nep-dev New Economics Papers
on Development
Issue of 2008‒04‒04
twelve papers chosen by
Jeong-Joon Lee
Towson University

  1. When Does Improving Health Raise GDP? By Quamrul Ashraf; Ashley Lester; David Weil
  2. The Changing Role of Auxiliary Nurse Midwife (ANM) in India: Implications for Maternal and Child Health (MCH) By Mavalankar Dileep;
  3. Maternal Health Situation in India: A Case Study By Ramani K.V.; Sharma Bharati
  4. Does Off-Farm Labor Relax Farmers’ Credit Constraints? Evidence from Longitudinal Data for Vietnam By Stampini, Marco; Davis, Benjamin
  5. Voting in Kenya: Putting Ethnicity in Perspective By Michael Bratton; Mwangi S. Kimenyi
  6. Are Indian Firms too Small? A Nonparametric Analysis of Cost Efficiency and Industry Structure of Indian Manufacturing By Subhash Ray
  7. Reading tealeaves on the potential impact of the privatization of tea estates in Rwanda By Essama-Nssah, B.; Ezemenari, Kene; Korman, Vijdan
  8. Can cost-benefit analysis guide education policy in developing countries ? By Jimenez, Emmanuel; Patrinos, Harry Anthony
  9. Household's perception of water safety and hygiene practices : Evidence from Sri Lanka By NAUGES Céline; VAN DEN BERG Caroline
  10. Corruption and Human Development By Ngoc Anh Tran
  11. Innovation and Export of Vietnam's SME Sector By Anh Ngoc Nguyen; Ngoc Quang Pham; Chuc Dinh Nguyen; Nhat Duc Nguyen
  12. Foreign Direct Investment and Wage Spillovers in Vietnam: Evidence from Firm Level Data By Hoi Quoc Le

  1. By: Quamrul Ashraf; Ashley Lester; David Weil
    Abstract: We assess quantitatively the effect of exogenous health improvements on output, through demographic channels and changes in worker productivity. We consider both changes in general health, proxied by changes in life expectancy, and changes in the prevalence of two particular diseases: malaria and tuberculosis. In general, we find that the effects of health improvements on income are substantially lower than those that are often quoted by policy-makers, and may not emerge at all for a third of a century or more after the initial improvement in health.
    Date: 2008
  2. By: Mavalankar Dileep;
    Abstract: The world’s democracy and its second most populous country, India was the first developing country to have a national family planning program and has implemented countrywide reproductive health programs such as RCH I. India’s primary health care and the family planning programs have come a long way after the independence in improving health indicators in general, yet it has high material and under five mortality rates. The country has developed an extensive network of primary health centers and sub- to provide basic medical care to huge (80%) rural population. In the rural health care system, the ANM is the key field level functionary who interacts directly with the community and has been the central focus of all the reproductive child health programs. In contrast with resident ANM of sixties who was providing delivery and basic curative services to the community, today’s commuting multi purpose worker is more involved in family planning and preventive services. This has implications on the implementation and coutcomes of maternal health programs in rural India. The midwifery role of the ANM should be restored if the goal of dcreasing maternal mortality has to be met. The priority will have to change from family planning immunization to comprehensive reproductive health including maternal and neonatal care. These changes will require sustained and careful planning/resource allocation. Increasing resources along with systemic reforms will improve health status for women and children who are the focus of Reproductive Child Health programs.
    Date: 2008–03–14
  3. By: Ramani K.V.; Sharma Bharati
    Abstract: Maternal Health Services are one of the basic health services to be provided by nay government health system as pregnant women are one of the most vulnerable victims of dysfunctional health system, India, in spite of rapid economic progress is still farm away from the goal of lowering maternal mortality to less than 100 per 100,000 live births. It still accounts for 25.7% maternal deaths. The maternal mortality in India varies across the states. Geographical vastness and socio-cultural diversity make implementation of health sector reforms a difficult task. The chapter analyses the trends in maternal mortality and various maternal health programs implemented over the years including the maternal health care delivery system at various levels including the recent innovative strategies. It also identifies the reasons for limited success in maternal health and suggests measures to improve the current maternal health situation. It recommends improvement in maternal death reporting, evidence based, focused, long term strategy along with effective monitoring of implementation for improving Maternal Health situation. It also stress the need for regulation of private sector and proper Public Private Partnership (PPP) policy together with a strong political will for improving Maternal Health.
    Date: 2008–03–14
  4. By: Stampini, Marco (African Development Bank); Davis, Benjamin (Food and Agriculture Organization of the United Nations)
    Abstract: We examine the relationship between participation in non-agricultural labor activities and farming production decisions, focusing on the use of inputs. In particular, we are interested in the hypothesis that income from non-agricultural labor relaxes credit constraints. Using longitudinal data for Vietnam from 1993-98, we find that households participating in non-agricultural labor activities, consistently with our hypothesis, spend significantly more on seeds, services, hired labor and livestock inputs.
    Keywords: rural labor markets, linkages, credit constraints, Vietnam
    JEL: J43 Q12
    Date: 2008–03
  5. By: Michael Bratton (Michigan State University); Mwangi S. Kimenyi (University of Connecticut)
    Abstract: Do Kenyans vote according to ethnic identities or policy interests? Based on results from a national probability sample survey conducted in the first week of December 2007, this article shows that, while ethnic origins drive voting patterns, elections in Kenya amount to more than a mere ethnic census. We start by reviewing how Kenyans see themselves, which is mainly in non-ethnic terms. We then report on how they see others, whom they fear will organize politically along ethnic lines. People therefore vote defensively in ethnic blocs, but not exclusively. In Decem- ber 2007, they also took particular policy issues into account, including living standards, corruption and majimbo (federalism). We demonstrate that the relative weight that individuals grant to ethnic and policy voting depends in good part on how they define their group identities, with "ethnics" engaging in identity voting and "non-ethnics" giving more weight to interests and issues.
    Keywords: Democracy, Elections, Kenya, Ethnic Divisions, Ethnic Conflict.
    JEL: D72 D74 D78
    Date: 2008–03
  6. By: Subhash Ray (University of Connecticut)
    Abstract: In this paper we use the 2004-05 Annual Survey of Industries data to estimate the levels of cost efficiency of Indian manufacturing firms in the various states and also get state level measures of industrial organization (IO) efficiency. The empirical results show the presence of considerable cost inefficiency in a majority of the states. Further, we also find that, on average, Indian firms are too small. Consolidating them to attain the optimal scale would further enhance efficiency and lower average cost.
    Keywords: Data Envelopment Analysis; Efficient Production Scale; Industry Efficiency
    JEL: C61 D21 L60
    Date: 2008–03
  7. By: Essama-Nssah, B.; Ezemenari, Kene; Korman, Vijdan
    Abstract: The Poverty Reduction Strategy of the Government of Rwanda seeks to unlock the growth and poverty reduction potential of the tea sector through the privatization of tea estates. This paper uses the logic of causal inference and data from the 2004 Quantitative Baseline Survey of the tea sector to assess the potential impact of the privatization program. This entails a normalized comparison of productivity outcomes to account for household heterogeneity in terms of observable and non-observable determinants of these outcomes. The paper also compares living standards between tea and non-tea households. Three main findings emerge from the analysis. Producti vity outcomes are generally better in the private sector than in the public sector. Male-headed households outperform female-headed households along all dimensions considered here. And tea households tend to be better off than non-tea households.
    Keywords: Crops & Crop Management Systems,Access to Finance,Poverty Monitoring & Analysis,Small Area Estimation Poverty Mapping,Housing & Human Habitats
    Date: 2008–03–01
  8. By: Jimenez, Emmanuel; Patrinos, Harry Anthony
    Abstract: Cost-benefit analysis in education is an important tool in the economists ' arsenal. However, it is essential that research, especially on the social benefits of education, make further progress to make cost-benefit more analysis. There is a need for more research on the effects of policy interventions on outcomes beyond access to a year in school and what they earn as a result, such as on what children actually learn. Such research should focus on en suring that the interventions are attributable to outcomes. Nevertheless, it is worthwhile to go through the discipline of noting the benefits and costs, even if social rates of return cannot be calculated robustly.
    Keywords: Education For All,Primary Education,,Teaching and Learning,Access & Equity in Basic Education
    Date: 2008–03–01
  9. By: NAUGES Céline; VAN DEN BERG Caroline
    Date: 2008–03
  10. By: Ngoc Anh Tran (PhD student in Public Policy at Harvard University)
    Abstract: Today, corruption has been recognized as one of the hardest obstacles to international development. It is specially challenging as corruption and underdevelopment mutually reinforces one another, creating a vicious cycle that traps many developing nations. As numerous efforts around the world fail to move countries out of this trap, it has also been recognized that political will is an essential prerequisite for any anti-corruption reform to succeed. Sadly, political will rarely emerges from any corrupt system. A big question remaining open in the literature and practice is: where does political will come from?
    Keywords: Corruption trap, Human capital, Social capital, Information capital
    Date: 2008
  11. By: Anh Ngoc Nguyen (Development and Policies Research Center (DEPOCEN), 216 Tran Quang Khai Street, Hanoi, Vietnam); Ngoc Quang Pham (Development and Policies Research Center (DEPOCEN), 216 Tran Quang Khai Street, Hanoi, Vietnam); Chuc Dinh Nguyen (Aston Business School, Aston University, UK); Nhat Duc Nguyen (Development and Policies Research Center (DEPOCEN), 216 Tran Quang Khai Street, Hanoi, Vietnam)
    Abstract: Innovation has long been considered an important factor for creating and maintaining the competitiveness of nations and firms. Common knowledge stands that innovation is the cause of the increase of exports. However, contradicting empirical evidences are reported in the literature on the causality between innovation and export. In this paper we examine whether innovation performed by small and medium enterprises (SMEs) enhances their exporting likelihood in the context of a developing country of Vietnam. Using an uniquely rich Vietnamese SMEs database, we find that innovation as measured directly by 'new products', 'new production process' and 'improvement of existing products' are important determinants of exports by Vietnamese SMEs. We add to the current literature by examining modification of existing products as an innovation activity. We also find evidence of endogeneity of innovation that may lead to biased estimate of innovation in previous studies, which failed to take this problem into account.
    Keywords: Innovation, Export, Vietnam, SME, Instrumental Variable, Bivariate
    JEL: F02 L2 O3
    Date: 2008–03
  12. By: Hoi Quoc Le (Department of Economics, National Economics University, 207 Giai Phong Road, Hanoi, Vietnam)
    Abstract: This paper examines the impact of FDI on wages paid by domestic firms in Vietnam. The existing literature has examined the impact of foreign firms on domestic firms' wage levels within an industry. We expand on the literature by examining interindustry linkages as an additional conduit for wage spillovers. There is strong evidence of horizontal wage spillovers from foreign firms to domestic firms in Vietnam, despite different labour market conditions and firms' characteristics. Vertical wage spillovers exist, but depend on the specific characteristics of firms and industries. A further finding is that training activities facilitate wage spillovers.
    Keywords: Foreign Investment, Wages, Spillovers, Vietnam
    JEL: C23 F23 J31
    Date: 2008

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