A History of Underdevelopment and Political Economy of Inflation in Sri Lanka : With an Outline of Nationalisms

"The volume is a most original and pioneering application of the synthesis of theories derived from the contributions of past and present economists to an empirical study of inflation in Sri Lanka. It is a compelling case study of how drawing on the elements of past and present writings may be made into illuminating theoretical narratives to apply to historical episodes in individual societies. The volume shows the value of how understanding past theories in their original contexts may be used with or without modification to make sense of happenings in our times." -- GC Harcourt, Emeritus Reader in The History of Economic Theory, Cambridge, 1998; Emeritus Fellow, Jesus College, 1998; Professor Emeritus, Adelaide, 1988; Visiting Professorial Fellow, UNSW Australia, 2010-2016; Honorary Professor, UNSW Australia, 2016-2022 The book provides a new conceptualisation of inflation in underdeveloped economies, through Sri Lanka's historical experience. It outlines a general theory of nationalisms in their diverse manifestations across the world, within a historical perspective of capitalist development and underdevelopment. The book, therefore, seeks to capture the production mode holistically, within both its infrastructural and superstructural levels probing their interactions. The theoretical structure through which inflation is analysed synthesises the theory of unproductive labour and Marxian theory of prices of production with labour surplus theory of late Dr. S. B. D. De Silva in the context of underdevelopment. In this light, Professor David Laibman's Allocation Problem is resolved within a Marxist framework to provide an operational significance to the theory and its application. In the same vein the book also provides a new theoretical interpretation of Sri Lanka's historical development from the British period onwards through application of theories of capitalist development and surplus labour. Dhanusha Gihan Pathirana has been an Economist for nearly 10 years at Asia Capital PLC, Sri Lanka, a multinational investment bank operating within the Asian region based in Sri Lanka. Dr. Chandana Aluthge has 24 years of experience as a Lecturer in Economics at the University of Colombo, Sri Lanka and is currently a Senior Lecturer in Economics at the university. He published a number of journal articles and presented papers on issues pertaining to Finance and Economic Development in Sri Lanka. He holds a PhD in Economics from Free University Amsterdam, Netherlands "The volume is a most original and pioneering application of the synthesis of theories derived from the contributions of past and present economists to an empirical study of inflation in Sri Lanka. It is a compelling case study of how drawing on the elements of past and present writings may be made into illuminating theoretical narratives to apply to historical episodes in individual societies. The volume shows the value of how understanding past theories in their original contexts may be used with or without modification to make sense of happenings in our times." -- GC Harcourt, Emeritus Reader in The History of Economic Theory, Cambridge, 1998; Emeritus Fellow, Jesus College, 1998; Professor Emeritus, Adelaide, 1988; Visiting Professorial Fellow, UNSW Australia, 2010-2016; Honorary Professor, UNSW Australia, 2016-2022 The book provides a new conceptualisation of inflation in underdeveloped economies, through Sri Lankas historical experience. It outlines a general theory of nationalisms in their diverse manifestations across the world, within a historical perspective of capitalist development and underdevelopment. The book, therefore, seeks to capture the production mode holistically, within both its infrastructural and superstructural levels probing their interactions. The theoretical structure through which inflation is analysed synthesises the theory of unproductive labour and Marxian theory of prices of production with labour surplus theory of late Dr. S. B. D. De Silva in the context of underdevelopment. In this light, Professor David Laibmans Allocation Problem is resolved within a Marxist framework to provide an operational significance to the theory and its application. In the same vein the book also provides a new theoretical interpretation of Sri Lankas historical development from the British period onwards through application of theories of capitalist development and surplus labour. Dhanusha Gihan Pathirana has been an Economist for ne arly 10 years at Asia Capital PLC, Sri Lanka, a multinational investment bank operating within the Asian region based in Sri Lanka. Dr. Chandana Aluthge has 24 years of experience as a Lecturer in Economics at the University of Colombo, Sri Lanka and is currently a Senior Lecturer in Economics at the university. He published a number of journal articles and presented papers on issues pertaining to Finance and Economic Development in Sri Lanka. He holds a PhD in Economics from Free University Amsterdam, Netherlands Front Matter ....Pages i-xxi An Introduction to the Critique of Theories of Inflation in the Context of Underdevelopment (Dhanusha Gihan Pathirana, Chandana Aluthge)....Pages 1-33 Towards a Theory of Inflation in Underdeveloped Economies (Dhanusha Gihan Pathirana, Chandana Aluthge)....Pages 35-84 Plantations and the Rise of Merchant Cum Usurer Class during the British Rule in Sri Lanka (Dhanusha Gihan Pathirana, Chandana Aluthge)....Pages 85-118 Modelling Inflation in the Context of Underdevelopment (Dhanusha Gihan Pathirana, Chandana Aluthge)....Pages 119-130 Discussion of Socio-Economic and Statistical Results (Dhanusha Gihan Pathirana, Chandana Aluthge)....Pages 131-162 Facets of Economic Control in the West and Northeast Asia: Implications to Sri Lanka (Dhanusha Gihan Pathirana, Chandana Aluthge)....Pages 163-176 Political Economy of Nationalisms and Sri Lanka’s Left-Wing Politics: An Outline (Dhanusha Gihan Pathirana, Chandana Aluthge)....Pages 177-230 Back Matter ....Pages 231-235