Course Title: Economics of Development

Course Code: RDS 752                                        Credit Hours: 3

Semester: First                                            Teaching Hours: 48

Level: Doctor Philosophy (PhD)


Course Objectives

This paper focuses on both theoretical and practical knowledge to tackle key issues relating to development. The major integrates macroeconomic issues with underlying microeconomic processes, emphasizing the importance of the global economic environment including domestic institutions, regulatory frameworks and socioeconomic groups. It pays particular attention to the impact of international and domestic economic policies on growth, poverty and income distribution in developing countries, and seeks to bring out the fundamental linkages between economic growth and human development.

Unit I: Development and Growth                                       12

  1. Concept and Patterns of Economic Growth and Development and Challenges
  2. Measuring Economic Growth and Development
  3. Theories of Economic Growth and Development: Harrod-Domar, Solow and Swan, Endogenous Growth
  4. Historical growth Experience of Developed Countries, East and Southeast Asia and Their Relevance in Developing Countries

Unit II: Distribution and Human Resources                             12

  1. Transition from Planned to Market Economy and the Role of State (in Liberalization and Globalization)
  2. Inequality and Poverty (with example of MPI and Labour Force Surveys)
  3. Population (Malthus Theory and Harris-Todaro Model)
  4. Education and Health (with indices and indicators)
  5. Values, Institutions and Civil Society

Unit III: Macroeconomics Policies for Development                     12

  1. Investment and Savings
  2. Fiscal and Monetary Policies
  3. Financial Economic Development: Growth, Technology and Distribution Implications of FDI and Foreign Aid
  4. Sustainable Development Goals (with example of Nepal)
  5. Impact of Privatization, Liberalization and Globalization

Unit IV: Agricultural Trade and Sustainability                           12

  1. Role of Agriculture in Development
  2. Agricultural Transformation and Rural Development: Agricultural Stagnation, Commercialization and Growth (with example of Agriculture Censuses, Nepal)
  3. Economics of Trade and Market Demand
  4. Food and Agricultural Policy
  5. Nexus between Development and Sustainability


Chang, Ha-Joon (2000). Kicking Away the Ladder: Development Strategy in Historical Perspective. London: Anthem Press.

Colman, David & Trevor, Young (1997). Principles of agricultural economics: Markets and prices in less developed countries. UK: Cambridge University Press.

Cypher, James, M. & James L. Dietz (1997). The process of economic development. London and New York: Routledge

Hansson, Göte (ed.) (2003). Trade, growth and development: The role of politics and development. London and New York: Routledge

Jhingan, M. L. (2011). The economics of development and planning (40th Edition). India: Vrinda Publication (P) Ltd.

Perkins, Dwight.H., Steven Radelet, David L. Lindauer & Steven A. Block (2013). Economics of development (Seventh edition). USA: W.W. Norton and Company, Inc.

National Planning Commission (NPC), (2018). Nepal multidimensional poverty Index: Analysis towards action. Nepal: Government of Nepal

National Planning Commission (NPC), (2017). Nepal’s sustainable development goals: Baseline report. Nepal: Government of Nepal

………………………………… (NPC) (2014). Nepal human development report 2014: Beyond geography, unlocking human potential. Kathmandu: Government of Nepal.

UNDP, 2018. Human development indices indicators and indices: 2018 statistical update. New York: UNDP