Challenges of a Global Economy

The book is the outcome of the proceedings of the Annual Sessions of the SLEA in mid-2004 and includes 10 Chapters, which are divided into six Parts. Each Part links Human Development to a specific area of economic progress, viz., poverty, growth, services (financial), education and health, technology and productivity, and competitiveness. In the first chapter on Human Development and Poverty the editor presents a critique of the Human Development Index (HDI) (used by UN Human Development Reports), using Sri Lankan data on HDI and poverty to show that high HDI does not necessarily mean that poverty has reduced. He goes on to show that combating poverty needs specific policies such as rural development centred around agriculture, promotion of small and medium enterprises (SMEs), and that this is the most effective way to enhance human development, which in turn, will lead to greater employability and productivity. Rehman Sobhan in his essay shows that addressing poverty needs a totally different new approach from the conventional wisdom.