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stagnation 9 experienced by the state since the mid 70s. The studies were trying to explain the price and non-price factors responsible for the stagnant performance <strong>of</strong> the agriculture sector in the state. Accordingly, a host <strong>of</strong> factors were identified which primarily included: a) crop shift in favour <strong>of</strong> commercial crops on account <strong>of</strong> lack <strong>of</strong> pr<strong>of</strong>itability and high cost <strong>of</strong> production <strong>of</strong> food cropslO; b) perceptible decline in the size <strong>of</strong> operational holdings: c) institutional constraints in the • For a critical and very extensive discussion on the stagnation controversy, see the series <strong>of</strong> papers published by the Centre for Development Studies, viz., Pushpangadan (1988); Kannan and Pushpangadan (1988); Narayana (1990) and Kannan and Pushpangadan (1990). While Kannnan and Pushpangadan (1988, 1990) explain the problem <strong>of</strong> secular stagnation "ith particular reference to the seasonal and annual food crops alone, Narayana (1990) perceive the problem in terms <strong>of</strong> the 'diversion that has taken place in the cropping pattern' <strong>of</strong> the state in favour <strong>of</strong> perennial cash crops. However, the explanation <strong>of</strong>fered by :\arJ\ana appears to be more convincing as it covers the non-food crops sector. which accounts for almost 80 per cent <strong>of</strong> the total cropped area <strong>of</strong> the state. Thus, the problem <strong>of</strong> stagnation has been regarded as a short-run phenomenon, caused by the replantation induced cycle <strong>of</strong> 'productivity lag" entailed in the production process <strong>of</strong> commercial! plantation crops. The life cycle <strong>of</strong> the commercial! plantation crops involves an immature phase <strong>of</strong> 7-12 years, followed by a mature phase <strong>of</strong> 30-1 00 years depending on the crop. For instance, under average management conditions, coconut palms start bearing between 7 to 12 years, followed by a productive period <strong>of</strong> about 80 years. However, yield starts declining around 50 years <strong>of</strong> age. In the case <strong>of</strong> rubber, the immature phase is 5-9 years, followed by a productive period <strong>of</strong> 25-30 years, depending on the planting material used. However, it is important to note that the cash crops have marked differences in 'yield pr<strong>of</strong>ile' across crops, "hich involves increasing. stable and diminishing returns to scale. 10 Varghese (1970) underscores that the redi,tfloutive public policies, which originated in the state during the 19'h century had been ilhtrlllllcntal in the process <strong>of</strong> commercialisation. Kicniewics (1989 as cited in Tharakan. I ')'17) shows that Kerala was known for its cOlllnll:rcial cultivation. It's terrain ;lIld It'r,,O!raphv prevented cultivation <strong>of</strong> its staple grain, paddy. on the hills and slopes, which \Vcre lIlili,cu for uther crops, which were largely cash crop .. Scholars (Herring, 1991: lie I kr, 1'1')'1) 11;1\ C explained the process <strong>of</strong> crop shi ft as a 149
development <strong>of</strong> land and water resources: d) changed agrarian relations: e) shortage <strong>of</strong> labour compounded with high wage rates. ctc. As a consequence <strong>of</strong> cumulative causation <strong>of</strong> the variety <strong>of</strong> factors discussed. the impact <strong>of</strong> irrigation on crop production and productivity was insignificant [George and Nair (1982): Pillai (1982): Narayana and Nair (1983); Kannan and Pushpangadan (1988. 1989); Santhakumar and Nair (1999»). However. the studies examining the inter-relationship between the supply and demand factors determining water distribution and its effect on land development and water management practices at the farm level in the irrigation commands are relatively scanty. It is obvious that the much debated controversy <strong>of</strong> crop shift has been induced by relative pr<strong>of</strong>itability <strong>of</strong> the dry/ perennial cash crops compared to food crops. mainly paddy. which is the target crop for which almost all the state' s irrigation projects are designed. As a matter <strong>of</strong> fact. the irrigation projects in the state havc originally been designed for irrigating paddy. particularly. the second (winter) and third (summer) crops. The objective as mentioned earlier. was to stabilise the first (ViripplI) and second UvllIndakan) crops and raise the third (PI/neha) crop. --------------------------------- rationalization <strong>of</strong> cropping patterns dictated hy an increasing responsiveness to market forces. 150
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, ECONOMICS OF ON-FARM DEVELOPMENT:
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DEC LARA TION I declare that the th
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I thank Dr. KM Varadan, CWRDM. Kozh
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CONTENTS Chapter 1 1.1 1.2 1.3 1.4
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4.9 Occupational Status of<
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5.3 5.4 5.6 5.7 Financial Investmen
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Figures 6.1 6.2 Chart 6.1 Appendix
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Abbreviations used ASMO BFA's CADA
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An attempt has been made in this ch
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among the people and the process <s
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the Indian state had followed a pol
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water harvesting 7 by arguing that
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(World Register of
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Eighth Plan has been estimated by t
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One of the most im
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integrated development of</
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inadequate attention given to OFD w
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performance of irr
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created. According to the Central W
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7 lagoons, 901 tanks and over 30 la
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competent and responsible agency wi
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physiographic conditions of
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(14 completed and 15 ongoing) proje
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interventions to improve the operat
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a summary of findi
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economic analysis of</stron
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een brought out by many scholars in
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While the economic benefits <strong
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sources, wasteful utilisation <stro
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such as rise in pnces, inadequate i
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the completion of
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of rainfed croppin
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areas being 8 per cent (GO!, 1998).
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investment In irrigation developmen
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Subsequently, an Expert Committee w
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highlighted the problems related to
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2.3.1 Studies on tbe impact <strong
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command area has reduced the labour
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Nanjundappa (1988), while examining
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y the CADA have led to low producti
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agents as against 90 per cent or mo
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among their members; c) insisting t
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Ansari (1989) shows that there have
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unit of land culti
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subgroup increased from 40 per cent
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1) The maIn activity being undertak
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which are unique in several ways, t
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across the states in different agro
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and social setting In which a proje
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The indepth study to examine the fa
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\,;nar~ .NO. ~.~: .t"rocesses ana s
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understand the problems related to
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of the crop produc
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greater differences between the the
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Chart ~o J.2 'Vater Institutions an
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specific promotional programmes und
Page 113 and 114: Chart No. 3.3 Explaining failure <s
Page 115 and 116: 3.3.2 Crop specific promotional ins
Page 117 and 118: non-viable paddy. Even the farmers
Page 119 and 120: '- K01HIKOO --', , .-- :,' , \. ,.'
Page 121 and 122: strictly adhered to the directions
Page 123 and 124: 4.1.2 Financial aspects The total e
Page 125 and 126: 4.2 The Kallada Irrigation and Tree
Page 127 and 128: Map 4.4: Kallada Ayacut , IItIJrt ~
Page 129 and 130: in lands having slopes less than 3
Page 131 and 132: Table 4.1. Envisa~ed Croppin~ Patte
Page 133 and 134: in terms of underg
Page 135 and 136: meters. The end of
Page 137 and 138: and Kayamkulam branch in Phase II.
Page 139 and 140: lands. The average holding size is
Page 141 and 142: The characteristics of</str
Page 143 and 144: size group is the highest in the mi
Page 145 and 146: Table 4.10: Occupational status <st
Page 147 and 148: Appendix 4.1: Physical and technica
Page 149 and 150: Chapter 5 Dynamics of</stro
Page 151 and 152: plan. annual plans (1966-69) and th
Page 153 and 154: gt:ographical concentration <strong
Page 155 and 156: Concerted efforts were also made fo
Page 157 and 158: T a bl e 5 3 Ph . I d Ii . I - - vS
Page 159 and 160: expenditure and p~ysical achievemen
Page 161 and 162: the state cannot be treated as a pu
Page 163: in gross irrigated area. While cana
Page 167 and 168: The annual compound growth rates in
Page 169 and 170: 5.2.1 Dynamics of
Page 171 and 172: area and yield of
Page 173 and 174: A micro level study by Narayanan (1
Page 175 and 176: ubber cultivation. in Kallada. the
Page 177 and 178: The debate on conversion of
Page 179 and 180: (Table 5.10). The table indicates t
Page 181 and 182: eqUires substantial investment for
Page 183 and 184: Source: Govt. of K
Page 185 and 186: the period 1985-86 to 1997-98. For
Page 187 and 188: The overall scenario suggests that
Page 189 and 190: project, they tend to undertake yie
Page 191 and 192: the establishment expenditure (stri
Page 193 and 194: a CriSIS. As the works involved In
Page 195 and 196: (ii) In the Karapuzha project. the
Page 197 and 198: 5.15). The table indicates that the
Page 199 and 200: place. There were three revisions J
Page 201 and 202: Revenue vis Capital expenditure The
Page 203 and 204: Let us now examIne the intensity <s
Page 205 and 206: Cost escalation due to arbitration
Page 207 and 208: Another source of
Page 209 and 210: process would be very high. This al
Page 211 and 212: construction for more than 20 years
Page 213 and 214: are mainly concentrated in Thrissur
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ApMndlJ ~.1: ProjKI-wlw Ihne tn Tot
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ArlPcndil: ~.J: "'inanchtllnnstmrnl
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Chapter 6 Economics of</str
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conditions of the
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Chart: 6.1 Organisational Chart sho
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and Palakkad together occupy 10 <st
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Table 6.2. Physical and financial t
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the total allocation has been for t
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per cent achievement in physical te
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Besides. it has been reported that
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I , MalamDuzha 387 7.39 1908.53 13.
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~~- ~- --~ In all others. the BC ra
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possible in these lands during Khar
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Hence. it may be argued that since
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It is mainly due to scarcity <stron
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project. where it is very high at R
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proper coordination between variOUS
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deficiencies that help drawing less
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conjunctive use of
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3) Again. due to the high density <
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Table 6.13: Details of</str
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doubts about the senousness <strong
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practice IS more conspIcuous In the
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2.05 HP as compared to 1.68 HP in t
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large holders have spent two to thr
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Farming is considered mostly as a s
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The profitability
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noticed in the case of</str
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The Cobb-Douglas (CD) Function has
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· 13 Bank assistance programme and
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etween I to 2 ha. are to arrange fo
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Table 6.22: Status of</stro
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Though almost all the farmers repor
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3854 in the middle reaches. The pro
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The net income from vegetables and
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Appendix 6.1: Project-Wise Physical
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Chapter 7 On-Farm Development: Dete
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It can be seen from the survey data
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een made to examme as to how many f
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a farmer to use water from the dist
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The farmers were asked to reflect u
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evamping needed to reorient the MCS
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supplies. What is more interesting
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the knowledge of i
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All of the five ex
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It is evident from the table that t
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implications on the dynamics <stron
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competitive monocropl2 as no other
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of conversion thro
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involving farmers as active members
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The viability of p
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factors l8 . As a result. the agric
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The rise in price of</stron
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may be observed that the canal seep
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process of paddy l
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Table 7.19: Productivity and gross
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The technical constraints In the de
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2) Lack of irrigat
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manure or fertilisers are also do n
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according to the conventional basin
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Registration Act, 1860 in the erstw
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The pattern of act
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eported by CADA of
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Appendix 7.2: Paddy land conversion
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d,l!llS in the post-independence pc
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all(lcatioll ill the absence <stron
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irrigation commands. Th;; stud) was
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comparative COSI .:conomlcs <strong
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time lag involved in completion uf
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the state has increased by about 46
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cultivation of com
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through the effective implementatiC
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een the highest in Kallada project
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It was noticed that among the vario
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The institutional paradigm evolved
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of India to be rel
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economically viable. This underscor
Page 369 and 370:
The intensity and spread of
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of allocation and
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shows that filed realities have not
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as water management related factors
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labour intensive farming operations
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Given the dynamics, problems and co
Page 381 and 382:
ground realities associated with cr
Page 383 and 384:
Dhawan, B.D. (1989): Sludies in Irr
Page 385 and 386:
Kothari, Rajni, (1989): Politics an
Page 387 and 388:
Vaidyanathan, A (1999): Water Resou
Page 389 and 390:
Ghosh, Prabir De, Budhadeb (1998):
Page 391 and 392:
Nair, Sukumaran, M.K. (1999): 'Rura
Page 393 and 394:
Varadan, K,~ (1999): 'Estimation <s
Page 395 and 396:
GOK (1967b): Evaluation of<
Page 397 and 398:
Ferrer. A.M., .L.e. Lucero (1988):
Page 399 and 400:
Suresh, K.A. (2000): 'Group Managem
Page 401 and 402:
Tomlinson, B.R. (1992): 'The Indian
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