Economic Development II
The course examines distributional aspects of economic development, and studies issues of poverty, inequality, and vulnerability. It is organized in four parts. Part I introduces distributional analysis from the perspective of welfare economics, and explores theoretical and empirical approaches to measure poverty, inequality and vulnerability in developed and developing economies. Part II extends the economic analyses to examine ‘multi-dimensionality’ of distributional issues. In this part, capability approach to development is explored, and normative criterions of justice and fairness are invoked in analyzing unevenness of economic distributions. Part III explores the causes of unequal distribution in terms of unevenness of ‘initial’ economic and social conditions (including discrimination, asymmetric and incomplete information, and geographic location and historic institutions). Part IV explores the causes of unequal distribution in terms of class analysis and unevenness of distribution of power.
Prerequisite: Economic Development II is one of the two core courses that comprise the PhD field course sequence on development economics. A graduate level course on microeconomic theory is the prerequisite for this course. Otherwise, approval of the instructor is required.