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Resurging Asian Giants
The economies of the People's Republic of China and India have seen dramatic growth in recent years. As their respective successes continue to reshape the world's economic landscape, noted Chinese and Indian scholars have studied the two countries' development paths, in particular their rich and diverse experiences in such areas as education, information technology, local entrepreneurship, capital markets, macroeconomic management, foreign direct investment, and state-owned enterprise reforms. Drawing on these studies, ADB has produced a timely collection of lessons learned that serves as a valuable refresher on the challenges and opportunities ahead for developing economies, especially those in Asia and the Pacific.
Framework for Establishing Priorities in a Country Poverty Reduction Strategy
This paper reviews the history & progress of understanding development theory over the past 50 years. Development thinking has evolved from an early paradigm that focused on savings & capital investment to subsequent arguments favoring the inclusion of human capital, policy, technical change, & finally to the inclusion of the role of institutions, & good governance. Secure property rights in the broadest sense, which are applicable to all resources & not just land, are particularly important to realize investment yield. This evolution of development thought describes a conceptual framework that can guide development practitioners in prioritizing, sequencing, & characterizing all interventions aimed at reducing poverty.
Monetary Poverty Estimates in Sri Lanka
Provides an introduction to poverty-related data available in Sri Lanka, & monetary measurements of poverty carried out using this data. The lack of an official poverty line in Sri Lanka until June 2004 has over time generated a number of poverty lines & corresponding poverty measures. While these poverty measures have provided a good base for poverty analysis, this paper also touches on the problems generated by the use of multiple methods. The release of the official poverty line by the Dept. of Census & Statistics can be seen as a major step forward in the debate on poverty measurement in Sri Lanka. Charts & tables.
Practices of Poverty Measurement and Poverty Profile of Nepal
Reviews the poverty measuring practices, available measures of poverty, and economic growth figures of Nepal. The poverty rates for FY 1976-77, 1984-85, and 1995-96 are found to be not comparable due to change in methodology over time. The three poverty rates average 40%. Nepal has experienced high economic growth during the 7th (1985-86 to 1989-90) and 8th (1992-93 to 1996-97) Plan periods with no strong evidences of poverty reduction. This incompatible result is partially explained by comparing growth of the agricultural sector with the role of the sector in providing employment and income generation at the household level, and by comparing social indicators particularly literacy rate with the growth of the nonagricultural sector. Tables.
Measuring Competitiveness in the World's Smallest Economies
Attempts to measure competitiveness (CP) across countries have typically neglected the world¿s smallest economies. Hence, a simple composite index, the Small State Manufactured Export CP Index or SSMECI, was developed to benchmark industrial CP. The SSMECI represents the first attempt to provide a comprehensive picture of the CP performance of small states. The performance of small states varies across geographical regions, income groups, & country size classes. High-performing small states had better macroeconomic conditions, higher levels of foreign invest., more trade openness, better levels of educ., & modern infrastructure. A coherent, market-oriented CP strategy in small states is vital to success on international markets. Tables.
Role of Infrastructure in Land-Use Dynamics and Rice Production in Viet Nam's Mekong River Delta
Examines the role of infrastructure development and technical change in explaining increases in agricultural production and changes in land use in the Mekong Delta Region of Viet Nam during the mid-1990s. The transportation costs involved in moving agricultural input and output between farms and markets significantly effect farm land use and production decisions. Greater transport costs reduce the likelihood that farms adopt intensive cropping patterns or cultivate non-rice crops. Results suggest that the quality of local water management infrastructure is much more important than transport costs in explaining the increased intensity of land use and level of production observed in the Mekong Delta during the 1990s. Illustrations.
Labor Market Distortions, Rural-Urban Inequality, and the Opening of the People's Republic of China Economy
Evaluates the impact of some key factor market reforms on rural-urban inequality & income distribution, using a household-disaggregated, recursive dynamic computable general equilibrium model of the People¿s Republic of China. It also explores how these factor market reforms interact with product market reforms currently under way as part of the country¿s World Trade Org. (WTO) accession process. The simulation results show that reforms in the rural land rental market & hukou system, as well as increasing off-farm labor mobility, would reduce the urban-rural income ratio dramatically. Furthermore, the combination of WTO accession & factor market reforms improves both efficiency & equality significantly. Charts, tables & graphs.
How Can Cambodia, Lao PDR, Myanmar, and Viet Nam Cope with Revenue Lost Due to AFTA Tariff Reductions?
In joining the Assoc. of Southeast Asian Nations (ASEAN) and ASEAN Free Trade Area, Cambodia, Lao PDR, Myanmar, and Viet Nam have agreed to comply with the Common Effective Preferential Tariff (CEPT) Scheme, which reduces intra-ASEAN tariff rates on certain imports and may reduce gov¿t. revenue. This study proposes tax structure and tax admin. reforms and other policies that can be introduced to enhance revenue collection. They can: Strategically allocate goods among the four CEPT scheme lists; Improve their tax systems by replacing traditional general sales taxes with Value Added Tax; Reduce inefficiencies that impede tax collection and Discourage tax avoidance and evasion and reduce corruption among tax officials.
European Social Model
Developing countries, esp. the least developed ones, have more to learn from social policies in Europe during the early 20th cent. than from the elaborate welfare-state arrangements after WW2. In addition to macro-economic growth and stability, the main ambitions must be to fight human deprivation, incl. illiteracy, malnutrition, and poor access to water and sanitation; in some cases, also weak, incompetent, and/or corrupt governments. Informal systems in the fields of transfers and social services must not be destroyed when developing countries embark on more formal systems. The European experience also warns against the creation of social systems that are so generous that disincentives and receding social norms distort the nat. economy.
