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Working Papers | 1999

A Note on Characterising the Median

Lahiri Somdeb

Consider the situation where one has to choose one among three differently priced birthday cakes, to give to a friends. It is very likely, that in the absence of strong personal reasons, one would select the cake whose price lies between the two extremes. A similar emphasis on the middle path is found in the teachings of Buddha as also in Confucian philosophy. That the choice of an alternative from a finite set of alternatives, need not conform to some optimising behaviour, is a possibility that has been discussed in Baigent and Gaertner (1996). In a sense this is a position on human behaviour which is contrary to the received view of a decision maker as an optimizer of some objective function that is favored for instance by Sen (1993). That the median does not satisfy the requirements of underlying optimising behaviour has been noted by Kolm (1994) and Gaertner and Xu (1999). However, the median is a reasonable compromise, in practical decision making.

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Working Papers | 1999

Policy Initiative of Centre-Sponsored Programmes in the Health Sector and Its Implications for Financial and other Resource Flows

Bhat Ramesh

The central sponsored programmes (CSPs) have been one key policy initiative of the Government of India to support the health sector programmes directly, even though the health has remained the State subject. The Centre provides direct support to the States in meeting both recurring and non-recurring expenditure of programmes under this policy initiative. It was envisaged that the centralised focus would provide proper direction and thrust to specific health problems of national importance and management and implementation issues could be handled more effectively. The paper review the experience of CSPs using family welfare programme as a case study. It is argues that CSPs have prevented the policy makers to develop a sector-wide view of health programmes. The result is that there is less coordination across different agencies and stakeholders. Mechanisms of information sharing and coordination, pivotal from sector management viewpoint, between various programmes are almost non-existent at both macro and micro level. Though various policy instruments the centre has emphasised its role as major provider of services. There has been less clarity on the roles and responsibilities of the centre as financial intermediary for mobilising resources (e.g., interface of Centre and States with external agencies), allocating resources to states mostly as grants and systems of ensuring end use of resources. Where the CSP policy had envisaged protecting he funding and administering specific components of the health sector programme effectively, this policy has led to number of unintended consequences. There are no financial systems ensuring basic financial management discipline to handle the present day complexities of the programme management in many CSPs. These have created more fragments than integrated the process of management at the micro levels. No one assumes the risk of non-availability of key resources to implement the programme objectives effectively and States do not exhibit sense of ownership of these programmes. Changes and implementation strategies are generally top-driven which have aggravated the problems of programme management. The Centre tends to use uniform approach to manage the programmes despite the wide diversity at ground level conditions and variation in availability of necessary infrastructure. Criterion for allocating the resources lacks transparency not only from centre to states but also from states to districts and equity issues in resource allocation are not addressed. The CSPs have not helped the states to develop their capacity to manage the programmes and has displaced alternative sources of funding. Long-term sustainability o f these programmes remains a major issue. Over the period the uncertainties in resource flows have grown considerably and have affected the programme implementation. Emanating from these, by-passing the State treasury has become one important character of these programmes in recent times. This is reflected through various policy instruments such as provision of kind resources (drugs and other supplies) directly by the centre to the implementing agencies in the districts and through the creation of registered societies. This paper attempts to describe recent developments in financial disbursement systems and development of new management structures and brings out number of important institutional issues, which need the attention of policy makers.

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Working Papers | 1999

An Exact Formulation and Algorithm for Two Commodity Capacitated Network Design

Sastry Trilochan

We study the capacitated version of the two commodity network design problem, where capacity can be purchased in batches of C units on each arc at a cost of wij greater than equal 0, dk greater than equal 0 units of flow are sent from source to sink for each commodity k. we characterize optimal solutions for the problem with fixed costs and no flow costs, and show that either [dk/C]C or ([dk/C]-1)C units of each commodity are sent on a shortest path, and the remaining flows possibly share arcs. We show that the problem can be solved in polynomial time. Next, we describe an exact linear programming formulation, i.e., one that guarantees integer optimal solutions, using O(m) variables and O(n) constraints. We also interpret the dual variables and constraints of the formulation as generalizations of the arc constraints and node potential for the shortest path problem. Finally, we discuss several other variations of the single and two commodity problems.

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Working Papers | 1999

Progress and Challenges of Health Sector: A Balance Sheet

Bhat Ramesh, Dileep Mavalankar, and Satia J K

Considerable progress has been made in improving the health status of the population over the last half-century. Despite this impressive progress, many challenges remain. The life expectancy is still 4 years below world average. So is under five mortality (12 per 1000 per year) higher that global average. Lot needs to be achieved in managing the communicable diseases. New disease patterns and non-communicable diseases are also emerging as major challenges. In this paper we make an attempt to explain the tardy progress in the health sector. The programme management by public sector, allocation of public resources to health sector, centre-state roles and financing of programmes, private sector role, contribution and role of NGOs, public-private partnerships in health have been discussed to paint a broad picture. The paper suggests that key challenge in the next century is the leadership challenge and reforms in the health sector require several measures. First, it requires a policy and programme emphasis that ensures access to quality primary health care for all. Second, there is need for inclusive political dialogue and decision making which will involve community groups representing voices of the poor, local private sector and the government in operationalizing the new vision of health sector. Third, the social capital in the sector needs to be built up which will promote trust, cooperation and other norms that enable health markets to function effectively.

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Working Papers | 1999

Problems of Fair Division and the Egalitarian Solution: A Reconsideration

Lahiri Somdeb

The present paper attempts to provide simple proofs of two theorems in the literature of axiomatic bargaining with a variable population. Both theorems deal with axiomatic characterizations of the egalitarian solution due to Kalai (1997), in the variable population framework. The egalitarian solution assigns to a bargaining problem (arising out of the problem of dividing a bundle of goods amongst a finite number of agents) the utility allocation which is both Weakly Pareto Optimal and has equal coordinates. There are several exhaustive treatments of the central issues in axiomatic bargaining with a variable population, notably Thomson and Lensberg (1985). The origins of this line of speech can be traced to Thomson (1983a).

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Working Papers | 1999

Implications of WTO for Indian Agriculture: The Case of Intellectual Property Rights and Emerging Biosafety Protocol

Anil K. Gupta

Globalisation in trade and investment through harmonisation of national laws, particularly dealing with intellectual property rights is one of the major impacts of GATT/WTO. The contribution of knowledge as a factor of production is being increasingly given central importance in economic development. The tension between public need and private control that will mount the first challenge. The conflict between chemical intensive agriculture (despite declining productivity of inputs) and thenon-chemical sustainable technological innovations generated by farmers as well as firms (national or international) will pose second challenge. The increasing trend towards larder areas under fewer varieties and the need for food security through diversified biological systems will be the third source of conflicts. Production, protection, commercialisation and incorporation of intellectual property in development of national developmental strategies, will be crucial in defining the role India will play in world markets on one hand and overcoming deprivation and hunger with in the country on the other. The strategy proposed is aimed at making Indian agriculture not only globally more competitive but also domestically more progressive by using knowledge as a strategic resource so that agriculture sustains livelihoods of millions of households dependent upon it in an environmentally sustainable manner. The major contention is that India should not view the challenges posed by WTO as if it will remain always in importing country and that it has no substantive intellectual property to offer to world market. There must be a registration system for encouraging protection of local land races and incentive system must be generated for in situ conservation. The provision of TRIPs need tobe strengthened to include (a) micro organisms but exclude life forms, (b) registration system of grassroots innovations (unlike utility patent system, this registration system should be like product patent for ten years just as proposed in Australian Innovation patent system) (c) widespread patent search facility for educational and entrepreneurial networks and centres so that quality of research and education can be competitive, (d) just as a global registry has been proposed for wines under TRIPS, India must insists that similar global registry must exist for green small innovations too. This will help link innovation, investment and enterprise each vector of which may be in different parts of the world. The global trade regime has to deal with several related issues in regard to biosafety such as ability of the importing country to assess the risks and deal with them, regulations for labelling or GMO products so that consumers can make informed choice, restrict GMOs which may pose hazard to the very viability of the food security, for example, through terminator gene technology, etc. Prior informed consent of farmers must be ensured while pursuing on farm trials on transgenics. The reciprocity in effective protection must exist i.e., (a) those who access farmers varieties must disclose, acknowledge and undertake to provide reasonable share of their revenue with germplasm providers/conservators through appropriate institutions, and (b) PVP/patent claimant should unambiguously prove that the materials in which improvements have been made, had been obtained lawfully and rightfully.

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Working Papers | 1999

Blending Universal with Local EThic: Accountability Towards Nature, Perfect Stranger, and Society

Patel Panna, Parmar Chiman, Koradia Dileep, Sinha Riya, Krishna Murali, Kirit Patel, Vineet Rai, and Anil K.Gupta

conserving the nature which surrounds us requires dealing with out perception of natureiii. Often we do not realize that the attribution of human feelings in our discourse with non-human sentient beings mimics rules of out own social order. Animals and plants, then, are supposed to operate by our rules of good and bad, useful and non-useful, and desirable and undesirable properties. A good example of this tendency is the use of the term, 'weed', (a plant which is considered undesirable or out of its place). Obviously, in nature no plant is out of its place. We either do not realize the significance of this plant at that place, or the signal embodied in its appearance does not make sense to us. In some places we have disturbed the environment so much that 'undesirable' plants find it more convenient to grow there than the 'desirable' plants. The language of 'desirable' and 'undesirable' says nothing innate about the plants or their habitats, but it does say something about the way we relate to out natural surroundings.

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Working Papers | 1999

Compensating Local Communities for Conserving Biodiversity: How Much, Who Will, How and When

Anil K. Gupta

Large number of local communities across the world have shared unhesitatingly their knowledge about local biodiversity and its different uses with outsiders including researchers, corporations, gene collectors and of course, activists. Many continue to share despite knowing that by withholding this knowledge they could receive pecuniary advantage. As if sharing was not enough, large number of herbalists do not even accept any compensation when offered. In some cases they have cultural and spiritual taboos against receiving compensation because of the fear that effectiveness of their knowledge would cease if they received any payment for it. Much against the conventional understanding, however, poor people are poor indeed, but not so poor that they cannot even think. For them, the knowledge gained through experimentation and innovation is a matter of life and death given the uncertainties of nature. Furthermore, this knowledge has immense value to all of mankind. After GATT and Rio treaty, sensitivity on the subject has certainly increased. It is being realized that biodiversity cannot be prospected or used without making the conserving communities and innovative individuals the stake holders in any plan for adding value to the resource. This realization has been articulated in FAO undertaking on Plant genetic resources through a recommendation of international gene fund in the name of Farmers' Rights. This would be administered by an international civil service for distributing so generated resources to various governments for conservation purposes. The Rio treaty provides under Article 8J, a condition for Involvement and approval of local communities conserving biodiversity ensuring in the process an equitable sharing of benefits. Article 15.5 requires prior informed consent, through of course, enforceable only in the countries which have a law requiring such a consent. Neither the concept of farmers' rights under FAO undertaking nor RIO treaty or GATT treaty provide specific mechanisms for achieving the goal of compensating local communities. FAO undertaking in fact is highly misleading. It celebrates the contribution of the farmers but provides for no direct incentives to those who conserve the genetic diversity. Part one of the paper deals with the role of networks, NGOs and IPR regime in conservation of knowledge. Part two enumerates the threats leading to the erosion of knowledge as well as resources. Part three describes briefly the experience of Honey Been network and part four provides discussion on an effective sue generis system and the requirement for changes in the national policy for conserving and rewarding agro biodiversity.

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Working Papers | 1999

Extension Functions on Power Sets

Lahiri Somdeb

In Kannai and Peleg(1984) the following problem was posed: Given a positive integer 'n', is it possible to define a positive integer valued function on all non-empty subsets of the first n positive integers, so that singletons preserve their original ranking and further the function satisfies two apparently reasonable properties? The same paper shows that for n greater than five, such a function cannot be defined. A large literature spawned out of this work, where modifications of the properties desired by Kannai and Peleg lead to possibility results. Notable among them are the following: Barbera, Barrett and Pattanaik (1984), Barbera and Pattanaik(1984) Fishburn(1984), Heiner and Packard(1984), Holzman (1984), Nitzan and Pattanaik(1984), Pattanaik and Peleg(1984), Bossert (1989). Our own efforts in this direction culminated in Lahiri(1999), where several of the above contributions have been discussed and studies. The above mentioned result lead to the search for a possibility result for n equal to five, resulting in the paper by Bandopadhyay (1988). In this paper we provide another different possibility result for n equal to five. Out method of proof suggests an alternative (: and perhaps simpler) approach to the result established in Bandopadhyay (1988) as well.

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Working Papers | 1999

Budgetary Subsidies in the Health Sector - A Case of Gujarat State

Ravindra H. Dholakia and Dholakia Archana R

Budgetary subsidies in the health sector in Gujarat are estimated by following the methodology of the White Paper on Subsidies in India (1997). It includes both the explicit and implicit subsidies for the merit and non-merit sub-sectors in the state. These subsidies are estimated for the recent years 1995-96 to 1999-2000. The cost recovery rates in the health sector are also estimated and compared to the major states in the country. Gujarat's case is comparable to other major states in the health sector. Implicit subsidies are more dominant than the explicit subsidies in this sector. Very low cost recovery rates in the sector are associated with serious problems in the public provision of healthcare services in the state. After briefly discussing some of these problems, required reforms in this sector are suggested.

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