International Organizations as Producers of Development Goods

• Author: Fabio Daneri
• Position: University of New York Tirana
• Pages: 29-32

ISSN 2410-3918 Academic Journal of Business, Administration, Law and Social Sciences Vol 1 No 2

Acces online at www.iipccl.org IIPCCL Publishing, Tirana-Albania July 2015

29

International Organizations as Producers of Development Goods

Fabio Daneri

University of New York Tirana

Abstract

International organizations can be considered as providers of “development goods”, which

contribute to the process of development of recipient countries. is phenomenon gives birth to

a particular market, with its own characteristics, which is very similar to an oligopoly due to the

high requirements needed for the birth of an international organization. is paper will analyze

the characteristics of this particular market, where goods are nanced by developed countries and

consumed by emerging countries. Given these peculiar characteristics, this market is characterized

by several particular features, the mainly being a suboptimal level of nance, given that only a

part of the public opinion in developed countries is concerned about the economics of emerging

countries. In addition to this phenomena, it must be added that several actors are involved, being

them individuals, ministries, NGOs, private companies, so that everybody tend to benet by the

intermediation of the resources. It should be highlighted that, for the time being, it is very dicult

to modify the characteristics of this market, which tends to have stable and self-perpetuating

features.

Keywords: International organizations, NGOs, development, development goods, emerging countries.

Introduction

An international organization can be considered as an organization with an international

membership, scope, or presence. ey are of three types, being them international

organizations strictly dened (United Nations, European Union, etc.), civil society

institutions (Soros Foundation, Emergency, etc.) and multinational corporations (Pepsi,

Nestle’, etc.).

In the current paper, we will only make reference to the rst two kinds of international

organizations. erefore, we will consider only public and non-prot institutions, leaving

private corporations outside of our analysis.

As a general characteristic, international organizations can be seen as providers of

development goods. at is true for the United Nations and other forms of international

institutions as well as for civil society organizations.

It should be highlighted how development goods are not a particular sub-category of

public goods, which have the characteristics of being non-rival and non-excludable. In

fact, sometimes international organizations promote for example small and medium

enterprises (SMEs) to benet the local population, which are a typical example of

excludable goods.

A development good can instead be considered as a good which serves (at least

theoretically) to the development process of the recipient country. Development can be

dened as the process and policies by which a nation improves the economic, political,