Development Economics

Paper Code: 
ECO 514
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

1.      To comprehend the concept economic development.

2.      To understand the role of land, labour and capital in development.

3.      To examine the various theories of development like Big Push Theory and Critical Minimum Effort Theory.

12.00
Unit I: 
Introduction
  • Development: Nature , Meaning and Values
  • Capabilities approach
  • Objectives of development
  • Measurement of development: purchasing power parity and per capita income as an index of development, human development index
  • Difference between growth and development
  • Meaning and Characteristics of developing economies
12.00
Unit II: 
Land, Labour and Capital
  • Land: ownership and tenancy system-fixed rent contract and share cropping     Role of agriculture in development and barriers to agricultural development
  • Labour: population and labour force growth, casual and long term labour, permanent labour market
  • Capital: role of capital accumulation in economic development, significance of capital output ratio, role of technology and technological progress, learning by doing, human capital
12.00
Unit III: 
Inequality and Poverty
  • Inequality: meaning, measures- Lorenz curve, range, coefficient of variation, Gini coefficient, Kuznet’s inverted U hypothesis
  • Poverty : relative and absolute, poverty line, poverty measures-head count ratio, poverty gap ratio, income gap ratio human poverty index
  • Social dimensions of poverty : rural poverty, women  and ethnic minorities and indigenous populations
12.00
Unit IV: 
Theories of Development I
  • Disguised unemployment as a saving potential.
  • Unlimited supply of labour;
  • Balanced growth theory;
  • Hirschman’s Strategy
12.00
Unit V: 
Theories of Development II
  • Big Push Theory;
  • Critical minimum effort thesis;
  • Low level equilibrium trap;
  • Social and technical dualism
Essential Readings: 
  1. Jhingan M.L., The Economics of Development of Planning (Vrinda Publications (P) Ltd., 41st Edition, 2016.
  2. Mishra, S.K. and Puri V.K., Economics of Development and Planning: Theory and Practice, Himalaya Publishing House, 16th Edition, 2017.
  3. Todaro, M. P and Smith, S. C. Economic Development Pearson Education. 12th Edition,2015.
References: 
  1. Thirlwall, A. P. and Lopez, P.P., Growth and Development, Bloomsbury Academic, 10th Edition, 2017.
  2. Kindelberger, C. P., Economic Development.  McGraw Hill, 1977.
  3. Meier; G. M. and Rauch, J. E., Leading Issues in Economic Development, Oxford University Press, 8th Edition, 2005.
Academic Session: 
2022-23
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