The Pakistan Development Review
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    Gender Analysis of Children’s Activities in Pakistan

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    This paper estimates gender differences in children’s time allocation among four ordered options. It analyses the sample of boys and girls separately through a series of probit models using primary data. We compare the socio-economic determinants of boys’ and girls’ activities. The results suggest that boys are more likely to go to school as compared to girls with the increase in their age. The provision of schooling as an instrument to decrease child labour and home-care would affect boys more than girls. To make the adults literate (five years of education) only is not enough to eliminate the gender gap in schooling; a greater number of years of adult education is necessary. The female adult education may be devised to eliminate gender discrimination in child schooling. In the larger households, girls drop out of school and are absorbed in the labour market earlier than boys. The results further suggested that the use of resources is significantly different for boys’ and girls’ welfare. Thus, we conclude that girls can be a better target for increase in the welfare of all children in Pakistan

    Is There Any Role of Technological Inputs? A District-wise Analysis of Output Differential in Crop Sector

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    The idea of inclusive growth has emerged over time that highlighted systematically excluded segments of society from enjoying the benefits of growth on the basis of religion, ethnicity or location. In Pakistan, districts-wise allocation and usage of technological inputs is the outcome of growth and the important contributing elements as well to enhance specifically crop sector output under the advancement in growth prospective. It is reported that crop sector output contributes around 40 percent of the total agricultural GDP,1 where 2/3rd belongs to Punjab.2 The introduction of advance technological inputs provides an opportunity to enhance production potentials of crop sector in different provinces and their respective districts because Pakistan is also facing the problem of low agricultural productivity in comparison to many developed and developing countries of the world.3 Secondly, the expansion of opportunities to enhance economic freedom in long run has been considered an important issue that needs to be addressed in inclusive growth process. Hence, understanding the interrelationship among different farm related inputs effecting crop sector would help to measure (i) the impact of increased total traditional and technological inputs; (ii) contributive aspects of both types of technological inputs; machine and bio-chemical; and (iii) districtwise differential especially considering their resource endowments and availability

    Savitri Goonesekere (ed.). Violence, Law and Women’s Rights in South Asia. New Delhi: Sage Publications, 2004. 352 pages. Paperback. Indian Rs 390.00.

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    The book titled Violence, Law and Women’s Rights in South Asia deals with a critically important issue for all countries, and particularly so for South Asian countries. In the latter, despite socio-cultural similarities, significant differences exist in handling gender-based violence. The issues are linked to the socio-cultural norms of the societies and the legal and institutional set-up prevailing in each country—viz., India, Pakistan, and Sri Lanka. The present study was initiated by United Nations Development Fund for Women (UNIFEM) in collaboration with United Nations Children’s Fund (UNICEF)

    Inter-city Variation in Prices

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    This research has been motivated by the fact that inter-city variation in prices and hence cost of living has implications for many aspects of development and public policy. This is true for all countries and especially for developing countries like Pakistan where one would expect differences in cost of living to be more pronounced (ceterus paribus) due to a relatively underdeveloped transport network and a lack of development of a national common market. A better understanding of the inter-city variation in prices indicates the extent to which markets within countries are integrated. A monitoring of the inter-city price index over time indicates whether the economy as a whole has become more or less integrated over time i.e. has there has been convergence or divergence within the local economy (which has also been one of the objectives of this research). Secondly, a quantification of inter-city variation in cost of living is essential to understand differentials in real incomes across the country. Such an understanding will yield fairer minimum wage legislation by the government and also wage remuneration packages by employers in both the public and private sectors operating in multiple cities thus leading to better equalisation of real wages across locations. As noted by Haworth and Rasmussen (1973) the pursuit of a uniform wage policy by the U.S. Post Office in the 1970s led to greater wage dissatisfaction among workers and labor strikes in areas where cost of living was relatively higher. Thirdly, allowing for cost of living differentials among cities will lead to better estimates of urban inequality and incidence of poverty. In this context it is particularly important to see if differences in cost of living mitigate or accentuate the difference in the magnitude of poverty between richer and poor jurisdictions. The estimation of cost of living differentials will also lead to much greater understanding of migration patterns within countries and the functioning of regional and interregional markets across the country which are directly related to cost of living, and real wages/incomes. For example, if the same minimum wage legislation is applicable to the whole country, it will lead to migration to those cities where cost of living is relative low and hence the real value of the minimum wages is high (ceterus paribus). This illustrates the important implications that uniform minimum wage legislation and welfare packages across the country have for migration patterns when cost of living differentials are significant

    The Politics of Service Delivery in Pakistan: Political Parties and the Incentives for Patronage, 1988-1999

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    This paper examines the impact of the political party structure on the incentives for politicians to focus on patronage versus service delivery improvements in Pakistan. By analysing inter-provincial variations in the quality of service delivery in Pakistan, the paper argues that the more fragmented, factionalised, and polarised the party systems, the greater are the incentives for patronage, weakening service delivery improvements. Fragmentation and factionalism both exacerbate the information problems that voters have in assigning credit (blame) for service delivery improvements (deterioration), thereby creating the incentives for politicians to focus on targeted benefits. Polarisation, particularly ethnic polarisation, reduces the ability of groups to agree on the provision of public goods, again causing politicians to favour the delivery of targeted benefits

    Assessing Labour Market Vulnerability among Young People

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    Labour market performance in Pakistan has improved markedly in recent years. This paper examines the extent to which young people have benefited from this improvement, using the labour market vulnerability framework that was recently introduced by the ILO. This framework can be used to assess the difficulties young people face on the road to decent employment, and may also serve as a basis for the development of appropriate policies and interventions. Drawing on empirical evidence from various surveys, in particular the Labour Force Survey, we conclude that vulnerability among the youth has generally been reduced since 1999-2000. Vulnerability of women has been reduced through higher enrolment rates in education, and unemployment among both men and women has declined. Far less progress has been made in reducing vulnerability among the employed, and youth still face numerous obstacles that hamper the attainment of decent employment. The paper offers recommendations on the role of labour market information in reducing youth vulnerability. JEL classification: J40, J13 Keyword: Labour Market; Youth; Pakista

    Telecommunication Infrastructure Development and Economic Growth: A Panel Data Approach

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    World is going to be global village due to the introduction of new and advanced technology and new innovations in technology make it more possible day by day. The widely spread economic activities both in real as well as in credit market is possible when they use advance technology to communicate. This is a fact that the world is rapidly moving towards an economic system based on the continuous and ubiquitous availability of information. Developing countries try to maintain and develop their technology in such a way that they can become a part of this global village. Recent developments in telecommunication technology have been an important tool to exchange the information to develop a sharp and valuable commodity market. During 21st century to move into post-industrial, information based economic growth, countries and sector try to equip themselves with the necessary telecommunication system. A modern telecommunication infrastructure is not only important for economic growth but also to connect domestic market of commodities as well as credit with international commodity and financial markets. This would develop the smooth flow of foreign investment, positive value of net exports, increase the value addition in GDP of an economy etc. Once the industrial and agriculture development was considered to be a best tool to enhance economic growth of a country, every country gave more importance to these sectors in its plans and policies, but now the trend has changed because the advancement and development of these two major sector of an economy sustain on the development of other factors, the role of service sector, advancement in technology, and the contribution of foreign sector in economic growth by different ways increases, and the major area of interest for foreign sector or investment was service sector and still it is, countries with the existence of GATS, started to privatise their set up, and after realising the importance of communications, the telecommunication sector is now on their main priorities. With the advancement of telecommunication services, a new market mechanism, low cost structure and expanded value chain of firms is possible [Kambil and Short (1994)], on other hand in developing countries, the average price of agricultural commodities is high in the area where there is telephone facilities available than the area where there is no facilities to communicate [Bayes, et al. (1999)]

    Ajit Mishra. The Economics of Corruption. New Delhi: Oxford University Press. 2005. 336 pages. Hardbound. Indian Rs 650.00.

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    The Economics of Corruption is a collection of papers covering both the theoretical as well as the empirical perspectives on corruption. It deals with various aspects of corruption and provides a well-integrated framework for research in this growing and active area of inquiry. Besides the first chapter, “Corruption: An Overview”, written by Ajit Mishra, which is an excellent review of the existing literature in the field, the book consists of ten articles divided by three themes. “Corruption as phenomena [sic] is always associated with an agency structure” writes Ajit in the introductory chapter of the book (p. 5). Corruption arises when the principal and agent have conflicting objectives and the principal fails to design the comprehensive enforceable contract due to lack of information. It becomes complicated when the principal puts an incentive scheme in place so as to induce optimal action by the agent and hires another agent to implement this incentive scheme, referred to as Supervisor. Ajit classifies this Principal-Supervisor-Agent problem, broadly, into three different types of relationships according to the powers and responsibilities enjoyed by the Supervisor

    Price Integration in Wholesale Maize Markets in Pakistan

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    Continuing debate concerning the appropriate role of the government in the marketplace and the necessity to some how estimate the effects of agricultural policies on agricultural markets have forced researchers to develop various methods, which would enable them to analyse market efficiency. Government intervention in setting prices, incomes and markets is always controversial. For economists, government intervention may be justified if it does not enhance distortions into the market and, moreover, remedies the existing market imperfections. But how can one observe whether the policy proves to improve market functioning or results in even more inefficiency? One way to throw some light on this long-standing issue is to analyse market performance by studying market integration. Three types of market integration are identified in the literature, which are intertemporal, vertical and spatial. Inter-temporal market integration relates to the arbitrage process across periods. Vertical market integration is concerned with stages in marketing and processing channels. Spatial integration is concerned with the integration of spatially distinct markets i.e. if price changes in one market are fully reflected in alternative market then these markets are said to be spatially integrated. The concept of market integration has normally been applied in studies involving spatial market interrelatedness

    Do Public Expenditure and Macroeconomic Uncertainty Matter to Private Investment? Evidence from Pakistan

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    This study examines the role of macroeconomic uncertainty and public expenditure in determining private fixed investment in Pakistan. It is found that individual series are nonstationary. There is a long-run relationship between private fixed investment, public consumption expenditure, public development expenditure, and market activities. It is revealed that public development expenditure stimulates private investment, whereas public consumption expenditure is detrimental to private investment. The preferred dynamic private fixed investment function confirms that in the short run, public development expenditure enhances private investment. Moreover, macroeconomic instability and uncertainty depresses private investment in Pakistan

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