Economic development : a comprehensive approach /
Michael P. Todaro and Stephen C. Smith.
- Ninth edition
- Harlow, England : Pearson Addison Wesley, 2006.
- xxvii, 851 : illustration, map ; 23 cm.
Includes glossary and index.
Part 1: Theories and beliefs -- How the other half live -- Economics and development studies -- Economies as social systems: the need to go beyond simple economics - What do we mean by development? -- Conclusions -- Understanding development among developing countries -- Defining the developing world -- The structural diversity of developing economies -- Common characteristics of developing nations -- How developing countries today differ from developed countries in their earlier stages -- Are living standards of developing and developed countries converging? -- Conclusion -- Classic theories: features and perspectives -- Classic theories of economic development: four approaches -- Development as a growth and the linear-stages theories -- Structural-change models -- The international-dependence revolution -- The neoclassical counterrevolution: market fundamentalism -- Classic theories of development: reconciling the differences -- Contemporary models: approaches and reviews -- The new growth theory: endogenous growth -- Underdevelopment as a coordination failure -- Multiple equilibria: a diagrammatic approach -- Starting economic development: the big push - Further problems of multiple equilibria -- Kremer's O-Ring theory of economic development -- Conclusions: multiple equilibria and coordination failures -- Part 2: Problems and policies: domestic -- Relationship between poverty, inequality and development -- Measuring inequality and poverty -- Poverty, inequality, and social welfare -- Absolute poverty: extent and magnitude -- Economic characteristics of poverty groups -- The range of policy options: some basic considerations -- Summary and conclusions: the need for a package of policies -- Issues relating population growth to economic development -- The basic issue: population growth and the quality of life -- A review of numbers: population growth - past, present, and future -- The demographic transition -- The causes of high fertility in developing countries: the Malthusian and household models -- The consequences of high fertility: some conflicting opinions -- Goals and objectives: toward a consensus -- Some policy approaches -- Conclusion -- Potential effects of urbanization and rural-urban migration -- The migration and urbanization dilemma -- The role of cities -- The urban giantism problem -- The urban informal informal sector -- Urban unemployment -- Migration and development -- Toward an economic theory of rural-urban migration -- Summary and conclusions: the shape of a comprehensive migration and employment strategy -- Roles of education and health in economic development -- The central roles of education and health -- Education and health as joint investment for development -- Improving health and education: why increasing income is not sufficient -- Investing in education and health: the human capital approach child labor -- The gender gap: women and education -- Educational systems and development -- Health systems and development -- Policies for health, education, and income generation -- Agricultural transformation and rural development -- The imperative of agricultural progress and rural development -- Agricultural growth: past progress and current challenges -- The structure of agrarian systems in the developing world -- The important role of women -- The economics of agricultural development: transition from peasant subsistence to specialized commercial farming -- Toward a strategy of agricultural and rural development: some main requirements -- The environment and development -- Economics and the environment -- Environment and development: the basic issues -- The scope of environmental degradation: an overview -- Rural development and the environment: a tale of two villages -- Traditional economic models of the environment -- Urban development and the environment -- The need for policy reform -- The global environment: rain forest destruction and greenhouse gases -- Policy options in developing and developed countries -- Development policymaking and the roles of market, state, and civil society -- The planning mystique -- The nature of development planning -- The rationale for development planning -- The planning process: some basic models -- Aggregate growth models: projecting macro variables -- Multisector models and sectoral projections -- Project appraisal and social cost-benefit analysis -- Problems of plan implementation and plan failure -- Government failure and the resurgent preference for markets over planning -- The market economy -- The "Washington Consensus" on the state in development and its limitations -- Development political economy: theories of policy formulation and reform -- Trends in governance and reform -- Development policy and the state: concluding observations -- Part 3: Problems and policies: international and macro -- Trade theory: scope, insights and limitations -- Globalization: an introduction -- International trade and finance: some key issues -- Five basic questions about trade and development -- The terms of trade and the Prebisch-Singer thesis -- The traditional theory of international trade -- Some criticisms of traditional free-trade theory in the context of developing-country experience -- Some conclusions on trade theory and economic development strategy -- Trade policy: issues, debates and effects -- Trade strategies for development: export promotion versus import substitution - Summary and conclusions: trade optimists and trade pessimists - The industrialization strategy approach to export policy -- Reconciling the arguments: the data and the consensus -- South-South trade and economic integration: looking outward and inward -- Trade policies of developed countries: the need for reform -- The debt dilemma: extent and consequences -- The balance of payments account -- Financing and reducing payments deficits -- The debt crisis of the 1980s -- Attempts at alleviation: macroeconomic instability, IMF stabilization policies, and their critics -- Conclusions -- Finance in trade: an analysis -- The international flow of financial resources -- Private foreign direct investment and the multinational corporation -- Private portfolio investment: boon or bane for LDCs? -- Foreign aid: the development assistance debate -- Finance and fiscal policy: roles and functions -- The role of the financial system -- The painful road to macroeconomic stability -- Reforming financial systems -- Fiscal policy for development -- Public administration: the scarcest resource -- State-owned enterprises -- Military expenditures and economic development -- Key issues for the twenty-first century -- Global independence and the growth of developing-world markets -- The global environment and the developing world -- The crisis in sub-Saharan Africa -- Globalization and international financial reform -- Concluding remarks
Economic Development, Ninth edition, marries the latest thinking in development economies with the clear and comprehensive approach that has been so well received in previous editions. The text places the established themes of early editions into today's global setting, and introduces current topics such as the Millennium Development Goals, complementarities and coordination failure, industrialization strategy, new strategies for poverty reduction, the capabilities approach to well-being, the central role of health, new thinking on the role of cities, and the economic character and comparative advantage of nongovernmental organizations in economic development. This book also emphasizes the international context for development, including the implications of the rapid pace of globalization and the rise of China, the continuing crisis of sub-Saharan Africa, and the conflict over funding for debt relief and poverty reduction. We have entirely rewritten the end-of-chapter analytical case studies for his edition; most cover new topics and each case builds on and illustrates the central topics of the chapter. While there is legitimate disagreement about which topics in economic development deserve the greatest emphasis, we have structured the presentation of the text so as to provide instructions with considerable leeway in selecting lecture topics.