nep-dev New Economics Papers
on Development
Issue of 2012‒04‒17
twelve papers chosen by
Mark Lee
Towson University

  1. Regional Disparity in Health and Health Care in China By Hong Wang; Licheng Zhang; Heng-fu Zou
  2. Economic Openness and Educational Expansion By Mark Gradstein; Denis Nikitin; Heng-fu Zou
  3. Productivity, Rank and Returns in Polygamy By Julia Anna Matz
  4. Does Women's Empowerment Reduce Prevalence of Stunted and Underweight Children in Rural India? By Katsushi S. Imai; Samuel Kobina Annim; Raghav Gaiha; Veena S. Kulkarni
  5. Equitable access to land as a means of poverty reduction in rural china By Hao, Yan
  6. Food security and storage in the Middle East and North Africa By Larson, Donald F.; Lampietti, Julian; Gouel, Christophe; Cafiero, Carlo; Roberts, John
  7. Caste, land, and migration : a preliminary analysis of a village survey in an underdeveloped state in India By Tsujita, Yuko; Oda, Hisaya
  8. The role of population on economic growth and development: evidence from developing countries By Atanda, Akinwande A.; Aminu, Salaudeen B.; Alimi, Olorunfemi Y.
  9. Pins in the shoes of microfinance By Badruddoza, S.
  10. The Bargaining Power of Missing Women: Evidence from a Sanitation Campaign in India By Stopnitzky, Yaniv
  11. Regional Disparities in Poverty and Education in India By Sivakumar, Marimuthu; Vijay, M
  12. Infrastructure and Growth and Poverty in Bangladesh By Raihan, Selim

  1. By: Hong Wang (Yale University); Licheng Zhang (Beijing University); Heng-fu Zou (The World Bank)
    Abstract: One major critique of the Chinese economic reform focuses on disparities in development. This study examines the recent trends in the disparities in health and health care resources across the provinces. This study also examines the relationship between health status, health care resources, and socioeconomic status. A panel data from "All China Data" and China Health Statistic Yearbooks is used in this study. These data include health status, health care resources, and socioeconomic status variables at the provincial level from 1980 to 2003. Index of disparity was used as the indicator for measuring regional disparity in health and health care resources. A fixed effect model was used to estimate the relationships between health status and health care resources and their potential determinants. The results of this study show that the disparities in maternal mortality, number of beds, and number of doctors increased and then declined in most recent years. However, the values of their indexes of disparity in 2002 are still higher than their values in 1985. Therefore the disparities in health status and health care resources across the provinces increased after the economic reform. The results of this study also suggest that socioeconomic status has significant association with health status and health care resources. The association between socioeconomic indicators and health status and health care resources varies in different economic zones.
    Date: 2012
  2. By: Mark Gradstein; Denis Nikitin; Heng-fu Zou
    Abstract: This paper documents the vast expansion of schooling over the past several decades. It begins by considering international panel data and makes the observation that poor countries today have higher average education levels than countries at the same level of economic development used to have in the past. It is then argued that this trend can be attributed to the enhanced demand for schooling because of the increase in openness. The analysis of educational expansion in cross-country framework and in China's provinces provides support for the view that educational expansion is related to economy's openness.
    Date: 2012
  3. By: Julia Anna Matz (Institute for International Integration Studies and Department of Economics, Trinity College Dublin)
    Abstract: This paper investigates the role of individual productivity in the matching process of spouses and in the allocation of resources among them, focusing on a polygamous setting. Using a simple game theoretical approach I show that highly productive wives are more strongly demanded in the marriage market than less productive ones so that a selection into being the first wife with respect to productivity takes place. Furthermore, productivity is positively associated with a woman's share of family income to be spent on consumption and investment, due to greater contributions to family income and larger incomes when single. The findings are empirically supported by a positive relationship between indicators of female productivity, women's levels of seniority among wives and their children's educational outcomes in rural Ethiopia.
    Keywords: Polygamy, Rank, Intrahousehold Allocation
    JEL: D13 J12 O12
    Date: 2011–12
  4. By: Katsushi S. Imai (Economics, School of Social Sciences, University of Manchester, UK & Research Institute for Economics & Business Administration (RIEB), Kobe University, Japan); Samuel Kobina Annim (Economics, School of Social Sciences, University of Manchester, UK & Department of Economics, University of Cape Coast, Ghana); Raghav Gaiha (Faculty of Management Studies, University of Delhi, India); Veena S. Kulkarni (Arkansas State University, USA)
    Abstract: This study investigates whether mother's empowerment or relative bargaining power affects children's nutritional status using NFHS and NCAER data in 1992-2006. First, the relative bargaining index defined as the share of mother's schooling years over father's schooling years positively and significantly influences z scores of 'weight-for-age' and 'weight-for-height' -short-term measures of nutritional status of children. The results of quantile regression suggest, however, that the bargaining power will improve a chronic measure of nutritional status, or 'height for age' at the low end of conditional distribution of z score or those stunted. We also find that access to health scheme or health insurance and health-related facility, infrastructure and environment are important factors in reducing child malnutrition.
    Keywords: Child Nutrition, Malnutrition, Empowerment, Bargaining, NFHS, NCAER, Quantile Regressions, Pseudo Panel, India
    JEL: C21 C23 C26 I14
    Date: 2012–03
  5. By: Hao, Yan
    Abstract: In China, as in many developing countries, poverty is primarily a rural phenomenon. Considerable efforts have been made over the last few decades to reduce poverty in China's rural areas; and indeed, the poverty rate in these areas has fallen from 30.7% in 1978 to 3.8% in 2009. This paper begins with a review of ancient Chinese texts on the importance of equitable access to land. In an agrarian economy, the issue of land distribution is critical not only to a country's economic prosperity but also to its political survival. After reviewing the achievements and failures of the Communist government's land policy introduced in the 1950s, I discuss the household contract system launched by the government in the early 1980s. Under the new system, the formerly collectively owned farmland was contracted out equally to villagers on a household basis, who hold the land in quasiprivate ownership. The policy ensuring farmers' equal access to land has profound political, economic, and social implications in today's China. Given the well-documented correlation between landlessness and rural poverty, the role of land security in reducing poverty in rural China should not be underestimated. However, this policy alone cannot eliminate poverty completely. Even when families are equally granted a piece of land, they may still suffer from poverty if the land cannot produce enough food or generate sufficient income. I enumerate a number of on-going anti-poverty programs at national and local level that supplement the policy on equitable access to land. While these supplementary programs are indeed important, China's experience shows that equitable access to land is an especially effective means to combat rural poverty. --
    Keywords: China,rural poverty,poverty reduction,Communist government,land policy,land distribution,developing countries
    JEL: I38 P25 R52
    Date: 2011
  6. By: Larson, Donald F.; Lampietti, Julian; Gouel, Christophe; Cafiero, Carlo; Roberts, John
    Abstract: In times of highly volatile commodity markets, governments often try to protect their populations from rapidly-rising food prices, which can be particularly harsh for the poor. A potential solution for food-deficit countries is to hold strategic reserves, which can be called on when international prices spike. But how large should strategic stockpiles be? This paper develops a dynamic storage model for wheat in the Middle East and North Africa (MENA) region, where imported wheat dominates the average diet. The paper uses the model to analyze a strategy that sets aside wheat stockpiles, which can be used when needed to keep domestic prices below a targeted price. This paper shows that if the target is set high and reserves are adequate, the strategy can be effective and robust. Contrary to most interventions, strategic storage policies are counter-cyclical and, when the importing region is sufficiently large, a regional policy can smooth global prices. This paper shows that this is the case for the MENA region. Nevertheless, the policy is more costly than the pro-cyclical policy of a targeted intervention that directly offsets high prices with a subsidy similar to food stamps.
    Keywords: Markets and Market Access,Access to Markets,Economic Theory&Research,Emerging Markets,Food&Beverage Industry
    Date: 2012–04–01
  7. By: Tsujita, Yuko; Oda, Hisaya
    Abstract: This paper explores migration from Bihar, one of the most underdeveloped states in India, by paying particular attention to social class (caste) and landholdings. After describing details of individual migrants, we present our preliminary findings on the determinants of migration, based on our field survey of 200 households in four villages in 2011. In terms of social class, Muslims are more likely to migrate, but Scheduled Castes do not show a high propensity to migrate as is stated in some of the existing literature where the underclass is said to be more mobile. In terms of landholdings, the probability that someone will migrate is high among the landless and smaller landholders but it decreases as the size of the landholding increases. However, as the size of the landholding increases still further, a reverse effect of landholding on decisions regarding migration moves in, with the decline in probability becoming less and less. This result confirms a non-linear relationship between landholdings and the decision to migrate. Some further research questions are raised in the paper.
    Keywords: India, Population movement, Caste, Social strata, Land tenure, Rural societies, Migration, Land, Bihar
    JEL: O15 Q15 R23
    Date: 2012–03
  8. By: Atanda, Akinwande A.; Aminu, Salaudeen B.; Alimi, Olorunfemi Y.
    Abstract: The precise relationship between population growth and per capita income has been inconclusive in the literature and the nexus has been found not clearly explain the determinants of rapid population growth in developing countries that lacks fertility control and management framework. This forms the rationale for this study to access the trend of factors that influence rapid population growth in developing countries between 1980 and 2010. This paper examined the comparative trend review of population growth determinants between developing countries (Bangladesh, Ethiopia, Indonesia, Mexico and Nigeria) and developed nations (Germany and United States). The trend analysis revealed that fertility rate, crude death rate, birth rate, mortality rate, and life expectancy are the major determinants of rapid population growth rate, while youth dependency ratio of young people below age 15 has also been attributed as one of the leading causes of population growth and growth threat in developing countries. However, the analysis further indicated that excluding Mexico from the Upper Middle Income group, developed economies (United State and Germany) with large population size have a higher real economic well-being as measured by the Real GNI per capita, compared with selected developing economies in the world. The study then proffered the need for population control framework and provision of essential infrastructures for the rapid growing population size in developing countries in order to enhance their welfare.
    Keywords: Population Growth; Income Growth; Health Status; Fertility; Mortality; Developing Countries; Developed Nations; Income Group
    JEL: O1 I0 C40 D60 O4
    Date: 2012–03–04
  9. By: Badruddoza, S.
    Abstract: This note critically discusses the possible endogenous problems that microfinance sector in Bangladesh should seriously take into account. It also draws possible explanations and/or consequences of these factors. The broad understanding is that the sector should emphasize credit plus programs, skill development of borrowers, strong monitoring, product diversification, microenterprise for graduated members and micro-insurance to withstand shocks. For extreme poor, safety-net programs are better option than microfinance.
    Keywords: microfinance; bangladesh; microcredit; non-government organization; microfinance institution; problems
    JEL: O16 R51 D14
    Date: 2012–04–09
  10. By: Stopnitzky, Yaniv
    Abstract: Female bargaining power in rural Haryana, as in much of northern India, is constrained by widespread discrimination against women. In recent years, however, women successfully demand private sanitation facilities from potential husbands as a precondition for marriage. I study this manifestation of bargaining power by modeling latrine adoption as an investment that males can make to improve their desirability on the marriage market, and I show that increasing proportions of females with strong sanitation preferences drive male investment in toilets. Moreover, I demonstrate women’s ability to secure latrines increases when they are relatively scarce in a marriage market. I test these predictions empirically by studying a sanitation program in Haryana, India, known colloquially as “No Toilet, No Bride”. Using a triple difference empirical strategy based on households with and without marriageable boys, in Haryana and comparison states, before and after program exposure, I provide evidence that male investment in sanitation increased by 15% due to the program. Further, the program effect is four times larger in marriage markets where women are scarce (26%) as compared to marriage markets where women are abundant (6%). These results suggest the relative scarcity of women in Haryana has, conditional on women surviving to marriageable age, improved the ability of the remaining women to secure valuable goods.
    Keywords: intrahousehold bargaining; marriage market; sex ratio; sanitation; India
    JEL: Q5 O13 J12 D1 O12
    Date: 2012–02–15
  11. By: Sivakumar, Marimuthu; Vijay, M
    Abstract: India is a witness of regional disparities in many sphere of socio- economic development. On one side, world’s majority of new billionaires are in India and on the another side, India has majority of poor people. Like that, in development, the States like Kerala, Tamil Nadu, Punjab, and Gujrat are in the forefront and BIMURAO (Bihar, Madhya Pradesh, Uttar Pradesh, Rajasthan and Orissa) States are far behind in many aspects. The main objective of the Eleventh Plan was faster and inclusive growth and it is going to emphasis in the forthcoming Twelfth Plan also. As the approach paper of the Twelfth Plan said that expanding educational facilities and improving quality of education are key instruments and reducing poverty is a key element for achieving faster and inclusive growth. Various studies proved that there is a strong correlation between poverty and education and many more international studies revealed that improvement in education reducing poverty resulted in regional balanced development. This paper aims to analyze the regional disparities in reducing poverty and increase in literacy (education) in India with the emphasis on State wise analysis. The elasticity concept has used to study the relationship between poverty reduction and educational advancement in the name of “education elasticity of poverty”. Education elasticity of poverty is the change in poverty due to the change in education.
    Keywords: Poverty; Education; Education Elasticity of Poverty; India
    JEL: R10 A20 I3 I21 I32
    Date: 2012–04–05
  12. By: Raihan, Selim
    Abstract: This paper has explored the relationship between infrastructure and growth and poverty in the context of the Bangladesh economy and in this context the paper has used three different techniques. The general conclusion is that infrastructure plays extremely significant role in promoting growth and alleviating poverty in Bangladesh. The construction of the district-wise Infrastructure Development Index (IDI) and ranking of the districts on IDI suggest that the districts which are close to the capital city are having higher IDIs than the districts which are far from the capital city. The cross-section regression results suggest that the district-wise variation in head-count poverty is well explained by the variation in the IDI and the district with higher IDIs are associated with lower head-count poverty. The SAM multiplier model indicates significant rise in gross output, household consumption and value-addition because investment in physical and social infrastructure. A 20 percent increase in infrastructural investment demand would lead to 8.17 percent rise in gross output, 8.07 percent rise in value-added or gross domestic product, and 7.12 percent rise in household consumption. The exercise using the CGE model suggests that 25 percent reduction in the transport margin in the sectors would lead to rise in the real GDP by 0.57 percent, fall in the general price index by 1.43 percent, rise in exports and imports by 0.83 and 0.95 percent, and rise in national welfare by 0.39 percent. Also, the national head-count poverty would fall by 1.24 percent. The poorer household groups are likely to experience higher reduction in poverty indices compared to their non-poor
    Keywords: Infrastructure; Growth; Poverty; Bangladesh; CGE
    JEL: C68 C02 C01
    Date: 2011–05

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