Weak public infrastructure may contribute to poverty and inequality. Studies have found that roads are a key factor affecting rural incomes in developing countries. Yet, there is relatively scant evidence of the economic impacts of rural roads at the individual household level. This study contributes to the literature by empirically analysing the effects of rural road construction on household income and income inequality in Nepal.

The publication reviews forty years of development experience and concludes that donors and partner countries alike have tended to look at capacity development as mainly a technical process, or as a transfer of knowledge or institutions from North to South.