1393syllabusfall2006_11.21.06

7/21/2019 1393SyllabusFall2006_11.21.06

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Harvard University

1393: Poverty and Development

Fall 2006

Mondays and Wednesdays 1:00 – 2:30, ever Hall ! 306

"nstr#$tor: %ea$&in' Fello(:Beatriz Armendáriz Minh Phuong Bui

Department of Economics E-mail: bui2@fashar!ardedu

"ittauer# $ffice % &2' $ffice (ours: )hursda*s + , &&# "ittauer BasementE-mail:barmend@fashar!ardedu. /ections: Monda*s and 0rida*s : )BA

$ffice (ours: )uesda*s 1 - && 3ednesda*s 4 , 5

)el 6&7 518 1&52

)*+e$tive and )vervie(

)he eradication of po!ert* is the main ob9ecti!e of economic de!elopment# and this

course ill guide students in appl*ing economic anal*sis to these important issues After re!ieing the concepts of po!ert* and de!elopment from the standpoint of economic

groth and institutions# the course ill focus on the limitations of this approach# and illhighlight hat is needed in order to ha!e a better picture of economic de!elopment

theories for the eradication of po!ert* )he focus ill then turn to credit constraints: 3h*

so man* households in the de!eloping orld cannot borro in order to pull themsel!esout of po!ert*; <an microfinance help; <an microfinance empoer omen and thereb*

help in closing the gender gap; )he connection beteen population groth and rural-

urban migration ill then be anal*zed# in order to ha!e a good understanding of the

sectoral dimension of po!ert*: (o do the rural poor li!e# and cope ith both aggregateand idios*ncratic shoc=s; <an ma9or inno!ations such as the green re!olution help; >s

redistribution of land a good conduit for po!ert* reduction; >s globalization helping toeradicate rural and urban po!ert*; 3hat is the relationship beteen income ine?ualit*and po!ert*; >s en!ironmental damage hitting those li!ing in po!ert* the hardest;

%ets and )t&er Material

)he main tet for this course is De!elopment Economics &11+ b* Debra9 Ca*

henceforth referred to as DC# published b* Princeton ni!ersit* Press $ther material

for the course includes Economic De!elopment b* Michael P )odaro and /tephen <

/mith 2''4# eight edition henceforth referred to as )/# Armendáriz de Aghion#Beatriz# and onathan Morduch# )he Economics of Microfinance# M>) Press 2''8F and

Economic De!elopment b* Dight ( Per=ins et al 2''& >n addition# a series of

published and more recent unpublished articles ill be a!ailable on lineG Ceadings arere?uired

-o#rse Prere.#isites

Economics &'&'a or &'&&a# and &'&'b or &'&&b

/val#ation

Problem sets: 4'H# midterm: 4'H 6 ovem*er# final eam: 4'H# multiple-choice pop-

?uizzes &'H

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P% "

"4 %&e 5i' Pi$t#re

DC# <hapters & and 2: >ntroduction# and Economic De!elopment: An $!er!ie

G)he 3orld Ban=# 3orld De!elopment Ceport 2''5# >ntroduction and <hapter &

)/# <hapter &: Economics# >nstitutions# and De!elopment: A Ilobal Perspecti!e

/en# Amart*a &1++# J)he <oncept of De!elopmentK# in ( <hener* and ) L

/rini!asan eds# (andboo= of De!elopment Economics

/en# Amart*a &114# JDe!elopment: 3hich 3a* Lo;K )he Economic ournal#14 December

>ngham# Barbara &118# Economics of De!elopment# McIra-(ill# <hapter 2: )he

Meaning of De!elopment

""4 7ro(t& and Poverty

DC# <hapter 4: Economic Iroth

Easterl*# 3illiam 2''2# )he Elusi!e uest for Iroth: EconomistsN Ad!entures

and Misad!entures in the )ropics# <ambridge# MA: M>) Press# <hapters & , 4

GDC# <hapter 5: )he Le Iroth )heories

G<arlin# 3end*# and Da!id /os=ice 2''6# Macroeconomics# >mperfections#>nstitutions# and Policies# $ford ni!ersit* Press

Dollar# Da!id 2''2# JIroth is Iood for the PoorK# Cesearch Paper#

De!elopment Cesearch Iroup# )he 3orld Ban=

Aghion# Philippe# and Beatriz Armendáriz de Aghion 2''6# JA Le Iroth

Approach to Po!ert* CeductionK# in nderstanding Po!ert*# edited b* ABBaner9ee# C Benabou# and D Moo=her9ee $ford ni!ersit* Press

Barro# Cobert# and Oa!ier /ala-i-Martin 2''5# Economic Iroth# /econd Edition:>ntroduction

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Codri=# Dani# and Ar!ind /ubramanian 2''5# J0rom J(indu IrothK )o

Producti!it* /urge: )he M*ster* of the >ndian Iroth )ransitionK# mimeo# (ar!ard

ni!ersit*

Deaton# Angus# and ean Drze# JPo!ert* and >ne?ualit* in >ndia: A

CeeaminationK# 3or=ing Paper Lo &'7# Cesearch Program in De!elopment/tudies# 3oodro 3ilson /chool# Princeton ni!ersit*

/ala-i-Martin# Oa!ier 2''4# JEstimating <onsumption Po!ert* and the 3orldDistribution of <onsumption &17' , 2'''K# mimeo# <olumbia ni!ersit*

"""4 "nstit#tions and Poverty

GAcemoglu# Daron# /imon ohnson# and ames Cobinson 2''6# Jnderstanding

Prosperit* and Po!ert*: Ieograph*# >nstitutions# and the Ce!ersal of 0ortuneK# in

nderstanding Po!ert*# edited b* AB Baner9ee# C Benabou# and D Moo=her9ee$ford ni!ersit* Press

GIlaeser# Eard# Cafael "a Porta# 0lorencio "opez-de-/ilanes# and Andrei /hleifer#

JDo >nstitutions <ause IrothK# mimeo# (ar!ard ni!ersit*

"a Porta# Cafael# 0lorencio "Qpez de /ilanes# Andrei /hleifer and Cobert 3 Rishn*

&111# J)he ualit* of Io!ernmentK# ournal of "a# Economics and

$rganization# &8: &# pp 222 , 271

)/# <hapters 4 and 5: (istoric Iroth and <ontemporar* De!elopment: "essons

and <ontro!ersies# and <lassic )heories of De!elopment: A <omparati!e Anal*sis

"84 -redit -onstraints and t&e Mi$roinan$e evol#tion

GDC# <hapter &5: <redit

GArmendáriz de Aghion# Beatriz# and onathan Morduch 2''8# )he Economics of Microfinance# M>) Press# <hapters &# 5 and 8

Besle*# )imoth* &118# J/a!ings# <redit and >nsuranceK# pp 2&78 , 22'&# in )L/rini!asan (andboo= of De!elopment Economics# Rol >>>

Morduch# onathan &11'# J)he Microfinance PromiseK# ournal of Economic

"iterature# Rol OOOR>> "ead article December

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Armendáriz de Aghion# Beatriz# and <hristian Iollier 2'''# JPeer Iroup

0ormation in An Ad!erse /election ModelK# )he Economic ournal# ul*

Armendáriz de Aghion# Beatriz &111# J$n the Design of a <redit Agreement 3ith

Peer MonitoringK# ournal of De!elopment Economics 6': 71 , &'5

Armendáriz de Aghion# Beatriz# and onathan Morduch 2''5# JMicrofinance:

3here do e stand;K in <harles Ioodhart ed# 0inancial De!elopment and

Economic Iroth: Eplaining the "in=s# "ondon: MacmillanS Palgra!e

Armendáriz de Aghion# Beatriz# Asho= Cai# and )homas /T9strTm 2''2# JPo!ert*

Ceducing <redit PoliciesK# 0orthcoming in Abhi9it Baner9ee# Coland Benabou# and

84 7ro#p endin' and 5eyond

GArmendáriz de Aghion# Beatriz# and onathan Morduch 2''8# )he Economics of

Microfinance# M>) Press# 0orthcoming <hapters 4 and 5

Armendáriz de Aghion# Beatriz# and <hristian Iollier 2'''# JPeer Iroup

0ormation in An Ad!erse /election ModelK# )he Economic ournal# ul*

Armendáriz de Aghion# Beatriz &111# J$n the Design of a <redit Agreement 3ith

Peer MonitoringK# ournal of De!elopment Economics 6': 71 , &'5

Armendáriz de Aghion# Beatriz# and onathan Morduch 2''8# JMicrofinance:

3here do e stand;K 0orthcoming in <harles Ioodhart ed# 0inancial

De!elopment and Economic Iroth: Eplaining the "in=s# "ondon: MacmillanSPalgra!e

8"4 Mi$roinan$e and 7ender /mpo(erment

GArmendáriz de Aghion# Beatriz# and onathan Morduch 2''8# )he Economics of

Microfinance# M>) Press# <hapter 7

GDC# <hapter +# pp 271 -2++: Po!ert* and the (ousehold

Pitt# Mar=# /hahidur Uhand=er &11+ J)he >mpact of Iroup-Based <reditPrograms on Poor (ouseholds in Bangladesh: Does the Iender of Participants

Matter;K ournal of Political Econom* &'6:8# pp 18+-116

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dr*# <hristopher &116# Iender# Agricultural Production# and the )heor* of the

(ouseholdK# ournal of Political Econom*# Rol &'5# >ssue 8# pp &'&' , &'56

/en# Amart*a &112# JMissing 3omenK# British Medical ournal# 4'5

Miguel# Edard 2''4# JPo!ert* and 3itch UillingK# BCEAD 3or=ing Paper % 5&

Iarg# Ashish# and onathan Morduch &11+# J/ibling Ci!alr* and the Iender

IapK# ournal of Population Economics# Rol &&5# pp 57& , 514

3orld De!elopment Ceport 2'''S2''&# Attac=ing Po!ert*# )he 3orld Ban=#

3ashington# D<: $ford ni!ersit* Press# pp &&7 , &4&

Midterm: ovem*er 6, 2006

P% ""

8""4 Undern#trition and Famines

DC# <hapter +: Po!ert* and ndernutrition

G<oate# /tephen &1+1# J<ash Rersus Direct 0ood CeliefK# ournal of De!elopment

Economics# Rol 4'

Drze# ean and Amart*a /en &1+1 (unger and Public Action# $ford: <larendon

Press <hapter 6

/en# Amart*a &1+&# An Essa* on Entitlements and Depri!ation# $ford:

<larendon Press <ase stud*: )he Ethiopian 0amine

/trauss# ohn and Duncan )homas &11+# J(ealth# Lutrition# and Economic

De!elopmentK# ournal of Economic "iterature# Rol 46# Lo 2# une# pp 766 ,

+&7

3orld De!elopment Ceport 2'''S2''&# Attac=ing Po!ert*# )he 3orld Ban=#

3ashington# D<: $ford ni!ersit* Press# pp &48 - &76

8"""4 Pop#lation , and #ral – Ur*an Mi'ration

G)/# <hapters 7 and +: Population Iroth and Economic De!elopment: <auses#

<onse?uences and <ontro!ersies# and rbanization and Cural , rban Migration:

)heor* and Polic*

7/21/2019 1393SyllabusFall2006_11.21.06


GDC# Cural and rban

Uell*# A< &1++# Economic <onse?uences of Population <hange in the )hird

3orldK# ournal of Economic "iterature# 26 2# pp &6+8 , &72+

3illiamson# effre* &1++# JMigration and rbanizationK in ( <hener* and ) L

/rini!asan eds# (andboo= of De!elopment Economics# Rolume &

";4 "n$ome ine.#ality and Poverty

G 3orld De!elopment Ceport 2''6

G Engerman# "# and U /o=oloff 2''6# J<olonialism# >ne?ualit*# and "ong , Cun

Paths of De!elopmentK in nderstanding Po!ert*# edited b* AB Baner9ee# C

Benabou# and D Moo=her9ee $ford ni!ersit* Press

Pi=ett*# )homas 2''6# J)he Uuznets <ur!e: Vesterda* and )omorroK# in

nderstanding Po!ert*# edited b* AB Baner9ee# C Benabou# and D Moo=her9ee

$ford ni!ersit* Press

;4 and and %en#re eorm

GDC# <hapter &2# "and# pp 558 , 562# "and $nership

G ) /# Agricultural )ransformation and Cural De!elopment

G Per=ins et al &116# Economics of De!elopment# 5th Edition# Lorton <hapter &8:

Agriculture# pp 545 , 588

Besle*# )imoth*# and Cobin Burgess 2''4# J"and Ceform# Po!ert* and Iroth:

E!idence from >ndiaK# uarterl* ournal of Economics# &'8 2# Ma* 2'''# pp 4+1

, 45'

Baner9ee# Abhi9it# Paul Iertler# and Maitreesh Ihata= 2''2# JEmpoerment and

Efficienc*: )enanc* Ceform in 3est BengalK# ournal of Political Econom*# Rol

&&'# Lo 2# April

Baner9ee# Abhi9it &111# JProspects and /trategies for "and CeformsK in Ples=o!ic

and /tiglitz eds# Annual 3orld Ban= <onference on De!elopment Economics

;"4 is< – -opin' and -ontra$t#al rran'ements in 'ri$#lt#re

DC <hapter &2# pp 2&4 , 255

7/21/2019 1393SyllabusFall2006_11.21.06


G/tiglitz# oseph &1+6# J)he Le De!elopment EconomicsK# 3orld

De!elopment# &2# Lo 2 Also in Ierald M Meier# and ames E Cauch 2'''#"eading >ssues in Economic De!elopment# 6th Edition# $ford ni!ersit* Press

<hapter R>># /ection <&# pp 482 , 488

G/*mposium in the ournal of Economic Perspecti!es /ummer &118 Articles b*

)imoth* Besle*# onathan Morduch# and Cobert )onsend

$tsu=a# U amd V (a*ami &11+# J)heories of /hare )enanc*: A <ritical /ur!e*K#

Economic De!elopment and <ultural <hange# Rol 47# Lo & $ctober

uibria# MI and / Cashid &1+5# J)he Puzzle of /harecropping: A /ur!e* of )heoriesK# 3orld De!elopment# Rol &2# Lo 2# pp &'4 , &'5

;""4 "nd#stry

G 3orld De!elopment Ceport 2''8# <hapters & and 2

GDC# <hapter 8: (istor*# Epectations and De!elopment

G Murph*# U M# Andrei /hleifer# and Cobert Rishn* &1+1# J>ndustrialization and

the Big PushK# ournal of Political Econom*# Rol 17# pp &''4 , &'26

)/# <hapter 8: <ontemporar* Models of De!elopment and nderde!elopment

Cosenstein , Codan# P &154# JProblems of >ndustrialization of Eastern and /outh-

eastern EuropeK# )he Economic ournal# une , /eptember# pp 2'5 -2'7

Esaran# Mu=esh# and Asho= Uotal &115# 3h* Po!ert* Persists in >ndia;

$ford ni!ersit* Press# Dehli

;"""4 7lo*ali=ation

Codri=# Dani 2''&# )he Ilobal Io!ernance of )rade as if De!elopment Ceall*

MatteredK# LDP# $ctober

GDollar# Da!id 2''&# JIlobalization# >ne?ualit* and Po!ert* /ince &1+'K#

3ashington# D < : )he 3orld Ban=

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Bhagati# agdish# and ) L /rini!asan 2''5# )rade and Po!ert* in Poor

<ountriesK

Codri=# Dani 2''2# J0easible IlobalizationsK# LBEC Discussion Paper Lo 1&21#

in http:SSpapersnberorgSpapersS31&21

;"84 %&e /nvironment

G)/# <hapter &&: )he En!ironment and De!elopment

Lafziger# E 3a*ne &117# )he Economics of De!eloping <ountries# )hird Edition#

Le erse*: Prentice , (all# >nc# <hapter &4: Latural Cesources and theEn!ironment: )oard /ustainable De!elopment

MWler# Uarl-Ioran &11+# JEn!ironment# Po!ert*# and IrothK# Annual Iroth

Ban= <onference on De!elopment Economics# 3ashington# D<: 3orld Ban=

3orld De!elopment Ceport &112: De!elopment and the En!ironment# Le Vor=:$ford ni!ersit* Press

Final /am: Wednesday 3t& May >se$ond part only

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)P%") W"%"7 /?U"/M/% 7U"D/"/

• /tudents should come to m* office *eore Mar$& 2@ ith a tentati!e topic#

and a list of references on that topic

• 3e ill complete the list of references together# and decide on ho to

con!ert *our on idea into a paper• $n 4 April# students should e-mail me a preliminar* !ersion of their or= 8

pages maimum )his should contain an introduction# a detailed plan# and a

complete list of references

• > ill e-mail *ou bac= ith m* comments and# if necessar*# e should meet

again

• 0inal papers are due no later than May 26 4 )he paper should be &8 - 2'

pages long double-spaced Papers can be e-mailed to me# but please ma=e

sure that *our paper reaches me safel* "ate papers ill not be accepted

G

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1393syllabusfall2006_11.21.06

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