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The base case scenario<br />

The base case scenario implies continuity with historical<br />

patterns (including development policies pursued in recent<br />

decades). However, the model’s complex dynamics—including<br />

a wide range of nonlinear relationships—provide a structure<br />

that can also generate nonlinear future patterns that differ<br />

considerably from historical trajectories.<br />

The accelerated progress scenario<br />

Under the accelerated progress scenario, resources and policy<br />

ambition increase substantially compared with the base case.<br />

Table A2 lists choices and targets for appropriate (aggressive but<br />

reasonable) magnitudes of intervention in poverty reduction,<br />

infrastructure and governance, among others. Changes are<br />

relative to the underlying values for each country in the base<br />

case scenario and therefore take into account different national<br />

starting points and patterns.<br />

Table A2<br />

Targets for appropriate magnitudes of intervention, relative to the base case scenario<br />

Policy area Over 10 years Over 20 years Over 30 years Over 40 years<br />

Global level<br />

Poverty reduction<br />

• Doubling of lending by international<br />

financial institutions<br />

• Foreign aid donations from developed<br />

countries increased to at least 0.5%<br />

of GDP<br />

• 30% increase in foreign direct<br />

investment<br />

• 50% increase in portfolio investment<br />

flows<br />

• 20% increase in expenditure on<br />

research and development<br />

• 50% increase in migration<br />

Infrastructure a • Rural population living more than 2<br />

kilometres from an all-season road<br />

reduced by half or to below 10%<br />

(whichever comes first)<br />

• Universal access to electricity<br />

• Elimination of solid fuels as the<br />

primary source for heating and<br />

cooking in the home<br />

Governance b<br />

Regional and<br />

domestic levels c<br />

• Corruption reduced and governance<br />

effectiveness and regulatory quality<br />

increased globally to one standard error<br />

above typical values for each country’s<br />

GDP per capita<br />

• Measures of democracy and gender<br />

empowerment increased to one<br />

standard error above typical values for<br />

each country’s GDP per capita<br />

• For developing countries: 20% increase<br />

in health spending, 20% improvement in<br />

governance effectiveness on the World<br />

Bank scale, 20% increase in economic<br />

freedom on Fraser Institute scale, and<br />

0.2% increase in technologically based<br />

productivity growth<br />

• Probability of internal conflict<br />

reduced to 0<br />

• 10% increase (about 3 percentage<br />

points of GDP) in government revenue<br />

in non–Organisation for Economic Cooperation<br />

and <strong>Development</strong> countries<br />

• 30% decrease in corruption on the<br />

Transparency International scale<br />

• 20% improvement in<br />

infrastructure<br />

• Universal access to an improved<br />

source of water and sanitation<br />

(after having been halved from<br />

1990 levels by 2015)<br />

• Universal access to mobile<br />

telephone and broadband service<br />

• 50% increase in<br />

renewable energy<br />

production<br />

a. Includes transportation, energy, water and sanitation, and information and communication technology. The global targets are a combination of normative targets (such as aspirational targets from the<br />

Millennium <strong>Development</strong> Goals) and, considering the possibility of goal fulfilment by all countries, 97.5% level of truly universal goals.<br />

b. Governance is conceptualized in three dimensions—security, capacity and inclusion. The security dimension is operationalized with two generally complementary measures of the probability of domestic<br />

conflict and of the vulnerability to conflict. The capacity dimension is operationalized as the governments’ ability to mobilize revenue (up to 30% of GDP) and to use it effectively (looking especially to lower<br />

levels of corruption). The inclusion dimension is operationalized as the democratic character of institutions and also as broader inclusiveness, as represented by the <strong>Human</strong> <strong>Development</strong> Report’s Gender<br />

Empowerment Measure.<br />

c. Regional specific targets are available in Pardee Center for International Futures (2013).<br />

202 | HUMAN DevELoPMENt REPort 2013

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