The second day of the Conference opened with a plenary address by Dr. Adnan Khan (Professor, London School of Economics and Political Science) on the unintended effects of corruption control in the context of public procurement in Punjab, Pakistan. The authors run a field experiment with public procurement officers by randomly providing them with greater autonomy, incentives, or both. They find that autonomy reduces prices up to 9 percent, while they find no effect of providing incentives. When procurement officers are provided both autonomy and incentives, the observed effects are similar to the autonomy treatment arm. He concluded his talk with the following main insight: if supervisors are more corrupt then giving autonomy to procurement officers would increase efficiency but giving incentives in this case will not be effective in reducing capture. His work illustrates that allocation of authority depends on relative misalignment of implementing versus monitoring agents. The plenary address was followed by a session on political economy, governance, and institutional capacity, chaired by Adnan Khan. The first speaker in the session Dr. Waqar Wadho (Assistant Professor and Senior Research Fellow, Lahore School of Economics) shared results from ongoing work on measuring and limiting corruption in the Pakistani bureaucracy. His work estimates the rate of overall corruption and misuse of public funds in the bureaucracy and tests the effectiveness of four anticorruption policy interventions. He concluded his talk by saying that social sanctions, wage incentives and community monitoring could reduce corruption. The second paper by Verena Wiedemann (Dphil candidate, University of Oxford) aimed at studying the impact of political violence and protest induced supply chain disruptions on consumer prices in Ethiopia and Pakistan. Preliminary findings from her work suggest T that the firms in Pakistan either have very limited cost associated with a temporary increase in fragility or they choose to almost fully internalize any cost associated with supply chain disruptions. The last paper in the session by Dr. Saher Asad (Assistant Professor, Lahore University of Management and Sciences)investigated the impact of school interventions in Khyber Pakhtunkhwa that reformed either the teacher evaluation system or the school evaluation system by measuring relevant metrics and tying them in a transparent way to promotions for teachers and head teachers respectively. The authors find that both treatments had null effects on student attendance and learning outcomes due to deviation of inspectors from the given protocol. Dr. Azam Chaudhry ((Dean and Professor, Lahore School of Economics) chaired the next session on firms and entrepreneurship. Dr. Simon Quinn(Associate Professor of Economics and Deputy Director, Centre for the Study of African Economies, University of Oxford) presented results from a novel field experiment with young professionals in Ethiopia who were exposed to firm management in practice. This entailed placing young professionals for one month in established firms to shadow middle managers. Using random assignment into program participation, the authors find positive average effects on wage employment, but no average effect on the likelihood of self-employment. The next paper in this session by Dr. Muhammad Meki (Junior Research Fellow, University of Oxford) explored an underlying mechanism by which fixed-repayment debt contracts may lead to sub-optimal business investment. For this purpose, the author investigated the potential for `micro-equity contracts’, which involved performance-contingent repayments, to stimulate more profitable investment choices by micro entrepreneurs. The main insights which emerge from his work is that micro-equity contracts were successful in stimulating more profitable investments, and the effects of take-up of such contracts was particularly strong for the most risk- and loss-averse individuals. The session after lunch, chaired by Dr. Waqar Wadho (Assistant Professor and Senior Research Fellow, Lahore School of Economics) continued to focus on the theme of firms and entrepreneurship. Dr. John Morrow (Senior Lecturer, Kings College London) opened the session with a talk on comparative advantage of firms. In the context of the Indian manufacturing sector, the author shows that firms co-produce in industries that share intermediate inputs suggesting input capabilities drive multi-product production patterns. More specifically, complementarities driven by input capabilities make a firm on average 5% (and up to 15%) more likely to produce in an industry. Entry barriers in input markets constrained the comparative advantage of firms and were equivalent to a 10.5 percentage point tariff on inputs. The second paper by Dr. Ali Choudhary (Research Director, State Bank of Pakistan; Research Associate, Centre for Economic Performance, London School of Economics) explored trends in management practices among a sample of 4500 manufacturing firms in Pakistan.