bluuebunny/crossref_metadata_2025 huggingface dataset:
What’s Wrong with Contemporary Economics?
Authors: Paul P. Streeten
Published: August 2018

It is argued that in educating economists we should sacrifice some of the more technical aspects of economics (which can be learned later), in favour of the compulsory inclusion of (a) philosophy, (b) political science and (c) economic history. Three reasons for interdisciplinary studies are given. In the discussion of the place of mathematics in economics fuzziness enters when the symbols a, b, c are identified with individuals, firms, or farms. The identification of the precise symbol with the often ambiguous and fuzzy reality, invites lack of precision and blurs the concepts. If the social sciences, including economics, are regarded as a “soft” technology compared with the “hard” technology of the natural sciences, development studies have been regarded as the soft underbelly of “economic science”. In development economics the important question is: what are the springs of development? We must confess that we cannot answer this question, that we do not know what causes successful development.
Gender and Health Care Utilisation in Pakistan
Authors: Syed Mubashir Ali
Published: August 2018

This study is undertaken to test whether or not there exists gender bias in health care utilisation of sick children in Pakistan. Overall, the results are encouraging, as medical consultation has been sought for by a very high proportion (79 percent) of sick children. Moreover, there do not appear to be significant differences by gender in health care utilisation, be it curative or preventive. This is so in spite of the fact that many studies on various gender-related issues in Pakistan have generally shown significant gender bias in favour of male children. Thus one may conclude that parental altruism prevails at least in the provision of health care to sick children. However, the extent and magnitude of effect varies by geographical, socio-economic, and demographic characteristics of the mother. In view of these findings, efforts should be made to minimise gender differentials among various categories of people so that children living in any circumstances may have equal opportunity of health care utilisation. This will be possible when health care facilities are easily accessible to all. The Lady Health Workers Programme of the Government of Pakistan is a major positive step in this regard. Under this programme, health care facilities are provided at people’s door-step. The expansion of this programme will be extremely beneficial in helping parents to provide health care facilities to sick children, both male and female.
Returns to Education between the Self-employed and Employed Sectors: Evidence from Malaysia
Authors: A. Idrus  , S. Cameron
Published: August 2018

Investment in human capital in terms of returns to education is considered a crucial factor that contributes to the remarkable economic growth especially in the rapidly developing countries. Since poverty and education are closely related, this paper attempts to examine whether returns to education differ between the self-employed and employed sectors in the rural Malay area in Rantau, Malaysia. Using the adjusted Mincerian Earnings function and the dummy variables approach, the empirical finding shows that returns to education do not differ between the self-employed and employed sectors in the rural Malay society. Thus, it can be deduced that there is no significant difference between the self-employed and employed sectors in those two sectors. Interestingly, it also reveals that private rates of return (ROR) increase by the level of schooling and they are the highest at the Secondary level. Finally, appropriate strategies are further suggested to alleviate poverty in the case study area.
Labour Market Participation of the Elderly
Authors: Nasir Zafar Mueen , Ali Syed Mubashir
Published: August 2018

Generally ageing of population is defined as the relative
increase in the number of elderly. This process is the result of
declining fertility and increasing life expectancy of elderly
population. In today’s Pakistan, fertility has started declining and
life expectancy of elderlies has been increasing and it is expected that
in future both these processes will gain momentum, resulting into many
fold increase in the population of elderly people [Afzal (1999); Sathar
and Casterline (1998)]. These developments are expected to have adverse
effects on Pakistan’s economy as support and welfare of elderly people
will require additional allocation of resources. That is more so because
traditionally welfare and socio-economic needs of elderly people
remained the responsibility of their children especially the sons.
However, the traditional extended/joint family system is fast breaking
down and nuclear type of family set up is becoming more common rendering
the elderly people helpless [Ali (2000)]. Moreover, in view of an
increase in the incidence of poverty in Pakistan, intra-house resource
distribution is also becoming scarce leading to a scenario where only
productive members are the chief beneficiaries [Qureshi and Arif,
(2001)].
Recent Rise in Poverty and Its Implications for Poor Households
in Pakistan
Authors: Arif G. M.
Published: August 2018

There is sample evidence that poverty which declined rapidly
in Pakistan in the 1970s and 1980s has increased in the 1990s.1 This
rise in poverty is likely to have adversely affected the ability of poor
households to enrol their young children in schools. The cost of
schooling even when it is free is usually the most pressing obstacles
for poor people to send their children in school. Similarly, health
correlates strongly with poverty. This does not mean that poverty is
itself a direct cause of diseases, but it lies behind other causes of
disease such as in-sanitary living conditions, lack of adequate
nutrition, poor access to safe drinking water, and sanitation and bad
working conditions [World Bank (1993)]. Because of these factors, the
poor are more affected by communicable diseases than are the rich. They
have also less access to modern health facilities. This paper examines
recent trends in poverty and their impact on primary school enrolment,
health status and housing conditions in Pakistan.
Poverty Trends and Growth Performance: Some Issues in
Bangladesh
Authors: Mujery Mustafa K
Published: August 2018

With a low level of per capita income, nearly one of every two
persons in Bangladesh is poor, and one of three lives below the income
poverty line of $ 1 a day.1 If those who are deprived of adequate
clothing or shelter or other basic needs are counted, the number will be
considerably higher. Similarly, if the people who live ‘above’ the
poverty line but are vulnerable to risks, crisis and socioecononomic
shocks and are in constant danger of income erosion below the poverty
threshold are considered, the number will be still larger. The poor in
Bangladesh differ in economic, social, physical and other
characteristics which reflect various deprivations. Such
multidimensionality of the poor’s interlocking deprivations suggests
that a strategy of increasing income alone may not be adequate for
reducing poverty.2 With multi-dimensional characteristics, poverty
requires a multi-strategy solution in Bangladesh.
Application of Multiple Criteria Decision Models for Oilseed
Crops in Pakistan’s Punjab
Authors: Khan Muhammad Azeem , Rehman Tahir
Published: August 2018

Pakistan is deficient in major food products. Self-sufficiency
in food has virtually always been a major priority, because imports of
wheat, edible oil, sugar, pulses and milk products put a massive burden
on the balance of payments for the country. The increase in the
production of oilseed has been a priority goal of the agricultural
development policy in Pakistan. The oilseed crops have been validated as
alternative crops on several target locations of different
agro-ecological zones [PARC (1990)]; but the success of this validation
work in terms of their dissemination is very limited. The possibility of
including these crops in well established systems needed to be well
conceived. The selection of farming systems, which have the potential to
adopt such crops, is a prerequisite to investigate the problems and
prospects of oilseed crops.
Economic Growth, Export, and External Debt Causality: The Case of
Asian Countries
Authors: Ahmed Qazi Masood , Butt Mohammad Sabihuddin , Alam Shaista
Published: August 2018

The issue of how developing countries can accelerate their
economic growth is of crucial importance. The two primary alternative
routes to development are inward-oriented growth strategies, which
emphasises import-substitution industrialisation (ISI); and
outward-oriented policies, which emphasises the economic benefits of
participation in the world economy, that is, export-led growth (ELG).
The late 1960s and 1970s witnessed a disillusionment with ISI in many
developing countries, leading to a reduction in protectionist measures.
The 1980s witnessed further intensification of liberalisation measures
as many countries retreated from socialism, regulation and planning. The
dis-advantages of ISI, the potential strength of ELG policies and the
conditions necessary for successful transition from an inwardoriented
regimes to an outward oriented have been extensively researched1 and
beyond the scope of the present study. Moreover many of the rapidly
growing newly industrialising countries (NICs) lend support to the idea
that export promotion can be an effective development strategy.
Naturally such a line of causation is consistent with macroeconomic
theory, where exports are treated as injections into the economy [Kaldor
(1967); Feder (1982); Romer (1989); Krueger (1990) and Marin
(1992)]
Poverty Alleviation on a Sustainable Basis in the Islamic
Framework
Authors: Akhtar Muhammad Ramzan
Published: August 2018

Allah (SWT) is the sole creator of this vast universe and
whatever it contains. He created man as a master piece of His creation
and elevated him to be His vicegerent on earth. He made all physical
systems and other creations to cater human needs from the time immoral.
And those holding political power in Muslim countries under Islamic
teachings are required to make necessary arrangements for the
satisfaction of his material needs through efficient utilisation of
resources and equitable distribution of goods and services and also to
fully protect him from all kinds of fear besides the fear of starvation.
There is ample evidence in Quran, Sunnah, and practice of Caliphs to
provide food as well as social security to each and every individual in
an Islamic economy. Pointing to this fact, an Ayah of Quran enjoying
upon Quraish to worship Allah because He has protected them both from
starvation and fear by granting them food and peace.1 Similarly a Hadith
says that a society where a Muslim has to starve is forsaken by Allah.2
The first four Caliphs were fully conscious of their obligation towards
meeting the needs of poor. Hazrat Umar (RA) declared, “if a camel dies
at the bank of Euphrates, I am afraid Allah would make me accountable
for it”.3 The overwhelming stress on satisfaction of basic needs and
social security both of current and future generations leaves no
justification for the prevalence of widespread poverty in Islamic
framework. As a matter of fact, Islam and absolute poverty cannot
persist together.
Non-economic Factors in Development
Authors: Khan Najamul Saqib
Published: August 2018

Economic development in knowledgeable circles has a missing
dimension— the non-economic, which is not quantifiable. Development, a
leading sector in national transformation, is rooted in nonmaterial
factors and requires a positive feedback between culture, economy, and
polity. I would invite attention to an insightful comment from a
practising professional economist: ‘The need for economic growth in a
developing country has few if any economic springs. It arises from a
desire to assume full status by taking part in an industrial
Civilisation, participation in which alone enables a nation or
individual to compel others to treat it as an equal. Inability to take
part in it makes a nation militarily powerless against neighbours,
administratively unable to control its own citizens, and culturally
incapable of speaking the international language’.
NGOs, Micro-finance and Poverty Alleviation: Experience of the
Rural Poor in Pakistan
Authors: Ahmad Khalid Mustafa , Gill Zulfiqar Ahmad , Azid Toseef
Published: August 2018

Non-governmental organisations (NGOs) continue to be the
global ‘flavour of the month’ in international development. They are
regarded as “outside” actors perceived to work in the interests of the
poor, and in the absence of the state, many NGOs have taken on vital
role in the provision of basic services to the poor. The institutional
and political environment is attuned to privatisation in whatever form
it takes. NGOs are another expression of this trend, but in the case of
NGOs no real disillusionment phase has yet set in. But still NGOs remain
the favoured vehicle for grass-roots involvement and community
development in many countries. The present paper seeks to delineate the
role of NGOs in micro finance and study their aggregate impact on
poverty reduction in rural Pakistan as a result of micro finance
efforts. The paper is organised in four sections. Section I commences
with the concepts, promises and limitations of NGOs as a vehicle of
micro finance. Section II summarises the record of performance of NGOs
in Pakistan. In particular, the role, achievements and set-backs of two
noted NGOs in Pakistan, Agha Khan Rural Support Programme (AKRSP) and
National Rural Support Programme (NRSP). Which are studied by examining
aggregate impact of these NGOs on poverty reduction as result of their
micro finance efforts. Section III examines the poverty profile and
presents summary of the role of NGOs in the context of poverty lending
and, finally Section IV concludes the analysis and proposes some policy
recommendations.
Income, Money, and Prices in Pakistan: Trends and
Interrelationship
Authors: Husain Fazal , Abbas Kalbe
Published: August 2018

Income, Money, and Prices are important macroeconomic
variables which play crucial roles in an economy. There has been a long
debate in economics regarding their roles. For example, the Monetarists
claim that money plays an active role and leads to changes in income and
prices. In other words, changes in income and prices in an economy are
mainly caused by the changes in money stocks. The Keynesians, on the
other hand, argue that money does not play an active role in changing
income and prices. In fact, changes in income cause changes in money
stocks via demand for money. Similarly, changes in prices are mainly
caused by structural factors.
Pakistani Couples: Different Productive and Reproductive
Realities?
Authors: Sathar Zeba A. , Kazi Shahnaz
Published: August 2018

Gender systems depict several dimensions of the relations
between men and women across different social settings. Mason (1995) has
described the complexity of gender systems that encompass concepts such
as women’s standing, empowerment, the sexual division of spheres and the
rather widely used concept of women’s status. Gender systems in Pakistan
are posited to be unequal in favour of men, because of strong
patriarchal systems, which ordain that men and older persons make all
major decisions. As a result, women’s status is argued to be low in most
dimensions: poor educational attainment, few economic opportunities
apart from family based employment which is largely unpaid and the
virtual seclusion of women from the public spheres of life especially
those involving financial transactions. Spheres of life are quite
separate with men having the primary responsibility of breadwinning and
women to be primarily responsible for within household routine chores
such as those involving cleaning, cooking, animal care and child
care.
Analysis of Non-conventional Indicators of Gender Relations:
Evidence from Pakistan
Authors: Siddiqui Rehana , Hamid Shahnaz , Siddiqui Rizwana
Published: August 2018

Since 1980 many developing countries have adopted two major
macroeconomic strategies: Stabilisation and Structural Adjustment. A
generally held view regarding the impact of these macroeconomic
strategies is that it led to unemployment, low investment, decline in
real wages, capital flight, rise in inequality and poverty. All these
resulted in deterioration in living conditions of the poor in the short
run.1 In some cases, the long run benefits, if any, of these programmes
are sacrificed due to the high social costs in the short run. A number
of studies, examining the impact of the observed macroeconomic impact of
the Structural Adjustment Policies (StAP), report mixed impact on women.
For example, on the one hand, Khan (1999) found an increasing trend in
feminisation of agricultural labour2, and feminisation of poverty3 while
Brown (1992), on the other hand, reports employment as a key factor in
determining women’s empowerment and argues that some aspects of economic
reforms hold for improvement in the long-run. The argument is based on
the assumption that greater economic role for women offers protection
and that employment itself mitigates against domestic violence. However,
the overall effect of structural adjustment is difficult to measure as
it varies across countries, across sectors, and across individuals
within a household.
The Systematic Risk and Leverage Effect in the Corporate Sector
of Pakistan
Authors: Nishat Muhammad
Published: August 2018

Poor corporate financing policies, non-competitive role of
institutional development, a tendency towards the underpricing of
initial offering resulted in high levered stocks in Karachi stock market
(KSE). The KSE is termed as high risk high return emerging market where
investors seek high risk premium Nishat (1999). The leverage is the most
important factor which determines the firms risk premium [Zimmer
(1990)]. Hamada (1969) and Bowman (1979) have demonstrated the
theoretical relationship between leverage and systematic risk.
Systematic risk of the leverage firm is equal to the without leverage
systematic risk of the firm times one plus the leverage ratio (debt
equity). Bowman (1979) established that systematic risk is directly
related to leverage and the accounting beta (covariability of a firms’
accounting earnings with the accounting earnings of the market
portfolio). One explanation of time-varying stock volatility is that
leverage changes as the relative price of stocks and bonds change.
Schwert (1989) demonstrated how a change in the leverage of the firm
causes a change in the volatility of stock returns. Haugen and Wichern
(1975) analysed the relationship between leverage and relative stability
of stock value based on actuarial science1 and found that the duration
of the debt is an important attribute in assessing the effect of
leverage on stock volatility. If the leverage is persistent, or changing
over time due to the issuance of additional debt, or if the firms are
trying to return back the debt, this will change the risk of holding
common stock. Kane, Marcus, and McDonald (1985) argued that a well
defined metric for the advantage of debt financing is the difference in
rates of return earned by optimally levered and unlevered firms, net of
a return premium to compensate for potential bankruptcy
costs.
The Consequences of the Agricultural Productivity Growth for
Rural Landless Households: Findings from Research Based on the Indian
Green Revolution Experience (The Iqbal Memorial Lecture)
Authors: Rosenzweig Mark R.
Published: August 2018

There has been much debate over the extent to which economic
growth reduces poverty and augments human development among the poor.
This paper describes ongoing research using survey data on the Green
Revolution experience in India that focuses on this issue. The research
is based on a general-equilibrium model of labour markets for adults and
children that differentiates households by whether they own land and
incorporates a public sector that chooses the amount of school building.
The empirical results suggest, consistent with the model, that
expectations of improvements in agricultural productivity increase the
schooling of children in landed households and reduce schooling in
landless households, in part because of the operation of the child
labour market, as landless child labour is used to replace landed child
labour lost due to increased child school attendance in landed
households. The results also show, however, that school construction in
India was undertaken at higher levels in areas in which there were
expectations of greater future productivity increases, and that the
closer proximity of schools differentially benefited landless
households. Thus school building policy in India tended to offset the
adverse distributional consequences of agricultural technological change
in the early stages of the Green Revolution. The allocation of schools,
however, did not fully offset the incentives for landless households to
reduce schooling investments. The perverse correlation between human
development and income growth observed among the poor landless
households in India at the initial stages of the Green Revolution, thus,
was not due to lack of responsiveness of public resources but to the
lack of a return to schooling in the non-farm sector.
Financial Development, Economic Growth, and Poverty Reduction
(The Mahbub ul Haq Memorial Lecture)
Authors: Kirkpatrick Colin
Published: August 2018

The frequent failure of financial liberalisation efforts in
developing countries, and the serious damage which recent financial
crises have imposed on these economies, have led to renewed attempts to
understand the relationships between financial sector development,
economic growth and poverty reduction, and to provide a more robust
intellectual foundation on which to design efficient and pro-poor
financial sector policies for developing countries. The paper examines
the contribution that financial sector development can make to poverty
reduction in developing countries. The linkages between financial and
economic growth, and between economic growth and poverty reduction, are
considered, and some preliminary empirical evidence is presented on
these linkages. The paper goes on to argue that financial market
imperfections are a key constraint on pro-poor growth, and that public
policy directed at the correction of these financial market failures is
needed to ensure that financial development contributes effectively to
growth and poverty reduction. The final part of the paper examines in
some detail the role of financial regulation and supervision policy as a
key area for public intervention directed at enhancing the financial
sector’s contribution to poverty reduction.
Human Resources, Poverty, and Regional Development (The Sultan S.
Hashmi Memorial Lecture)
Authors: Jones Gavin W.
Published: August 2018

Human development has moved to centre stage in development
theory. Education makes an important contribution to economic growth,
but achievement of mass education is important for a number of other
reasons as well. Inequality of access to education is a serious issue
everywhere, and serves to reinforce the inequality of income. Inequality
is evident from the viewpoint of socio-economic background, of gender,
and of regional disparities. In a poverty alleviation programme,
tackling regional inequalities in education may be crucial, yet it
raises many issues. Will expanding educational opportunities only result
in frustration if appropriate jobs are not available? Is the key role of
education in poor regions to enable educated young people to migrate
elsewhere to find better jobs? In international comparisons, Pakistan
appears well behind comparable countries in educational development.
“Path dependency” means that the legacy of past deficiencies in
expanding education will adversely affect Pakistan’s development for
decades to come, and what is done now in education will affect
development for half a century. A simple projection shows that even with
the highly optimistic assumption that by 2030, Pakistan will reach the
enrolment rates currently achieved in the United States, the proportion
of the working-age population in that year with no education or only
primary school education would still be as high as 35 percent. This
underlines the need for a strong drive to expand educational
opportunity.
Financial Capacity and Willingness of Farmers to Pay for Irrigation Services in the Post-reform Scenario in Pakistan: Two Case Studies
Authors: Mehmood Ul Hassan
Published: August 2018

To eliminate the subsidy on the canal irrigation system, the Government of Pakistan has decided to reform the management, intending to make it more efficient, equitable, transparent, and able to take care of the sustainability of the world’s largest contiguous irrigation network. The water users are being entrusted with greater role in the management through the formation of Farmers’ Organisations (FOs) to operate and maintain secondary canals and pay for full cost of water delivery. Ultimate payer will be the farmer. The economic viability of the reforms, therefore, much depends on farmers’ ability and willingness to pay for the cost of irrigation water delivery, which is expected to rise. This paper estimates financial liabilities of the farmers in the post-reform scenario, and assesses their capacity and willingness to pay for liabilities in the provinces of Punjab and Sindh. One distributary in each of the two provinces is studied as the reference distributary, where FOs have already been formed. The cost of desired level of operation and maintenance levels are worked out using secondary data for 1997-98. With these costs, the water users in the Punjab and Sindh provinces need to pay Rs 333 and Rs 373 per ha for their water service, respectively. The estimated O&M costs form about 5.4 and 3 percent of production costs and 3.8 and 3.5 percent of the net income in the Punjab and Sindh provinces respectively. The farmers’ net income from crop enterprise is higher than the cost of water. Thus, an average farmer has the potential to pay for water. Recent experience of Hakra 4-R Distributary FO suggests that the farmers are also willing to pay for water service, if they are organised properly.
Openness, Stock Market Development, and Industrial Growth in Nigeria
Authors: R. I. Udegbunam
Published: August 2018

In recent years the Nigerian economy has been moving towards increased liberalisation, greater openness, and greater financial development. This paper examines the implications of these developments for industrial growth in Nigeria. A simple model, which relates industrial output growth to openness, stock market development, and a battery of control variables, is specified and estimated, using annual data covering the period 1970- 1997. The empirical evidence strongly suggests that openness to world trade and stock market development are among the key determinants of industrial output growth in Nigeria. The other important factors are human capital input, non-military expenditure, gross domestic product (GDP), which reflects the size of physical capital, and inflation.
The Exchange Rate and Consumer Prices in Pakistan: Is Rupee Devaluation Inflationary?
Authors: Ehsan U. Choudhri  , Mohsin S. Khan
Published: August 2018

This paper challenges the popular view that devaluation of the rupee is inflationary. Recent developments in the theoretical literature are reviewed to explain why consumer prices would be unresponsive to exchange rate changes in the short run. Then empirical tests are conducted for Pakistan during the period 1982 to 2001 to examine whether inflation is systematically related to changes in the exchange rate. The empirical analysis finds no association between rupee devaluations and inflation in Pakistan. It appears, therefore, that concerns about the inflationary consequences of rupee devaluation are unsupported by the facts.
Demand for Bank Lending by the Private Business Sector in Pakistan
Authors: Abdul Qayyum
Published: August 2018

This study estimates the demand for bank lending by the private business sector in Pakistan. For the purpose of analysis a three-step methodology is applied, that is, univariate analysis, multivariate cointegration analysis, and error correction mechanism. It is found that the individual series are difference stationary, and there is a long-run stable relationship between the variables. The preferred model, obtained by the application of the general-to-specific methodology is also found to be stable throughout the study period. The study shows that the output of business sector is an important determinant of the demand for bank credit in Pakistan, implying that to achieve the objective of monetary policy the behaviour of the output of business sector must not be ignored. Furthermore, the study shows that the rate of interest on bank advances is an important determinant of the demand of credit by the business sector. It implies that monetary authorities can move the flow of bank credit to the private sector while changing the interest rate charged on bank lending. The analysis has important implications: a tight monetary policy implies a high rate of real interest; a high rate of interest on bank lending negatively affects the demand for bank credit by the business sector (and the investment), which in turn leads to low aggregate demand and lower output. That is what has happened in Pakistan in the last decade.
Potential for Blue-Gray Water Trade-offs for Irrigation in Small Towns of Pakistan: A Case Study of Farmers’ Costs and Benefits in Haroonabad
Authors: Mehmood Ul Hassan
Published: August 2018

The growing demand and the competition for fresh water in various sectors suggest that the irrigated agriculture will have to release freshwater for more important and valuable uses. This implies that other options would need to be identified to meet water demands for agriculture. Meeting irrigation requirements through non-conventional water sources is one of the options for agricultural uses. Gray water use for irrigation, a pervasive practice in urban and peri-urban areas of many developing countries, could be one of the solutions. The debate on wastewater irrigation from an environmental point of view is already on, focussing more on human and environmental “safety” aspects. The “value” aspect of the wastewater irrigation remains neglected, however. The irrigation users of untreated wastewater in many parts of the world had already traded off and revealed their preference for gray over blue water decades ago, when the water supply systems in towns and cities were set up. Why they would do it despite the high environmental and health risks associated with its use needs an answer. The paper documents the costs and benefits of wastewater irrigation from users’ point of view, and assesses the potential for real blue water savings in a small town setting in the southern Punjab, Pakistan. The data presented in the paper suggest that wastewater irrigation does lead to blue water savings, and it is profitable for farmers. While its potential is not fully exploited, more focus on appropriate approaches to physical and institutional aspects of wastewater disposal planning and management could make wastewater irrigation more productive, profitable, and safe for individuals as well as for the society as a whole.
Peter Wilkin. The Political Economy of Global Communication: An Introduction. London: Pluto Press, 2001. vi + 163 pages. Paperback. ,14.99.
Authors: Mir Annice Mahmood
Published: August 2018

The author of this book has enriched international political economy by introducing a new aspect, namely, the impact of the steadily advancing global communications industry on economies and societies and, more specifically, on human security. The latter is a broad-based concept developed by the UNDP to reflect, through certain key indicators, human well-being. This consists of a very strong element of social justice in which human beings can satisfy their needs by organising the appropriate political, economic, and cultural institutions within a framework that provides the maximum level of participation and autonomy. For the latter to be achieved, it is essential that people have the means to decide what they wish to do in life and then can translate these wishes into actuality. As the author quotes Streeten, human security is “a broad approach to improving human well-being that would cover all aspects of human life, for all people, in both high-income and developing countries, both now and in the future” (p. 5).
Shorter Notices
Authors: Ilhan Niaz  , Waleed Mohsin  , Afia Malik
Published: August 2018

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Pricing Irrigation Water in Pakistan: An Evaluation of Available Options
Authors: Shamim A. Sahibzada
Published: August 2018

Irrigation water shortages have lately been a main area of concern for policymakers and planners in Pakistan. Current literature on the country’s water resources predicts an alarming situation regarding the availability of irrigation water in the future due to declining water tables and serious financial, environmental, and social constraints of developing big storage reservoirs. Since there is little room to augment water supplies by building new dams, the existing supply-driven surface irrigation system needs to be replaced by a demand-based system with special focus on water use efficiency through the introduction of an appropriate water pricing system. The present study aims to evaluate several alternative water pricing systems in the search for choosing one that will ensure efficient use of irrigation water in Pakistan. A related objective is to test the extent of sensitivity of the demand for irrigation water to a change in alternative water prices. A major conclusion that emerges from this research is that irrigation water shortages are the result of the inflexibility of the present irrigation water supply system for agricultural use and have little to do with the existing water pricing practice in the country. Furthermore, the results of our water price simulations exercise confirm the general perception that demand for irrigation water is less sensitive to changes in alternative irrigation water prices. Two findings from the pricing policy perspective are: (i) irrigation water is not available in adequate quantity to farmers in the nine sub-districts surveyed at almost all of the alternative prices in Pakistan’s irrigated agriculture sector since the predicted water usage at all prices is greater than the actual usage for all districts; and (ii) our empirical analysis indicates significant inefficiency of resource allocation in respect of irrigation water as shown by its positively large marginal value product to opportunity cost ratio.
The Determinants of Private Fixed Investment and the Relationship between Public and Private Capital Accumulation in Turkey
Authors: Krishna Rao Akkina
Published: August 2018

The purpose of this study is to analyse the determinants of private fixed investment spending in Turkey over the period 1970-96, which covers years of both financial repression and financial liberalisation. A reformulated neoclassical investment model and a reformulated flexible accelerator investment model have been tested for the Turkish economy. The results obtained support the accelerator principle and the crowding out hypothesis, that is, public and private sector investments have been found to be substitutes. Furthermore, the hypothesis that the volume of funds is as important as the cost of funds used in financing private fixed investment has been verified. On the other hand, the so-called McKinnon-Shaw hypothesis has not been completely verified because the effect of the medium-term real lending rate on private fixed investment has been found to be negative but statistically insignificant. Finally, the financial and liberalisation programmes that have been implemented since 1983 have not yet shown any noticeable positive effects on private investment.
John G. Sommer. Empowering the Oppressed: Grassroots Advocacy Movements in India. New Delhi: Sage Publications, 2001. 207 pages. Paperback. Price not given.
Authors: Atiq-ur- Rehman
Published: August 2018

Advocacy movements all over the world have been quite instrumental in bringing about social change. The efforts of groups involved in such movements are directed towards realising the core human values of justice and equality by securing the human and civil rights of the poor, oppressed, and marginalised sections of society. Lately, many groups have realised that merely obliterating the effects of oppression, discrimination, and injustice is not enough—these efforts must be supplemented by attempts to address their root causes as well. Only by doing so, the constructive changes occurring in society owing to the struggle of these movements can become sustainable.
Shorter Notices
Authors: Ilhan Niaz
Published: August 2018

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Towards Divine Economics: Some Testable Propositions
Authors: Syed Nisar Hussain Hamdani  , Eatzaz Ahmad
Published: August 2018

Throughout the human history, the religion has remained a fundamental feature of social construct and human behaviour. Religious orientation plays important role in shaping human perceptions about economic and non-economic activities. With few exceptions, religion has remained an un-explored area in economics. For most economists, narrative and metaphor have no place in a rational choice theory, which is a wrong belief. In fact, any approach that considers behavioural laws satisfying the criteria of objectivity, reproducibility, and refutability is scientific and falls in purview of rational choice framework. A few studies, however, do exist on economics of religion under rational choice concerning to households, groups, and entire “religious markets”. [Becker (1976); Iannaccone (1988, 1990, 1992, 1993); Mack and Leigland (1992)]. Rosenberg (1985) presents discussion of the limitations of neoclassical economic theory due to its reliance on exogenous differences in taste and preference. It is argued that these limitations cannot be circumvented by findings and theories in other disciplines (e.g., psychology), because any measurement of preferences must begin with neoclassical assumptions about rationality. The alternative to tasteendogeniety advanced by [Becker (1976)] is found to only circumvent the usual difficulties if “stable preferences” notion is interpreted as needs. Further advancement is not taking place because of the important heterogeneous variables, which have yet received little attention from economists. Such variables may be found in attitudes and values acquired by consumers in variety of social and religious environments.
Economic Evaluation of Pesticide Use Externalities in the Cotton Zones of Punjab, Pakistan
Authors: M. Azeem Khan  , Muhammad Iqbal  , Mazoor H Soomro
Published: August 2018

At the inception of Pakistan in 1947, there was practically no plant protection service in the country and economic soundness of plant protection measures was not even realized for a long time. The use of chemicals as preventive measures to reduce losses by insects and diseases was almost non-existent during 1960s. However, the “grow more” pressure rendered the traditional methods insufficient, to control the ever increasing pest problem from 1970s onwards. Consumption of pesticides in Pakistan has increased from 665 metric tonnes (MT) in 1980 (when subsidy was withdrawn) to 69897 MT in 2002. This colossal increase in pesticide consumption has not led necessarily to an increase in the yield of crops, as demonstrated by Poswal and Williamson (1998) and Ahmad and Poswal (2000). This indiscriminate use of pesticides has destroyed the bio-control agents in the agro-ecosystems and the populations of natural enemies of the insects and pests have declined up to 90 percent during the last decade (of the past century) especially, in cotton growing areas of the country [Hasnain (1999)].
Determinants of Neonatal and Post-neonatal Mortality in Pakistan
Authors: M. Arshad Mahmood
Published: August 2018

Ensuring the survival and well being of children is a concern of families, communities and nations throughout the world. Since the turn of the 20th century infant and child mortality in more developed countries has steadily declined and, currently, has been reduced to almost minimal levels. In contrast, although infant and child mortality has declined in the past three decades in most less developed countries, the pace of change and the magnitude of improvement vary considerably from one country to another. The inverse relationship between socio-economic variables of the parents and infant and child mortality is well established by several studies [Muhuri (1995); Forste (1994); Hobcraft, et al. (1984); Caldwell (1979); Sathar (1985, 1987)] and it holds true irrespective of the overall level of mortality in the national populations [Ruzicka (1989)]. The influence of parental education on infant and child health and mortality has proved to be universally significant [Bicego and Boerma (1993); Caldwell, et al. (1990)]. The father’s education, mother’s education and their work status each have independent effects upon child survival in developing countries [Sandiford, et al. (1995); Forste (1994); Caldwell, et al. (1983)]. Economic conditions of the household also help in explaining the variation in infant and child mortality. The nature of housing, diet, access to and availability of water and sanitary conditions as well as medical attention all depend on the economic conditions of the household. For example, poor families may reside in crowded, unhygienic housing and, thus, suffer from infectious disease associated with inadequate and contaminated water supplies and with poor sanitation [Esrey and Habicht (1986)].
Transfer of Technology: Competition or Cooperation
Authors: Toseef Azid  , Mohammad Omer Chaudhry
Published: August 2018

Looking at an economy as consisting of several layers of techniques gives us a way to spell out the implications of macroeconomic situations to micro levels. For instance, if macroeconomic consideration point to reducing total employment, a map of the layers of techniques of the economy should be able to pinpoint the firms of different regions that are likely to be effected. In such cases, to be able to delineate the effects of extra final demand of the new investment on the production and employment in the economy, we require best input-output and labour coefficients instead of the average ones that are at present computed worldwide. Similarly, for capacities going out of production either because of the lack of demand, or obsolescence, we want to have the knowledge of the least efficient techniques of production for finding out their economic implications [Azid (2002)].
Foreign Capital Inflows and Domestic Savings in Pakistan: Cointegration Techniques and Error Correction Modelling
Authors: Mohsin Hasnain Ahmad
Published: August 2018

The various form of inflow of foreign capital (loans, FDI, grant and portfolio) was welcome in developing countries to bridge the gap between domestic saving and domestic investment and therefore, to accelerate growth [Chenery and Strout (1966)]. Some other have been challenged the traditional view that foreign aid impedes domestic savings growth and mobilisation and have economic growth.1 Much attention have been paid in past 30 years, relationship between foreign capital flows and domestic saving, the main purpose of these studies have been determined whether in less developed countries foreign capital inflow and domestic saving are complementary or substitute. However, there is a controversy at theoretical and empirical levels, over the effects of foreign capital on both economic growth and national saving. A number of studies in Pakistan have been conducted during the early 1990s to examine the relationship between saving and foreign capital inflow.2 All studies shows the inverse relationship between foreign capital inflows3 (aggregate level) and saving rate, but the impact of FCI at disaggregate levels (loans, grants, FDI) on saving rate show different magnitude and signs, similarly impact of FCI on decomposition of saving rate (Public, private, household, corporate) also have different magnitude and sign.
Trends in Absolute Poverty in Pakistan: 1990-91 and 2001
Authors: Talat Anwar  , Sarfraz K. Qureshi
Published: August 2018

Poverty, defined comprehensively as absence of options to shape one’s life according to one’s own preferences, comes closer to the concept of human development as presented in UNDP’s Human Development Reports. Absolute poverty, on the contrary, defines poverty in terms of satisfaction of minimum physical needs of food and non-food items to enable people at the lower end of income distribution to engage in economic activity. From the vantage point of the policy-maker concerned with alleviation of poverty, it is crucial to know the magnitude of the existing level of poverty and identify the policy determinants of poverty as well as constraints standing in the way of an effective attack on the worst forms of absolute poverty. In Pakistan, like many other developing countries, poverty has emerged as a core issue on the policy agenda. The traditional measures of poverty—headcount, severity and poverty gap indicate that the incidence of poverty during the previous decade have shown no sign of poverty abatement despite numerous policy and institutional initiatives undertaken by the government. The debate on trends in poverty during the 1990s—an era of stabilisation and structural adjustment has been wide-ranging in Pakistan. However, there is no consensus on the poverty outcomes from the policy and institutional reforms. Primarily due to non-availability of basic data, the last year for which poverty estimates are available is 1998-99.
Iqbal's Culute-friendly Economic Vision
Authors: Rafique Ahmad
Published: August 2018

(1) Pakistan is lucky in having internationally recognised political and philosophical role models in the shape of Quaid-i-Azam and Allama Muhammad Iqbal. (2) Both of them were Founders of Pakistan and had their own vision of the way Pakistan’s society and economy was to be shaped—a society based on true Islamic concept of equality of manhood and social justice. (3) Pakistan, inspite of making many infrastructural advances, has not developed a truly modern, democratic, welfare society. This goal can be achieved more effectingly if we follow the footsteps of both Quaid-i- Azam and Allama Muhammad Iqbal because both of them lived among public, understood the shortcomings and potentials of their community, and were familiar with the multidimensional process involving major changes in social structures, popular ideas, and national character and institutions as well as historical and cultural psyche: of Pakistan nation. (4) Note the following instructions which Quaid-i-Azam gave to the State Bank of Pakistan on 1st July 1948:
Economic Vision of Allama Iqbal
Authors: Fateh M. Chaudhri
Published: August 2018

Allama Iqbal used both poetry and prose in Persian, Urdu and English to convey his multi-dimensional feelings and thoughts. According to one scholar, “Iqbal was a humanist and true citizen of the world. His works testify to his acknowledged roles as poet and philosopher, educator and student of cultures, lawyer and politician, missionary and visionary, psychologist and sociologist, freedom fighter and inspirer of a new nation, scholar and a man of action, mystic, seer and statesman”.1 As an all time great poet, Allama Iqbal had two shining characteristics—an artistic one that presents poetry for leisurely enjoyment and a visionary one that propels inspirational beams for action and reform. As a great poet he also had a huge canvas to paint on, and his subjects are big issues like humanity. In most of his writings Allama Iqbal talks about the significance of man and his dignity, freedom not only from political subjugation and intellectual servility but also from hunger, ignorance, physical and spiritual illnesses and other social and economic development issues facing the poor and the weak nations of the East. As a universal humanist, Allama Iqbal waged a relentless struggle to promote and defend human self-esteem. Some scholars believe that “even his advocacy of Pakistan was really based on humanist considerations”. He could not bear to see one religions group dominating another simply because of numerical majority.2