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In this paper, we look at the GATT/WTO framework and examine the extent to which it has served the interests of the developing countries. The scope of WTO is much broader than that of the GATT. The WTO covers a number of areas which were outside the purview of the GATT. Our survey indicates that reforms are badly needed so that the interests of the developing countries can be served better.

Critiques the application of Western economic development theories, particularly capitalism, to the Third World.

Abstract. The assumptions and conclusions of New Classical Macroeconomics (NCM) are critically examined. NCM grew out of the alleged failure of the Keynesian school to deal with the problems of stagflation of the 1970s. The two fundamental ideas of the NCM are the rational expectations hypothesis and the theory of instantaneous market clearing. According to the NCM, fiscal and monetary policies will achieve desired results if they are unanticipated. Business cycles are thought to be results of imperfect information on the part of rational agents (people). The NCM has been severely criticized by such prominent economists as Arrow, Tobin and Thurow.

AbstractThis paper examines the relationship between the growth rates of household saving, public saving, corporate saving and economic growth in India using multivariate Granger causality tests. The conventional wisdom suggests that the causality flows from saving to economic growth. We show that the causality goes in the opposite direction for India. Hence, higher saving is the consequence of higher economic growth and not a cause. Such evidence is consistent with models of habit formation. Copyright © 2007 John Wiley & Sons, Ltd.