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Abstract
A group of economists from developing and developed countries met in Barcelona on September 24 and 25, 2004 to consider the prospects for growth and development around the world. This chapter summarizes the encouraging trends and reasons for concern that emerged from this discussion, and seven policy lessons which should serve as priority for reform in rich and developing nations. The policy issues include: the importance of the roles of both the state and market in national development and the quality of institutions in each, debt relief, national freedom to experiment in policy making, international trade, international flows of capital and labour, and environmental sustainability. While no set of policies can guarantee success, we know more today about where to look for the keys to that success. Development is a long and arduous path. If leaders from developing nations embark on it, and if rich countries help reform international arrangements that hinder rather than ease this path, there is still reason for hope.
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