ABSTRACT
This chapter examines the ways in which the public sector enables national development, in part by exploring the ways in which in developing countries it is failures or lack of capacity in the public sector that are seen as the main barriers to development. Some recent comparative literature and case studies on the role of the public sector (and of alternatives) are examined, and practical examples of how the public sector can work in the area of labour market development are discussed. Several conclusions are drawn: that the public sector is a critical enabler of development; that the capacity of the public sector for this purpose can be measured in terms of policy, implementation and efficiency abilities; and that the motivation of individual public servants is a key factor. Finally, the chapter suggests that while lessons can be drawn from the experience of other countries and other historical periods, ultimately each country must find solutions that suit its unique characteristics.
