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Equity, Growth and Insurrection: Liberalisation and the Welfare Debate in Contemporary Sri Lanka

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Author Info

  • David Dunham

    (Department of Economics and Finance, La Trobe University)

  • Sisira Kumara Jayasuriya

    (Department of Economics and Finance, La Trobe University)

Abstract

This paper focuses on economic consequences of policy reforms and their social and political impacts. Our central argument is the following: (a) contrary to many assertions in the immediate post-reform period, economic liberalisation in Sri Lanka had a significant impact on both household and regional inequality, though not one that was reflected in the conventional statistical measures that informed and dominated policy; (b) the changes in wealth distribution were related to the altered pay-offs associated with certain assets (especially education) and people's access to them; (c) even if they were not reflected in conventional statistical measures, affected population groups were intensely aware of these changes in the distribution of relative wealth; and (d) their perceptions of increased inequality were magnified by a widening gap between expectations and the opportunities that were open to them.

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Bibliographic Info

Paper provided by School of Economics, La Trobe University in its series Working Papers with number 1998.11.

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Length: 20 pages
Date of creation: 1998
Date of revision:
Handle: RePEc:ltr:wpaper:1998.11

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Web page: http://www.latrobe.edu.au/economics
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Related research

Keywords: Equity; Economic Growth; Social Welfare EDIRC Provider-Institution: RePEc:edi:smlatau;

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Cited by:
  1. Ramani Gunatilaka & Duangkamon Chotikapanich, 2006. "Inequality Trends and Determinants in Sri Lanka 1980-2002: A Shapley Approach to Decomposition," Monash Econometrics and Business Statistics Working Papers 6/06, Monash University, Department of Econometrics and Business Statistics.
  2. Yiping Huang & Jian Chang & Prema-Chandra Athukorala & Sisira Jayasuriya, 2013. "Economic Policy Shifts in Sri Lanka: The Post-Conflict Development Challenge," Asian Economic Papers, MIT Press, vol. 12(2), pages 1-28, June.
  3. Ajwad, Mohamed Ihsan & Kurukulasuriya, Pradeep, 2002. "Ethnic and gender wagedisparities in Sri Lanka," Policy Research Working Paper Series 2859, The World Bank.
  4. Arun, Thankom G. & Borooah, Vani, 2004. "Earnings Inequality in Sri Lanka," Development Economics and Public Policy Working Papers 30548, University of Manchester, Institute for Development Policy and Management (IDPM).
  5. Thankom Arun & Vani K. Borooah, 2011. "The Gender impact in Earnings Inequality: Evidence from Sri Lanka," International Journal of Economic Sciences and Applied Research (IJESAR), Technological Educational Institute (TEI) of Kavala, Greece, vol. 4(2), pages 71-80, August.
  6. Rajesh Venugopal, . "The Global Dimensions of Conflict in Sri Lanka," QEH Working Papers qehwps99, Queen Elizabeth House, University of Oxford.

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