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Economie du développement/ Development Economics

Christelle Dumas et Sylvie Lambert

Année 2013/2014

Syllabus:

8/11 SL:Intro, poverty

15/11 CD: Health

22/11 CD:Education

29/11 SL:Land

6/12 SL: risk & insurance

13/12 CD: Credit

20/12 CD: Saving

10/01 CD: Labour

14/01 SL:Nutrition, Inegality.

17/01 SL:Fertility, gender bias

21/01 SL:Intrahousehold allocation, marriage market

24/01 CD: technological innovation

Compulsory readings:

You’ll be asked to refer to these readings in the examination.

Banerjee A. and E. Duflo (2007), “The Economic Lives of the Poor”, Journal of Economic Perspectives, Vol 21, n°1, 141-167.

Dupas P. (2011), “Do Teenagers respond to HIV risk information?Evidence from a field experiment in Kenya”, American Economic Journal : Applied Economics, Vol 3, January, pp. 1-34.

Jacoby, H., et E., Skoufias, (1997), ''Risk, Financial Markets and Human Capital in a Developing Country'', Review of Economic Studies, 64:311-336.

Banerjee, Abhijit V. and Lakshmi Iyer (2005) “History, Institutions and Economic Performance: The Legacy of Colonial Land Tenure Systems in India”, American Economic Review, Vol. 95(4), pp. 1190-1213

Xavier Giné & Robert Townsend & James Vickery, (2008). "Patterns of Rainfall Insurance Participation in Rural India," World Bank Economic Review, World Bank Group, vol. 22(3), pages 539-566, October.

Kaboski, Townsend, 2012. "The Impact of Credit on Village Economies," American Economic Journal: Applied Economics, vol. 4(2), pages 98-133, April.

References:

Textbooks and other generalreadings

Statistical information, on lineresources:

Banque Mondiale/World Bank. Rapport sur le développement dans le monde/ World Development Report. Economica et Oxford University Press pour la Banque Mondiale, 1990 (poverty), 1999-2000 (entering the 21st century), 2000-2001 (poverty)., 2006 (equity), 2007 (youth), 2008 (agriculture), 2009 (Reshaping economic geography), 2010 (Development and Climate change),2011 (Conflict, security and Development), 2012 (Gender equality and Development), 2013 (Jobs), 2014 (risk and opportunity)

worldbank.org/

Banque Mondiale/ World Bank. World Development Indicators.,2013

PNUD. Rapport sur le développement humain, / Human Development Report.

BREAD: A very good source of recent development working papers + a web page with a list of freely available household surveys for developing countries

Manuels/ Textbooks:

Banerjee A. and E. Duflo (2011): Poor Economics: A Radical Rethinking of the Way to Fight GlobalPoverty, PublicAffairs

P. Bardhan (1989): The Economic Theory of Agrarian Institutions, Clarendon Press, Oxford.

P. Bardhan et C. Udry (1999): Development Microeconomics, Oxford university press.

K. Basu (1997): Analytical Development Economics: The Less Developed Economy Revisited, MIT Press.

P. Dasgupta (1993):An Inquiry into Well-Being and Destitution, Clarendon Press, Oxford.

A. Deaton (1997): The Analysis of Household Surveys: A Microeconometric Approach to Development Policy, The Johns Hopkins University Press.

S. Ghatak et K. Ingersent (1984): Agriculture and Development Economics, Wheatsheaf Books.

D. Ray (1998): Development Economics, Princeton University Press.

E. Sadoulet et A. de Janvry (1995): Quantitative Development Analysis, The Johns Hopkins University Press.

M. Todaro and Stephen C. Smith,(2012): Economic Development, 11th edition.

Other

The economy of an Indian village:

C. Bliss et N.H. Stern (1982): Palanpur: The Economy of an IndianVillage, Clarendon Press, Oxford.

Lanjouw, P. and N. Stern. (1998).: Economic Development in Palanpur Over Five Decades, Clarendon Press, Oxford.

Handbooks:

H.B. Chenery et T.N. Srinivasaneds. (1988, 1989): Handbook of Develoment Economics,Vol 1 and 2,North Holland.

Behrman and Srinivasan eds. (1995) :Handbook of Develoment Economics, Vol 3 (A and B), North Holland.

T. Paul Schultz and John A. Strauss eds (2007):Handbook of Develoment Economics, Vol 4, North Holland.

Dani Rodrik and Mark Rosenzweig eds (2010): Handbook of Develoment Economics, Vol 5, North Holland.

Various:

D. Narayan (2000): Voices of the Poor, Oxford University Press for the World bank.

B. Hartman et J Boyce (1983): A Quiet Violence: View from a Banglagladesh Village, Zed Books Ltd

P. Sainath (1992): Everybody loves a good drought, Penguin Books.

Sen, A.K. (1984),Resources, Values and Development, Basil Blackwell

Sen, A.K. (1999), Development as Freedom, OxfordUniversity Press.

Poverty:

Banerjee A. and E. Duflo (2007), “The Economic Lives of the Poor”, Journal of Economic Perspectives, Vol 21, n°1, 141-167.

Dasgupta, P. (1993) “Ch.4 "Well-being: From Theory to Measurement" (pp.75-103) in Partha Dasgupta , An Inquiry into Well-being and Destitution,Oxford: Clarendon Press, 1993

Deaton, Angus (2004), “Measuring Poverty”, mimeo, PrincetonUniversity, January 2003, revised July 2004,

Deaton, Angus (1997), “Chapter 3: Welfare, Poverty and Distribution”, in Angus Deaton, The Analysis of Household Surveys. A Microeconometric Approach to Development Policy, Baltimore: JohnsHopkinsUniversity Press

Ravallion, Martin (1992) “Poverty Comparisons: A Guide to Concepts and Methods”, LSMS Working Paper 88, Washington DC, World Bank, URL:

Ravallion, Martin (1996) “Issues in Measuring and Modelling Poverty,” The Economic Journal, Vol. 106, pp. 1328-43

Ray D.(1998): Development Economics, PrincetonUniversity Press. Chapitre 8

Sen, A.K. (1981), Poverty and Famines. An Essay On Entitlement and Deprivation, OxfordUniversity Press

Health:

J. Strauss et D. Thomas (1998): ''Health, Nutrition and Economic Development'', Journal of Economic Literature, Vol 36 n°2, (juin 1998), pp. 766-817.

JL Gallup and JD Sachs (2001) “The economic burden of malaria”, American Journal of Tropical Medicine and Hygiene, vol 64, n°1.

N. Ashraf, J. Berry and J. Shapiro (2007) “Can higher process stimulate product use? Evidence from a field experiment in Zambia”, NBER W13247.

On malaria eradiction and its effect, see American Economic Journal: Applied Economics, 2(2), April 2010. Several papers.

J. Cohen and P. Dupas (2010) “Free distribution or cost-sharing? Evidence from a randomized malaria prevention experiment”, Quaterly Journal of Economics, 125 (1), pp.1-45.

A. Banerjee, A. Deaton and E. Duflo (2004) “Wealth, health, and health services in rural Rajasthan”, AER Papers and Proceedings, 94(2), pp.326-330.

J. Das and J. Hammer (2007) “Money for nothing: the dire straits of medical practices in Delhi, India”, Journal of Development Economics, 83(1), pp. 1-36.

A. Banerjee, E. Duflon R. Glennerster and D. Khotari (2010) “Improving immunization coverage in rural India: clustered randomized controlled immunization campaigns with and without incentives”, British Medical Journal, 340, c2220.

E. Miguel and M. Kremer (2004). “Worms: Identifying Impacts on Health and Education in the Presence of Treatment Externalities," Econometrica, 72(1): 159-217, 2004

J. Robinson and E. Yeh (2012)"Risk-Coping through Sexual Networks: Evidence from Client Transfers in Kenya"Journal of Human Resources, vol. 47(1), pages 107-145.

E. Oster (2005) “Sexually Transmitted Infections, Sexual Behavior and the HIV/AIDS Epidemic”, Quarterly Journal of Economics, May.

Education:

Bommier A. et S. Lambert (2000): «Education Demand and Age at School Enrollment in Tanzania», Journal of Human Resources,35(1) .

Duflo, E. (2001) “Schooling and Labour Market Consequences of School Construction in Indonesia: Evidence from an Unusual Policy Experiment'' American Economic Review, September.

Dumas, C., et Lambert, S., 2010, “Educational achievement and socioeconomic background: causality and mechanisms in Senegal”,Journal of African Economies, vol 20(1), pp.1-26.

Glewwe P. et H. Jacoby (1993): «Student Achievement and Schooling Choice in Low-Income Countries: Evidence from Ghana», Journal of Human Resources, 29(3).

Paul Glewwe , Michael Kremer , Sylvie Moulin and Eric Zitzewitz (2004), “Retrospective vs. prospective analyses of school inputs: the case of flip charts in Kenya”, Journal of Development Economics, Volume 74, Issue 1, June 2004, Pages 251-268.

Jacoby H. (1994): «Borrowing Constraints and Progress through School: Evidence from Peru», Review of Economic Studies, 76:151-160.

Jacoby, H., et E., Skoufias, (1997), ''Risk, Financial Markets and Human Capital in a Developing Country'', Review of Economic Studies, 64:311-336.

Miguel, Edward and Michael Kremer (2004). “Worms: Identifying Impacts on Health and Education in the Presence of Treatment Externalities," Econometrica, 72(1): 159-217, 2004

Mincer J. (1978): «Investment in Human Capital and Personal Income Distribution», Journal of Political Economy, 66:281-302.

Psacharopoulos G. (1994): «Returns to Investment in Education: A Global Update», World Development, 22(9):1325-1343.

Rosenzweig M. et K. Wolpin (1985): «Specific Experience, Household Structure and Intergenerational Transfers: FarmFamilyLand and Labor Arrangements in Developing Countries», Quarterly Journal of Economics, 100: 961-987.

Strauss, J. and Thomas, D. (1995): Human Resources: Empirical Modelling of Household and Family in Behrman, J. and Srinivasan, T.N. (ed) Handbook of Development Economics Vol 3 pp 1883-2023 (Amsterdam: Elsevier).

T. Paul Schultz (2004), “School subsidies for the poor: evaluating the Mexican Progresa poverty program”, Journal of Development Economics, Volume 74, Issue 1, June 2004, Pages 199-250.

Poverty Action Lab papers (controlled experiments)

Land; property rights.

Access to land; sharecropping

Baland, J.-M., Gaspart F. , Place F. and J.-P. Platteau (1999): “Poverty, Tenure Security, and Access to land in Central uganda: The Role of Market and Non-Market Processes”, mimeo.

Jean-Marie Baland, James A. Robinson. (2012). “The Political Value of Land: Political Reform and Land Prices in Chile”. American Journal of Political Science, 56:3, 601-619.

Basu K. (1992): “Limited liability and the existence of share tenancy”, Journal of Development Economics, Vol 38, pp 203-220.

K. Basu (1997):Analytical Development Economics: The Less Developed Economy Revisited, MIT Press. Chapitre 12.

P. Bardhan (1989): The Economic Theory of Agrarian Institutions, Clarendon Press, Oxford. Partie II.

Besley, T. (1995), “Property Rights and Investment Incentives: Theory and Evidence from Ghana”, Journal of Political Economy, vol 103, n°5.

Braverman et Stiglitz (1982): “Sharecropping and Inter-linking of Agrarian Markets”, American Economic Review, 72: 695-715.

Eswaran et Kotwal (1985): “A Theory of Contractual Structure in Agriculture”, American Economic Review, juin, pp 352-366.

M. Ghatak, S. Roy. (2007). “Land reform and agricultural productivity in India: a review of the evidence”. Oxford Review of Economic Policy, 23:2, 251-269.

Sadoulet, Fukui, de Janvry (1994): «Efficient share tenancy contracts under risk: the case of two rice growing villages in Thailand», Journal of Development Economics, Vol 45, pp 225-243.

Shaban, R. (1987): “Testing between Competing Models of Sharecropping”, Journal of Political Economy, octobre.

Property rights, Agrarian reform

Pranab Bardhan, Dilip Mookherjee (2008),Productivity Effects of Land Reform: A Study of Disaggregated Farm-Level Data for West Bengal, India,BREAD Working Paper No. 184, Sept 2008

Besley, T.and R. Burgess. (2000): “Land Reform, Poverty Reduction, and Growth: Evidence from India” Quarterly Journal of Economics, Vol. 115 No. 2: 389-430.

Banerjee, Abhijit V., Paul Gertler, Maitreesh Ghatak (2002), “Empowerment and Efficiency: Tenancy Reform in West Bengal”, Journal of Political Economy, Vol. 110, Issue 2

Banerjee, Abhijit V., and Maitreesh Ghatak (2004) "Eviction Threats and Investment

Incentives", Journal of Development Economics, Vol. 74, No.2, pp. 469-488

Brasselle, A-S, F. Gaspart and J-P. Platteau (2002), “Land Tenure Security and Investment Incentives : Puzzling Evidence from Burkina Faso”, Journal of Development Economics, Vol. 67, p. 373-418

Banerjee, Abhijit V. and Lakshmi Iyer (2005) “History, Institutions and Economic

Performance: The Legacy of Colonial Land Tenure Systems in India”, American

Economic Review, Vol. 95(4), pp. 1190-1213

Field, Erica (2007) “Entitled to Work: Urban Property Rights and Labor Supply in Peru,” The Quarterly Journal of Economics (2007) 122 (4): 1561-1602.

Field, Erica and Maximo Torero (2004) “Do Property Titles Increase Credit Access Among the Urban Poor? Evidence from a Nationwide Titling Program”, mimeo.

Goldstein M. and C. Udry (2008). “The Profits of Power: Land Rights and Agricultural Investment in Ghana”, Journal of Political Economy.

Lanjouw, J. O. and Philip Levy (2002) “Untitled: A Study of Formal and Informal Property Rights in Urban Ecuador,” The Economic Journal. Vol. 112, pp. 986-1019.

Mitchell Timothy (2006), “The work of Economics: how a discipline makes its world”, European Journal of Sociology, 46, pp297-320.

Risk and Insurance

Besley, T. (1995): ''Savings, Credit and Insurance'', Handbook of Development Economics, Vol 3, edited by J. Berhman et T.N. Srinivasan.

Hongbin Cai, Yuyu Chen, Hanming Fang, Li-An Zhou (2010), “Microinsurance, Trust and Economic Development: Evidence from a Randomized Natural Field Experiment”,BREAD Working Paper No. 279, January 2010

Deaton A. (1992) “Saving and Income Smoothing in Côte d'Ivoire”, Journal of African Economies, vol. 1, iss. 1, pp. 1-24

Stefan Dercon & Pramila Krishnan, (2000)."In Sickness and in Health: Risk Sharing within Households in Rural Ethiopia",Journal of Political Economy,University of Chicago Press, vol. 108(4), pages 688-727, August.

Xavier Giné & Robert Townsend & James Vickery, (2008). "Patterns of Rainfall Insurance Participation in Rural India," World Bank Economic Review, World Bank Group, vol. 22(3), pages 539-566, October.

Morduch J. (1995): "Income Smoothing and Consumption Smoothing," Journal of Economic Perspectives, American Economic Association, vol. 9(3), pages 103-114, Summer.

Morduch J. (2006): "Micro-insurance: the Next Revolution," in Banerjee, Benabou and Mookherjee ed. What have we learned about poverty?, Oxford University Press.

Paxson, C. (1992): ''Using Weather Variability to estimate the Response of Savings to Transitory Income in Thailand'', American Economic Review, 82(1).

Ray D.(1998): Development Economics, PrincetonUniversity Press. Chapitres 14 et 15.

Rosenzweig, M. (1988): ''Risk, Implicit Contracts and the Family in Rural Areas of Low-Income Countries'', The Economic Journal, 98, 1148-1170.

Rosenzweig, M. et H. Binswanger (1993): ''Wealth, Weather Risk and the Composition and Profitability of Agricultural Investments'', The Economic Journal, 103, 56-78.

Sadoulet, E. et A. de Janvry (1995): ''Household Behavior under Risk with Subsistence Food Production'', mimeo, Université de Californie, Berkeley.

Townsend R. (1994): “Risk and Insurance in Village India”, Econometrica, Vol 62, 539-592.

Martin Ravallion and Shubham Chaudhuri (1997), “Risk and Insurance in village India: comment”, Econometrica, Vol. 65, No. 1(January, 1997), pp. 171-184

Townsend, Robert M, 1995. "Financial Systems in Northern Thai Villages," The Quarterly Journal of Economics, MIT Press, vol. 110(4), pages 1011-46, November.

Credit and Savings

S. Anderson et JM Baland, 2002. “The economics of roscas and intrahousehold resource allocation”, Quarterly Journal of Economics, 117 (3), August 2002, p. 963-995.

Ashraf, Karlan, Yin, 2006. “Tying Odysseus to the Mast: Evidence from a Commitment Savings Product in the Philippines”, Quarterly Journal of Economics, May, pp.635-672.

Baland, Guirkinger, Mali, 2011. “Pretending to Be Poor: Borrowing to Escape Forced Solidarity in Cameroon”, Economic Development and Cultural Change, 60(1), pp. 1-16.

Banerjee, Duflo, Glennerster, Kinnan, 2010. “The miracle of microfinance? Evidence from a randomized evaluation”.

Beck, Demirgüç-Kunt, and Martinez Peria, 2008.“Banking Services for Everyone? Barriers to Bank Access and Use around the World.”The World Bank Economic Review,22(3), pp. 397-430.

Burgess, Pande, 2005. “Do Rural Banks Matter? Evidence from the Indian Social Banking Experiment”, American Economic Review, 95(3), pp. 780-795.

Coleman, B. (1999), “The Impact of Group Lending in Northeast Thailand.” Journal of Development Economics 60 (no.1) Oct 1999: 105-141.

Field, Pande, Papp, 2009.“Does Microfinance Repayment Flexibility AffectEntrepreneurial Behavior and Loan Default?”.

Gine, Karlan, 2013.“Group versus Individual Liability: Short and Long Term Evidence from Philippine Microcredit Lending Groups.”

Kaboski, Townsend, 2012. "The Impact of Credit on Village Economies," American Economic Journal: Applied Economics, vol. 4(2), pages 98-133, April.

Kaboski, Townsend, 2011. "A structural Evaluation of a Large-Scale Quasi-Experimental Microfinance Initiative," Econometrica, vol. 79(5), pages 1305-1406.

Morduch, Karlan, 2010. “Access to Finance”, Handbook of Development Economics, Vol 5.

Morduch J., (1999).: “The Microfinance Promise”. Journal of Economic Literature, vol. 37, p. 1569-1614.

Pitt, M. and Khandker, S. (1998): “The Impact of Group--Based Credit Programs on Poor Households in Bangladesh: Does the Gender of Participants Matter?'' Journal of Political Economy 106 (5).pp958-996

Ray D.(1998): Development Economics, PrincetonUniversity Press. Chapitres 14 et 15.

Rosenzweig, M. et K. Wolpin (1993): ''Credit Market Constraints, Consumption Smoothing and the Accumulation of Durable Production Assets in Low Income Countries: Investment in Bullocks in India'', Journal of Political Economy, 101(2).