Is Evaluation Embraced in Turbulent Times of Economic Crisis? 1

Abstract

If there was ever a time when decision makers would gladly embrace evaluation, it would seem to be in the turbulent aftermath of the Global Economic Crisis of 2008. Even as we stand well into 2010, the effects stretch on. It is clear in hindsight that the data to alert decision makers of the coming crisis and to take action were available, but not used. While many experts misjudged the timing, speed, and severity of the crisis, the economists who in fact did predict it, did not have their voices heard. As put by the World Bank’s Chief Economist, Justin Yifu Lin (2009): “Though many knew that the risks of a severe financial crisis were mounting, the necessary changes in policies and practices, both in mature economies ’ financial sectors as well as in many new emerging markets, were stymied by procrastination during the 2003–2007 boom. No one was willing or capable of taking the punch bowl from the party and the global institutional set‐up did not have the leverage to do so ” (p. 29). This chapter begins by examining the issue of whether the turbulent aftermaths of economic crises increase the demand for evaluation from policy makers. It then moves beyond this issue to the premise laid out by the editors of this book, that in turbulent times “old solutions, old instruments, and old institutions ” are not sufficient…and “marginal changes will not work”. Applying this to th