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Working Papers | 1994

Research on the Indian Capital Market: A Review

Samir K. Barua, Ragunathan V, and Jayanth R. Varma

In this paper we present a review of research done in the field of Indian capital markets during the fifteen years from 1977 to 1992. The research works included in the survey were identified by two search procedures. Firstly, we wrote to 118 Indian university departments and research institutions requesting information on the works done in this field in their department/institution. After three reminders, we obtained responses from 53 institutions. Simultaneously, we searched through various Indian journals in our library, located books listed in the library catalogue and traced through the list of references provided in various research works. Considering the size, vintage and development of the Indian capital market, the total volume of research on it appears to be woefully modest - about 0.1 unit of work per institution per year! Moreover, a large number of works are merely descriptive or prescriptive without rigorous analysis. Certain areas such as arbitrage pricing theory, option pricing theory, agency theory, and signalling theory are virtually unresearched in the Indian context. Besides, very little theoretical work has been done by researchers in India. However, with improved availability of databases and computing resources, and with increasing global interest in Indian markets, we expect an explosion of work in the near future.

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Working Papers | 1994

Spatial Dimension of the Acceleration of Economic Growth in India

Ravindra H. Dholakia

The study of 20 state economies of India over the period 1960-61 to 1989-90 reveals that the phenomenon of acceleration in economic growth is spatially dispersed and covers about two-thirds of the national economy. The study also finds that most of the states experiencing growth acceleration are relatively less well off. There are marked tendencies for convergence of long term economic growth rate among Indian states. The growth experience and development strategies differ significantly among states. The leading states also show different patterns of growth. In the Indian industrial sector, the existence of a sharp north-south divide is further corroborated. The spatial dimension of economic growth in India needs further exploration and explanation.

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Working Papers | 1994

Enriched Individual as a Centre for Growth

Parikh Indira J

This paper discusses the shifting paradigms of what is considered enrichment of an individual. In the traditional agrarian society enrichment was around relationships and institutions of belonging, age, experience, wisdom and sagacity meant an enriched individual. In to-days industrialised society achievement, success, and wealth connotes enrichment. But together both the traditional and the industrial context, to-day the individual identity holds a vast canvas of life to locate oneself, has choices from multiplicities, can evolve a perspective for life and living and can design and define membership and roles in multiple institutions. The individual is truly enriched when she/he can give expression to the being in terms of relatedness and to the becoming in terms of achievement, aspirations and success. The paper then focuses on women as enriched individual as a center for growth. Women enrich themselves through redefining their social roles in the socio-cultural context, achievement and success in education context and performance and success in the organizational context. Essentially the movement toward a professional orientation anchored in wholesomeness and well-being will shape women where new processes can be initiated for themselves as well as others.

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Working Papers | 1994

The Cult of Vishnu and Indian Economic Development

Khandwalla P N

The nature of the work ethic of a society may significantly shape the character of its economic development. It is argued that the cult of Vishnu and its associated work ethic have played a notable role in the economic development of India during the past 2000 years or so. The cult of Vishnu appears to be a fusion of the cults of the Vedic God Vishnu, the cosmological deity Narayana, Vasudeva of the Vrishnis who promoted the Bhagvata cult, and the cowherd boy Krishna. Vishnu that has emerged as a fusion of these cults, and elaborated in his avatars or incarnations, appears to have a pragmatic, “business friendly”, resourceful manager orientation, who may preach high spirituality but in practice uses pragmatic means to achieve ends. The Bhagavada Gita, the centerpiece of Vaishnava spiritual philosophy, while excoriating greed, provides a powerful structure of the work ethic that upholds the necessity of effort and legitimises every manner of mundane pursuit including commerce provided it is pursued with detachment and is dedicated to God. This work ethic bears some striking similarities to the Protestant Ethic described by Weber and suggested by him to be a major impetus to the rise of capitalism in the West. The emergent cult of Vishnu may have originated in coastal trading communities of southern and western India, in view of the many marine associations of Vishnu, and then have spread to the rest of India. It may also have been influenced by contacts with West Asian civilizations. Several hypotheses are stated that follow from the main hypothesis of the cult of Vishnu influencing India's economic development.

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Working Papers | 1994

Religious Movements in the Contemporary United States

Giri Ananta

The present paper describes the vision and practice of different religious movements in the contemporary United States such as Moral Majority and Habitat for Humanity. This description is presented with a view that contemporary Indian debate on secularism and religion must be based upon informed understanding of the actual process of return of religion to the secular city in the western world, since much of our contemporary assumptions about secularism are based upon the Western models. The dynamics of religious movements in the contemporary United States challenges us to rethink our taken-for-granted assumption about the decline of religion with technological advancement. It also urges us to take the spiritual dimension within religion seriously, which ultimately helps us to make the distinction between religious fundamentalism and practical spirituality.

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Working Papers | 1994

Connected Criticism and the Womb of Tradition

Giri Ananta

The present paper is an inquiry into the possibility of criticism of tradition on its own terms, which however leads to its desired transformation. The paper discusses two types of such connected criticism—philosophical and prophetic. The paper argues that it is the prophetic criticism which is more in tune with the spirit of tradition and has enormous relevance for the contemporary world, which is still grappling with the problem of roots. The paper argues that it is spirituality which constitutes the womb of tradition and this spiritual outlook is what we need badly today as we are at the crossroads of tradition, modernity, and postmodernity in the contemporary world.

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Working Papers | 1994

Democratic Transition and the Challenge of Transformation

Giri Ananta

Ours is an age of democracy. Democracy as a form of government, characterized by elections and the installation of a “representative government, has been becoming a global phenomenon. The fall of the socialist world and domestic and global changes in Latin America, Africa, and Middle East have brought democracy to places and shores where it was undreamt of a few years ago, giving people a taste of freedom. But the globalization of democracy as a form of more legitimate representative government has not been accompanied by genuine efforts to tackle the problems of democracy (such as the tension between equality and liberty, the dictatorship of the majority, the actual as well as manufactured disinterest on the part of the so-called citizens not to participate in the electoral process resulting in as much as 50% of them not fulfilling their constitutional obligation to vote – the problems highlighted by no other than the most thoughtful observer of democracy as a practice, Alexis de Tocqueville--) and to widen the universe of democracy in accordance with the historical changes taking place in social systems as well as in the light of a desired agenda of transformation. The present paper aims at presenting some of the crucial gaps in the theory and practice of democracy and suggests the way we can rethink democracy as a prelude to and a model of a genuine transformative engagement.

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Working Papers | 1994

Analysis of the Indian Securities Industry: Market for Debt

Samir K. Barua, Ragunathan V, Jayanth R. Varma, and Venkiteswaran N

Though the Indian equity market has shown some encouraging growth in the last decade, the Indian debt market has continued to remain sluggish. In an environment where India is keen to attract foreign investments, it will be imperative to develop the secondary market for debt. This study, commissioned by USAID and the Centre for Analysis Information and Studies, New Delhi, takes a comprehensive look at the Indian private corporate debt market, the public sector bond market, the Government securities market, the housing finance and other debt markets. Recommendations have been made in two parts; braod recommendations for the development of the debt market as a whole and specific recommendations for the development of various segments of the debt market. Recommendations covering the entire debt market, cover integration between the regulated market and the free market, market making for financing and hedging options, interests rate derivatives and tax reforms. Segment-wise recommendations include corporate debt market, PSU bond markets, Government securities market, housing finance and securitisation, new instruments and bond market services.

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Working Papers | 1994

A Framework for Analysing-Consumer Orientation of Biotechnologists

Moorthy Janakiraman

Evaluation of agricultural technology development and commercial product development revealed that only a small percentage of the new products developed have succeeded in the market. Analysis of the reasons for product success or failure showed that the major factor was a poor understanding of consumer needs by the people involved in the product development. In other words lack of 'consumer orientation' of scientists could be the major reason for failure of many products. Consumer orientation is defined by four dimensions. They are [1] information generation from consumers, [2] provision of information to the consumers, [3] integration of different functional areas, and [4] Responsiveness to the needs of the consumers. If consumer orientation and product success are assumed to be positively correlated, then the process which increase the consumer orientation of scientists need to be spelt out. Scientists deal with different consumers participating in the process of product development. These consumers can be clubbed into two groups based on the level of control that organization can have on them, [1] those who are inside the organization, called 'internal consumers' and [2] outside the organization, referred as 'external consumers'. These consumers have preferences for various product attributes which may be complimentary, or contradictory. Presence of a long chain of consumers and contradicting attribute preferences could complicate the process of defining the product attributes. Incorporating the attributes of those who really consume the product may become even more difficult. Because, many who articulate one set of attributes may actually not consume the product. Scientists have to devise ways to decide which preferences to be taken into account, how much and in what sequence. Further, the production, distribution, and utilization process may also generate externalities for various systems. For example, replacement of chemical pesticides by biological products such as B thuringiensis, NPV, and other plant derivatives could generate a positive externality for farmers, end users and ecological systems, and the pesticide firm may consider it as a negative externality for them. Hence, the nature of externality could develop support or opposition from the clients based on their perception and the actual impact of the product on them. Consumer orientation in an organization could depend on two major factors. viz – [1] scientists-specific factors such as their interest in type of problems, background, etc., and [2] organizational-specific factors such as performance evaluation criteria used, the incentive and disincentive mechanisms used and the perception and preferences of individual scientists about these mechanisms. In the present investigation our objectives are to explore the differences in the consumer orientation process between successful and less successful products and to understand the influence of scientist-specific, and organizational-specific variables on the consumer orientation process. We expect that this study could throw new insights about the process and factors influencing scientists consumer orientation. The findings could help in developing policy measures to influence the behaviour of the scientists to get closer to the consumers, listen to their voice and look beyond.

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Working Papers | 1993

Drop Out, Enrollment and Poverty: Policy Implications

Vijaya Sherry Chand and Shukla Shailesh R

Debate around the factors responsible for the drop-out phenomenon in elementary education focuses largely on two positions: (a) that parents, under economic compulsions, tend to “withdraw” their children from school, (b) that the schools themselves tend to “eliminate” certain kinds of pupils. The first position dominates the debate and tends to focus on factors external to the educational system. It adopts a macro socio-economic perspective and fits in well with the concern over the quantitative performance of the elementary education system. The more critical second position also adopts a macro perspective, reflecting, however, on the system of education itself, its pedagogical practices, content and institutions. It may be argued that the continued focus on quantitative measures like drop out and enrollment is misplaced. Yet, for better focussing of educational reform, a synthesis of both these approaches is called for. Firstly, enrollment and drop-out data can be used to identify micro-locations which are – educationally speaking – 'problematic'. Such locations may show high enrollments but poor educational performance and correspond to the ecologically high-risk and bio-diverse pockets. Policy intervention should focus specifically on the 'quality' of schooling in these areas. The paper concludes that the correspondence of poor educational performance with poverty of a particular nature that exists in these environments has to be recognized in order to facilitate a shift of educational planning from centralized and uniform policies towards innovative localized approaches.

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