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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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Working Papers | 1999

Trade, Technology and Wage Effects of the Economic Policy Reforms on the Indian Private Corporate Sector

Kapur Deepak and Ravindra H. Dholakia

The economic growth achieved in India after 1991 bears an imprint of the economic policy reforms which were accelerated in 1991 with a shift in development strategy towards increasing liberalisation and globalisation of Indian economy. The present paper examines various hypotheses regarding trade, technology and wage effects of the economic policy reforms on the Indian private corporate sector. The analysis has been carried out using detailed annual financial statements of 563 non-government non-financial public limited companies for which a continuous time series data was obtained from 1980-81 to 1995-96. It has been found that not only is there a substantial increase in the number of companies engaged in export activity but there is also an increase in export intensity of the companies after the reforms. It is also seen that both the overall import intensity and raw material import intensity are higher on an average for the exporting firms than for the non-exporting firms after 1991. Technology related expenditure showed greater increase in the exporting firms which is consistent with the neo-technology theories of international trade. It was also found that for exporting firms there was a greater decrease in the salary/wage related expenditure whereas for non-exporting firms the decrease was more for employee welfare related expenditure though both salary/wage expenditure and welfare expenses have decreased for both exporting and non-exporting firms since 1980-81. It is also argued that the real wage bill in the exporting companies increased by a substantially higher rate than in the non-exporting companies. This could be on account of increase in employment or real wage rate or both.

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Working Papers | 1999

A Multi-Period Optimization Based Decision Support System for Strategic and Operations Planning

Robert Fourer and Goutam Dutta

We discuss how a generic multi-period optimization based decision support system (DSS) can be used for strategic and operational planning in a company with five fundamental elements, namely, Materials, Facilities, Activities, Times and Storage-Areas. This DSS which optimizes the company's activities over multiple-time horizon, having a multi-material, multi-facility, multi-activity system, requires little or no managerial knowledge of optimization techniques. This is the first reported attempt of an optimization based DSS in an integrated steel company in the USA with real world data. The result demonstrates significant profit and revenue improvement potential.

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Working Papers | 1999

A System Dynamics Simulation Model of a Blast Furnace

Medha Ashtekar and Goutam Dutta

In this paper, we present a simulation model of a blast furnace. In a blast furnace the quality and productivity of the output (hot metal) depends on a large number of input variables and operating variables. The complex interactions of technological and financial variables have been simulated with the system dynamics methodology. The model has been tested with the real data of one steel company in Southeast Asia.

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Working Papers | 1999

Operations Research for Developing Countries: A Different View

Goutam Dutta

In this paper, we discuss the recent success stories of operations research in developing countries. Personal experiences in developing two similar mathematical models for two steel companies (one in a developing country and another in a developed country) are discussed. Most interestingly and contrary to the common belief, the model used in he developing country was found far more successful than that used in the developed country. We conclude this paper with a list of action programs for making OR more useful in developing countries.

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