Showing papers by "Indira Gandhi Institute of Development Research published in 2002"
TL;DR: The authors examined the Granger causality between electricity consumption per capita and Gross Domestic Product (GDP) per capita for India using annual data covering the period 1950-51 to 1996-97.
636 citations
TL;DR: In this article, the authors show that some of the most adverse effects of climate change will be in developing countries, where populations are most vulnerable and least likely to easily adapt to climate change.
279 citations
TL;DR: This article presented an interpretive survey of the neoclassical and evolutionary approaches to modeling the process of technological diffusion, with an orientation that is distinct in two important respects from existing surveys.
Abstract: This paper presents an interpretive survey of the neoclassical and evolutionary approaches to modeling the process of technological diffusion, with an orientation that is distinct in two important respects from existing surveys. First, the present survey is designed to provide a comparative overview of the alternative approaches within a unified framework of analysis. The objective is to bring out the areas of convergence as well as divergence between the approaches, and address the issue of whether the approaches could be considered as complementary rather than as alternatives. Second, the survey attempts to link the theoretical methodologies to the variety of empirical and historical evidence, and evaluate how the theories best fit the evidence on the dynamics of the technological diffusion process.
108 citations
TL;DR: In this article, the authors studied the efficiency and productivity of coal mining in the Indian coal sector using detailed input and output data for underground and opencast coal mining for the period between 1985 and 1997.
78 citations
TL;DR: In this article, the authors presented a methodology for mapping poverty within national borders at the level of relatively small geographical areas and illustrates this methodology for India, thus increasing the target areas from the 24 states (with over 40 million people in each) to 466 districts (with only around 2 million people) in each.
66 citations
TL;DR: It has been found that the proposed methodology not only controlled methane emissions to the atmosphere but also could yield considerable energy in terms of landfill gas (LFG).
23 citations
01 Jan 2002
TL;DR: In this article, the authors review the changes which took place on India's equity and government bond markets in the decade of the 1990s and focus on four interesting questions: (a) Why did NSE succeed? (b) why did the equity market lurch from crisis to crisis; (c) Why reforms on the GOI bond market falter; (d) How important are crises as a mechanism for obtaining reforms?
Abstract: In this paper, we review the changes which took place on India’s equity and government bond markets in the decade of the 1990s. In understanding these experiences, we focus on four interesting questions: (a) Why did NSE succeed? (b) Why did the equity market lurch from crisis to crisis? (c) Why did reforms on the GOI bond market falter? (d) How important are crises as a mechanism for obtaining reforms? Looking forward, we argue that the transformation of the market design of the equity market is largely complete, and that the major question that now faces the equity market is that of improvements to investigation and enforcement at SEBI. In contrast, some major questions about market design on the GOI bond market have yet to be addressed. We offer proposals for principles that should be used at RBI in moving forward on the GOI bond market. Finally, we try to address questions of human capital and organisational design at SEBI and RBI. ∗Email ajayshah@igidr.ac.in, URL http://www.igidr.ac.in/ ajayshah on the web. We are grateful to C. B. Bhave, John Echeverri-Gent, Mahesh Vyas, Jayanth Varma and Surjit Bhalla for many ideas and discussions. †Email susant@igidr.ac.in, URL http://www.igidr.ac.in/ susant on the web.
23 citations
TL;DR: In this paper, the authors have identified the uncertainty of the investors and signaling intentions of the issuers behind underpricing of Indian IPOs and tested the implications of these models for the Indian IPO over the last decade.
Abstract: Several papers have identified the uncertainty of the investors and signaling intentions of the issuers behind IPO underpricing. This paper tests the implications of these models for the Indian IPOs over the last decade. The empirical findings show that there exists positive relationship between IPO underpricing and ex-ante measures of risk proxies. It also shows that a subset of companies' decision to raise funds subsequently depended on the initial returns and/or on the aftermarket returns.
19 citations
TL;DR: A new system of treatment using water hyacinth Eichornia crassipes, coagulation by lime and alum, followed by rapid sand filtration could treat the wastewater to the discharge standards and also was found economically feasible.
Abstract: Konark Pulp and Paper Industries Private Limited is a medium size industry producing 1600 m3 of wastewater a day. The existing water treatment system of the industry was found to be ineffective both in performance and economy. In the present study, a new system of treatment has been developed using water hyacinth Eichornia crassipes, coagulation by lime and alum, followed by rapid sand filtration. The performance efficiency of each unit viz. Eichornia treatment; coagulation with lime, with alum, and with lime:alum combinations, and filtration was studied. Water quality parameters considered were Biological Oxygen Demand, Chemical Oxygen Demand, Dissolve Oxygen, Total Dissolved Solids, turbidity, percentage transmission, and water colour. Based on the individual performance of each unit, a continuous system has been designed and was tested. The new system of treatment could treat the wastewater to the discharge standards and also was found economically feasible. Testing culture of fish (tilapia) proved tha...
18 citations
01 Jan 2002
TL;DR: The Union Budget is perhaps the most-watched event in economic policy making in India as discussed by the authors, and the core fiscal issues such as taxation, expenditures, and the fiscal deficit are important for macroeconomics.
Abstract: The Union Budget is perhaps the most–watched event in economic policy making in India. The core fiscal issues – taxation, expenditures, the fiscal deficit – are obviously important for macro–economics. In addition, governments have often chosen to use the Budget speech as a mechanism for announcing important new policy initiatives, and for outlining some plans for economic policy in the coming months.
17 citations
TL;DR: This article examined the source of finance constraints on the firm's investment decisions and found that the degree of "finance constraint" differs significantly across external suppliers of funds with investments being most sensitive to borrowings from development finance institutions (DFIs) and considerably less sensitive to funds from capital markets and commercial banks.
Abstract: This paper extends the literature on finance and investment by examining the source of finance constraints on the firm's investment decisions. Using a panel of 714 Indian manufacturing firms for the period 1993–98, we find that the degree of ‘finance constraint’ differs significantly across external suppliers of funds with investments being most sensitive to borrowings from development finance institutions (DFIs) and considerably less sensitive to funds from capital markets and commercial banks. Capital markets and commercial banks seem to use outward orientation as a signal of the firm's ability to succeed whereas DFIs do not seem to have adopted such a criterion. Copyright © 2002 John Wiley & Sons, Ltd.
TL;DR: In this article, the authors argue that the environment provides basic necessities such as water, fuel, food materials and other resources to the poor, and the degradation of the environment whether caused by rich or poor, affects the poor the most.
Abstract: Environmental resources provide life support and livelihood to poor. Degradation of the environment whether caused by rich or poor, affects the poor the most. Today we have different levels of societies viz., tribal and traditional, rural and agrarian and urban, each of which relates to the environment differently. The environment provides basic necessities such as water, fuel, food materials and other resources. Human development indicators such as life expectancy and infant mortality depend on environmental indicators such as access to safe drinking water and sanitation. Environmentally friendly economic growth and industrialisation are emphasised in modern societies now. East Asian experience may be different from the European experience of the past. Alleviation of poverty is essential for the sustainability of the global environment.
01 Jan 2002
TL;DR: In this paper, the authors use cross-country datasets and case studies to obtain some empirical insights into the questions of obtaining liquid securities markets in small countries and offer some policy proposals for strategies that could be adopted in small country.
Abstract: The development of liquid, efficient securities markets has been a major goal for policy makers in the third world. Casual empiricism suggests that small countries are unlikely to obtain liquid securities markets. There are only 16 countries in the world where the annual turnover on the stock market exceeds 75% of the market capitalisation of the stock market. All but one of these countries has a GDP of above $20 billion. In this paper, we offer some conceptual insights into the problems of obtaining liquid securities markets in small countries. We use cross-country datasets and case studies to obtain some empirical insights into the questions. Finally, we offer some policy proposals for strategies that could be adopted in small countries. ∗IGIDR, Bombay. Email ajayshah@igidr.ac.in and susant@igidr.ac.in, and URLs and on the web. This paper was prepared as part of the World Bank’s project Policy for Small Financial Systems. We thank Shantanu Bharadwaj for able research assistance. We are grateful to Tadashi Endo, Mathew Rudolph, James Hanson and Giovanni Majnoni for comments and suggestions, to Tony Weeresinghe of Millennium Information Technologies and Satish Naralkar of NSE.IT for help in estimating the capital cost of securities infrastructure, and to Brett Tarleton of Elkins/McSherry, LLC, New York, who made their cross-country dataset about equity transactions costs available to us.
TL;DR: In this article, the authors used the variance ratio test to test market efficiency at high-frequencies of the Indian equity markets by studying the behaviour of serial correlation in firm stock prices.
Abstract: This paper tests for market efficiency at high-frequencies of the Indian equity markets by studying the behaviour of serial correlation in firm stock prices. We do this using the Variance Ratio test using returns data at a frequency of 5 minutes. We find that at this frequency interval, stocks show a pattern of mean-reversion. We also find that different stocks revert at different rates. Microstructure literature suggests that there is a correlation between the efficiency of a stock price and the liquidity of the stock on the market. We examine this hypothesis with liquidity measured in terms of both trading intensity as well as impact cost. We find strong evidence that there is a link between the liquidity of a stock and the patterns of serial correlations in its market price at high frequency.
TL;DR: An attempt was made to develop and evaluate the performance of a fixed bed adsorber column to remove endosulfan, an organochlorine pesticide from the water environment using wood charcoal as an adsorbent, and showed a promising performance with more than 89% of its original efficiency even after the 3rd cycle of operation.
Abstract: In this paper an attempt was made to develop and evaluate the performance of a fixed bed adsorber (FBR) column to remove endosulfan, an organochlorine pesticide from the water environment using wood charcoal as an adsorbent. The FBR column design parameters were evaluated using the column breakthrough data at different bed depths. The Bohert and Adams model was used with bed depth-service time (BDST) approach for the design of the adsorber. Similarity in service time values estimated from BDST approach and experimental curves revealed that BDST approach could be adapted for the design of this system. Desorption of the exhausted column with 10% methanol solution took 1hr with maximum desorption occurring at 0.5 hrs with a maximum endosulfan concentration of 47 mg l−1. A laboratory column study for 3 successive cycles of operation (adsorption-desorption) revealed that the column could treat 47.27 bed volumes of endosulfan-contaminated water up to breakthrough and 158.45 bed volumes up to exhaustion. It show...
TL;DR: In this article, the authors analyse the possible response from Asian developing countries (ADC) to the proposal for the formation of an international legal entity called World Environmental Organistion (WEO) designed to facilitate the internalisation of global environmental externalities.
Abstract: We analyse the possible response from Asian developing countries (ADC) to the proposal for the formation of an international legal entity called World Environmental Organistion (WEO) designed to facilitate the internalisation of global environmental externalities. We argue that the WEO must recognise the fundamental indivisibility of the economic growthenvironment agenda in these countries. If suitable side payments in the shape of tariff concessions, relaxation of non-tariff barriers and transfers of technology and cash are made and the WEO is seen to be relevant to the environmental problems of ADC, they may well participate in such a venture.
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TL;DR: In this article, the authors examined the international convergence of inflation rates during the flexible rate period of eighteen OECD countries using individual country data, and they found evidence of nonstationarity in most cases.
Abstract: This paper examines the international convergence of inflation rates during the flexible rate period of eighteen OECD countries. Using individual country data, we find evidence of nonstationarity in most cases. The results are different in case of the panel data model. Though, we can strongly reject the unit root hypothesis of a panel of eighteen countries, the evidence in favor of stationarity is less in case of countries in the European community or in case of EMS countries.
TL;DR: In this paper, the authors test for non-neutrality of monetary policy in affecting stock returns using the Vector Auto Regression (VAR) methodology, and find that growth in reserve money (as an indicator of monetary policies) granger-causes stock returns without any feedback effect.
Abstract: In view of the shifting importance from banks to stock markets in India's financial sector, a growing view is that monetary policy should take into account its impact on stock markets alongside its traditional focus on the banking sector. With regard to this issue, we test for non-neutrality of monetary policy in affecting stock returns. Using the Vector Auto Regression (VAR) methodology, we find that growth in reserve money (as an indicator of monetary policy) granger-causes stock returns without any feedback effect. This is supported both by the traditional orthogonalized as well as the recently developed generalized forecast error variance decompositions where monetary policy accounts for most of the forecast error variance of stock returns. Our results also point towards the fact that the stock market in India is not efficient with respect to monetary policy in the semi-strong sense of Efficient Market Hypothesis.
TL;DR: In this article, the authors tried to empiricaly characterize the Indian intraday equity markets, using high-frequency data, and found that the behaviour of the most traded stocks in the NSE is similar to that in the NYSE, or SEAQ, despite the National Stock Exchange being an emerging marke and having a different market micro-structure than the New York, or the SEAQ.
Abstract: This paper tries to empiricaly characterize the Indian intraday equity markets, using high-frequency data. The National Stock Exchange is one of the busiest exchanges in the world. Parametric modelling of intraday returns of the S \& P CNX Nifty and an equally-weighted market index of the 20 most-traded stocks shows that the behaviour of the most-traded stocks in the NSE is similar to that in the NYSE, or SEAQ, despite the NSE being an emerging marke and having a different market microstructure than the NYSE, or the SEAQ.
TL;DR: In this article, the authors show that if the managers' salary varies with the incentive schemes offered by the owners, then the well-known results of equilibrium incentive scheme (by Fershtman and Judd, 1987, A.E.R.) get modified.
Abstract: This paper shows that in a model of managerial delegation in duopoly market structure, if the managers' salary varies with the incentive schemes offered by the owners, then the well-known results of equilibrium incentive scheme (by Fershtman and Judd, 1987, A.E.R.) get modified. In case of quantity competition the incentive scheme offered by the owners depend on the proportion of the incentive scheme that the managers get as a part of their salary, i.e. in equilibrium owners will not necessarily deviate from profit maximization to sales maximization, where as under price competition, demand and cost parameters plays crucial role to determine the equilibrium incentive structure.