This course introduces the theory and practice of institutional reform in developing and transitional countries. It reviews the evolution of international development paradigms, examining how the role, structure, and management of institutions, the public sector, and non-governmental organizations have changed in response to shifting economic and political trends, with a particular emphasis on accountability. The focus is on major institutional and managerial reforms intended to promote good governance as less developed economies liberalize and their societies democratize. Key topics include issues of property rights, knowledge and innovation, learning, the rule of law, decentralization/intergovernmental relations, civil service reforms, anticorruption, citizen engagement, and public-private partnerships. In addition, the roles of international development aid and the external institutions that support institutional and managerial reform in developing and transitional countries are introduced. The course concludes with a synthetic review and a comparative case study exercise.