| PS3KG | Ag2 | m | (Tim, age 30, lecturer) unspecified |
| HYSPS000 | X | u | (No name, age unknown) unspecified |
| HYSPSUNK (respondent W0000) | X | u | (Unknown speaker, age unknown) other |
| HYSPSUGP (respondent W000M) | X | u | (Group of unknown speakers, age unknown) other |
| Tim (PS3KG) |
[1] One piece. [2] Okay let's see your essays ... [...] spend er twenty or thirty minutes talking about the essays and the remainder of the tutorial talking about er the exams because this is the last time I see you before your exams in the tutorial anyway erm so just a few hints and tips on exam technique. [3] Right [...] . [4] ... Right, by the way are your aware of erm Professor , erm which visited Nottingham at the moment [...] . [5] Tony is er Professor of Economics at Cambridge and is a world renowned luminary in economic circles and er he's, he's here for the next week as a special professor and er is giving a number of lectures er most of which are open to, to all, to all students and he is a very famous economist, very clever chap you know if you can get to see him I, I'd reco I'd recommend it erm presuma there may be a sort of programme of his visit stuck up on the student notice boards erm, if there isn't er he's giving a, a lecture tomorrow [cough] two o'clock in B seventy four and that's, that's if, he is going to be talking to the M A students er taking Economic Development and Policy Analysis and his topic there is comparing income inequality and poverty in Europe erm so if you, you know, if you are free tomorrow at two it just might be interesting to go along to, [...] feel free to go to B seventy four tomorrow at two o'clock. [6] Erm there's another Econ Soc the Economic Society putting on a lecture at five o'clock on Wednesday er in A forty two and the topic there is What's Happening to the Distribution of Income in Britain and he is also talking to the Public Sector. [7] Take Public Sector Economics and also taking a couple of lectures there, one on Targeting Social Security and er another lecture on An Inefficient on the Official Poverty Line, erm if you want er, well you can get the details from, from me afterwards but something like that could well be on the notice board if you want to go along and see him. [8] He is a famous chap Dick . [9] If you've got time it might be worth spending an hour listening to him. [10] See what he s has to say. |
| Unknown speaker (HYSPSUNK) |
[11] C can we see his [...] ? |
| Tim (PS3KG) |
[12] Yeah sure. |
| Unknown speaker (HYSPSUNK) |
[13] Thanks. |
| Tim (PS3KG) |
[14] He's a Professor of Economics at Cambridge and er |
| Unknown speaker (HYSPSUNK) |
[15] It's very big and [...] cos he's in the office next door. |
| Tim (PS3KG) |
[16] Er er right ... amazing. [17] Anything else? |
| Unknown speaker (HYSPSUNK) |
[18] Did you get my [...] instruction junc adjustment? |
| Tim (PS3KG) |
[19] Yes that's [...] hello ... [...] ... this is just an article that we went through last [...] tutorial [...] adjustment developing countries. [20] Has everybody got one on this stage? [21] That will just save you er copying that yourselves [...] library [...] . [22] Right let's just briefly run through this er essay on migration that so some of you answered, can't remember, would somebody tell me the title of it again? [23] It was er what are the major factors influencing migration decisions in less developed countries and how might this affect the urban unemployment. [24] Okay so ... er where shall we start? [25] Is migration, just generally, is migration a good or a bad, bad thing? [26] I mean well, [...] why do people migrate? |
| Unknown speaker (HYSPSUNK) |
[27] Getting married [...] . |
| Tim (PS3KG) |
[28] Okay they're migrating from an area of low incomes to an area of high incomes, right broken the route |
| Unknown speaker (HYSPSUNK) | [cough] |
| Tim (PS3KG) |
[29] [...] migration scenario. [30] Is that a good or a bad thing? |
| Unknown speaker (HYSPSUNK) | [...] |
| Tim (PS3KG) |
[31] Right okay depends whether they can get, they can get the jobs, right erm what was our experience say when er U K, France, Spain was developing? [32] There was a lot of rural urban migration then, was that a good thing or a bad thing? [33] Does it help or hinder development of those countries? [34] Sorry? |
| Unknown speaker (HYSPSUNK) |
[35] Helped. |
| Tim (PS3KG) |
[36] Yeah helped yeah, why was that? [37] Well you answered it in the first, in the first answer that they got jobs they were employed er the, the rural labourers were able to, to get employment in urban areas er where wages were slightly above those wages that they could reasonably expect in agriculture and because they were actually productive making goods and services they helped the development process. [38] There, is the same true in countries that are developing at the moment? [39] ... No what's happening there? |
| Unknown speaker (HYSPSUNK) |
[40] You get high levels of urban unemployment [...] there so migration to the urban areas and not finding employment [...] situation [...] . |
| Tim (PS3KG) |
[41] That's right in, in a current case of [...] in developing countries now |
| Unknown speaker (HYSPSUNK) | [cough] |
| Tim (PS3KG) |
[42] migration is, is hampering the development process and that is quite different from when the now developed countries were de were developing fifty, hundred, hundred years ago. [43] So how, how can we explain this [...] paradoxical situation of high unemployment in urban areas and rapid rates of er rural to urban migration? [44] Why is it happening, it seems paradoxical, I mean in theory erm, you know the migration should be driven by the wage, wage differentials, right and migration will redrit will reduce those, those wage differentials |
| Unknown speaker (HYSPSUNK) |
[45] [...] did a lot of the [...] emphasis on [...] . |
| Tim (PS3KG) |
[46] That's right that's, that's, that's the reason why, why they move [...] . [47] W why do, why do people move, I mean if they know there's urban unemployment, why, you know, why do they move? [48] I mean if you've got a paradoxical situation here and there is very high unemployment in the urban area, yet migration is still, is still an ongoing phenomenon,wh what may account for, they, they actually [...] again erm a well paid urban job and they migrate [...] . [49] Right so they may think that, you know, they're gonna be one of the lucky ones, presumably. [50] How about if I said well the reason why they migrate is that they don't know about urban unemployment, you know if, you know, it's a lack of information problem. [51] If they knew that the unemployment rates were twenty or thirty percent in urban areas that they wouldn't migrate but because they don't have that information that's, that's the reason. [52] I mean does that hold any water, do you accept that? [53] ... I mean it's a logical, it seems plausible anyway, erm empirical evidence, however, suggests that that isn't why we have rapid migration or such a large degree of migration. [54] Empirical evidence suggests that erm migrants are reasonably well informed about employment prospects in urban areas. [55] Right, so why do they, why do they still move? [56] Well Tom suggested, well they could be one of the, one of the lucky ones that does get, does get a job, what other factors might account for |
| Unknown speaker (HYSPSUNK) |
[57] Do they see erm, if, if they migrate to the city in the urban areas then they realize they won't get a job, and have a job straight away, er well paying job but by actually living in the area they would [...] and taking in [...] at a job and they get a lot of contacts and then eventually after a period of time they [...] job. |
| Tim (PS3KG) |
[58] Yeah, I mean that seems a plausible way of getting into the, er the job market, er what would Harrison Todaro erm say, you know, because they were saying that this migration, this migration was perfectly rational, despite there being high levels of unemployment. |
| Unknown speaker (HYSPSUNK) | [cough] |
| Tim (PS3KG) |
[59] What was the basis of their argument? [60] Why did they say that migration occurs even when we have high unem unemployment? |
| Unknown speaker (HYSPSUNK) | [...] |
| Tim (PS3KG) |
[61] Yeah, yeah okay over oh what century were they |
| Unknown speaker (HYSPSUNK) |
[62] long term [...] short term [...] |
| Tim (PS3KG) |
[63] That's right, they say |
| Unknown speaker (HYSPSUNK) | [...] |
| Tim (PS3KG) |
[64] they say even though unemployment rates are very high now, people are prepared to wait ten years before they get a job. [65] Current levels of unemployment are relatively unimportant, hopefully some time down the line they will expect to get er as a relatively well paid job erm because agricultural incomes are so very low, you know, and urban incomes are relatively, relatively high, they may be prepared to wait for you know five or six years in the urban area, making what could be sort of a subsistence wage, simply because that's all that they're gonna be on anyway if they stay in the rural area, so if there is a higher probability of them getting a well paid job merely by being in the urban area making these contacts then they might as well move to the, to the urban area in the hope of some time in the future obtaining that er er an urban job. [66] Right okay. [67] So what, I mean we've been t talking around it at the moment. [68] What are the factors that affect the migration decision? [69] Does em does empirical evidence, well I think you probably say generally that there is some economic factors and there is some non economic factors, which of those two does er empirical evidence suggest is the main driving force behind migration? [70] Is it the lure of the bright lights or is it something more ... economic. [laugh] |
| Unknown speaker (HYSPSUNK) | [...] |
| Tim (PS3KG) |
[71] Yeah econ what appears to be the case is that it's economic reasons that are the main drive, the main driving factors from er the [...] migrant. [72] Although there, although there clearly are important non economic factors. [73] The, the bright city lights that's not what makes people uproot their, uproot their lives and go and move somewhere else, they are after economic betterment and that's the driving force er behind migration so just before we leave the non economic factors what might they be? [74] The non econo economic factors this er erm infrastructure [...] services. |
| Unknown speaker (HYSPSUNK) | [...] |
| Tim (PS3KG) |
[75] [...] okay right, anything else? |
| (HYSPS000) |
[76] [...] just wanting to get away from traditional [...] . |
| Tim (PS3KG) |
[77] Yeah, they may feel constrained in their very traditional modes of life [...] dominated by religion or some er some restrictive erm |
| Unknown speaker (HYSPSUNK) | [cough] |
| Tim (PS3KG) |
[78] norms of the, of the society. [79] Anything else you can think of? |
| Unknown speaker (HYSPSUNK) |
[80] Weather [...] . |
| Tim (PS3KG) |
[81] Yeah, yeah that's right, due to s lack of infrastructure in the rural areas, it's much more lively but erm ... the disaster of one form or another, of one form or, or another will have a much more important effect, well that's simply because there's a [...] flood then you either swim or you sink, you know, there's no, there's no help a at hand. [82] In urban area there may well be mechanisms in place five against, so on and so forth to, to sort out these problems. [83] Okay right erm, so what seems to emerge is that it's economic factors that are the most important er determinants affecting the migrant's decision. [84] Right so migrants move to the urban areas erm due to the presence of higher wages there. [85] What are the reason for my account the fact that there, they don't obtain these higher wages because clearly there is this income gap the differential is driving the whole process, yet economic theory tells us that the migration should, should diminish that gap between income in urban and rural areas |
| Unknown speaker (HYSPSUNK) |
[86] [...] jobs to go around [...] the people who do migrate to the urban [...] skilled enough to [...] jobs. |
| Tim (PS3KG) |
[87] Okay our, our economic theory assumes [cough] our economic theory assumes that both labour and capital are perfectly mobile. |
| Unknown speaker (HYSPSUNK) |
[88] [...] are different sectors in urban areas. [89] One that er they call the [...] that is the state [...] over employed people [...] and the [...] casual and [...] formal sector had wait [...] dates in the formal sector [...] they don't meet and if this sector does not create many many jobs [...] . |
| Tim (PS3KG) |
[90] Right okay so |
| Unknown speaker (HYSPSUNK) |
[91] [...] formal sector [...] wait |
| Tim (PS3KG) |
[92] For, for opportunities |
| Unknown speaker (HYSPSUNK) |
[93] Yes. |
| Tim (PS3KG) |
[94] to, to emerge. [95] That's right, all we've got here is that although there, there is a high degree of migration, the wage differentials are not er diminishing because we don't have perfectly mobile resources, like are theory tells us that we do have. [96] Clearly the labour is geographically mobile, it's not occupationally mobile, so the people that move don't necessarily have the skills required to take up these high wages. [97] You obvious, supposed high wages in the urban area. [98] What other reasons might account for this urban rural wage differential, just generally higher er standard of living er just cost, just prices er ... yeah, the cost the cost of living may well be higher and as a result employers have to pay [cough] higher wages, |
| Unknown speaker (HYSPSUNK) |
[99] Train staff slump, trained [...] |
| Tim (PS3KG) |
[100] Yeah could be important, who are the main employers? [101] Who are, who's offering |
| Unknown speaker (HYSPSUNK) | [...] |
| Tim (PS3KG) |
[102] Yeah that's one of the reasons for the, quite an important reason in, in many cases why, why there are ways of large wage differentials that's because there's a minimum wage legislation. |
| Unknown speaker (HYSPSUNK) |
[103] Does that, does that [...] |
| Tim (PS3KG) |
[104] They don't assume it could be one of the factors that leads to the higher, I mean all these things, they don't actually say what cause the differential is to them. [105] Say there is a differential, what affect does that have on mi on migration, that's where they sort of start from erm who were the import the employers, because er when it says, you know it says empirically validated, wages are higher er in, in the urban areas partly due to higher costs of living, partly due to the minimum wage legislation, but also another quite important influence. |
| Unknown speaker (HYSPSUNK) |
[106] There are some [...] ways of [...] government on wages. |
| Tim (PS3KG) |
[107] What do you mean there Martin? |
| Unknown speaker (HYSPSUNK) |
[108] I mean some, some [...] are better wages because they are subsidized by the government. |
| Tim (PS3KG) |
[109] Right |
| Unknown speaker (HYSPSUNK) |
[110] Which [...] welfare policy [...] by better wages. |
| Tim (PS3KG) |
[111] That's right, it's erm its empirically verified that in developing countries er the civil service or the, the government sector is very very large relative to the, to the economy, now whereas say U K or somewhere like France the government public and semi public er organizations employ ten percent of the, the workforce, perhaps a bit, bit more in France than the U K erm in developing countries the government sector can be, you know, over half of the total urban, urban employment, in some cases it's seventy and eighty percent of er employment. [112] Now it is generally observed that most civil servants whatever country they come from make sure that they er give each other pay rises and I know it happens in this country the Civil Service pay pays quite well and it's certainly a key erm feature in er pay structure in developing countries that if your, if you work for the government you are very very well paid, like government wages can be, you know, four, five, six, ten, twenty times |
| Unknown speaker (HYSPSUNK) | [cough] |
| Tim (PS3KG) |
[113] of the, the national average and it's not because erm they're paying high wages to get the, the most able people, it's because there are mechanisms, institutional mechanisms that keep wages high, there's no market in the jobs for,th these are generalizations but I think they are fairly, fairly true erm becau there is no market for er for the jobs, for civil service jobs that appointments are made and it is much more important who you know than, than what, what you know and the old boy network, as it's called, in this country is fairly important in the English Civil Service but a similar sort of network tends to be far more important in developing countries, something that is euphemistically called patronage erm but we might call the old boy network or er er jobs for the boys whatever, but erm |
| Unknown speaker (HYSPSUNK) |
[114] Do they issue them, part of the reason that of them having higher wages is that part [...] industrials are bias [...] that they, they have a higher wages [...] and they think they will have a stronger growth in the industrial sector [...] |
| Tim (PS3KG) |
[115] Well because there is er an industrial bias, erm [cough] what industrial bias means is that [...] gets subsidized because it's subsidized they can pay higher wages er erm so it's not just the government jobs that are well paid it's the industrial jobs. [116] Now because the government has a, plays a much bigger role in the economy the government will be in charge of what you might think of as industrial employment so er a lot of manufacturing, heavy industry er mining so on and so forth will be run as a national as a national industry, right and er wages in that nationalized industry will not be er set at market levels but will be set at, by some institutional mechanism that won't reflect demand and supply or reflect the rent seeking and rent server rent preserving behaviour of civil servants and government quangos er so on and so forth but you must bear in mind that the government sector will er the public and semi public sector in developing countries is vast in comparison to er to develop the countries and as a result wages set in er in the government sector er will erm will be the driving force for all industrial employment, so what with wages and industrial employment. [117] Okay erm |
| Unknown speaker (HYSPSUNK) |
[118] What's erm, what's a quango? |
| Tim (PS3KG) |
[119] Quango, government appointed body essentially. [120] Check I'm right, I think I can spell it, it's a Q isn't it quango? [121] Yes |
| Unknown speaker (HYSPSUNK) |
[122] It's not so accurate. |
| Tim (PS3KG) |
[123] No I don't really think so, it's a name given to a body,so semi public body appointed by, by government. |
| Unknown speaker (HYSPSUNK) |
[124] Like the N R A? |
| Tim (PS3KG) |
[125] Sorry? |
| Unknown speaker (HYSPSUNK) |
[126] Like the N R A. |
| Tim (PS3KG) |
[127] Er are they privatized? [128] They [...] regulatory. |
| Unknown speaker (HYSPSUNK) |
[129] Yeah that's a [...] . |
| Tim (PS3KG) |
[130] O P Q. |
| Unknown speaker (HYSPSUNK) |
[131] How do you spell that? |
| Tim (PS3KG) |
[132] I am just about to tell you [laugh] Q A P U quan quango, it's a [spelling] Q U A N G O [] semi public body with financial support from and senior appointments made by government. [133] Yes that's a semi [...] semi copy body appointed by the government or possibly with financial support from the government. [134] Right erm okay let's just er wrap up here. [135] What was the main er outcome for Harrow Harrison Todaro's model? [136] They could explain why it was rational like for migrants to migrate even in the a even in the presence of high unemployment. [137] What was the policy and complet |
| Unknown speaker (HYSPSUNK) | [sneeze] |
| Tim (PS3KG) |
[138] of that analysis? |
| Unknown speaker (HYSPSUNK) | [cough] |
| Unknown speaker (HYSPSUNK) |
[139] Basically government can increase or reduce unemployment by increasing labour demands through just handing out more jobs in the [...] sector. [140] That will create more migration. |
| Tim (PS3KG) |
[141] Right, so it will be sel self defeating, job creation in the urban areas will be self defeating and most of the, the reason why that was particularly important because historically most of the job creation schemes that governments have put in place with or without aid in developing countries is in the urban areas, you know, it's the erm subsidized industrial plants, subsidized erm manu manufacturing industry, right so that the import substitution industries er have been set up with government and or aid money, foreign aid money and what Harrison Todaro was saying you're wasting your time putting money into these big projects, right, because that only in that only in erm exaggerates th the migration problem because it really will increase people's perception of er job possibilities in the urban area, they think there are jobs being created by government there, that will happen as another, as another stimulus er let me just draw a little diagram what Harrison Todaro was saying right we've got time here such to say horizontal axis marks the lifespan of some representative migrant, [...] then you've got wages, wages in the agricultural area and wages in the urban area like let's just say that this is the wage rate in agriculture, right [...] . [142] Now, what the potential migrant will do, Harrison Todaro assumed, was to say, right what they'll do is that they'll, these migrants will mentally calculate the present value of receiving W A throughout their lifetime, right, and they'll discount erm those wages by appropriate discount rate, reflecting the fact that a hundred pounds today is worth a lot more than a hundred pounds twenty years' time or thirty years' time. [143] Right so ... something like that and so this represent I mean you can figure this line as being sort of the real wage over the time you mention increasing throughout. |
| Unknown speaker (HYSPSUNK) |
[144] Is the real wage over time so at this point let's just say that's a hundred, a hundred pounds and this is ten say two, well lifespan is thirty, thirty years and a hundred pounds erm today, today is worth er no |
| Tim (PS3KG) |
[145] Yes, it's worth two pounds in thirty years. |
| Unknown speaker (HYSPSUNK) |
[146] What you can buy with one hundred pounds today will buy just two pounds in thirty years? |
| Tim (PS3KG) |
[147] No that's erm, a hundred pounds in thirty years' time is equivalent to receiving two pounds today, that's right [...] as you say [...] [laughing] [...] [] . [148] Okay so if we just summoned this area [...] right, that area there represents the present value of the discounted stream of income. [149] Right over, over a lifetime okay if we could sum this, it seems the time is continuous with the integrate, right, over [...] time, we'll just get the area of that and that curve. [150] Now let's say that urban wages, right are up here and that it's going to take, it's like this individual, this amount of time to get er a job at that, at that wage, let's say that's the expected wage, of the urban area, okay. [151] If we again discount this income at the time or get [...] it looks like that. [152] So this now represents the discounted value of the urban wage overtime [...] . [153] All this potential migrant has to do is to say well does that area right exceed sorry this area. [154] [...] chalk |
| Unknown speaker (HYSPSUNK) | [sneeze] |
| Tim (PS3KG) |
[155] Okay does that area exceed that area, well that's clear from this little diagram, yes it does. [156] Well what are the key factors that will affect the relative sizes in these two, in these two erm, these two boxes. [157] Well the first thing, right the differential [...] differential between agricultural wages and the expected erm urban wage right would create the closer these, these lines are together, right, the erm smaller would be the difference between this area here and that area there. [158] What other things are [...] are important? [159] Well it's the time taken to gain employment [...] the time taken to gain employment [...] in the urban sector. [160] What is the expected urban wage? [161] Well it's the, the actual urban wage times by the probability of getting a job, right, therefore, [...] the probability of getting a job is also going,go going, is also going to be important erm erm [...] |
| Unknown speaker (HYSPSUNK) | [cough] |
| Tim (PS3KG) |
[162] this diagram doesn't actually incorporate this but [...] full thing is going to be the initial costs, the costs of moving, okay, so there, there may be actual physical costs involved [...] this diagram. [163] Right so those are the things that are going to be [...] that will, that will be important. [164] Right erm, just finally, ... given that the main conclusion of Harrison Todaro's model was that there's no point erm having job creation schemes in urban areas because that just exacerbates the problem of migration. [165] Right what should we do? [166] Migrat if migration is a problem I think you will all agree that it actually hampers the development process, what should we, what should we do? |
| Unknown speaker (HYSPSUNK) |
[167] Create [...] |
| Tim (PS3KG) |
[168] Okay creating jobs in that sector or creating [...] . [169] Okay if that would raise agricultural wages or |
| Unknown speaker (HYSPSUNK) |
[170] Well raise agricultural wages [...] will reduce the number of people wanting to |
| Tim (PS3KG) |
[171] To migrate? |
| Unknown speaker (HYSPSUNK) |
[172] to migrate |
| Unknown speaker (HYSPSUNK) |
[173] To migrate to the urban sector [...] . |
| Tim (PS3KG) |
[174] Okay and hows how best to do that though? [175] Because it looks like you are advocating supporting agriculture. |
| Unknown speaker (HYSPSUNK) | [...] |
| Tim (PS3KG) |
[176] Okay so what, what do rural developments schemes |
| Unknown speaker (HYSPSUNK) |
[177] You will reduce the erm wage differentials as well. |
| Tim (PS3KG) |
[178] Wi it may well do, it may well produce the |
| Unknown speaker (HYSPSUNK) | [cough] |
| Tim (PS3KG) |
[179] wage differential |
| Unknown speaker (HYSPSUNK) |
[180] Increasing [...] . |
| Tim (PS3KG) |
[181] Yeah okay I mean this is all what these schemes or what the current school of thought is. [182] Initially, you know, development meant higher than wages, alright, you know, making these erm er er sort of producing cars and high technology goods in urban, urban areas in developing countries was thought, you know, that's the way, that's the way ahead and these big projects, whereas now the thinking has changed and it's let's promote infrastructure, education, erm in the rural areas thems rural areas themselves, right, erm,anythi any other policies so yeah you may want to erm invest, invest in agriculture, [...] and I don't mean some agricultural support but erm promote, well yeah make, make roads, educate the population erm disseminate agricultural technologies. [183] Any other policies that you might think of? [184] ... Compulsory castration that's the main problem here, too many bloody people about, [...] that's what's needed population control [laugh] well that's, that's what's done, that's what they er, you know a lot but not compulsory, well sometimes compulsory |
| Unknown speaker (HYSPSUNK) | [laugh] |
| Tim (PS3KG) |
[185] [laugh] but we don't normally get money from the world bank to er er er get the scissors out, erm the note er |
| Unknown speaker (HYSPSUNK) | [laugh] |
| Tim (PS3KG) |
[186] population control in terms of sort of contraception awareness, so on and so forth is a major,the it can be a major means of reducing this particular problem. [187] Because part of the problem is that there are too many people in agriculture and if you can reduce the population threshold allowed, right, wages will virtually rise, because labour productivity will rise because there is less labour on the same amount of land. [188] Er, any other policies? |
| Unknown speaker (HYSPSUNK) |
[189] [...] some of these countries in Africa though they've got like compared with the population, they've got loads of land, compared with somewhere say like, like U K, so if that's the case, how come they've got so much surplus labour? |
| Tim (PS3KG) |
[190] Well because the labour in say this country is over productive, this has an awful lot of categories attached to each unit of labour, that's why labour is very productive, is that you for each unit of labour employed there might be ten units of capital, I E there are chemicals [...] etcetera, the reason why erm this [...] this pressure on the land in say Africa, Africa, even though the density of population was much less and that there's virtually no capital there, right, so in order to produce the food, you know the labour has to till the soil by hand and spread the seed by hand |
| Unknown speaker (HYSPSUNK) |
[191] Surely, that would require lots and lots of labour though wouldn't it? |
| Tim (PS3KG) |
[192] Mm, yes that's right |
| Unknown speaker (HYSPSUNK) |
[193] So there should be a surplus? |
| Tim (PS3KG) |
[194] Well it's just that for that, I mean that's all, it's all relative for those conditions there are, there is too much labour on the land, you erm, if you could increase agricultural productivity in a way that would displace labour and that's very difficult to do, well you can, you can do it er most, most capital is labour displacing but not all, not all capital, erm so you could, whereas I see, I see what you are saying is that, why ... well [laugh] the you could g you could, you could do it right even though that there are a lot of people on the land er you could still make them wholly productive by giving them more capital that wasn't labour that wasn't labour displacing, like you give them better seeds for example, like that would increase the productivity of the land, there wouldn't be so much you know population pressure on the land er because everybody would have enough to eat and we could er actually sell something, right. [195] Any other any other policies that you might want to pursue? [196] Say that's population control investment in agricultural infrastructure and technology [...] education and what's causing this problem in the first place? |
| Unknown speaker (HYSPSUNK) |
[197] Do you have er sort of reduce the [...] industrial [...] . |
| Tim (PS3KG) |
[198] Yeah, that's what's causing the problem, very high urban wage rate but it doesn't reflect market forces, so if you erm reduce the subsidies given to er industry |
| Unknown speaker (HYSPSUNK) | [cough] |
| Tim (PS3KG) |
[199] erm and get rid of any institutional price setting that there may or wage setting that there may be in those in those industries. |
| Unknown speaker (HYSPSUNK) | [cough] |
| Tim (PS3KG) |
[200] You know I hate to say it but privatization might be required, right there's too much government involvement, there's too much erm er there's too much inefficiency, right, by and large there's an awful lot of er bribery, corruption, patronage in developing countries, their government sectors are very very large. [201] Okay just before we go ... first we get a copy of er exam papers, this is from [...] G you may already have a copy [...] oh blast [...] ... |
| Unknown speaker (HYSPSUNK) |
[202] [...] when you are talking about er public division, does [...] standards er [...] British and with other companies from er Western, Western economies? |
| Tim (PS3KG) |
[203] Okay so |
| Unknown speaker (HYSPSUNK) |
[204] There is, there is a gap in technology er now. |
| Tim (PS3KG) |
[205] That's right apart from |
| Unknown speaker (HYSPSUNK) | [cough] |
| Tim (PS3KG) |
[206] these government run industries in these developed countries, they are subsidized to a very large extent and they are not competitive on, on the world market. |
| Unknown speaker (HYSPSUNK) |
[207] So [...] privatize this company there, there will er they will fail in competition with erm |
| Tim (PS3KG) |
[208] They may, they may do. [209] If that's the case you know resources shouldn't be going into, into that particular industry or there is not a direct economic case apart from to the social costs that they be involved in. [210] That company going out of business, erm because er large scale government subsidization erm is, is so prevalent in developing countries er the a lot of the government's resource's being spent on what are inefficient or obsolete industries. |
| Unknown speaker (HYSPSUNK) |
[211] Mm mm. |
| Tim (PS3KG) |
[212] And that's hampering the whole development process because it's [...] high, high wages, high wages creates migration and the whole resource allocation reflects in the economies er are disrupted and because people are moving out of agriculture because they can't make any money from agriculture they think they can make some money in industry like agriculture itself is being starved of capital and er so it hampers the development process, I mean it's a complicated business but er ... there may well be some, some sort of strands of sense that we can draw out of this, one of which may be well if the government sectors are too large in these countries [...] essentially it doesn't matter who owns these companies whether it's, they were privately owned or government, erm if they are inefficient they are inefficient |
| Unknown speaker (HYSPSUNK) |
[213] Yes. |
| Tim (PS3KG) |
[214] and if that inefficiency was causing the problem it's not the result of the ownership er, there are inefficient private companies it's just that inefficient private companies tend to go out of business, whereas inefficient public ones can be maintained with subsidization. [215] [cough] . What I'll do is that I'll [...] final [...] of action shortly and I'll tu |
| Unknown speaker (HYSPSUNK) | [...] |
| Tim (PS3KG) |
[216] that's my last copy, that's what I'll do, I'll photocopy it before you go and er give you a copy each |
| Unknown speaker (HYSPSUNK) |
[217] [...] don't worry I [...] the exam, I'm leaving at Christmas time. |
| Tim (PS3KG) |
[218] Alright, oh I see you are not sitting, you are not taking the exams? |
| Unknown speaker (HYSPSUNK) | [...] |
| Tim (PS3KG) |
[219] [...] last year's exam, they er seems to be exactly the same syllabus [...] more or less, yeah. [220] Can I just say, just a couple of points before you go erm ... you are all fairly good at writing long answer essay questions, but you are probably not so good at writing short answer questions, right. [221] Now it is very important that you write good short answer questions, because you think they're [...] |
| Unknown speaker (HYSPSUNK) | [cough] |
| Tim (PS3KG) |
[222] in actual fact that's where most people fall down and last year [...] |
| Unknown speaker (HYSPSUNK) |
[223] Is it marked with a fifty? |
| Tim (PS3KG) |
[224] Yes, fifty [...] given it exactly the same way. [225] It's much easier to get good marks on a short answer question than it is in theory to [...] but most people don't because they don't apply the correct technique so to writing short answers. [226] We must have in a [...] short answer like there's a definition, most of the concepts there will be erm defined effective protection, its optimal, optimal tariff, trained creation, or trained diversion, there will be concepts that need definition, economic jargon, so you must have an equal er definition in there and you must have examples of how this concept is used, right say erm ... er one of those [...] about don't make reciprocal dumping. [227] Write a short essay on reciprocal dumping because define what reciprocal dumping is you've also got to give at least one example of reciprocal dumping, right, so you don't have to give any detailed examples just erm E E C waste er food policy [...] in these days reciprocal dumping would be subsidized after [...] exports in order for America to sell its few exports it has to [...] so it is best subsidised [...] definition define what it is give application of [...] concept erm if the concept involves measurement, say how it, how it can be measured say an effective protection [...] trade, er say how it could, how it could be measured |
| Unknown speaker (HYSPSUNK) | [cough] |
| Tim (PS3KG) |
[228] er and then discuss any problems that there might be, is it a contentious issue? [229] Er or are there is there, are there a couple of schools of thought on this particular subject, well essentially what you must do is write something about everything you know, about erm that this particular sort of concept, don't write everything you know on this particular subject, like you have only got fifteen minutes. |
| Unknown speaker (HYSPSUNK) |
[230] So it's, is it better to write a little bit about a lot of things? |
| Tim (PS3KG) |
[231] Yeah. |
| Unknown speaker (HYSPSUNK) |
[232] Rather than a lot about |
| Tim (PS3KG) |
[233] That's what you must do, if you get, if you write a lot about a couple of things they'll say erm this chap's knowledge is pretty specialized on this area, you know what, what these er short answer questions are picking up right is your, is your general knowledge. |
| Unknown speaker (HYSPSUNK) |
[234] So it has to be sort of like written in comprehensive? |
| Tim (PS3KG) |
[235] Oh yeah. |
| Unknown speaker (HYSPSUNK) |
[236] [...] written prose |
| Tim (PS3KG) |
[237] But you know, so you |
| Unknown speaker (HYSPSUNK) | [cough] |
| Tim (PS3KG) |
[238] it's like writing an essay, you've got to try and get as mi many things in as you would do when you if you were writing a full essay but instead of writing a paragraph on each thing you write a sentence on each thing [...] try and cover as many bases, then, that's how you how you get very good marks, it's not, they are not trying to test your erm your deep knowledge about any one thing in these short answers they are testing the broad, broad venture of your, of your knowledge, alright, so what you want to try and do is to ... is a blunderbuss approach when you ans you answer these, these questions. |
| Unknown speaker (HYSPSUNK) |
[239] Yes, [...] this these diagrams. |
| Tim (PS3KG) |
[240] Don't touch it with a barge pole, they take too much time but very very rarely do you need to write, to draw the diagram in the short answer questions. [241] That's about the only difference between writing a short answer question than writing a long answer question, is that the long answer is a, is a good idea to have a diagram. [242] In short answers unless it is crying out for a diagram don't bother because you'll spend five minutes drawing the diagram, labelling it, explaining what D P and D S means and [...] it just won't work it [...] definition, application, measurement problems, contention, |
| Unknown speaker (HYSPSUNK) |
[243] Yeah. |
| Tim (PS3KG) |
[244] is it a contentious issue erm ho how is the [...] criticized, very very short, because you are only going to be writing for about a page, a page and a half, right, so just make sure that every sentence or every other sentence carries a new bit of information and then people say, good, this person knows everything about this subject, full marks and you and er but it's all too easy to, to focus on one or two aspects of say a question on [...] trade or er er Harrison Todaro model of migration. [245] If you sp if you spend five minutes drawing a diagram or going through the equations [...] person knows one aspect of this model in great detail, what they want to know is what was the importance of that, of that model, important results of the model. [246] How can we criticize it, how well does it actually fit into what happened in the real world, they just want little bits of information but not too much depth on anything but always remember empirical evidence examples are very important ... what I would do is using those examples or la last year's exam paper, practise, practise the short answers because you can't write very much detail in it so it's a good idea to have some idea about how much you can write, then your expectations will be changed okay. [247] Right if you have problems er before you leave or when you're advising afterwards I'll be here throughout vacation and before your exams so come along and you go through |
| Unknown speaker (HYSPSUNK) |
[248] [...] holiday are you? |
| Tim (PS3KG) |
[249] Yeah. |
| Unknown speaker (HYSPSUNK) |
[250] Full time. |
| Tim (PS3KG) |
[251] Yeah, if you want to come and see me please, please do. |
| Unknown speaker (HYSPSUNK) |
[252] Yeah, alright. |
| Tim (PS3KG) |
[253] Cheerio. |
| Unknown speaker (HYSPSUNK) |
[254] [...] next Monday I want to see you [...] have a happy Christmas. |
| Tim (PS3KG) |
[255] Thank you very much Gabriella, happy Christmas to you. [256] See you, see you next term. |
| Unknown speaker (HYSPSUNK) |
[257] Okay |
| Tim (PS3KG) |
[258] If you do have, if you do have any problems |
| Unknown speaker (HYSPSUNK) |
[259] Mm mm. |
| Tim (PS3KG) |
[260] er come along and see me because I, because it is quite you know likely that you will sort of worry about |
| Unknown speaker (HYSPSUNK) |
[261] Yeah. |
| Tim (PS3KG) |
[262] [...] the exams and if I can sort of say, you don't need to worry about |
| Unknown speaker (HYSPSUNK) |
[263] Mm mm. |
| Tim (PS3KG) |
[264] about this you are wasting your time, er then hopefully you [...] if you are having a problem [...] to come and see me and I can tell you if it is a problem or whether it's not, it's not particularly a problem, so you know, come along and see me [...] |
| Unknown speaker (HYSPSUNK) |
[265] Thank you very much. |
| Tim (PS3KG) |
[266] Right but have a lovely holiday, don't forget to have, don't forget to have a holiday, don't revise all the way through. |
| Unknown speaker (HYSPSUNK) |
[267] Okay. |
| Tim (PS3KG) |
[268] Okay, cheerio Gabriella. |