Reference no: EM131491819

Assignment: Economic Growth & Development

1.

(1) Explain the logic of linkage and balanced growth. What are the advantage and disadvantage of unbalanced growth compared to balanced approach? Based on the linkage theory, explain why government intervention is often needed for development.

(2) In contemporary literature, interventions, regulations and industrial policies are often considered as unproductive for development. Explain and critically assess the logic and evidence of rent-seeking and developmental state theories.

2.

(1) There are quite a few ways to measure inequality. List three of the commonly used measures and discuss the advantages and disadvantages of using each of them.

(2) Kuznets curve has been an influential hypothesis for decades. What is the logic behind the inverted-U relationship? What is your assessment of the Kuznets curve? How could inequality affect growth positively and/or negatively?

3.

(1) What is the major driver for growth in the Lewis model? Does the Lewis model imply an urban bias in development policies? How does the neoliberal logic challenge the Lewis model?

(2) What are Baran's major explanations for lack of development in the third world? Based on this, explain what would be Baran's critique on the Lewis type models?

4.

(1) What are the contributions and problems with the so called Green Revolution?

(2) What have been the major arguments for and against the Red revolution (redistributive land reform)? What caused the end of the golden age of land reform?

5.

(1) What are the major difficulties in estimating a poverty line? What is the vicious cycle between poverty and work capacity?

(2) Explain Sen's capability approach to development. What are the merits and limitations of this approach?