Archive for November, 2008
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Confucius & Manu: Understanding institutions from texts
Posted on November 29, 2008 | No CommentsHow far can we understand a society on the basis of ancient texts One often hears Western commentators on China asserting that China is organised on Confucian principles. I do not know much about China and so cannot comment on how fitting this description is. But I have questions on making inferences about a society using a text written in 500 BC. To take an Indian analogy Manu Sashtra or the Laws of Manu were used by many authors (mainly till mid-1900s) to understand the caste system in India. In a paper written in the 1960s Andre Betèille criticised Louis... -
Basics to understand institutions & institutional change
Posted on November 27, 2008 | No CommentsBasic components of an institutional understanding (Evolving note) Someone who has an interest in understanding the role of institutions in development, or institutional change will find it difficult to go about the task by ‘decoding’ the rules of the game and analysing them. The sheer mass of rules in any society will be overwhelming and will not be amenable to such analysis. Even that would be of limited help in understanding on how they operate. A more profitable approach would be to look at formative influences of institutions that are likely to have widespread influence. In this post, I look... -
Food Politics: Building institutions that regulate choice
Posted on November 23, 2008 | No CommentsBook: Food politics: How the food industry influences nutrition and health Author: Marion Nestle The book was motivated by the contradictions between nutrition policy and practice. The author argues that the basic nutrition advice has remained more or less constant for the last fifty years. She examines the role of food industry in the US in creating an environment conductive to over eating and poor nutritional practice. From an ID Perspective, this book offers a fascinating picture on formation of policies and laws regulating the food industry; I’ll have more to say on this below. Overproduction, Competition & pressure to make... -
Development as freedom: Amartya’s importance for ID
Posted on November 23, 2008 | No CommentsBook: Development as Freedom Author: Amartya Sen This is a world of unprecedented opulence, which coexists with remarkable deprivations. Overcoming these deprivations is central to development. Sen argues that individual agency is key to addressing these deprivations, but it should be recognised that agency is constrained by social, political and economic opportunities. Sen argues for “integrated analysis of economic, political and social activities involving a variety of institutions and many interactive agencies”. In my opinion Amartya Sen offers the most sophisticated view of institutions and their relevance for development; Development as freedom is the culmination of many decades of his... -
Macaulay’s “Minute on Indian Education”
Posted on November 23, 2008 | No CommentsThis (in)famous minute on Indian education is a sample of early discourse on institutions and development Macaulay argued in 1835 that providing education based on Sanskrit and Arabic in India is of no use for India’s development, and argued instead for education based on English literature. He envisaged creating, “a class of persons, Indian in blood and colour, but English in taste, in opinions, in morals, and in intellect”. The Minute is based on an idea that English education is not just superior in ‘science’, but would also inculcate superior morals, etc. that were responsible for making the English superior.... -
Designing a course on ID: Syllabus collection
Posted on November 23, 2008 | No CommentsAny course on the role of institutions in development has to cross disciplinary barriers. Since most social sciences have something to say on this topic, there are a lot of resources to borrow from. This page presents a collection of syllabi from different universities that can inform syllabus design on institutions and development. This is an expansive list for exploratory purposes. A concise list with my ideal syllabus will be developed elsewhere. Institutions, policies & development This course combines development theories and institutional theories and offers a broad selection of topics on institutions and development. When I reviewed courses in... -
World systems theory and institutional economics
Posted on November 23, 2008 | No CommentsEconomists have done numerous studies trying to relate the institutions of a country to economic growth there. This has been used to argue that institutional quality of a country matters for its growth. Is a country the relevant unit of analysis? Sociologist Immanuel Wallerstein argues that the world should be taken as one system. Interestingly a spate of recent works by mainstream economists begs us to take this approach seriously. Colonial impact on institutional set up A series of recent works in institutional economics have looked at the colonial impact on institutional formation. Based on a dataset of mortality of... -
Colonisation & Social cohesion
Posted on November 23, 2008 | No CommentsMany sociologists have argued that caste system in India underwent a fundamental change with the advent of British rule. I did not understand what it meant till I saw colonisation at work in Iraq Concepts like social cohesion and trust have been central to the study of institutions in politics and in economics. It has been argued widely that a society that is more cohesive (or where people tend to trust each other) tends to perform better. This argument has been used in explaining economic growth, political stability, industrial productivity, functioning of markets, among other things. I subscribe to the... -
Social cohesion & the Dutch revolution
Posted on November 23, 2008 | No CommentsIs social cohesion an absence of differences, or acceptance of differences Economists have argued that social cohesion & trust are important for economies to grow. But they have often mistaken cohesion to mean the lack of differences. If capitalism in Holland is anything to go by, it’s not the lack of differences, but an acceptance of it that leads to a cohesive society. Measuring social cohesion Having argued that social cohesion matters for economic performance economists set out to establish it. This was “achieved” by measuring social cohesion and relating it to growth (of course, teasing out other factors). Unfortunately,... -
What institutional economics has to say beyond growth
Posted on November 23, 2008 | No CommentsInstitutional economics has been mainly concerned with institutions for economic growth. Will the same insights apply for economic development? Suppose an island is discovered amidst the pacific and a group of people decided to establish a country there. These people are from a variety of backgrounds, speak different languages and are of differing abilities. They decide that they want to achieve maximum possible development over the long run and consult an institutional economist for advice. They state clearly that growth is not the same as development and that they want to maximise development rather than economic growth. What advice will...
