Does Maharashtra's Employment Guarantee Scheme guarantee employment: effects of the 1988 wage increase

Article Abstract:

The wage schedules in the Employment Guarantee Scheme (EGS), which is being implemented by the Indian government in the state of Maharashtra, was increased in May 1988 to level with the doubling in statutory minimum wage rates. Its effects on the guarantee of employment under the scheme was analyzed, as well as the extent to which locally accessible employment was maintained. The actual levels of employment under the EGS provided the data for the study. The results reveal that the doubling of EGS wage rate in 1988 was not supported by extra budgetary funding to avoid significant subsequent employment rationing.

Analysis, Employment, Labor productivity, Maharashtra, India

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A comment on Rati Ram's test of the Kuznets hypothesis

Article Abstract:

One of the popular principles in economics is Simon Kuznets' hypothesis which states that income inequality initially increases with economic growth in low-income countries and then later decreases. Rati Ram of Illinois State University provided evidence that confirms the hypothesis. His findings seemingly provide proof of an inverted-U relationship between income inequality and average income. However, his test using the regression method is incapable of rejecting the hypothesis, thus, making his results deceptive.

Research, Evaluation, Income distribution, Regression analysis, Statistical hypothesis testing

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Lasting impacts of Indonesia's financial crisis

Article Abstract:

The 1998 Indonesian financial crisis still had an effect on living standards four years after. A quarter of Indonesia's districts experienced a doubling in poverty rates due to the crisis. A sharp rebound in living standards was experienced after the crisis but the poor's living standards did not return to what they should be without the crisis.

Goods & services distribution, Indonesia, Channels of Distribution, Case studies, Influence, Poverty, Distribution, Administrative and political divisions, Company distribution practices, Asian Economic Crisis, 1997-1998

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