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Federalism in Nepal

How will poverty rates, ethnic composition and local tax incomes vary with the map drawn for a new federal Nepal -- status quo or an ethnic based federalism, motivated by a demand for autonomy?

Kathmandu

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Dr. Magnus Hatlebakk
Senior Researcher, Chr. Michelsen Institute

Abstract
Hatlebakk will discuss how poverty rates, ethnic composition and local tax incomes will vary with the map drawn for a new federal Nepal. There are two broad federal solutions. The Maoists and regional fronts are in favor of an ethnic based solution with 10-14 provinces named after the largest ethnic group in each area. The mainstream parties prefer a solution with 6-7 provinces, similar to the present administrative solution where each province should contain both hill and Terai (the plains) districts. Hatlebakk argues that ethnic based federalism, which is motivated by a demand for autonomy, will in fact create a need for a strong centre that will have to reallocate economic resources to, in particular, a poor western hill province.

​Dr. Hatlebakk studies household level poverty traps that may result from inferior positions in the rural labor and credit markets. He applies game theory as well as quantitative and qualitative empirical methods to understand the relatively complex economic- and social interactions between landlords and the less wealthy households within village economies. More recently, his research has developed into a focus on economic and social exclusion, in particular bonded labor and caste-based discrimination, as well as analysis of the civil conflicts in Nepal. Hatlebakk is also involved in research on nutritional demand among the poor, and the quality of rural health services.

All are welcome!