligibility criteria that do not take account of where value-added may be highest, a lack of attention to detail in "last mile" issues, incentives facing project implementation staff, and the way impact evaluations are funded, and all help explain the failure of randomization. Lessons are drawn from these experiences for both the implementation and the possible evaluation of future projects.
format Publications & Research :: Policy Research Working Paper
author Campos, Francisco
Coville, Aidan
Fernandes, Ana M.
Goldstein, Markus
McKenzie, David
author_facet Campos, Francisco
Coville, Aidan
Fernandes, Ana M.
Goldstein, Markus
McKenzie, David
author_sort Campos, Francisco
title Learning from the Experiments That Never Happened : Lessons from Trying to Conduct Randomized Evaluations of Matching Grant Programs in Africa
title_short Learning from the Experiments That Never Happened : Lessons from Trying to Conduct Randomized Evaluations of Matching Grant Programs in Africa
title_full Learning from the Experiments That Never Happened : Lessons from Trying to Conduct Randomized Evaluations of Matching Grant Programs in Africa
title_fullStr Learning from the Experiments That Never Happened : Lessons from Trying to Conduct Randomized Evaluations of Matching Grant Programs in Africa
title_full_unstemmed Learning from the Experiments That Never Happened : Lessons from Trying to Conduct Randomized Evaluations of Matching Grant Programs in Africa
title_sort learning from the experiments that never happened : lessons from trying to conduct randomized evaluations of matching grant programs in africa
publisher World Bank, Washington, DC
publishDate 2013
url http://documents.worldbank.org/curated/en/2012/12/17103546/learning-experiments-never-happened-lessons-trying-conduct-randomized-evaluations-matching-grant-programs-africa
http://hdl.handle.net/10986/12200
_version_ 1764422207849627648
spelling okr-10986-122002021-04-23T14:03:05Z Learning from the Experiments That Never Happened : Lessons from Trying to Conduct Randomized Evaluations of Matching Grant Programs in Africa Campos, Francisco Coville, Aidan Fernandes, Ana M. Goldstein, Markus McKenzie, David ACCESS TO CREDIT ACCESS TO INFORMATION ACCESS TO NETWORKS ACCOUNTING ADVERTISING APPLICATION PROCESS AUDITING BACK-UP BANK LENDING BANK LOAN BANK LOANS BANKS BLOG BRANCH BUSINESS APPLICATIONS BUSINESS COMMUNITY BUSINESS DEVELOPMENT BUSINESS DEVELOPMENT SERVICE BUSINESS DEVELOPMENT SERVICES BUSINESS ENVIRONMENT BUSINESS NEEDS BUSINESS OWNER BUSINESS OWNERS BUSINESS PLAN BUSINESS REGISTRATION BUSINESS SERVICE BUSINESS SERVICE PROVIDERS BUSINESS SERVICES BUSINESS TOOLS BUSINESS TRAINING BUSINESSES BUYERS CAPITAL EXPENDITURE CAPITAL INVESTMENTS CAPITAL MARKET CERTIFICATE CHAMBER OF COMMERCE CHAMBERS OF COMMERCE COMPANY COMPETITIVENESS CONSULTING SERVICES COST-SHARING CREDIT CONSTRAINTS CREDIT GUARANTEES CREDIT LINE CREDIT MARKET CREDIT MARKET FAILURE CURRENT MARKET PRICE DATA COLLECTION DAY-TO-DAY OPERATIONS DECISION-MAKING DISTRIBUTION SYSTEMS E-COMMERCE ECONOMIC GROWTH EDUCATIONAL BACKGROUND ELECTRICITY ELIGIBILITY CRITERIA ELIGIBILITY CRITERION ELIGIBLE APPLICANTS EMPLOYEE EMPLOYMENT ENTERPRISE ASSISTANCE ENTERPRISE DEVELOPMENT ENTERPRISE GROWTH ENTERPRISE SUPPORT ENTREPRENEURS ENTREPRENEURSHIP EQUIPMENT EQUIPMENT PURCHASES EQUITY INVESTMENT EXCESS DEMAND EXPENDITURE EXPORT DEVELOPMENT EXPORT PROMOTION EXTERNALITIES FINANCIAL SYSTEMS FIRM SIZE FIRMS GENDER GOVERNMENT FUNDING GOVERNMENT INTERVENTION GOVERNMENT OFFICES GRANT PROGRAMS HUMAN CAPITAL IMPACT ASSESSMENTS INFORMATION TECHNOLOGY INNOVATION INNOVATION POLICY INNOVATIONS INTELLECTUAL PROPERTY INTELLECTUAL PROPERTY RIGHT INTEREST RATE INTERNATIONAL BANK INVESTMENT OPPORTUNITIES INVESTMENT PROPOSALS LABOR MARKET LACK OF INFORMATION LEARNING LIMITED ACCESS LOAN LOAN APPLICATIONS LOCAL GOVERNMENTS MANUFACTURER MANUFACTURING MARKET DEVELOPMENT MARKET RESEARCH MARKETING MARKETING STRATEGIES MARKETING STRATEGY MATCHING FUNDS MATCHING GRANTS MEDIUM ENTERPRISE MEDIUM ENTERPRISES MICRO ENTERPRISES MICROENTERPRISES MICROFINANCE MICROFINANCE INSTITUTIONS ONLINE FORMS OPEN ACCESS OUTREACH OUTSOURCING PARTIAL CREDIT PRIVATE FUNDING PRIVATE INVESTMENT PRIVATE SECTOR PRIVATE SECTOR DEVELOPMENT PRIVATE SECTOR FIRM PROCUREMENT PROCUREMENT PROCESS PRODUCT DEVELOPMENT PRODUCTIVITY PROMOTION ACTIVITIES PUBLIC FUNDS RADIO RECEIPTS RED TAPE REGISTRY RESULT RESULTS SEARCH SERVICE PROVIDER SERVICE PROVIDERS SMALL ENTERPRISE SMALL FIRMS SME SME DEVELOPMENT SUPPLIER SUPPLIERS TARGETS TECHNICAL ASSISTANCE TECHNICAL SKILLS TECHNICAL SUPPORT TECHNOLOGY DIFFUSION TECHNOLOGY TRANSFER TELEVISION TELEVISION ADVERTISEMENTS TRAINING PROGRAMS TRUST FUNDS UNEMPLOYMENT USES VENTURE CAPITAL VENTURE CAPITALIST WAGES WEB WORKING CAPITAL AFRICA GENDER POLICY GENDER INNOVATION LAB WOMEN AND YOUTH EMPLOYMENT Matching grants are one of the most common policy instruments used by developing country governments to try to foster technological upgrading, innovation, exports, use of business development services and other activities leading to firm growth. However, since they involve subsidizing firms, the risk is that they could crowd out private investment, subsidizing activities that firms were planning to undertake anyway, or lead to pure private gains, rather than generating the public gains that justify government intervention. As a result, rigorous evaluation of the effects of such programs is important. The authors attempted to implement randomized experiments to evaluate the impact of seven matching grant programs offered in six African countries, but in each case were unable to complete an experimental evaluation. One critique of randomized experiments is publication bias, whereby only those experiments with "interesting" results get published. The hope is to mitigate this bias by learning from the experiments that never happened. This paper describes the three main proximate reasons for lack of implementation: continued project delays, politicians not willing to allow random assignment, and low program take-up; and then delves into the underlying causes of these occurring. Political economy, overly stringent eligibility criteria that do not take account of where value-added may be highest, a lack of attention to detail in "last mile" issues, incentives facing project implementation staff, and the way impact evaluations are funded, and all help explain the failure of randomization. Lessons are drawn from these experiences for both the implementation and the possible evaluation of future projects. 2013-01-29T17:53:31Z 2013-01-29T17:53:31Z 2012-12 http://documents.worldbank.org/curated/en/2012/12/17103546/learning-experiments-never-happened-lessons-trying-conduct-randomized-evaluations-matching-grant-programs-africa http://hdl.handle.net/10986/12200 English en_US Policy Research Working Paper; No. 6296 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Africa