Major Issues in Pakistan Economy Syllabus for M.A. Economics

Major Issues in Pakistan Economy (Paper-6) M.A. Economics Part-I

This course aims to provide an overview of Pakistan’s economy while focusing on the current issues. Students would make use of models to investigate and analyze various economic problems and challenges faced by Pakistan’s economy. Major issues covered in this course are manpower planning, unemployment, poverty, income distribution, economic growth, budget deficits, public debt, Sectoral imbalances, growth without significant development and expected impacts of WTO regime. This course would benefit its participants in research projects and provide a better understanding of Pakistan’s economy.

Prerequisite for this course is a basic knowledge about Pakistan economy and macroeconomics and development models.

Topic 1:                Overview of Pakistan Economy

• Development Experience, Approaches, Policies and Outcomes.
• Identification of Issues: The era of 1950’s, 1960’s, 1970’s, 1980’s 1990’s and 2000’s.
• Structural Change and Sources of Growth.
• Emergence of Economic Issues, Human Resource Development, Unemployment, Poverty, Income Distribution, Debt, Deficit etc.
• Growth with limited development in Pakistan.

Topic 2:                Development Planning and Resource Mobilization

• Agricultural Development Policies and Priorities
• Major Targets of Develop Plans and Emerging Issues; Neglects and Successes:
• Mobilization of Domestic Resources;
• Shortages, Deficits and Role of Foreign Aid.
• Agricultural Vs. Industrial Development Debate.
• Agricultural Adequacy.

Topic 3:                Agriculture and Industrial Development: Emerging Issues

• Pattern of Agricultural and Industrial Development
• Land Reforms and Its Impacts
• the Role of Green Revolution and its Impacts: Present Status.
• Agricultural Price Policy and Income Tax.  Sectoral Terms of Trade.
• Industrial Development Policies and Strategies.
• Development of  Large and Small Industries.
• Value Added: Manufacturing Goods Vs. Primary Goods Production.
• Agriculture Vs. Industry: Development Debate.

Topic 4:                Sectoral Development, Employment Pattern and Unemployment

• Sectoral Priorities and Development Issues.
• Human Resource Development and Emerging Issues
• Population Growth, Labor Force Participation Rate and Employment Pattern
• Unemployment and Underemployment
• Forecasting Manpower Needs and Employment
• Strategies to combat  unemployment.
• Criteria to Measure Unemployment / Underemployment: Time Criterion, Productivity Criterion and New Index of Unemployment:
• Application to  Pakistan and Empirical Evidences
• Good Goverence, Social Action Plan and its Impact
• Role of Institution in Development
• Social Sectors development Vs.  High Retun Sectors:  Growth trade off.

Topic 5:                International Debt and Dependency

• Concepts of Foreign Aid and Debt
• Borrowing Vs. Domestic Reserve Mobilization (failure)
• Size of Foreign Debt, Debt Saving and its Impacts
• Strategies to combat with High Debt: Saving Policy, Foreign Trade Promotion, Cutting non-development Expenditures, Rescheduling and its Impacts.
• Debt Management in Pakistan and Its Impacts.
• Debt Modeling and  Future Implications.

Topic 6:                Poverty and Income Distribution

• Pattern of Income Distribution: Rural and Urban.
• Definitions and Approaches to Measure Poverty: Income Approach, Expenditure Approach, Basic Needs Approach, Poverty of Participatory Index (POPI).
• How to Combat Poverty; Growth Strategy, Basic Needs, Labor Intensive Investment: Education / Training etc. and Social Action Plan (SAP) , its Role and Critical Review, Evasion of Policies / Strategies to Combat Poverty
• Improving Income Distribution: Critical Evaluation.
• Neglect of Human Resource Development. Child Labor. Factors Productivity Issues.

Topic 7:                Inflation, Foreign Trade Deficit and Emerging Issues

• Sources of Inflation in Pakistan.
• Policies to Combat Inflation and their Impacts.
• Trade Performance, Instability and its Impacts. Policies to Combat Deficit and Trade Instability.
• WTO and Its Impacts.
• Reforms and Further Needs.
• Expected Impacts of WTO and Challenges.
• Terms of Trade Issues, Market Access and Health Related Rates.

Recommended Books: 

1. Aslam M., Perspective on Development Planning In Pakistan, Allied Book Centre, Lahore, 2001-2002.
2. Chaudhary M. Aslam and Ahmad Eatzaz: Globalization, WTO and Trade Liberalization in Pakistan, FerozSons, Lahore (2004).
3. Chaudhary M. Aslam, Human Resource Development and Management in Pakistan, Ferozsons, Lahore (1989).
4. Ishrat Hussain, Pakistan: The Economy at the Gross Roads – Past Policies and Present Imperatives, Oxford Univ. Press, Karachi,
5. Khan, Shahrukh R., 50 Years of Pakistan’s Economy – Traditional Topics and Contemporary Concerns. Oxford Univ. Press, Karachi (2000).
6. Mahbool-ul-Haq Centre for Human Development (MHCHD), Poverty Profile of Pakistan, (1989) Oxford University
7. Human Development In South Asia, Annual
8. Saeed, Khawaja Amjad, The Economy of Pakistan, Karachi: Oxford University Press, 2004.

8. Zaidi, Akbar, (1999), Issues in Pakistan Economy, Oxford Univ., Press,
9. World Development Reports, World

(Note:     Teacher(s) must assign latest research papers pertaining to each topic)