Economics 350: Economics of Developing Countries

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ECON 350U-001 Spring 2013 T/Th 10:00-11:50 CRN: 64720 Classroom: Engineering Building 103 TA: Elise Crowley, ecrowley@pdx.edu Professor John Luke Gallup jlgallup@pdx.edu www.pdx.edu/econ/jlgallup Office Hours: T/Th 4-5pm and by appointment Office: 241Q Cramer Hall; tel 503-725-3929 Economics 350: Economics of Developing Countries This course studies the economic conditions experienced by the majority of the people in the world, who live in low- and middle-income countries. Among the questions considered are: What is economic development? How has economic development occurred historically and what have been the causes? What has been the relationship between poverty, inequality, and economic growth? How does population, health, and education affect economic development, and how does economic development affect population, health, and education? What is the effect of trade and globalization on developing countries? What is necessary to make economic development environmentally sustainable, and what are the likely impacts of global climate change on developing countries? What is the impact of foreign aid, and how can it be made more effective? Each student will be expected to read all the assigned material, participate in classroom discussions, and complete the written assignments. Students' own ideas and experience are important to the course. Squaring them with the theories and data we study is a central goal. Undergraduate grades are determined by 20% on short in-class quizzes 25% on a classroom presentation 50% on a final exam, and 5% on class attendance and participation. Regular attendance is vital for understanding the material, so attendance will be noted. All assignments are due in class on the dates announced and will be marked down if late. It's always much better to turn in an assignment late than to decide not to turn it in at all. Do not plagiarize or engage in any other form of academic dishonesty. While I encourage you to discuss your assignments with other people, the final product must be your own, containing full citations to any work on which you draw. I vigorously pursue suspected cheating because it undermines honest work. Students with accommodations approved through the Disability Resource Center need to tell

me during the first week of term to discuss accommodations. Students who believe they are eligible for accommodations but who have not yet obtained approval should contact the DRC immediately. The course will use the text Economics of Development, 7 th Edition by Perkins, Radelet, Lindauer, and Block (ISBN-10: 0393934357). You can use the 6 th Edition (ISBN-10: 0393926524) instead which is much less expensive (look for used copies on abebooks.com or Amazon), but you are responsible for figuring out differences in page numbers, etc. All other readings are on the Top Hat Monocle site (www.tophatmonocle.com/e403843). There will be short weekly quizzes about the readings for the forthcoming week each Tuesday. This course uses a clicker device, but instead of requiring you to buy a physical clicker, you use your cellphone or wireless device (ipad, notebook computer, etc.) which makes it less expensive. If any student does not have a cellphone or wireless device, let me know. You will need to register and pay for the clicker software: 1. Purchase a subscription at www.tophatmonocle.com/register/ or at the PSU bookstore. 2. Register for a student account at www.tophatmonocle.com/register/. 3. Enroll in Ec 350 by visiting www.tophatmonocle.com/e927613. 4. Click on the Help link once you login to access tutorials. You will answer questions in class with the clicker system by either sending a text message with a simple cellphone, or by logging into the Top Hat Monocle web site if you have a smart phone or a wireless device.

Course Outine and Readings Week 1, Class 1,2 (April 2, 4) Introduction and History of Economic Development. Jeffrey Sachs, The Spread of Economic Prosperity Perkins, Radelet, and Lindauer, Chapter 1 Week 2, Class 3,4 (April 9, 11) Concept and Measurement of Development Amartya Sen, Introduction of Development as Freedom Perkins, Radelet, and Lindauer, Chapter 2 Week 3, Class 5,6 (April 16, 18) Economic Growth: Concepts and Patterns Jeffrey Sachs, Why Some Countries Fail to Thrive Chang, Lazy Japanese and Thieving Germans Perkins, Radelet, and Lindauer, Chapter 3 Week 4, Class 7,8 (April 23, 25) presentation description due April 23th Institutions Basu, Asian Century Perkins, Radelet, and Lindauer, Chapter 5 Week 5, Class 9,10 (April 30, May 2) Inequality and Poverty Narayan, Pritchett, Kapoor, The Moving Out of Poverty Study: An Overview focus on sections Meet Three People (pp. 4-7) and Findings (pp. 18-42) - skim rest) Perkins, Radelet, and Lindauer, Chapter 6 (continued)

Week 6, Class 11,12 (May 7, 9) Population and Education Perkins, Radelet, and Lindauer, parts of Chapters 7 & 8: Chapter 7: Population pp. 240-244 The Demographic Transition pp. 255-258 Population Growth and Human Development (up to Population and Accumulation) pp. 266-269 Family Planning Chapter 8: Education pp. 275-276 Introduction pp. 282-286 Schooling versus Education; The Benefits of Education pp. 295 (next to last line on page)-313 Controversies and Puzzles; Making Schooling More Productive Week 7, Class 13,14 (May 14, 16) presentations due May 14 th Health Jeffrey Sachs, Africa: The Voiceless Dying Perkins, Radelet, and Lindauer, Chapter 9 Week 8, Class 15,16 (May 21, 23) Sustainable Development Overview from World Development Report 2010: Development and Climate Change. Perkins, Radelet, and Lindauer, Chapter 20 Week 9, Class 17,18 (May 28, 30) Trade Bardhan, Does Globalization Help or Hurt the World's Poor? Friedman, Thomas L. While I Was Sleeping, in The World Is Flat (outsourcing in India) Perkins, Radelet, and Lindauer, Chapter 19 Week 10, Class 19,20 (June 4, 6) Foreign Aid Jeffrey Sachs, Myths and Magic Bullets and Why We Should Do It Perkins, Radelet, and Lindauer, Chapter 14 Final Tuesday, June 11 th, 10:15-12:05am in the classroom

Readings Bardhan, Pranab. Does Globalization Help or Hurt the World's Poor? Scientific American, April 2006, Vol. 294 Issue 4, pp. 84-91. Basu, Kaushik. Asian Century: A Comparative Analysis of Growth in China, India and other Asian Economies, esocialsciences Working Paper, http://ideas.repec.org/p/ess/wpaper/id3278.html, 2009. Chang, Ha-Joon. Lazy Japanese and Thieving Germans, chapter 9 of Bad Samaritans: Rich Nations, Poor Policies, and the Threat to the Developing World. London: Random House, 2007. Diamond, Jared. The Worst Mistake In The History Of The Human Race, Discover, May 1987, pp. 64-66. Friedman, Thomas L. While I Was Sleeping, in The World Is Flat. New York: Garrar, Strauss, and Giroux, 2005, pp. 12-29. Narayan, Deepa, Lant Pritchett, and Soumya Kapoor. An Overview, Chapter 1 of The Moving Out of Poverty Study: Success from the Bottom Up. Washington, D.C.: The World Bank, 2009, pp. 3-49. Overview, World Development Report 2010: Development and Climate Change. Washington, D.C.: World Bank. Perkins, Dwight H., Steven Radelet, and David L. Lindauer. Economics of Development. New York: Norton, Sixth Edition, 2006. Sachs, Jeffrey D. The End of Poverty: Economic Possibilities for Our Time. New York: Penguin Books, 2005. Sen, Amartya. Introduction, Development as Freedom. New York: Anchor Books, 1999, Chapter 1, pp. 3-11.