WHAT COUNTS AS an emerging market? Broadly speaking, an economy that is not too rich, not too poor and not too closed to foreign capital. The term was coined by Antoine van Agtmael in 1981 when he was working for the International Finance Corporation (IFC), a division of the World Bank. He hoped to create what he had named: a set of promising stockmarkets, lifted from obscurity, thereby attracting the investment they needed to thrive. The World Bank now classifies nine of MSCI's 24 benchmark economies as highfiincome. (These economies, which include Taiwan, South Korea, Qatar, the United Arab Emirates and several members of the European Union, will not feature prominently in this special report.) Asia accounts for almost 70% of the group's combined GDP and commands a similar weight in the equity index. Some countries are much more important to investors than their economic weight would suggest, thanks to their unusually deep and open stockfi or debt markets. The best example is South Africa: the combined value of shares on its stockmarket is more than three times its GDP. As well as progress, uplift and dynamism, emerging markets have traditionally featured crises, defaults and slumps. Many have been laid low by profligate governments, overstretched companies, mismatched balancefisheets, fickle foreign capital or volatile commodity prices. Such setbacks can take a toll on their longfiterm prospects, preventing them from graduating to the ranks of mature markets. Poor economies typically become "emerging markets" because they have grown quickly. They remain "emerging" because they have not managed to grow steadily. https://www.economist.com/specialfireport/2017/10/05/ definingfiemergingfimarkets
common elements are the emphasis on rules and qualities of systems, cooperation to enhance legitimacy and effectiveness and the attention to new processes and public-private arrangements. The apparent success of the concept seems to be that it reflects the societal need for new initiatives based upon the realization of growing societal interdependencies. The article surveys different uses. This perspective on governance takes different forms of social-political interactions as its central theme in which different kinds of distinctions are made, such as between self, 'co' and hierarchical governance and between orders of governance such as first-order governance, which means problem-solving and opportunity- creation, second-order governance, which looks at the institutional conditions and meta-governance which deals with the principles which 'govern' governance itself. In the article, several governance issues are raised and some empirical examples are given for the concepts used and the associated theoretical notions. (1) Governance as the minimal state where governance becomes a term for r e d e h g the extent and form of public intervention (Gray 1994; Rhodes 1994 Good governance is a concept that is quite closely connected with the World Bank's involvement in the development of what is called Sub-Saharan Africa. In an influential report, published in 1989, the Bank shifted from primarily economic policies to an argumentation that a crisis of governance underlies the litany of Africa's development problems (World Bank 1989). What was needed, in the Bank's opinion was a political renewal in