nep-cwa New Economics Papers
on Central and Western Asia
Issue of 2006‒02‒26
eight papers chosen by
Nurdilek Hacialioglu
Open University

  1. India's Patterns of Development: What Happened, What Follows By Kalpana Kochhar; Utsav Kumar; Raghuram Rajan; Arvind Subramanian
  2. The Unequal Effects of Liberalization: Evidence from Dismantling the License Raj in India By Philipee Aghion; Robin Burgess; Stephen Redding; Fabrizio Zilibotti
  3. Political Selection and the Quality ofGovernment: Evidence from South India By Timothy Besley; Rohini Pande; Vijayendra Rao
  4. Parental Attitudes toward Children and Child Labor: Evidence from Rural India By Shunsuke Sakamoto
  5. Fiscal Decentralization and Economic Growth: A Comparative Study of China and India By Jorge Martinez-Vazquez; Mark Rider
  6. Growth, Poverty and Institutions: Is There a Missing Link? By Ali Abdel Gadir Ali
  7. Employee Privacy at Workplaces: Some Pertinent Issues By Krishnan Sandeep K; Varkkey Biju; Raghavan Anush
  8. Family-Type Subsistence Incomes By Christos Koulovatianos; Carsten Schröder; Ulrich Schmidt

  1. By: Kalpana Kochhar; Utsav Kumar; Raghuram Rajan; Arvind Subramanian
    Abstract: India seems to have followed an idiosyncratic pattern of development, certainly compared to other fast-growing Asian economies. While the emphasis on services rather than manufacturing has been widely noted, within manufacturing India has emphasized skill-intensive rather than labor-intensive manufacturing, and industries with typically higher average scale. We show that some of these distinctive patterns existed even prior to the beginning of economic reforms in the 1980s, and argue they stem from the idiosyncratic policies adopted soon after India's independence. We then look to the future, using the growth of fast-moving Indian states as a guide. Despite recent reforms that have removed some of the policy impediments that might have sent India down its distinctive path, it appears unlikely that India will revert to the pattern followed by other countries.
    JEL: O14 O53
    Date: 2006–02
    URL: http://d.repec.org/n?u=RePEc:nbr:nberwo:12023&r=cwa
  2. By: Philipee Aghion; Robin Burgess; Stephen Redding; Fabrizio Zilibotti
    Abstract: We study the effects of the progressive elimination of the system of industrial regulations on entry and production, known as the "license raj," on registered manufacturing output, employment, entry and investment across Indian states with different labor market regulations. The effects are found to be unequal depending on the institutional environment in which industries are embedded. In particular, following delicensing, industries located in states with pro-employer labor market institutions grew more quickly than those in pro-worker environments.
    JEL: L10
    Date: 2006–02
    URL: http://d.repec.org/n?u=RePEc:nbr:nberwo:12031&r=cwa
  3. By: Timothy Besley; Rohini Pande; Vijayendra Rao
    Abstract: This paper uses household data from India to examine the economic and socialstatus of village politicians, and how individual and village characteristics a®ectpolitician behavior while in o±ce. Education increases the chances of selectionto public o±ce and reduces the odds that a politician uses political poweropportunistically. In contrast, land ownership and political connections enableselection but do not a®ect politician opportunism. At the village level, changesin the identity of the politically dominant group alters the group allocation ofresources but not politician opportunism. Improved information °ows in thevillage, however, reduce opportunism and improve resource allocation.
    Date: 2005–08
    URL: http://d.repec.org/n?u=RePEc:cep:stidep:44&r=cwa
  4. By: Shunsuke Sakamoto
    Abstract: This paper empirically investigates the determinants of child labor in rural India using household survey data. While a growing number of empirical studies have shown that child labor in developing countries is associated with a variety of factors, such as household poverty, low parental educational attainment, and the absence of schools, this study pays particular attention to parents' attitudes toward children in the household as a crucial determinant of child labor. In order to examine the role of parental attitudes, we estimate a probit model, controlling for individual, household, and community characteristics, and find that children are more likely to work if their parents show less concern for them. We also show that children are more likely to work if their father has greater bargaining power in the household than their mother. Moreover, the results indicate that the incidence of child labor is positively associated with household poverty. These findings suggest that in order to reduce or eliminate child labor, the government should implement policies to address the various factors causing child labor, such as parents' lack of concern for their children, imbalances in the power structure within households, and household poverty.
    Date: 2006–01
    URL: http://d.repec.org/n?u=RePEc:hst:hstdps:d05-136&r=cwa
  5. By: Jorge Martinez-Vazquez (Andrew Young School of Policy Studies); Mark Rider (Andrew Young School of Policy Studies)
    Abstract: Although there are obvious differences in the political systems of China and India, there are surprising similarities in their respective approaches to decentralization. Both countries face similar design issues with their intergovernmental systems, such as the lack of clear expenditure assignments, high transfer dependency, low revenue autonomy, and soft budget constraints. As a result, in both countries there is a lack of aggregate fiscal discipline among sub-national governments, and the quality of sub-national government service delivery is poor. Poor service delivery and the lack of fiscal discipline threaten the ability of both countries to sustain high rates of economic growth.
    Keywords: China, India, Fiscal Decentralization, Economic Growth, Intergovernmental fiscal
    Date: 2005–10–01
    URL: http://d.repec.org/n?u=RePEc:ays:ispwps:paper0519&r=cwa
  6. By: Ali Abdel Gadir Ali
    URL: http://d.repec.org/n?u=RePEc:api:apiwps:0601&r=cwa
  7. By: Krishnan Sandeep K; Varkkey Biju; Raghavan Anush
    Abstract: Employee privacy at the workplace is an issue of debate worldwide. With data security and other organizational interests becoming paramount, the employee rights for privacy and freedom is curtailed. This paper explores the underlying factors that contribute to violation of workplace privacy, the factors that affect how workplace privacy is defined, and debates on how privacy notions change based on cultural differences. We also try to understand the relevance of employee privacy nuances in the Indian context. The paper poses pertinent questions on definition of workplace privacy, and the balance of managing the employee and employer interests.
    Keywords: Workplace privacy, employee rights, human resource management, recruiunent, performance tracking, appraisals, electronic surveillance
    Date: 2006–02–22
    URL: http://d.repec.org/n?u=RePEc:iim:iimawp:2006-02-04&r=cwa
  8. By: Christos Koulovatianos; Carsten Schröder; Ulrich Schmidt
    Abstract: Different family types may have a fixed flow of consumption costs, related to subsistence needs. We use a survey method in order to identify and estimate such a fixed component of spending for different families. Our method involves making direct questions about the linkup between aggregate disposable family income and well-being for different family types. Conducting our survey in six countries, Germany, France, Cyprus, China, India and Botswana, we provide evidence that fixed costs of consumption are embedded in welfare evaluations of respondents. More precisely, we find that the formalized relationship between welfare-retaining aggregate family incomes across different family types, suggested by Donaldson and Pendakur (2005) and termed “Generalized Absolute Equivalence Scale Exactness,” is prevalent and robust in our data. We use this relationship to identify subsistence needs of different family types and to calculate income inequality.
    JEL: I31 I32 C42 D31 D12 D63
    Date: 2006–02
    URL: http://d.repec.org/n?u=RePEc:vie:viennp:0602&r=cwa

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