Vorlesung Theories of Development and Underdevelopment Economic Perspectives with Tutorial

Objectives: The students are aware of the international differences in important development indicators, know about the goals of economically-oriented development policy, are aware about the variety and of the structure of theories trying to explain economic growth, know about the strengths and weaknesses of the different approaches and their relevance for development policy. The students are able to discuss on a theoretical base the advantages and disadvantages of different sectoral development policies, as well as of inward- and outward-looking approaches. They know about the chances and dangers of globalization and of regional integration. Finally they have gained knowledge about the modes of trade and capital assistance, of program and project aid, and are able to make differentiated judgments on the achievements (and failures) of development policy. Contents/Structure: The lecture starts with an introduction that presents socio-economic development indicators in a global comparative perspective and economic development indicators, as, e.g. per-capita-income and indicators for income distribution. The goals of development policy are derived from this data-based overview and important actors of international development policy are identified and described. The sources of economic development are discussed in the second chapter. After a mathematical analyses of growth of GDP, population and per capita income some traps and vicious circles are analyzed to see whether they can serve as a general explanation for persisting economic underdevelopment in some regions of the world. Afterwards the lecture concentrates on more comprehensive approaches of explaining development and there first presents post-Keynesian growth theories (Harrod/Domar, Two-Gap-model) followed by neoclassical – Solowian – models of economic development. The section concludes with an analysis of the interplay of growth, distribution and poverty. Chapter three is devoted to the analyses of those development strategies that developing countries followed in the last 50 years. Special emphasis is put on sectoral strategies, protection of domestic markets and export-led development as well as on South- South integration. Different types of aid and assistance granted by multilateral and national donors are presented in a quite short chapter four. Chapter five gives a somewhat output-oriented summary of the achievements of the developing countries’ and the donors’ developmental efforts focusing on the goals of development policy as derived in chapter one. Structure: • Development Economics and Development Policy • Sources of Economic Development • Development strategies of developing countries • Development Aid/Assistance • Achievements of development policy Kommentar für Tutorium: Objectives: The course is especially targeted at non-economists and enables those students not familiar with economic theories and approaches with the necessary understanding to successfully participate in subsequent economics-oriented courses. Contents/Structure: The course teaches the basic concepts and tools of economic analysis. It will mainly focus on microeconomics, i.e. the analysis of economic problems from the perspective of the individual. In addition some macroeconomic-basics are covered. 1 Economic Theory 1.1 The Research Program: What is Economics all about? 1.2 How do Economists approach their Research Program? 2 Microeconomics 2.1 Theory of the Household (Consumer Theory) 2.2 Theory of the Firm Tutorial 2.3 Market- and Price-Theory 2.4 Collective goods 3 Macroeconomics: Basic Concepts Literatur A detailed reading list & reading schedule will be made available to registered students via the internet-based e-learning platform. One basic reading is: Todaro, M. P. (2000): Economic Development. (7th edition). Reading at al. Literatur für Tutorium: A detailed reading list & reading schedule will be made available to registered students. Recommended as introductory / complementary reading: Mankiw, N. Gregory (2004), Principles of Economics, 3rd edition, Mason/Ohio. A detailed reading list & reading schedule will be made available to registered students via the internet-based e-learning platform. One basic reading is: Todaro, M. P. (2000): Economic Development. (7th edition). Reading at al. Literatur für Tutorium: A detailed reading list & reading schedule will be made available to registered students. Recommended as introductory / complementary reading: Mankiw, N. Gregory (2004), Principles of Economics, 3rd edition, Mason/Ohio. Sozialwissenschaften Non-economists should have followed the Economic Tutorial. Students with an economic background should have made their selves familiar with the contents of that tutorial to find out if they have the required basic knowledge of economic thinking. Written examination of two hours. Universität Duisburg-Essen SS 2012 IBEP M.A., Internationale Beziehungen und Entwicklungspolitik (Master of Arts) Dr. Bäcker Gabriele