1. Development Economics
Koichi Fujita
Professor (Economics)
CSEAS, Kyoto University, Japan

2. Brief self-introduction
Born in 1959; 51 years old.
Graduated from the Univ. of Tokyo, Dept. of Agricultural Economics (Faculty of Agri.) in 1982.
MSc. in 1986 and Ph.D. in 1992 at the University of Tokyo.
Research Fellow, National Research Institute of Agricultural Economics ( )
Associate Professor, the University of Tokyo ( )
Associate Professor and Professor, Center for Southeast Asian Studies (CSEAS), Kyoto university (1998-the present)

3. Experiences in abroad 1992-1994; Two years 2000-2001; One year
JICA expert (Rural Development) in Bangladesh
; One year
JICA expert (Advisor, Agriculture) in Myanmar
2004; Six Months
Director, Bangkok Liaison Office, CSEAS, in Thailand
2010; Three Months
Visiting Professor, AIUB, in Bangladesh

4. Research Fields
Agricultural Economics, Development Economics, Rural Sociology
Agricultural and Rural Development
in Bangladesh, India, Myanmar, Thailand, Laos
Major topics at present
1) 20 years’ rural changes in Bangladesh
2) Poverty alleviation programs in tank- irrigated rural areas in Tamil Nadu, India
3) Migrant laborers from Myanmar to Thailand
4) Village banks in Laos
5) Agricultural and rural development in Myanmar
6) Comparative study of rural social structure in Asia

5. Program of ‘Development Economics’
24-May (Mon)
Introduction
26-May (Wed)
Development and Development Indicators
Diversities among Developing Countries
31-May (Mon)
Population and Development
2-Jun (Wed)
Transformation from Agrarian to Modern Society
Dual Sectors Development Model
‘Ricardian Trap’ and the Role of Agriculture
7-Jun (Mon)
Modernization of Agriculture

6. Continued 17-Jun (Thu) Migration and Urbanization 21-Jun (Mon)
Poverty and Inequity
Poverty Alleviation Policies and Programs
8) Jun (Wed)
Human Capital: Education and Health in Development
24-Jun (Thu)
International Trade, Foreign Direct Investment and Aid in Development
Mid-term Examination

7. Continued 10) 5-Jul (Mon) Economic Development in Bangladesh (1)
GDP growth, Industrial structure, Employment structure,
Green Revolution, Changes in export structure
11) Jul (Wed)
Economic Development in Bangladesh (2)
Poverty, Real wages, Inequality, Social development
12) Jul (Mon)
Economic Development in Bangladesh (3)
Macroeconomic indicators, Governance
13) Jul (Wed)
Economic Development in India
19-Jul (Mon)
Economic Development in China

8. Continued 21-Jul (Wed) Presentation by students and discussion
16) Jul (Mon)
17) Aug (Mon)
18) Aug (Wed)
Final Examination

9. Important points when learning Development Economics (1)
Development Economics itself may be simple, but the actual development process is much more complicated.
Because, development process involves not only all spheres of economy (macro-economy, agriculture, industrialization, labor market and migration, urban informal sectors, trade, foreign capital flow, banking sector, financial policy, fiscal policy, exchange rate policy, etc.) but also society and politics.
Without having a wider perspective, development cannot be understood.
Two types of social science: positive and normative
Both are necessary for development economics.

10. Important points when learning Development Economics (2)
History matters!!
We can learn a lot from the historical development experiences of the ‘developed countries’.
At the same time, there are many different conditions to which the contemporary ‘developing countries’ are facing.
And, there are interactions between ‘developed’ and ‘developing’ countries, which affect the development path of both countries.
Lastly, there is usually a ‘historical path dependency’.

11. The secrets of Japan’s economic success: Historical Perspective (1)
The first half of the Feudal Era ( ) years
The second half of the Feudal Era ( ) years
The Modern Era
Until the end of WWII ( ) years
After the WWII ( ) years
The turning point was the second half of the Feudal Era
Separation of soldiers (Samurai) and farmers
Village residents became only farmers, who are homogeneous
Soldiers (Samurai) get tribute (paddy) from farmers, based on land measurement and registration scheme.
Tribute was collected not from individual farmers, but from the village as a whole.

12. The secrets of Japan’s economic success: Historical Perspective (2)
Transformation of family system to patri-lineal stem family.
Only the eldest son can inherit family’s property.
All the landless households became tenants without landless labor households. (Establishment of ‘peasant society’)
Village became highly self-governed and autonomous, with strict regulations like ‘gram sarker’.
However, village could only be stable with a proper government by feudal local authority
‘Industrious revolution’
Increase of working days and labor intensity
Farm households doing farming and non-farm activities
Development of indigenous technologies
Labor intensive but with rising labor productivity

13. The secrets of Japan’s economic success: Historical Perspective (3)
Organization of large private enterprises became similar with the structure of villages.
Egalitarian, but with fierce competition inside the organization
Emergence of strong agricultural cooperatives, based on the villages
Creation of efficient and honest bureaucracy
Strong creditworthiness between the government and the people