bluuebunny/crossref_metadata_2025 huggingface dataset:
A Note on Multinational Corporations and Technology Transfer
Agreements
Authors: Mahmood Mir Annice
Published: August 2018

Multinational corporations are responsible for much of the
technology transfer that occurs between the developed and developing
countries. Conse¬quently, these corporations play an important role in
economic development by supplying technical skills, managerial know-how
and capital. However, this transfer of technology is not a costless
process: these corporations remit money in the form of royalties,
technical fees, and profits from the less developed countries. For
undivided Pakistan, between 1965-1970 payments for royalties and
technical fees averaged $102 million per year [2, p. 126]. If other
costs, for example, profit repatriation and over-pricing of intermediate
inputs, are included the figure would have been much higher. Much of the
technology that has been transferred to Pakistan has been on a
contractual basis through the subsidiaries of multinational corporations
or through joint ventures with domestic Pakistani-owned companies in the
agri¬cultural and industrial sectors of the economy. In an earlier study
by Radhu [3, pp.361-74] the characteristics of fifty contractual
agreements involving technology transfer upto 1969 have been described
and analysed. This note examines the contractual agreements from 1970 to
1976. In all, fifty four contracts are examined.1 These agreements cover
the manufacturing sector of the Pakistani economy.
Planning for Sectors and Projects in Developing Countries:
Applications of the Semi-Input-Output Method
Authors: Kuyvenhoven Arie
Published: August 2018

This article presents a special case of W. Leontiers
traditional input-output techniques, viz., J. Tinbcrgen's
semi-input-output method. Particularly suitable for planning purposes in
developing countries with open economies, the method emphasizes the role
of a country's comparative advantages for investment decisions at both
the sector and project level. The similarity of semi-input-output with
the Little-Mirrlees method of shadow pricing is shown. Empirical
applications for Nigeria are reviewed.
"Economics of Share-Cropping in Haryana (India) Agriculture" -
Rejoinder
Authors: Bagi F. S.
Published: August 2018

Salam [I8] raised a number of questions about my paper, and
these can be briefly summarized here. (1) Inadequate description of
sample. (2) Treatment of irrigated and unirrigated parts of a farm under
same management as separate subfarms is questionable. (3) What prices
have been used for farm products and byproducts consumed on the farm.
(4) Many heterogeneous inputs have been aggregated together. (5) How the
production expenditure presented in Table 3 has been estimated, and what
wage rates have been used in these calculations' (6) Data presented in
Table 2 and its interpretation are confusing and misleading. (7) The
explanation provided for the relatively lower use of purchased inputs on
share cropping farms (Table 5) is incorrect. (8) The estimation and
discussion of returns to scale is redundant. (9) Some of the explanatory
variables e.g. cropping intensity, number of fragments per farm, and
managerial ability have been omitted from the model. (10) Operational
size of farm is not an appropriate explanatory variable. (II) The effect
of farm size on relative economic efficiency has been overlooked. (I2)
Aggregation of gross value of output for multicrop farms is likely to
bias the results in an unknown direction, because crop composition may
not be uniform across farms, and (I3) Measurement of inputs in value
terms are affected by prevailing market imperfections.
Substitution Elasticities in the Large-Scale Manufacturing
Industries of Pakistan - A Rejoinder
Authors: Kemal A. R.
Published: August 2018

Estimates of the elasticity of substitution between capital
and labour in 16 manufacturing industries and the manufacturing sector
of Pakistan as a whole were reported in [18]. In most of the industries
and the manufacturing sector as a whole substitution elasticities were
found to be rather low. In the Spring 1982 issue of this Review, Ahmed
{I] has suggested that the estimates of substitution elasticities may
have been biased downwards due to the irrelevance of production
functions in the developing countries and the nature of data employed in
the study. He also believes that the evidence we presented regarding low
substitution elasticities in the other developing countries was
selective because according to him Morawetz [23J provides evidence to
the contrary. Furthermore, he argues that low substitution elasticities
are inconsistent with the declining share of labour in the output. In
the following, without being drawn into polemics, we shall show that
Ahmed's comments are a result of his misunderstanding and
misinterpretation of our study.
Ali Khan and Ismail Sirageldin. Research in Human Capital and
Development. Vol. 2. Greenwich (Connecticut)/London (England): JAI Press
Inc. 1981. pp.223.
Authors: Irfan Mohammad
Published: August 2018

The book under review contains a collection of papers which
examine the role of human capital formation in economic development.
Most of the articles included in the volume lie at the frontiers of the
current research. A good review of the book requires a comprehensive
discussion of a vast literature, but the concise, though terse, review
contained in the introduction by the editors Khan and Sirageldin is
difficult to improve upon in this context, and is therefore not
attempted. The first article by Takayama and Hamda is an extension of
Sen's ordinal approach to poverty and is also an improvement over
earlier efforts of Takayama to link Sen's ordinal measures of poverty to
the measure of inequality - Gini Index. The departure from Sen's poverty
measure involves a shift from poverty distribution to censored income
distribution. Using censored income distribution truncated by the
poverty line, Takayama and Hamda demonstrate that any ordering of
inequality based on this distribution can be extended to any ordering of
poverty.
Inaugural Address
Authors: Haq Mahbub Ul
Published: August 2018

Prof. Naqvi, Dr Sarfraz Qureshi, Ladies and Gentlemen! It is
certainly a great privilege for me to inaugurate the Second Annual
General Meeting of the Pakistan Society of Development Economists. Even
though these days I have a 'small' exercise going on for the forthcoming
budget, I thought it was more important that I should come here and
associate myself with fellow professionals also. I am delighted to learn
from Dr Qureshi that there are 400 members of this Society. It is good
to know that there are so many development economists around to lend us
a helping hand. I hope that this tribe will grow. We just had the great
pleasure of listening to Prof. Naqvi's Presidential Address about three
categories of economists: the development policy-makers, the development
economists and the defunct economists. I am sure that the Address gave
you both as much pleasure and as many uncomfortable thoughts as it gave
me because it made us do some soul-searching to find out which category
we belonged to. I made the unpleasant discovery, as I reviewed myself,
that I probably belong in part to all the three categories.
A Simple Inter-Industry Model of Pakistan, with an Application to
Pakistan's Sixth Five-Year Plan
Authors: Cohen Suleiman I. , Havinga Ivo C. , Saleem Mohammad
Published: August 2018

The macro-econometric model of Pakistan's economy by Naqvi et
al. (3) is the first completed work in a renewed effort to model
significant economic and social activities and issues in Pakistan. One
of the current modelling efforts in which the authors are participating
aims at combining elements from the macro-econometric model,
inter-industry relations, factor market relations, and social accounting
frameworks. This effort is now made possible by the compilation of the
relevant statistics relating to an input-output table and the social
accounting matrix
....................................................................................................
Pakistan Society of Development Economists: Secretary's
Report
Authors: Report Secretary's
Published: August 2018

Aims and Objectives The Society, based in the Pakistan
Institute of Development Economics is registered under the Societies
Registration Act, 1860. This registration ensures that the society
maintains its autonomy and grows in its own right. It is a unique
institution. It is an autonomous body with a constitution and bye-laws
that govern its functioning. Its decisions are taken independently
without any interference from any quarter but with active consultation
among its members. The Society is not a trade union of development
economists. ]t only provides an academic forum for contact between
economists associated with the Institute and those outside the
Institute. The Society aims at achieving professional excellence and at
the creation and dissemination of knowledge in the field of development
economics. According to its charter, the Society encourages perfect
freedom of economic discussion. The Society does not take any partisan
attitude nor commits itself to any position on practical economic
issues.
M. A. Ayuh. Made in Jamaica: The Development of Manufacturing
Sector. Baltimore: The Johns Hopkins University Press. 1981. xxii+128
pp.
Authors: Saqib Najam-us-
Published: August 2018

Jamaica, known in the world for her rich deposits of bauxite
ore, is a small Caribbean country with an area of 10991 square
kilometers and a population of just over two million individuals. This
beautifu11and, which was described by Columbus as "The fairest isle that
eyes have beheld" has developed a remarkably diversified manufacturing
sector starting from a modest industrial base. Jamaica's manufacturing
industry enjoyed a respectable growth rate of about 6 percent per annum
during the good old days of the euphoric '50s and '60s. However, those
bright sunny days ''when to live was bliss" were followed by the
chilling winter of much subdued progress. The rise and fall of growth
have aroused considerable interest among economists and policy• makers.
The book under review probes the causes of this behaviour by analysing
key characteristics of Jamaican manufacturing sector and tracing its
path of evolution.
Inequality in the Four Provinces of Pakistan
Authors: Kruijk Hans De
Published: August 2018

The purpose of this paper is to analyse, compare and explain
income inequalities in the four provinces of Pakistan on the basis of
decomposition analysis. Overall income inequality is decomposed into
various categories of inequalities in such a manner that the relative
importance of each category can be quantified. Decomposition analysis
searches for the main origins of income inequality not only within or
between provinces, but also within and between urban and rural areas,
labour income and non-labour income, etc. Identification of origins of
inequality is important if policies aiming at reducing inequalities are
considered. Clearly, different causes require different policies. A
large 'decomposition tree' built for Pakistan recently [2] which
provides information on the components of inequality is presented in the
accompanying chart. The structure of inequalities in the four provinces
is analysed on the basis of this 'decomposition tree'.
Disaggregated Import Demand Functions for Pakistan
Authors: Sarmad Khwaja , Mahmood Riaz
Published: August 2018

This paper estimates demand elasticities of relative prices
and, those with respect to the activity variable for selected imports of
Pakistan at different levels of aggregation for the 1969-70 - 1983-84
period. The relative price elasticities, adjusted for tariffs, are found
to be quite small and distinctly different from those estimated for
developed countries. Elasticities with respect to the activity variable
are on the higher side which may reflect the increased outward
orientation of the economy during this period. We have also found
evidence which supports the argument that import substitution of
consumer and capital goods has led to increased import dependence on
inputs.
A Rational Expectations Macro-econometric Model of Pakistan's
Monetary Policy since 1970s
Authors: Hasan M. Aynul
Published: August 2018

Since April 1985 the operations of the entire financial sector
in Pakistan have been transformed into a system which is expected to
conform to the laws of 1slamic society. Under this system all banks and
other financial institutions are supposed to conduct their borrowing and
lending according to an interest free Islamic financial system, except
for past commitments which may have been carried over in accordance with
original commitments! With this rapid transition towards the interest
free banking system in Pakistan, the present decade has witnessed the
emergence of the State Bank of Pakistan as a key participant in the area
of policy formation. Indeed, the greater participation of the governor
and the bank has given rise to a considerable amount of discussion and
debate over Pakistan's monetary policy among the academics and
politicians at home and abroad. To a large extent, this discussion and
analysis has been essentially descriptive, being based upon casual
observations rather than tightly formulated econometric models. From the
viewpoint of understanding Pakistan's economy over the 1970s and 1980s
within the framework of a complete macro model, there is a growing need
to empirically establish the mechanisms of monetary policy in Pakistan
and to determine its impact on such macro-economic variables as real
output and employment.
Shifting Patterns in Developmental Rank Ordering: A Case Study of
the Districts of Sind Province
Authors: Jamal Haroon , Malik Salman
Published: August 2018

The primary objective of this paper is to observe the changing
patterns in regional development and to highlight some of the major
underlying phenomena. C).1t examination of changes in rank ordering over
a short period of time reveals that only moderately developed districts
have altered their position in either upward or downward direction.
Larkana district moved from sixth to fourth rank, while Tharparkar
district regressed considerably from fourth to eighth rank. The exercise
will facilitate policy-makers in allocating development resources in
districts where the deficiencies are evidently serious. It will also be
helpful in locating research areas to determine partkular bottlenecks to
development in districts which shifted downward in rank
ordering.
Syed Nawab Haider Naqvi, Mahmood Hasan Khan and M. Ghaffu
Otaudhry (edt.). LaJld Reforms in Pakistan, A Historical Perspective.
Islamabad: Pakistan Institute of Development Economics 1987. viii+216
pp.Price: Rs 220 (USS 35) for hardcover; Rs 140.00 (USS 20) for
soft-cover.
Authors: Tweeten Luther
Published: August 2018

The authors describe how Pakistan has grappled with land
reform, surely one of the most intractable and divisive issues facing
agriculture anywhere. The land-tenure system at independence in 1947
included a high degree of land ownership concentration, absentee
landlordism, insecurity of tenant tenure, and excessive rent. Land
reform since 1947 focused on imposition of ceilings on landholding,
distribution of land to landless tenants and small owners, and
readjustments of contracts to improve the position of the tenant. These
reformist measures have removed some but by no means all of the
undesirable characteristics of the system. The authors list as well as
present a critique of the reports of five official committees and
commissions on land reform. The reports highlight the conflicts and
ideologies of the reformers. The predominant ideal of the land reformers
is a system of peasant proprietorship although some reformers favoured
other systems such as communal farming and state ownership of land, and
still others favoured cash rents over share rents. More pragmatic
reformers recognized that tenancy is likely to be with Pakistan for the
foreseeable future and that the batai (sharecropping) arrangement is the
most workable system. According to the editors, the batai system can
work to the advantage of landlord and tenant if the ceilings on
landholding can be sufficiently lowered (and enforced), the security of
the tenant is ensured, and the tenant has recourse to the courts for
adjudication of disputes with landlords. Many policy-makers in Pakistan
have come to accept that position but intervention by the State to
realize the ideal has been slow. The editors conclude that" ... the end
result of these land reforms is that they have not succeeded in
significantly changing the status quo in rural Pakistan" (p.
29).
A Subjective Equilibrium Approach to the Value of Children in the
Agricultural Household
Authors: Yotopoulos Pan A. , Kuroda Yoshimi
Published: August 2018

A Philippine sample of agricultural households is studied by I
subjective equilibrium model which also accounts for the household's
demographic structure. The model becomes a potent tool for integrating
the economic and demographic behaviour of the household, since issues
such as the value of children can be approached in a reality
maximization framework and furthermore, such values call be causally
rellted to the variance in measured fertility among different households
(or Socioeconomic groups). For example, the low marginal productivity
contribution of children in tenant (and small farm-size) households,
along with the low fertility control that prevails there, has been
combined In conforming the inverse fertility-endowments hypothesis,
which in this instance is based on labour market failure in periods of
peak agricultural labour demand. On the consumption side, on the other
hand, the demand for leisure and for other commodities is consistent
with the higher valuation of children, and thus higher fertility, in
tenant (and small farm-size) households, as compared to owner (and large
farm-size) households. The policy implications of such findings from a
household equilibrium model are rich.
Wadhwa, Charan D. and MukulG. Asher (eds.). ASEAN-SOUTH ASIA
Economic Relations. Singapore: Institute of Southeast Asian Studies.
1985. ix+384pp.
Authors: Malik Muhammad Hussain
Published: August 2018

The need to enhance their economic relations with each other
has long been felt by developing countries. However, their efforts in
this regard have met with limited success. One of the reasons for this
could be that not much serious work has been done to understand the
complexities and possibilities of economic relations of developing
countries. The complementarities which exist among the economies of
these countries remain relatively unexplored. There is a lack of
concrete policy proposals which developing countries may follow to
achieve their often proclaimed objective of collective self-reliance.
All this needs serious and rigorous research efforts. In this
perspective, the present study can be considered as a step in the right
direction. It examines trade and other economic relations of developing
countries of two regions of Asia-South Asian countries and member
countries of the Association of Southeast Asian Nations (ASEAN). The
study also explores ways and means to improve economic relations among
these countries
Combining Yearly and Quarterly Data in Regression
Analysis
Authors: Ahmad Eatzaz
Published: August 2018

Data deficiency is often a problem in regression analysis. The
problem, for example, may be due to non-availability of data on some
variable, missing observations, lack of information due to
multicollinearity and measurement errors, etc. Various approaches have
been suggested to deal with the problem depending on its precise nature.
One such problem we want to focus our attention on is the lack of time
disaggregated data in time-series regression analysis. In particular,
observations on some variables over a shorter time interval like a
quarter may be limited in number while the corresponding observations
over a longer time interval like a year are available for a long period
of time The number of quarterly observations may not be sufficient to
estimate the desired relationship with acceptable degrees of freedom. On
the other hand, estimation with yearly data may require the use of a
long time series going way back into the past. The estimates thus
obtained may not capture the relationship prevailing at present or in
the recent past and, therefore, mislead the researcher. In addition, the
use of yearly data may also result in lack of degrees of
freedom.
Dependency Ratio, Foreign Capital Inflows and the Rate of Savings
in Pakistan
Authors: Khan Ashfaque H. , Hasan Lubna , Malik Afla
Published: August 2018

National savings are critically important to help maintain a
higher level of investment which is a key determinant of economic
growth. Although savings rates have fallen in many developing countries
during the last two decades, Pakistan presents a unique picture of
experiencing high rates of economic growth along with very low savings
rates. In fact, the national savings rate of Pakistan is not only low
compared to that in many countries with per capita income about the same
as Pakistan's but it is even lower to that in some South Asian countries
with lower per capita income. Pakistan's economic performance during the
last three decades has been impressive. Real gross national product
(GNP) has grown at an average rate of 6.0 percent per annum since 1960.
The national savings rate, on the other hand, has fluctuated around an
almost horizontal trend (15 percent) during the same period. Thus,
Pakistan's saving performance and its overall economic performance
appear to be incongruous. Although the low savings rates have become a
major source of concern in recent years, not much attention has been
devoted to highlight the key determinants of saving in Pakistan. In
recent years, few studies have been done on this issue using both the
time-series and cross-section data. Qureshi (1981); Abbot and DeRosa
(1984) and Khan (1988) using time-series data have examined various
determinants of household/national savings. Qureshi (1981) concentrated
on economic determinants and found income and its rate of growth, the
rate of return on financial assets and rate of inflation as key factors
influencing household savings in Pakistan.
Relative Poverty in Pakistan An Estimation from the Household
Income and Expenditure Survey (1984-85)
Authors: Zaidi M. Asghar
Published: August 2018

This paperl operationalises the concept of relative poverty in
the context of Pakistan. The exercise is carried out both at the
national and the provincial level. Basides an estimation of the
incidence of poverty at the aggregate level, the paper provides a
cross-sectional comparison of poverty in different socio-economic groups
in the four provinces of Pakistan. The paper is organised in six
sections. After the introduction, Section II gives a brief theoretical
reflection on the concept and measurment of relative poverty. This
section also describes the methodology followed in this paper. Section
III presents poverty estimates for the country as a whole and Section IV
gives the results for the four provinces of Pakistan. This section also
examines the relationship between the findings at the national level and
the provincial level. Section V presents a brief comparison of high
poverty groups across provinces. Some concluding remarks are given at
the end in Section VI.
The Internationalisation of the Pakistani Stock Market: An
Empirical Investigation
Authors: Uppal Jamshed Y.
Published: August 2018

A recent major development in international finance has been
the growing interest of the portfolio managers in emerging stock
markets. The interest in the emerging markets has been accelerated by
global trends towards the opening up of economies and financial markets,
the free flow of capital and the privatisation of financial
institutions. The integration of emerging markets globally has been
hindered so far as, besides other several factors, participating in
emerging securities markets has posed serious problems for international
investors. "These markets lack the depth, regulatory framework, and
structural safeguards that characterise equity markets in the 'United
States and in a few industrial countries," [Medewitz et al. (1991)]. A
peculiar risk of investing in the emerging markets, besides the
currency, political and investment risk, is the "risk arising out of the
development stage of emerging markets," [Errunza and Losq (1987)].
Compounding the difficulties for the international investor is the lack
of information pertinent for making investment decisions. A study of
emerging markets, therefore, becomes important in shedding light on the
economic and institutional characteristics of these markets.
An Analysis of the Male-Female Earnings Differential in
Pakistan
Authors: Ashraf Javed , Ashraf Birjees
Published: August 2018

Several articles have examined the status of women in
developing countries. But while numerous studies have attempted to
estimate the extent of wage discrimination against women in the west,
few such studies have been conducted for Third World cOWltries. The only
such published study for Pakistan appears to be Ashraf and Ashrafs
(1993) examination of the gender earnings differential for Rawalpindi
City. Given the very restricted sample (based on just one city in
Pakistan) and the relatively dated data (from 1975) used in that study,
a need clearly exists for a more comprehensive examination of earnings
by gender. This article represents the first intensive look into
male-female earnings differentials, not only for Pakistan as a whole,
but for each of its four provinces individually as well. Gender earnings
differentials have also been calculated for a number of industrial
subgroups. Computations have been made for the years 1979 and 1985-86.1
This allows the trend in the gender earnings gap to be tracked over that
period. Data from the Household Income and Expenditure Surveys are used
in the estimations for both the Oaxaca (1973) model as well as the more
recently developed Cotton (1988) and Neumark (1988) models. A new twist
is the incorporation of correction for selectivity bias in the sample
data which strengthens the methodological underpinnings of the
model.
Susanne Thorbek. Gender and Slum Culture in Urban Asia. New
Delhi: Sage Publications. 1994.233 pages. Hardbound: Indian Rs
225.00.
Authors: Nazli Hina
Published: August 2018

The process of urbanisation is fed by the migration of people
from the rural to the urban areas. Among the several reasons why people
move to cities, the following are considered to be the most important:
modernisation in agriculture and the resultant labour displacement,
rapid industrial development, and concentration of land in a few hands;
also the lack of non-agricultural jobs in the rural areas and the
increase in population. The immigrants face a different environment in
the cities and generally find it difficult to adjust to the setting with
a new set of social relations. The poor unskilled labour coming from the
rural areas to settle in the cities at any cost finds its way to the
squalor of the slum areas. The resultant population pressure forces the
people of these areas to face severe problems not only in terms of
inadequate wages and incomes but also in terms of their relations with
their spouses, children, friends, relatives, and neighbours. In the slum
areas thus growing, it is not possible for the planning and development
authorities, despite their extensive efforts, to provide to all the
inhabitants such social services and amenities as education and health
facilities, parks, playgrounds, and safe drinkingwater. Left without the
amenities of developed urban areas, these inhabitants struggle for
survival.
Cost Effectiveness in Primary Education: A Study of
Pakistan
Authors: Ismail Zafar H. , Pasha Hafiz A. , Khan A. Rauf
Published: August 2018

The Government of Pakistan prepared the second Perspective
Plan in 1987- 88 for the next ftfteen years to set the long-term social
and economic policy framework. The Plan identifted that the long-term
objectives could only be achieved if the education, skills, nutrition
and health of the people were improved. These objectives have recently
been operationalised in the donor supported Social Action Programme
(SAP). However, there is general recognition of the resource constraint
within which these objectives are to be achieved, especially given the
low priority that has been attached traditionally to allocations to the
social sectors. Therefore, the p{ogramme envisages the expansion of
primary infrastructure through an accelerated school construction
programme using cost -effective approaches to delivery including
need-based criteria for school location and changes in the pattern of
allocation of funds among sector inputs.
The Significant Variables of Full Employment and their
Explanatory Values
Authors: Haque Israrul
Published: August 2018

Technology in the nineteenth century was designed according to
the prevailing resource endowment and was labour intensive as
industrialised countries in the 19th century invented their own
technology as their resource endowment demanded -capital had to be found
from personal savings of the investors-which acted as a check on
development of technologies making high demand on capital. In such an
economic environment there was a direct and positive linkage between
output and employment. Employment being thus a linear function of
output, the employment optimisation path coincided with the output
optimisation path. Not so now. The latecomers in the industrial field in
the twentieth century have to select from the available
capital-intensive technologies designed for a labour saving mode of
production. A conflict between output and employment thus arose because
of (1) the labour-intensive technologies higher capital input and higher
price per unit of output arising out of the limited scale of production,
as against the capital-intensive technologies, lower capital input and
lower price per unit of output arising out of larger scale of economy.
The resulting trade-off between output and employment involves a more
complex question of the weightage to be given to current as against
future output compared with the weightage to be given to current as
against future employment. Optimum welfare would therefore result from
maximising current output and employment by maximising the present value
of the entire streams of output and employment over time.
Income Velocity and per Capita Income in Pakistan: 1974-75 to
1991-92
Authors: Bilquees Faiz , Rauf Shahnaz
Published: August 2018

The purpose of this paper is to bring to light the effects of
velocity on monetary policy during the process of development. The
stated hypothesis is that if velocity declines as per-capita income
increases, the monetary authorities can issue more money to finance
economic growth with low rates of inflation. This short paper attempts
to test the hypothesis in the post 1974 period for the present Pakistan
over the period 1974-75 to 1991-92. This period corresponds to the
official division of all the financial and other statistics between East
and West Pakistan. The financial developments and the trends in overall
economic development over the period is expected to yield results
different from the studies done in the earlier period.
Perfect Capital Mobility, Taxation, Money Illusion, and
Devaluations
Authors: Ali Syed Zahid
Published: August 2018

Are devaluations contractionary? This question has been with
us for a long time. The conventional Keynesian economist holds the view
that if devaluation is demandexpansionary, then both output and
balance-of-payments will improve with devaluation. Experience, however,
shows contrary outcomes. For example, Sheehy (1986), who has covered 16
Latin American countries, concluded that devaluation was highly
contractionary in these countries. Edwards (1986), on the other hand,
has covered 12 less developed countries (LDCs) and found that
devaluations are contractionary in the impact period, while in the
long-run they all become neutral. Hamarious (1989) has used the data for
the periods 1953-73 and 1975-84 and has covered twenty-seven countries
and six devaluation episodes to study the effects of devaluations upon
prices and the trade balance. He found that in over 80 percent of the
cases, devaluation causes a net improvement in the trade balance both in
the impact period and in the middle period. The study concluded that the
effects of devaluation upon the trade balance last for two to three
years. Such results seriously challenge the theoretical results derived
by the conventional economist.
Constraints to the Economic Growth of Pakistan: A Three-gap
Approach
Authors: Iqbal Zafar
Published: August 2018

The development of the two-gap model [Chenery and Bruno
(1962); Chenery and Strout (1966); Mckinnon (1964); and Weisskopf
(1972)] was an important contribution to the literature of economic
development. The two-gap model deals with the interactions between the
savings constraint and the foreign exchange constraint in the
determination of economic growth in an economy. The savings constraint
refers to the situation when the growth of an economy is limited by the
availability of domestic savings for investment, and the foreign
exchange constraint refers to the growth of an economy being limited by
the availability of foreign exchange for importing capital goods. Mbre
recently, there has been increasing interest in the three-gap model,
introducing fiscal constraint as a third gap limiting the growth
prospects of highly indebted developing economies [Bacha (1990);
Solimano (1990) and Taylor (1993, 1994)]. The fiscal constraint is
intended to reflect the impact of the availability of resources to
finance the public investment required to support a given level of
potential output. These constraints are selected for analysis because of
their direct impact on economic growth of Pakistan. The paper is
structured as follows: Section 2 presents the three-gap model; in
Section 3, the economy-wide potential output and capacity utilisation of
Pakistan are estimated; in Section 4, the empirical results are
discussed; the conclusions are summarised in Section 5.
Military Expenditures and Economic Growth in Pakistan
Authors: Khilji Nasir M. , Mahmood Akhtar
Published: August 2018

This paper explores the impacts of defence expenditures on
economic growth and other major economic variables in the Pakistan
economy over the period 1972-1995. The results of Granger-causality
tests show that there is bi-directional feedback between the defence
burden and GDP growth. We test four different single equation models
that are widely used in the defence literature. In these frameworks we
generally find the defence burden to be negatively related to GDP
growth. Finally, we specify a three-equation model which explains GDP
growth, average propensity to save, and the defence ratio. In single
equation estimations of the savings ratio and the defence burden, we
uncover some interesting relationships. The savings ratio is affected
positively by the defence ratio, and negatively by the inflation rate.
The Pakistani defence burden is impacted negatively by the Indian
defence burden and positively by the government budget. When all three
equations are estimated as a system to account for feedback and
covariance between these equations, these effects are diminished and go
down in statistical significance.
Globalisation, Liberalisation, and Equitable Growth: Lessons from
Contemporary Asian Experience
Authors: Khan Azizur Rahman
Published: August 2018

Since the beginning of the 1980s the less developed countries
(LDCs) have been getting integrated with the global economy at a rapidly
accelerating rate. The impetus for the process came from the need to
make adjustment in the unsustainable imbalance in the external account
that most of these countries experienced in the aftermath of the oil
shocks of the 1970s and the declining demand for their exports due to
the recession in the OECD countries during the 1980s. Many of these
countries had to subject themselves to structural adjustment programmes
at the behest of the multilateral donor agencies, led by the World Bank
and the International Monetary Fund, who emphasised the urgency of
reforming the protectionist trade regimes of these countries.
Simultaneously, these countries came to realise the inefficiency of
resource use fostered by their past strategy of import-substituting
industrialisation (ISI) characterised by a trade and investment regime
that enshrined overvalued exchange rates, quantitative import controls,
high and non-uniform rates of effective protection, discrimination
against export and strong impediments to foreign direct
investment.
Inaugural Address
Authors: Aziz Sartaj
Published: August 2018

It is a matter of great pleasure for me to participate in this
Conference organised by the Pakistan Society of Development Economists.
I am happy to note that in the past twelve years this Conference has
become a key annual event for a serious discussion of economic and
social issues. The presence here of a large number of distinguished
academics, research workers, and policy-makers from within and outside
the country demonstrates the significance of this important forum. I
would like to avail of this opportunity to extend a warm and cordial
welcome to Dr Nafis Sadik and other distinguished participants from
abroad to Pakistan and wish them a pleasant and fruitful
stay.
Reintegration of Pakistani Return Migrants from the Middle East
in the Domestic Labour Market
Authors: Arif G. M.
Published: August 2018

This study aims, first, to assess unemployment levels among
both return migrants and non-migrants and, second, to examine the
reintegration pattern of returnees in the domestic labour market. The
study has used three data sets: the 1980 PIDE/World Bank Survey of
Return Migrant Households, the 1986 ILO/ARTEP Survey of Return Migrant
Households, and the 1991 Pakistan Integrated Household Survey. The
results show that unemployment rates are much higher among return
migrants than among non-migrants. Although this difference has narrowed
with the passage of time, even among those who returned to Pakistan at
least 18 months prior to the surveys, more than 10 percent of workers
are unemployed. The multivariate analysis further shows that returnees,
irrespective of the period elapsed since their return, are more likely
to be unemployed than non-migrants. With respect to the reintegration
pattern of return migrants, the study reveals that the variables
indicating their human capital such as occupation and premigration and
during-migration work experience appear to have greater influence on
their re-absorption than the variables related to economic positions
such as savings. The possibility is that unemployed returnees can not
save enough from their overseas earnings to become self-employed.
Provision of credit for self-employment seems to be the right way to
accommodate these workers. The study also shows that the majority of
workers who are able to find employment on return are satisfied with
their post-return jobs and income levels, suggesting their successful
reintegration in the domestic labour market.
Fiscal Adjustment: Trade-offs of Macro-economic Goals and Recent
Policy Reforms in Pakistan
Authors: Ahmad Mushtaq
Published: August 2018

Fiscal policy, being an embodiment of government measures to
raise resources through taxes, tariffs of utilities, user charges and
pricing of public sector goods, diverts resources from private sector to
the government which rechannels these resource into socially preferred
activities. The resource diversion and their rechannelisation helps
achieve certain economic goals, and for this reason, the fiscal policy
has strong interactive linkages with other macro economic policies. By
virtue of this strong bond, the fiscal indicators have a close
interactive association with other macro economic indicators. For this
reason, the role of fiscal policy is inevitably vulnerable to influences
of other economic policies and fiscal discipline and general economic
health of the country become interlinked. This linkage results in
generating trade offs between different macroeconomic policy
goals.
Survival of Newly Founded Businesses: The Post-Entry
Performance
Authors: Mahmood Talat
Published: August 2018

A number of studies have been undertaken on industry dynamics
or about the process by which new firms either survive and grow, or else
exit from the industry. A new literature has emerged in the last few
years, which focuses on the question, what happens to new firms
subsequent to their entry?, both in terms of their likelihood of
survival and their growth patterns. Most of the studies use a theory of
organisational ecology by Hannan and Freeman (1989), which emphasises
organisational characteristics and environmental conditions;
particularly the number of employees and invested capital. In addition,
the theory offers a comprehensive set of factors that influence the
hazard rate of newly founded business organisations. In particular, this
theory deals with the evolutionary process within or between populations
of organisations observed over long periods of time [see also Singh and
Lumsden (1990)]. Originally, Stinchcombe (1965) directed the attention
of organisational theorists, based on a hypothesis of a "liability of
newness", to the age-dependent decline in organisational death rates. A
number of studies [Freeman, Carroll, and Hannan (1983)] found that the
organisational death risk declines monotonically with age. Later,
BrUderl and SchUssler (1990) also empirically tested the Stinchcombe's
"liability of newness" hypothesis and showed that it is not a good
representation of the mortality (hazard) of business organisations.
Organisational ecologists often discuss the "liability of smallness" in
connection with the liability of newness [Aldrich and Auster (1986);
Briiderl and SchUssler (1990); Audretsch and Mahmood (1994)]. The
assumption is that large new businesses have better survival prospects
than small new businesses. Initial size may be measured in terms of
either the amount of financial capital or the number employed at the
time of founding.
Institutions of Restraint: The Missing Element in Pakistan’s
Governance (Distinguished Lecture)
Authors: Husain Ishrat
Published: August 2018

Governance and Institutions are not ends in themselves but it
is well known by now that good governance and effectively functioning
institutions are required, along with sensible policies and well
designed public investment, to improve resource allocation and
comparative advantage, enhance productivity, facilitate more efficient
markets and distribute the benefits of growth more equitably in any
economy. How do Governance and Institutions interact? Governance refers
to the manner in which power is exercised in the management of a
country’s economic and social resources. Good governance requires checks
and balances in a country’s institutional infrastructure, such that
politicians and bureaucrats have the flexibility to pursue the common
good, while restraining arbitrary action and corruption. The state’s
monopoly on coercion, coupled with access to information not available
to the general public, creates opportunities for public officials to
promote their own interests, or those of friends or allies, at the
expense of general interest. The probabilities for rent seeking and
corruption are considerable
Jewish studies in the Nordic countries today
Authors: Illman Ruth , Dahla Björn
Published: August 2018

The current 27th volume of Scripta Instituti Donneriani Aboensis is based on a symposium arranged by the Donner Institute in March 2015, under the title: ‘Jewish Studies in the Nordic Countries Today’. All the articles published in this volume were initially presented as papers at this conference and have, through a double-blind peer-review process, been selected for this volume.
The Donner Institute for Research in Religious and Cultural History
Authors: Ringgren Helmer
Published: August 2018

This paper presents the history of the Donner Institute. The Donner Institute is an institution for the study of the history of religion and culture at the university of Åbo Akademi (Åbo, Finland). It was founded in 1957 following a stipulation in the last will of Mr. and Mrs. Uno Donner of Helsingfors, who died in 1958 and 1956 respectively. Uno Donner had shown an early interest in philosophical questions. During a visit to Egypt at the beginning of this century both he and his wife were impressed by ancient Egyptian culture and certain mysterious aspects of religion. They both seem to have had a firm conviction that intuition is an important way to true knowledge. When, in 1913, an artist friend of theirs, Henry Collison, introduced them to the thinking of Dr. Rudolf Steiner, their interest was easily kindled, and they became eager students of anthroposophy. They visited Dornach near Basel, the center of the anthroposophic movement, several times and made the personal acquaintance of Dr. Steiner. When an Anthroposophic Society was established in Finland in 1922, Uno Donner became its president. The library of the institute possesses an almost complete collection of Dr. Steiner's works and all available works of various anthroposophic authors.
Conclusion
Authors: Wikman Karl
Published: August 2018

This part deals with the life history, religious and philosophical interests of botanist Carl Linnæus.
The view of the Ecumenical Synods on the state
Authors: Johannes Metropolitan of Helsinki
Published: August 2018

When one wants to learn to know the basic principles of the Ancient, undivided Church concerning the State, as authoritatively and validly as possible, one has to turn to the teachings of the so-called Ecumenical Synods, which is the term used of those great synods of the bishops which were recognised as representing the mind of the Church and whose declarations and rulings thus were—and are, from the Orthodox point of view—binding on the whole Church. The period, during which the said synods of the ancient Church took place, falls between the 4th and the 8th centuries, the latest of them being held in 787.
What we can learn fron non-biblical prophet movements
Authors: Ljungdahl Axel
Published: August 2018

Frequently a new religion comes into being by means of a prophet—a per-son feeling himself divinely commissioned, who has had divine revelations and feels compelled to inform his fellow men of them. Should people respond to his message a prophet movement is born, and it may then develop into a new religion. If a number of prophet movements are examined, so many of their features appear similar or identical that one is justified in speaking about a "prophet pattern". The different elements of this prophet pattern stand out clearly if we try to answer these three questions: 1. Which are the causes for the appearance of a prophet? 2. What is the significance of his message? What function does it have? 3. Why do certain prophets get followers, but not others?
The religious message in action - a case study
Authors: Gothóni René , Suolinna Kirsti
Published: August 2018

We understand a religious message to be the product of a religious movement. In studying such a message, it is very much to the purpose to place it in the context in which it operates. The cultural and social context of a religious message is some religious movement. Hence, the message should be examined against that framework. Each message has a certain structure, and its detection is of prime importance. Messages are not only part of the tradition, but themselves unique in their respective communicative situations. Thus, in our view, structural analysis does not have analytical use-value unless the message's symbols are set into their communicative context. The aim of this paper is dual: On the one hand, we intend to analyze and clarify the structure of a religious message of the Laestadian movement, how the message operates, also how the members of that movement respond to the codes of the message, and what kind of functions it fulfills; on the other, to develop and test an analytical model which would combine structural and interactional analysis.