Tim Besley is School Professor of Economics and Political Science and W. Arthur Lewis Professor of Development Economics at LSE. His main research interests are in studying how governments can more effectively design and deliver economic policies. He has extensive policy experience advising the World Bank, IMF and EBRD and, from 2006 to 2009, he served on the Bank of England Monetary Policy Committee. He is also a member of the UK's National Infrastructure Commission and was an academic convenor of the Oxford-LSE Fragile States commission and joint Chair of the LSE Growth Commission. He is a past President of the European Economic Association, Econometric Society and Royal Economic Society. Irene Bucelli is Research Officer at the School of Public Policy and the Centre for Analysis of Social Exclusion at LSE. Her research focuses on the relationship between multidimensional inequality and poverty, exploring both theoretically and empirically the interplay between different forms of disadvantage and their implications for policy. She coordinates the LSE Public Policy Review programme at the School of Public Policy and is managing editor of the LSE Public Policy Review journal. Andres Velasco is Professor of Public Policy and Dean of the School of Public Policy at LSE. Between 2006 and 2010 he served as Minister of Finance of Chile. He is also an Associate Fellow at Chatham House, the Royal Institute of International Affairs, and a Research Fellow at the Centre for Economic Policy Research (CEPR). In 2023-24 he served on the Task Force on Fiscal Policy for Health; during 2021-23 he was part of the High-Level Advisory Group to the IMF and the World Bank; in 2017-18 he was a member of the G20 Eminent Persons Group; during 2015-16 he co-chaired the Global Panel on the Future of the Multilateral Lending Institutions; in 2013-16 he was a member of the Global Oceans Commission. Before coming to LSE, he held professorial appointments at the Harvard Kennedy School, Columbia SIPA and the NYU Economics Department. His research has been published in leading academic journals including the American Economic Review, the Journal of Political Economy, the Quarterly Journal of Economics and the Journal of Economic Theory. In 2006 he received the Inter-American Development Bank Award for Excellence in Economic Research.

• Preface1. Towards a London Economic Consensus:an introductionTim Besley and Andrés Velasco PART I: INNOVATION AND PRODUCTIVITY 2. Fostering green and inclusive productivity growthPhilippe Aghion and John Van Reenen Response to Philippe Aghion and John Van ReenenDiane Coyle Response to Philippe Aghion and John Van ReenenTimo Boppart 3. On productivismDani Rodrik Response to Dani RodrikJean Pisani-Ferry Response to Dani RodrikPierre-Olivier Gourinchas PART II: TRADE4. International trade since the Washington Consensus:the gains and the painsDave DonaldsonResponse to Dave DonaldsonThomas SampsonResponse to Dave DonaldsonAnthony Venables5. Export-led growthRicardo HausmannResponse to Ricardo HausmannIsabela ManeliciResponse to Ricardo HausmannDanny QuahPART III: MACROECONOMIC POLICY6. Fiscal policy and public debtRicardo Reis and Andrés VelascoResponse to Ricardo Reis and Andrés VelascoOlivier BlanchardResponse to Ricardo Reis and Andrés VelascoChryssi Giannitsarou7. Monetary and financial policiesHélène Rey Response to Hélène ReyPaul Tucker Response to Hélène ReyŞebnem Kalemli-Özcan PART IV: LABOUR MARKET 8. Labour markets and the future of workChristopher Pissarides Response to Christopher PissaridesKirsten Sehnbruch 9. Labour markets and gender inequalityOriana Bandiera and Barbara PetrongoloResponse to Oriana Bandiera and Barbara PetrongoloAshwini Deshpande Response to Oriana Bandiera and Barbara PetrongoloAlmudena SevillaPART V COHESION, EQUITY AND SOCIAL POLICY10. Is there a ‘new consensus’ on inequality?Francisco H. G. FerreiraResponse to Francisco H. G. FerreiraRavi KanburResponse to Francisco H. G. FerreiraNora Lustig11. Welfare stateNicholas BarrResponse to Nicholas BarrSantiago LevyResponse to Nicholas BarrPaul Johnson12. Addressing the learning crisis: an emergent consensusLant PritchettResponse to Lant PritchettPedro CarneiroResponse to Lant PritchettMiguel Urquiola13. Towards resilient and sustainable universal health- care coverageAlistair McGuire, Joan Costa-i-Font and Ranjeeta Thomas Response to Alistair McGuire, Joan Costa-i-Fontand Ranjeeta ThomasCarol PropperResponse to Alistair McGuire, Joan Costa-i-Fontand Ranjeeta ThomasMichael MarmotPART VI: ENVIRONMENT AND CLIMATE CHANGE 14. Climate and environment: what we know and what we need to knowRobin Burgess and Tim Dobermann 15. Tackling climate change in low- and middle-income countriesElizabeth Robinson and Chukwumerije Okereke PART VII: POLITICAL ECONOMY AND STATE CAPACITY 16. From liberal economic policies to liberal political institutions? Democracy, development clusters and wellbeingTim Besley and Torsten Persson Response to Tim Besley and Torsten PerssonMargaret Levi Response to Tim Besley and Torsten PerssonLeonard Wantchekon 17. State capacityDan Honig, Adnan Khan and Joana Naritomi Response to Dan Honig, Adnan Khan and Joana NaritomiMatthew Andrews Response to Dan Honig, Adnan Khan and Joana NaritomiErnesto Dal Bó AfterwordPranab Bardhan List of figures and tables About the editors and contributors Index

Tim Besley is School Professor of Economics and Political Science and W. Arthur Lewis Professor of Development Economics at LSE. His main research interests are in studying how governments can more effectively design and deliver economic policies. He has extensive policy experience advising the World Bank, IMF and EBRD and, from 2006 to 2009, he served on the Bank of England Monetary Policy Committee. He is also a member of the UK's National Infrastructure Commission and was an academic convenor of the Oxford-LSE Fragile States commission and joint Chair of the LSE Growth Commission. He is a past President of the European Economic Association, Econometric Society and Royal Economic Society. Irene Bucelli is Research Officer at the School of Public Policy and the Centre for Analysis of Social Exclusion at LSE. Her research focuses on the relationship between multidimensional inequality and poverty, exploring both theoretically and empirically the interplay between different forms of disadvantage and their implications for policy. She coordinates the LSE Public Policy Review programme at the School of Public Policy and is managing editor of the LSE Public Policy Review journal. Andres Velasco is Professor of Public Policy and Dean of the School of Public Policy at LSE. Between 2006 and 2010 he served as Minister of Finance of Chile. He is also an Associate Fellow at Chatham House, the Royal Institute of International Affairs, and a Research Fellow at the Centre for Economic Policy Research (CEPR). In 2023-24 he served on the Task Force on Fiscal Policy for Health; during 2021-23 he was part of the High-Level Advisory Group to the IMF and the World Bank; in 2017-18 he was a member of the G20 Eminent Persons Group; during 2015-16 he co-chaired the Global Panel on the Future of the Multilateral Lending Institutions; in 2013-16 he was a member of the Global Oceans Commission. Before coming to LSE, he held professorial appointments at the Harvard Kennedy School, Columbia SIPA and the NYU Economics Department. His research has been published in leading academic journals including the American Economic Review, the Journal of Political Economy, the Quarterly Journal of Economics and the Journal of Economic Theory. In 2006 he received the Inter-American Development Bank Award for Excellence in Economic Research.

• Preface1. Towards a London Economic Consensus:an introductionTim Besley and Andrés Velasco PART I: INNOVATION AND PRODUCTIVITY 2. Fostering green and inclusive productivity growthPhilippe Aghion and John Van Reenen Response to Philippe Aghion and John Van ReenenDiane Coyle Response to Philippe Aghion and John Van ReenenTimo Boppart 3. On productivismDani Rodrik Response to Dani RodrikJean Pisani-Ferry Response to Dani RodrikPierre-Olivier Gourinchas PART II: TRADE4. International trade since the Washington Consensus:the gains and the painsDave DonaldsonResponse to Dave DonaldsonThomas SampsonResponse to Dave DonaldsonAnthony Venables5. Export-led growthRicardo HausmannResponse to Ricardo HausmannIsabela ManeliciResponse to Ricardo HausmannDanny QuahPART III: MACROECONOMIC POLICY6. Fiscal policy and public debtRicardo Reis and Andrés VelascoResponse to Ricardo Reis and Andrés VelascoOlivier BlanchardResponse to Ricardo Reis and Andrés VelascoChryssi Giannitsarou7. Monetary and financial policiesHélène Rey Response to Hélène ReyPaul Tucker Response to Hélène ReyŞebnem Kalemli-Özcan PART IV: LABOUR MARKET 8. Labour markets and the future of workChristopher Pissarides Response to Christopher PissaridesKirsten Sehnbruch 9. Labour markets and gender inequalityOriana Bandiera and Barbara PetrongoloResponse to Oriana Bandiera and Barbara PetrongoloAshwini Deshpande Response to Oriana Bandiera and Barbara PetrongoloAlmudena SevillaPART V COHESION, EQUITY AND SOCIAL POLICY10. Is there a ‘new consensus’ on inequality?Francisco H. G. FerreiraResponse to Francisco H. G. FerreiraRavi KanburResponse to Francisco H. G. FerreiraNora Lustig11. Welfare stateNicholas BarrResponse to Nicholas BarrSantiago LevyResponse to Nicholas BarrPaul Johnson12. Addressing the learning crisis: an emergent consensusLant PritchettResponse to Lant PritchettPedro CarneiroResponse to Lant PritchettMiguel Urquiola13. Towards resilient and sustainable universal health- care coverageAlistair McGuire, Joan Costa-i-Font and Ranjeeta Thomas Response to Alistair McGuire, Joan Costa-i-Fontand Ranjeeta ThomasCarol PropperResponse to Alistair McGuire, Joan Costa-i-Fontand Ranjeeta ThomasMichael MarmotPART VI: ENVIRONMENT AND CLIMATE CHANGE 14. Climate and environment: what we know and what we need to knowRobin Burgess and Tim Dobermann 15. Tackling climate change in low- and middle-income countriesElizabeth Robinson and Chukwumerije Okereke PART VII: POLITICAL ECONOMY AND STATE CAPACITY 16. From liberal economic policies to liberal political institutions? Democracy, development clusters and wellbeingTim Besley and Torsten Persson Response to Tim Besley and Torsten PerssonMargaret Levi Response to Tim Besley and Torsten PerssonLeonard Wantchekon 17. State capacityDan Honig, Adnan Khan and Joana Naritomi Response to Dan Honig, Adnan Khan and Joana NaritomiMatthew Andrews Response to Dan Honig, Adnan Khan and Joana NaritomiErnesto Dal Bó AfterwordPranab Bardhan List of figures and tables About the editors and contributors Index

Tim Besley is School Professor of Economics and Political Science and W. Arthur Lewis Professor of Development Economics at LSE. His main research interests are in studying how governments can more effectively design and deliver economic policies. He has extensive policy experience advising the World Bank, IMF and EBRD and, from 2006 to 2009, he served on the Bank of England Monetary Policy Committee. He is also a member of the UK's National Infrastructure Commission and was an academic convenor of the Oxford-LSE Fragile States commission and joint Chair of the LSE Growth Commission. He is a past President of the European Economic Association, Econometric Society and Royal Economic Society. Irene Bucelli is Research Officer at the School of Public Policy and the Centre for Analysis of Social Exclusion at LSE. Her research focuses on the relationship between multidimensional inequality and poverty, exploring both theoretically and empirically the interplay between different forms of disadvantage and their implications for policy. She coordinates the LSE Public Policy Review programme at the School of Public Policy and is managing editor of the LSE Public Policy Review journal. Andres Velasco is Professor of Public Policy and Dean of the School of Public Policy at LSE. Between 2006 and 2010 he served as Minister of Finance of Chile. He is also an Associate Fellow at Chatham House, the Royal Institute of International Affairs, and a Research Fellow at the Centre for Economic Policy Research (CEPR). In 2023-24 he served on the Task Force on Fiscal Policy for Health; during 2021-23 he was part of the High-Level Advisory Group to the IMF and the World Bank; in 2017-18 he was a member of the G20 Eminent Persons Group; during 2015-16 he co-chaired the Global Panel on the Future of the Multilateral Lending Institutions; in 2013-16 he was a member of the Global Oceans Commission. Before coming to LSE, he held professorial appointments at the Harvard Kennedy School, Columbia SIPA and the NYU Economics Department. His research has been published in leading academic journals including the American Economic Review, the Journal of Political Economy, the Quarterly Journal of Economics and the Journal of Economic Theory. In 2006 he received the Inter-American Development Bank Award for Excellence in Economic Research.

• Preface1. Towards a London Economic Consensus:an introductionTim Besley and Andrés Velasco PART I: INNOVATION AND PRODUCTIVITY 2. Fostering green and inclusive productivity growthPhilippe Aghion and John Van Reenen Response to Philippe Aghion and John Van ReenenDiane Coyle Response to Philippe Aghion and John Van ReenenTimo Boppart 3. On productivismDani Rodrik Response to Dani RodrikJean Pisani-Ferry Response to Dani RodrikPierre-Olivier Gourinchas PART II: TRADE4. International trade since the Washington Consensus:the gains and the painsDave DonaldsonResponse to Dave DonaldsonThomas SampsonResponse to Dave DonaldsonAnthony Venables5. Export-led growthRicardo HausmannResponse to Ricardo HausmannIsabela ManeliciResponse to Ricardo HausmannDanny QuahPART III: MACROECONOMIC POLICY6. Fiscal policy and public debtRicardo Reis and Andrés VelascoResponse to Ricardo Reis and Andrés VelascoOlivier BlanchardResponse to Ricardo Reis and Andrés VelascoChryssi Giannitsarou7. Monetary and financial policiesHélène Rey Response to Hélène ReyPaul Tucker Response to Hélène ReyŞebnem Kalemli-Özcan PART IV: LABOUR MARKET 8. Labour markets and the future of workChristopher Pissarides Response to Christopher PissaridesKirsten Sehnbruch 9. Labour markets and gender inequalityOriana Bandiera and Barbara PetrongoloResponse to Oriana Bandiera and Barbara PetrongoloAshwini Deshpande Response to Oriana Bandiera and Barbara PetrongoloAlmudena SevillaPART V COHESION, EQUITY AND SOCIAL POLICY10. Is there a ‘new consensus’ on inequality?Francisco H. G. FerreiraResponse to Francisco H. G. FerreiraRavi KanburResponse to Francisco H. G. FerreiraNora Lustig11. Welfare stateNicholas BarrResponse to Nicholas BarrSantiago LevyResponse to Nicholas BarrPaul Johnson12. Addressing the learning crisis: an emergent consensusLant PritchettResponse to Lant PritchettPedro CarneiroResponse to Lant PritchettMiguel Urquiola13. Towards resilient and sustainable universal health- care coverageAlistair McGuire, Joan Costa-i-Font and Ranjeeta Thomas Response to Alistair McGuire, Joan Costa-i-Fontand Ranjeeta ThomasCarol PropperResponse to Alistair McGuire, Joan Costa-i-Fontand Ranjeeta ThomasMichael MarmotPART VI: ENVIRONMENT AND CLIMATE CHANGE 14. Climate and environment: what we know and what we need to knowRobin Burgess and Tim Dobermann 15. Tackling climate change in low- and middle-income countriesElizabeth Robinson and Chukwumerije Okereke PART VII: POLITICAL ECONOMY AND STATE CAPACITY 16. From liberal economic policies to liberal political institutions? Democracy, development clusters and wellbeingTim Besley and Torsten Persson Response to Tim Besley and Torsten PerssonMargaret Levi Response to Tim Besley and Torsten PerssonLeonard Wantchekon 17. State capacityDan Honig, Adnan Khan and Joana Naritomi Response to Dan Honig, Adnan Khan and Joana NaritomiMatthew Andrews Response to Dan Honig, Adnan Khan and Joana NaritomiErnesto Dal Bó AfterwordPranab Bardhan List of figures and tables About the editors and contributors Index