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发展经济学（英文注释版.第11版）

作译者：刘春生

出版时间：2013-07 千字数：1148 版次：01-01 页数：548

开本：16(185*260) 装帧： I S B N ：9787121209567

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Contents（目录）
Part One  Principles and Concepts（原理和概念）
 
Chapter 1  Introducing Economic 
Development: A Global Perspective
（经济发展简介：一种全球性视角）	2
1.1  How the Other Half Live	2
1.2  Economics and Development Studies	6
1.3  What Do We Mean by Development?	11
1.4  The Millennium Development Goals	18
1.5  Conclusions	20
Case Study 1：Progress in the Struggle for
   More Meaningful Development: Brazil
（案例导读1：巴西在坎坷中所取得的
发展）	21
Chapter 2  Comparative Economic 
Development（发展的比较）	28
2.1  Defining the Developing World	29
2.2  Basic Indicators of Development:  
     Real Income, Health, and Education	33
2.3  Holistic Measures of Living Levels 
     and Capabilities	35
2.4  Characteristics of the Developing World: 
     Diversity within Commonality（发展中
     国家的特点：共性中的差异）	43
2.5  How Low-Income Countries Today Differ
     from Developed Countries in Their 
     Earlier Stages	53
2.6  Are Living Standards of Developing and 
     Developed Nations Converging?	58
2.7  Long-Run Causes of Comparative 
     Development	62
2.8  Concluding Observations	68
Case Study 2：Comarative Economic 
   Development: Pakistan and Bangladesh
  （案例导读2：巴基斯坦和孟加拉国
   两条发展道路的比较研究）	69
Chapter 3  Classic Theories of Economic 
Growth and Development（古典经济
增长与发展理论）	76
3.1  Classic Theories of Economic 
     Development: Four Approaches	76
3.2  Development as Growth and the 
     Linear-Stages Theories	77
3.3  Structural-Change Models	80
3.4  The International-Dependence 
     Revolution	86
3.5  The Neoclassical Counterrevolution: 
     Market Fundamentalism	89
3.6  Classic Theories of Development: 
     Reconciling the Differences	93
Case Study 3：Schools of Thought in 
Context: South Korea and Argentina
（案例导读3：发展经济学的不同
思想流派：韩国和阿根廷的案例）	94
Chapter 4  Contemporary Models of 
Development and Underdevelopment
（当代的发展和欠发达模型）	98
4.1  Underdevelopment as a 
     Coordination Failure	98
4.2  Multiple Equilibria: A Diagrammatic 
     Approach	101
4.3  Starting Economic Development: 
     The Big Push	104
4.4  Further Problems of Multiple 
     Equilibria	111
4.5  Michael Kremer’s O-Ring Theory 
     of Economic Development	114
4.6  Economic Development as Self-
     Discovery	118
4.7  The Hausmann-Rodrik-Velasco 
     Growth Diagnostics Framework	119
4.8  Conclusions	122
Case Study 4：Understanding a Development
Miracle: China（案例导读4：中国：
一个发展的奇迹）	124
 
Part Two  Problems and Policies: Domestic（国内问题与政策）
 
Chapter 5  Poverty, Inequality, and 
Development（贫困、不平等和发展）	132
5.1  Measuring Inequality and Poverty	133
5.2  Poverty, Inequality, and Social 
     Welfare	145
5.3  Absolute Poverty: Extent and 
     Magnitude	153
5.4  Economic Characteristics of High-
     Poverty Groups	157
5.5  Policy Options on Income Inequality 
     and Poverty: Some Basic 
     Considerations	161
5.6  Summary and Conclusions: 
     The Need for a Package of 
     Policies	167
Case Study 5：Institutions, Inequality, 
and Incomes: Ghana and C＆ocirc;te d’Ivoire
（案例导读5：制度、不平等与
收入：加纳和科特迪瓦）	168
Chapter 6  Population Growth and 
Economic Development: Causes, 
Consequences, and Controversies （人口
增长与经济发展：原因、后果及争议）	175
6.1  The Basic Issue: Population Growth and
     the Quality of Life	175  
6.2  Population Growth: Past, Present, 
     and Future	176
6.3  The Demographic Transition	182
6.4  The Causes of High Fertility in 
     Developing Countries:The Malthusian 
     and Household Models	184
6.5  The Consequences of High Fertility: 
     Some Conflicting Perspectives	191
6.6  Some Policy Approaches	197
Case Study 6：Population, Poverty, and
   Development: China and India 
  （案例导读6：中国和印度的
   人口、贫困和发展）	200
Chapter 7  Urbanization and Rural-
Urban Migration: Theory and 
Policy（城市化和城乡迁移的
理论和政策）	205

7.1  The Migration and Urbanization 
     Dilemma	205
7.2  The Role of Cities	210
7.3  The Urban Giantism Problem	215
7.4  The Urban Informal Sector	218
7.5  Migration and Development	223
7.6  Toward an Economic Theory of 
     Rural-Urban Migration	225
7.7  Summary and Conclusions: 
     A Comprehensive Migration and 
     Employment Strategy	231
Case Study 7：Rural-Urban Migration 
and Urbanization in Developing 
Countries: India and Botswana
（案例导读7：从农村向城市
迁移，发展中国家的城市化
进程：印度和博茨瓦纳）	232
Chapter 8  Human Capital: Education and 
Health in Economic Development
（人力资本：经济发展中的教育和
健康）	237
8.1  The Central Roles of Education 
and Health	237
8.2  Investing in Education and Health: 
The Human Capital Approach	242
8.3  Child Labor	244
8.4  The Gender Gap: Discrimination in 
Education and Health	247
8.5  Educational Systems and 
Development	251
8.6  Health Measurement and 
Distribution	258
8.7  Disease Burden	261
8.8  Health, Productivity, and Policy	268
Case Study 8：Pathways out of Poverty: 
Progresa/Oportunidades（案例
导读8：走出贫困：墨西哥人
类发展计划）	271
Chapter 9  Agricultural Transformation 
and Rural Development（农业转型与
农村发展）	276
9.1  The Imperative of Agricultural 
Progress and Rural Development	276
9.2  Agricultural Growth: Past Progress 
and Current Challenges	278
9.3  The Structure of Agrarian Systems 
in the Developing World	281
9.4  The Important Role of Women	290
9.5  The Microeconomics of Farmer 
Behavior and Agricultural 
Development	293
9.6  Core Requirements of a Strategy 
of Agricultural and Rural 
Development	301
Case Study 9：The Need to Improve 
Agricultural Extension for Women 
Farmers: Kenya（案例导读9：肯尼
亚农村妇女培训）	305
Chapter 10  The Environment and 
Development（环境与发展）	311
10.1  Environment and Development: 
The Basic Issues	311
10.2  Rural Development and the 
Environment: A Tale of Two 
Villages	318
10.3  Global Warming and Climate 
Change: Scope, Mitigation,
and Adaptation	320
10.4  Economic Models of Environment 
Issues	324
10.5  Urban Development and the 
Environment	329
10.6  The Local and Global Costs of 
Rain Forest Destruction	333
10.7  Policy Options in Developing and 
Developed Countries	335
Case Study 10：A World of Contrasts on 
One Island: Haiti and the Dominican 
Republic（案例导读10：一个岛屿上
两个国家的巨大差距：海地和多米
尼加共和国）	339
Chapter 11  Development Policymaking 
and the Roles of Market, State, and 
Civil Society（发展决策以及市场、
国家和公民社会的作用）	345
11.1  A Question of Balance	345
11.2  Development Planning: Concepts 
and Rationale	346
11.3  The Development Planning Process: 
Some Basic Models	349
11.4  Government Failure and Preferences 
for Markets over Planning	355
11.5  The Market Economy	358
11.6  The Washington Consensus on the 
Role of the State in Development 
and Its Subsequent Evolution	359
11.7  Development Political Economy: 
Theories of Policy Formulation 
and Reform	362
11.8  Development Roles of NGOs 
and the Broader Citizen Sector	367
11.9  Trends in Governance and Reform	372
Case Study 11：The Role of Development
NGOs: The BRAC Model（案例导读11：
致力于发展的非政府组织的作用：
BRAC模型）	376

 
Part Three  Problems and Policies: International and Macro
（国际和宏观问题与政策）
 
Chapter 12  International Trade Theory 
and Development Strategy（贸易理论
和发展策略）	383
12.1  Economic Globalization: An 
Introduction	383
12.2  International Trade: Some Key Issues	385
12.3  The Traditional Theory of 
International Trade	392
12.4  The Critique of Traditional Free-
Trade Theory in the Context of 
Developing-Country Experience	397
12.5  Traditional Trade Strategies for 
Development: Export Promotion 
versus Import Substitution	406
12.6  The Industrialization Strategy 
Approach to Export Policy	422

12.7  South-South Trade and Economic 
Integration	425
12.8  Trade Policies of Developed 
Countries: The Need for Reform 
and Resistance to New Protectionist 
Pressures	428
Case Study 12：A Pioneer in Development 
Success through Trade: Taiwan（案例
导读12：中国台湾地区：通过贸易
成功发展的传奇）	430
Chapter 13  Balance of Payments, Debt, 
Financial Crises, and Stabilization 
Policies（国际收支平衡、债务、
金融危机以及稳定政策）	437
13.1  International Finance and 
Investment: Key Issues	437
13.2  The Balance of Payments Account	438
13.3  The Issue of Payments Deficits	442
13.4  Accumulation of Debt and 
Emergence of the Debt Crisis	447
13.5  Attempts at Alleviation: 
Macroeconomic Instability, Classic 
IMF Stabilization Policies, and 
Their Critics	451
13.6 “Odious Debt”and Its Prevention	457
13.7  Resolution of 1980s–1990s Debt
Crises and Continued 
Vulnerabilities	457
13.8  The Global Financial Crisis and 
the Developing Countries	459
Case Study 13：Trade, Capital Flows, 
and Development Strategy: South 
Korea（案例导读13：贸易、资本
流动和发展策略：韩国）	467
Chapter 14  Foreign Finance, Investment, 
and Aid: Controversies and 
Opportunities（国外金融、投资和
援助：争议和机遇）	473
14.1  The International Flow of 
Financial Resources	473
14.2  Private Foreign Direct Investment 
and the Multinational 
Corporation	473
14.3  The Role and Growth of 
Remittances	482
14.4  Foreign Aid: The Development 
Assistance Debate	484
14.5  Conflict and Development	492
Case Study 14：African Success Story at 
Risk: Botswana（案例导读14：博茨
瓦纳：非洲冒险、成功的传奇）	499
Chapter 15  Finance and Fiscal Policy 
for Development（发展的金融和财政
政策）	504
15.1  The Role of the Financial System 
in Economic Development	504
15.2  The Role of Central Banks and 
Alternative Arrangements	508
15.3  Informal Finance and the Rise of 
Microfinance	511
15.4  Reforming Financial Systems	517
15.5  Fiscal Policy for Development	521
15.6  State-Owned Enterprises and 
Privatization	524
15.7  Public Administration: The Scarcest 
Resource	529
Case Study 15：Making Microfinance 
Work for the Poor: The Grameen 
Bank of Bangladesh（案例导读15：
微观金融为穷人服务：孟加拉
国格拉曼银行）	530

作 者 简 介
迈克尔P托达罗（Michael P. Todaro）  纽约大学的经济学教授和世界人口理事会的高级理事。他曾在非洲生活和教学六年之久，著有八本书和五十多篇学术论文。2011年，美国经济评论杂志甄选了创刊百年以来的最重要的二十篇文章，托达罗的文章《移民、失业与发展：一个两部门分析》入选。
史蒂芬C史密斯（Stephen C. Smith）  获得了康奈尔大学的经济学博士学位，目前担任乔治华盛顿大学国际经济政策研究所主任和经济学与国际事务教授。他也曾撰写多部著作和数十篇学术论文。

译 者 简 介
刘春生  男，回族，1978年出生于内蒙古包头市，中国人民大学经济学博士，特华投资控股有限责任公司博士后工作站博士后，中央财经大学国际经济与贸易学院副教授。研究方向为世界经济，主要研究领域包括国际分工、东亚区域经济等。 

译  者  序
发展经济学是20世纪40年代后期在西方国家逐步形成的一门综合性经济学分支学科，同时也是适应时代的需要兴起，在经济学的体系中逐渐形成的一门新兴学科，主要研究贫困落后的农业国家或发展中国家如何实现工业化、摆脱贫困、走向富裕。
二战以后，人们就开始对发展经济学的各个方面进行了广泛深入的研究，根据发展经济学在演变过程中发展思路及其政策取向的不同，经济学家把发展经济学分为四个阶段：20世纪40年代末至20世纪60年代末以结构主义发展思路为主，在政策上主张计划至关重要的第一阶段；20世纪60年代末至70年代末以新古典主义发展思路为主，在政策取向上认为市场至关重要的第二阶段；20世纪80年代以后以新古典政治经济学发展思路为主，在政策取向上认为制度至关重要的第三阶段。90年代中期以来可持续发展理论的提出标志着新的发展理念的诞生，学术界开始着手构建一个社会、经济与生态综合发展理论研究的框架的第四阶段。贯串整个演变过程的主线即是：人们对“发展”这一概念的理解随着人类社会的发展而不断全面、深化。经济发展理论研究因此出现了四次重大的变化：一是从早期强调政府干预的结构主义发展经济学到强调自由市场的新古典主义发展经济学的变化；二是从注重生产性要素的研究到注重非生产性要素研究的转变，从关注经济增长到关注经济发展，再到关注社会、经济和生态的综合发展；三是从单一的经济学分析转变为综合运用多学科的分析方法；四是发展经济学研究思路从关注经济发展过程开始转变为关注发展方式的研究。 
《发展经济学（第11版）》在发展经济学领域具有很大的代表性和重要地位。作者托达罗是发展经济学领域的一位领军人物，在本书中，他采用了问题导向和政策导向的方法，并不断融合最新思想。《发展经济学（第11版）》绝非孤立地就发展中国家来谈发展中国家，而是在发展中国家之间的相互联系以及它们与发达经济体的相互关系上，来谈发展问题。
《发展经济学（第11版）》将各章末的案例研究全部加以更新，在内容上，又融入了当今的全球化背景和发展经济学的最新思想。
本书来源于美国英文原版教材，经编审后增加忠于原文的中文注解部分。相对于其他的发展经济学教材，该书更具有前沿性和实用性。各章节中的案例学习部分都具有权威性和新颖性，在加深学生对本章节内容理解的同时扩展学生的知识面，激发学习兴趣。本书还在网上附有与原书配套的拓展学习资料，包括书中上标索引及名词解释等内容，需要者请登录华信教育资源网（http://www.hxedu.com.cn），注册之后进行免费下载。
刘春生、王晋辉、马雨洁对全书重点概念和重点内容进行了译注工作，刘春生负责对全书的统一审校。
本书适合作为经济学与国际关系等专业的教材，也可作为相关领域从业人员的参考用书。



 
Preface
Economic Development, Eleventh Edition, presents the latest thinking in economic development with the clear and comprehensive approach that has been so well received in both the developed and developing worlds.
The pace and scope of economic development continues its rapid, uneven, and sometimes unexpected evolution. This text explains the unprecedented progress that has been made in many parts of the developing world—but fully confronts the enormous problems and challenges that remain to be addressed in the years ahead. The text shows the wide diversity across the developing world, and the differing positions in the global economy held by developing countries. The principles of development economics are key to understanding how we got to where we are, and why many development problems are so difficult to solve; and to the design of successful economic development policy and programs as we look ahead.
The field of economic development is versatile and has much to contribute regarding these differing scenarios. Thus the text also underlines common features exhibited by a majority of developing nations using the insights of the study of economic development. The few countries that have essentially completed the transformation to become developed economies such as South Korea are also examined as potential models for other developing countries to follow.
Both theory and empirical analysis in development economics have made major strides, and the Eleventh Edition brings these ideas and findings to students. Legitimate controversies are actively debated in development economics, and so the text presents contending theories and interpretations of evidence, with three goals. The first goal is to ensure that students understand real conditions and institutions across the developing world. The second, is to help students develop analytic skills while broadening their perspectives of the wide scope of the field. The third, is to provide students with the resources to draw independent conclusions as they confront development problems, their sometimes ambiguous evidence, and real-life development policy choices—ultimately to play an informed role in the struggle for economic development and poverty alleviation.
New to This Edition
  Global crisis. A major new section of the text addresses potential longer-term impacts of the recent global financial crisis on economic development, examining conditions that caused the crisis, its aftermath, and possible broader implications and potential differences for developing nations and regions.
  Violent conflict. The Eleventh Edition provides an entirely new major section on the causes and consequences of violent conflict, postconflict recovery and development, and prevention of conflict through an improved understanding of its major causes. In the last several years, substantial advances have been made in theory, empirical studies, and policy analysis regarding civil war and civil conflict, one of the leading obstacles to human development and economic growth. The section examines what has been learned about consequences for people and for economic development, causes and prevention of violent conflict, and strategies for postconflict recovery, reconstruction, and sustained development.
  Findings boxes. A new textbook feature reports empirical findings in boxes that are wide-ranging in both methods and topics. They address both specific policy concerns—such as improving child health, education, and microfinance design—and a broader understanding of the sources of disparities in the world’s economies that can inform the strategy of economic development. And with these findings, they illustrate methods ranging from the use of instruments; randomized control trials; painstaking design, implementation, and robust analysis of survey data; growth diagnostics; and systematically applied qualitative research. The Findings boxes in this edition are listed on pages xvii–xviii. As economic development research findings are published and become influential, they will be reported on the textbook Web site between editions.
  New comparative case studies. Two new full-length end-of-chapter comparative case studies are introduced to address current topics and findings and to broaden geographic coverage. An in-depth comparison of Ghana and C＆ocirc;te d’Ivoire appears at the end of Chapter 5, examining themes of the origins of comparative development and of the analysis of poverty causes and remedies. (The updated Grameen case is moved to Chapter 15.) An in-depth comparative study of Haiti and the Dominican Republic is introduced at the end of Chapter 10, demonstrating the influence of environment on development and vice versa, but revealing how environmental degradation stems from deeper causes. All the other case studies have been updated to reflect current conditions and status.
  New measures. Measurement is an ever-present issue in the field of economic development. The United Nations Development Program released its Multidimensional Poverty Index in August 2010 and its New Human Development Index in November 2010. The text examines the index formulas, explains how they differ from earlier indexes, reports on findings, and reviews issues surrounding the active debate on these measures.
  Applications of contemporary models to new topics. Insights from multiple-equilibria models (explained in detail in Chapter 4) are used to help explain the staying power of violent ethnic conflict and the persistence of harmful cultural practices such as female genital mutilation. The way these insights have helped inspire strategies for ending these practices are explained.
  Expanded glossary, with definitions in margins where terms are first used. Each key term is defined in the text at the spot where it is first used. Each of these definitions are also collected alphabetically in the Glossary near the end of the book.
  Updated statistics. Change continues to be very rapid in the developing world. Throughout the text, data and statistics have been updated to reflect the most recent available information.
  Additional updates. Other updates include an expanded section on microfinance, including new designs, potential benefits, successes to date, and some limitations; Amartya Sen’s latest thinking on capability; new evidence on the extent and limits of convergence; expanded coverage of China and the stubborn chronic poverty among hundreds of millions of people despite otherwise impressive global progress; a streamlined Malthus trap model presentation; development implications of new and proposed environmental agreements for developing countries; and growing challenges of adaptation to climate change with examples of efforts that are already underway; as well as topics such as trends in central banking in developing economies. The end-of-chapter case studies have been updated.
  Convenient numbered subsections. The introduction of numbered subsections facilitates a tailored course design and extended class focus on selected topics. The text features a 15-chapter structure, convenient for use in a comprehensive course. But the chapters are now subdivided, usually into six to ten numbered subsections in each chapter. This makes it more straightforward to assign topical areas for a class session. It also makes it convenient to use the text for courses with different emphases.
Audience and Suggested Ways to Use the Text
  Flexibility. This book is designed for use in courses in economics and other social sciences that focus on the economies of Africa, Asia, and Latin America, as well as developing Europe and the Middle East. It is written for students who have had some basic training in economics and for those with little formal economics background. Essential concepts of economics that are relevant to understanding development problems are highlighted in boldface and explained at appropriate points throughout the text, with glossary terms defined in the margins as well as collected together at the end of the book in a detailed Glossary. Thus the book should be of special value in undergraduate development courses that attract students from a variety of disciplines. Yet the material is sufficiently broad in scope and rigorous in coverage to satisfy any undergraduate and some graduate economics requirements in the field of development. This text has been widely used both in courses taking relatively qualitative and more quantitative approaches to the study of economic development and emphasizing a variety of themes, including human development.
  Courses with a qualitative focus. For qualitatively oriented courses, with an institutional focus and using fewer economic models, one or more chapters or subsections may be omitted, while placing primary emphasis on Chapters 1, 2, 5, 6, 8, and 9, plus parts of Chapters 7 and 10, and other selected sections, according to topics covered. The text is structured so that the limited number of graphical models found in those chapters may be omitted without losing the thread, while the intuition behind the models is explained in detail.
  Courses with a more analytic focus. These courses would focus more on the growth and development theories in Chapter 3 (including appendixes such as 3.3 on endogenous growth) and Chapter 4, and highlight and develop some of the core models of the text, including poverty and inequality measurement and analysis in Chapter 5, microeconomics of fertility and relationships between population growth and economic growth in Chapter 6, migration models in Chapter 7, human capital theory including the child labor model and empirics in Chapter 8, sharecropping models in Chapter 9, environmental economics models in Chapter 10, tools such as net present benefit analysis and multisector models along with political economy analysis in Chapter 11, and trade models in Chapter 12. It could also expand on material briefly touched on in some of the Findings boxes and subsections into treatments of methods topics such as use of instrumental variables, randomization, and growth empirics including origins of comparative development and analysis of convergence (which is examined in Chapter 2). Endnotes and sources suggest possible directions to take. The text emphasizes in-depth institutional background reading accompanying the models that help students to appreciate their importance.
  Courses emphasizing human development and poverty alleviation. The Eleventh Edition can be used for a course with a human development focus. This would typically include the sections on Amartya Sen’s capability approach and Millennium Development Goals in Chapter 1, the new section on conflict in Chapter 14, the discussion of microfinance institutions in Chapter 15, and a close and in-depth examination of Chapters 2 and 5. Sections on population in Chapter 6; diseases of poverty and problems of illiteracy, low schooling, and child labor in Chapter 8; problems facing people in traditional agriculture in Chapter 9; relationships between poverty and environmental degradation in Chapter 10; and roles of NGOs in Chapter 11 would be likely highlights of this course.
  Courses emphasizing macro and international topics. International and macro aspects of economic development could emphasize section 2.7 on long-run growth and sources of comparative development; Chapter 3 on theories of growth (including the three detailed appendixes to that chapter); Chapter 4 on growth and multiple-equilibrium models; and Chapters 12 through 15 on international trade, international finance, debt and financial crises, direct foreign investment, aid, central banking, and domestic finance. The book also covers other aspects of the international context for development, including the new section on financial crisis, implications of the rapid pace of globalization and the rise of China, the continuing struggle for more progress in sub-Saharan Africa, and controversies over debt relief and foreign aid.
  Broad two-semester course using supplemental readings. Many of the chapters contain enough material for several class sessions, when their topics are covered in an in-depth manner, making the text also suitable for a yearlong course or high-credit option. The endnotes and sources offer many starting points for such extensions.
Guiding Approaches and Organization
The text’s guiding approaches are the following:
1. It teaches economic development within the context of a major set of problems, such as poverty, inequality, population growth, the impact of very rapid urbanization and expansion of megacities, persistent public health challenges, environmental decay, and regions experiencing rural stagnation, along with the twin challenges of government failure and market failure. Formal models and concepts are used to elucidate real-world development problems rather than being presented in isolation from these problems.
2. It adopts a problem-and policy-oriented approach because a central objective of the development economics course is to foster a student’s ability to understand contemporary economic problems of developing countries and to reach independent and informed judgments and policy conclusions about their possible resolution.
3. It simultaneously uses the best available data from Africa, Asia, Latin America, and developing Europe and the Middle East, as well as appropriate theoretical tools to illuminate common developing-country problems. These problems differ in incidence, scope, magnitude, and emphasis when we deal with such diverse countries as India, Pakistan, Bangladesh, China, the Philippines, Kenya, Botswana, Nigeria, Ghana, C＆ocirc;te d’Ivoire, Argentina, Brazil, Chile, Mexico, Haiti, and the Dominican Republic. Still, a majority face some similar development problems: persistent poverty and large income and asset inequalities, population pressures, low levels of education and health, inadequacies of financial markets, and recurrent challenges in international trade and instability, to name a few.
4. It focuses on a wide range of developing countries not only as independent nation-states but also in their growing relationships to one another as well as in their interactions with rich nations in a globalizing economy.
5. Relatedly, the text views development in both domestic and international contexts, stressing the increasing interdependence of the world economy in areas such as food, energy, natural resources, technology, information, and financial flows.
6. It recognizes the necessity of treating the problems of development from an institutional and structural as well as a market perspective, with appropriate modifications of received general economic principles, theories, and policies. It thus attempts to combine relevant theory with realistic institutional analyses. Enormous strides have been made in the study of these aspects of economic development in recent years, which are reflected in this edition.
7. It considers the economic, social, and institutional problems of underdevelopment as closely interrelated and requiring coordinated approaches to their solution at the local, national, and international levels.
8. The book is organized into three parts. Part One focuses on the nature and meaning of development and underdevelopment and its various manifestations in developing nations. After examining the historical growth experience of the developed countries and the long-run experience of the developing countries, we review four classic and contemporary theories of economic development, while introducing basic theories of economic growth. Part Two focuses on major domestic development problems and policies, and Part Three on development problems and policies in international, macro, and financial spheres. Topics of analysis include economic growth, poverty and income distribution, population, migration, urbanization, technology, agricultural and rural development, education, health, the environment, international trade and finance, debt, financial crises, domestic financial markets, direct foreign investment, foreign aid, violent conflict, and the roles of market, state, and nongovernmental organizations in economic development. All three parts of the book raise fundamental questions, including what kind of development is most desirable and how developing nations can best achieve their economic and social objectives.
9. As part of the text’s commitment to its comprehensive approach, it covers some topics not found in other texts on economic development, including growth diagnostics, industrialization strategy, innovative policies for poverty reduction, the capability approach to well-being, the central role of women, child labor, the crucial role of health, new thinking on the role of cities, the economic character and comparative advantage of nongovernmental organizations in economic development, emerging issues in environment and development, financial crises, violent conflict, and microfinance.
10. A unique feature of this book is the in-depth case studies and comparative case studies appearing at the end of each chapter. Each chapter’s case study reflects and illustrates specific issues analyzed in that chapter. In-chapter boxes provide shorter case examples. 
Comments on the text are always welcome; these can be sent directly to Stephen Smith at ssmith@ gwu.edu.

                                                              Michael P. Todaro
                                                              Stephen C. Smith

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