The 21st century have had significant changes on the way national and local governments, financial institutions and policymakers in general should face development and human welfare. New challenges have emerged such as food security, water scarcity, aging populations, cultural loss and environmental degradation. The big issue is how to manage well forces such as technology’s innovations, the spread of knowledge, population growth and urbanization increasing demands for political and human rights, according to these new challenges. In parallel with this issue there are two phenomena occurring that generates important controversies: globalization and localization. Regarding regulation, negotiation and coordination at the supranational and subnational levels, these two phenomena will play a crucial role in development and in relationships between and within countries. This paper will propose some solutions and actions that governments should be taking in order to create a stable environment with effective development programs while addressing human needs directly.

Summary of WDR excerpt
Development thinking has evolved over the last decades and economists have been trying to search and to create the “magic recipe