Section A: Write a note on the following (any four): (4X5=20)

Capability and development (Sen, Ch1; TS pp16);

Coordination failure and multiple equilibrium (TS-159 DR section 5.2.1, 5.2.2-);
Turning point in Lewis model.
Foster-Greer-Thorbecke class of poverty measures (TS-220);
Vicious Cycle of poverty (ppt)
Land size and productivity y (DR 12.4.2-3);
Backward and forward linkage effects (DR. 5.2.3);
Demographic transition (TS-283; ppt);
Balanced and unbalanced growth (DR-5.2.2 & 5.2.3);
Multi-dimensional poverty index (WDR technical note);
Disguised unemployment and surplus labour (DR 10.2.2-356-63)
Gender and poverty (slides and references)

Section B: Answer any four questions (2X15=30)

1. Evaluate the following statements (any 3): (3X5=15)
a. According to Harrod-Domar model, if the capital output ratio in a country is high,
that country will grow faster (DR: 3.3).
b. Income gap ratio and the head count, as measures of poverty may lead to very
different uses of antipoverty resources by policy makers (TS- 217, DR).
c. Colonialism is a reason for mass poverty and underdevelopment in countries (TS:
68-69, ppt).
d. Per capita income as a measure of development is inadequate (TS 14-25).
e. In the dual economy model, the phase of disguised unemployment must be
associated with horizontal supply curve of industrial labour (DR 10.3.2; 10.3.3).
2. Interplay between rural and urban sectors: Lewis and Ranis- Fei (DR 10.3.2-3).
3. Discuss the Harris-Todaro model. (DR. 10.3.1 to 10.3.4)
4. Solow model: role of savings rates, depreciation rates, population growth on per capita
income. Explain: Harrod Domar model is a special case of Solow model (DR 3.3.2-3).
5. Structural features of underdevelopment (TS- 56-70)
6. Explain graphically the role of wages in modern sector in creating possibilities of
multiple equilibrium using the Big Push theory. How does governments choose the
leading sectors while pursuing the path of unbalanced growth? (TS 167-75; DR-5.2.2 &
5.2.3)
7. What is absolute and relative poverty? What is permanent and temporary poverty? What
is weak transfer principle? Which poverty measures satisfy this principle? Explain with
example. (DR. 8.2.1 & 8.2.2)
8. What are the reasons for systematic technological differences between developed and
developing countries? Total Factor Productivity measurements and its problems (DR 4.4;
4.5)
9. Agricultural land tenancies. Share cropping and Marshallian inefficiency (DR 12.1-
12.3.2)
10. What is reversal of fortune? Explain how institutional reversal is related to the reversal of
fortune, not geographical reversal. Explain the role of Colonialism in mass poverty and
underdevelopment in countries. (Acemoglu 2001, ppt)
11. Along with these there would be empirical questions based on Harrod Domar,
Solow model and TFP. Solve the exercises in Debraj Roy