Putting Tanzania's Hidden Economy to Work : Reform, Management, and Protection of its Natural Resource Sector
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Washington, DC : World Bank
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This paper tells a story about
conditions in Tanzania's hidden economy, the parts of
the natural resource sector often ignored in conventional
economic analyses and studies, and makes recommendations for
future policy actions. The paper draws primarily from
extensive background studies undertaken of the forestry,
fishery, wildlife, mining, and tourism sub sectors (COWI
2005) as well as a wide range of complementary studies
undertaken by the World Bank and others. It de-emphasizes
those sectors with factors of production that are not
readily traded or exported (such as land and water),
although some examples are given relating to soil quality
and water management based on extensive studies undertaken
within the agriculture and water sectors. The story is
relatively simple: pricing distortions, coupled with
institutional weakness and the lack of rule of law, have
created an environment that undermines economic growth. This
paper also acknowledges that Tanzania has already taken
positive steps to making some of the needed corrections to
protect its natural resources. In recent analyses of
corruption indicators world-wide (World Bank Institute
2006), Tanzanian stands out among those nations as having
made significant progress towards improving accountability
and reducing economic leakages. Anti-corruption legislation
was drafted for parliament attention in early 2007.
Revisions to the Deep Sea Fishing Authority Act were passed
into law in early 2007. Moreover, changes in institutional
arrangements, taxation, and general management of the
resource sector show promise and have contributed positively
to general economic growth. Yet, the sector remains fragile
and vulnerable in other respects: perceptions of unequal
income distribution, impacts of climate change, and other
external influences must also be addressed to build on past successes.
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ACTION PLAN, ADEQUATE SAFETY NET, ADULT POPULATION, AGRICULTURAL PRODUCTION, AGRICULTURE, ANECDOTAL EVIDENCE, ANIMAL, ARTISANAL MINING, ASSETS, AWARENESS BUILDING, BIODIVERSITY, BLACK MARKETS, CAPACITY BUILDING, CARBON, CARBON DIOXIDE, CHARCOAL PRODUCTION, CHILD MORTALITY, CLEAN DEVELOPMENT MECHANISM, CLIMATE CHANGE, COASTAL AREAS, COASTAL FISHERY, COASTAL ZONES, COMMUNITY CONSERVATION, COMPETITIVENESS, CONSERVATION ACTIVITIES, CROWDING OUT, CULTURAL VALUES, DEALERS, DECENTRALIZATION, DEEP SEA, DEFORESTATION, DEFORESTATION RATE, DETERMINANTS, DEVELOPMENT STRATEGY, DISSEMINATION, DRINKING WATER, ECONOMIC DEVELOPMENT, ECONOMIC GROWTH, ECONOMIC LOSS, ECONOMIC PERFORMANCE, ECOSYSTEM, ECOSYSTEMS, ELEPHANTS, EMISSION REDUCTION, EMISSION REDUCTIONS, EMISSIONS, EMPIRICAL EVIDENCE, ENERGY CONSUMPTION, ENTITLEMENTS, ENVIRONMENTAL, ENVIRONMENTAL DEGRADATION, ENVIRONMENTAL ISSUES, ENVIRONMENTAL KUZNETS, EXPENDITURES, EXPLOITATION, EXPORT STATISTICS, EXPORTS, EXTERNALITIES, EXTINCTION, EXTREME POVERTY, FIELD RESEARCH, FISH, FISHERIES, FISHERIES MANAGEMENT, FISHERIES RESOURCES, FISHING, FISHING FLEETS, FISHING VESSELS, FOREIGN VESSELS, FOREST, FOREST AREA, FOREST COVER, FOREST INVENTORY, FOREST MANAGEMENT, FOREST POLICY, FOREST PRODUCTS, FOREST RESERVE, FOREST SECTOR, FOREST STAFF, FORESTRY, FORESTRY SECTOR, FORESTS, FRESHWATER FISHERIES, GAME RESERVES, GDP, GLOBAL ENVIRONMENT, GOLD MINING, GREEN ACCOUNTING, GREENHOUSE GASES, GROSS DOMESTIC PRODUCT, GROSS NATIONAL INCOME, GROWTH POTENTIAL, GROWTH PROJECTIONS, GROWTH RATE, HABITATS, HIV, HUMAN CAPITAL, HUNTING, ILLEGAL FISHING, ILLEGAL LOGGING, ILLEGAL TRADE, IMPERFECT COMPETITION, INCOME, INCOME DISTRIBUTION, INEFFICIENCY, INFORMATION SYSTEM, INSTITUTIONAL CAPACITY, INVENTORY, IVORY, LABOR FORCE, LAKE, LAKES, LAND USES, LANDFILLS, LEGAL STATUS, LEGISLATION, LIFE EXPECTANCY, LIVE ANIMALS, LIVESTOCK, LIVESTOCK GRAZING, LOCAL AUTHORITIES, LOCAL DEVELOPMENT, LOGGING, MACROECONOMICS, MANGROVES, MARINE FISHERIES, MARINE FISHERY, MATURE FORESTS, MEDICINAL PLANTS, METALS, MIGRATION, MILLENNIUM DEVELOPMENT GOAL, MILLENNIUM DEVELOPMENT GOALS, MINERAL DEPOSITS, MINES, MINING OPERATIONS, MONOPOLY, MORTALITY RATES, NATIONAL ECONOMY, NATIONAL INCOME, NATIONAL OUTPUT, NATIONAL PARK, NATIONAL PARKS, NATIONAL STRATEGY, NATURAL CAPITAL, NATURAL RESOURCE, NATURAL RESOURCE BASE, NATURAL RESOURCE MANAGEMENT, NATURAL RESOURCE MANAGEMENT STRATEGY, NATURAL RESOURCE USE, NATURAL RESOURCES, NEGATIVE EXTERNALITIES, ORGANIC WASTES, PELAGIC FISHERIES, POACHING, POPULATION GROWTH, POVERTY ALLEVIATION, POVERTY LINE, POVERTY REDUCTION, PRAWN STOCKS, PRECAUTIONARY PRINCIPLE, PRESENT VALUE, PRIMARY SCHOOL, PRODUCTIVE ASSETS, PRODUCTIVITY, PROGRESS, PROPERTY RIGHTS, PUBLIC GOODS, QUOTAS, RATIONING SYSTEMS, RECLAMATION, REEF, REGRESSION ANALYSIS, RENEWABLE RESOURCES, RESERVES, RISK MANAGEMENT, RIVER BASINS, RULE OF LAW, RURAL COMMUNITIES, SAFARI, SAFETY NETS, SANITATION, SCARCE RESOURCES, SOCIAL ACTION, SOCIAL INEQUALITIES, SOCIAL SECTORS, SOCIAL SECURITY, SOCIAL VULNERABILITY, SPECIES, STREAMS, SUBSISTENCE LIVELIHOODS, SUPPLIERS, SUPPLY CHAIN, SUSTAINABLE MANAGEMENT, SUSTAINABLE NATURAL RESOURCE, SUSTAINABLE RESOURCE MANAGEMENT, SUSTAINABLE RESOURCE USE, SUSTAINABLE USE, TAXATION, TERMS OF TRADE, TIMBER, TIMBER FOREST, TIMBER FOREST PRODUCT, TIMBER FOREST PRODUCTS, TOURISM, TOURISM DEVELOPMENT, TOURIST ATTRACTIONS, TRADE LIBERALIZATION, TRANSPARENCY, TREE, TREE PLANTING, TREES, TUNA, UNDERLYING PROBLEMS, USE OF WILDLIFE, VALUATION, VALUE ADDED, VILLAGES, VULNERABILITY, WATER MANAGEMENT, WATER POLLUTION, WATER RESOURCES, WATERSHED, WEALTH, WILDLIFE, WILDLIFE AREAS, WILDLIFE CONSERVATION, WILDLIFE CONSUMPTION, WILDLIFE MANAGEMENT, WILDLIFE RESEARCH, WILDLIFE RESERVES, WILDLIFE RESOURCES, WILDLIFE SPECIES, WOODLAND