ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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Corporate Governance and a Changing India

of countries like India. He quotes Corporate Governance Lee Iacoca in this context. It is worth reproducing. and a Changing India I see billions of dollars tied up in corporate Corporate Governance, Economic Reforms and Development: The Indian Experience edited by Darryl Reed and Sanjoy Mukherjee; Oxford University Press, New Delhi, 2004;

JAPAN-Grappling with Bank Reform

its worst recession in 50 years. The downslide started about five years ago, but it is only in the last year and a half that things are showing signs of really getting out of control. Supermarket sales are down, real estate has crashed and business of confidence has reached a record low. The dollar is steadily gaining against the yen. There is a consensus among specialists and laymen alike that any effective programme of recovery must start in the dangerously tottering financial system that is strangling the nation's growth. Lately a lot of pressure is being applied by the US to force the pace of banking reform as an important part of a total programme of financial deregulation. A reinvigorated Japanese financial system is held to be the key to stable Asian (and global) markets. "As the country with the world's second largest economy, I determined it wouldn't do for Japan to be the source of a global meltdown", said prime minister Keizo Obuchi. And after hours and hours of meeting with officials, business leaders and partymen, he was ready to come up with a comprehensive plan.

A False Dilemma of Economic Reform

88 to 96 per cent of the normal. However, half the south-west monsoon season, i e, June and July is now already over. The behaviour of south-west monsoon so far revealed that though its onset was delayed by about a week, total rainfall this year has been normal and well distributed over space so far. As on July 31, 1997, 29 out of 35 meteorological sub-divisions had received normal rainfall and for the country as a whole total rainfall was observed as 98 per cent of long period average value for this time of the year. This shows that if south-west monsoon continues to behave favourably in rest of the season the country may expect a normal rainfall, but closer to the upper range of the IMD's forecast, i c, 96 per cent of the normal. Taking into consideration various scenarios of rainfall situation and predicted forecasting models, the forecasts of production of major kharif foodgrains for 1997-98 are shown in Table 6.

Protection and Exports

Protection and Exports Soumyen Sikdar DOES trade liberalisation give a boost to exports? On this question which is of considerable importance in the current Indian context professional opinion seems to be divided. Bose (1993) gives an affirmative answer. Since an import-substituting regime artificially bolsters the profitability of domestic sales, lower import tariffs would encourage exports by reducing the gap between the marginal revenues in the two markets. Marjit and Sarkar (1995) (henceforth MS) question this and on the basis of a simple micro-economic model of price discrimination claim that a lower tariff will reduce the level of exports. Thus they obtain the unexpected result that higher tariffs may serve as a strategy for promoting exports. Given their basic framework the logic is unassailable, although the highly partial nature of the analysis should make one wary of drawing policy conclusions. The purpose of this note is to state some reasons that make me feel uneasy about the framework and suggest a few modifications. The modifications which are not unrealistic have adverse implications for the main result.
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