entrepreneur ship

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Entrepreneurship of Weaker Sections

Sociology

Submitted by:

V.Gowtham Reddy

ROLL NO: 2013132

SEMESTER II

DAMODARAM SANJIVAYYA NATIONAL LAW UNIVERSITY

Visakhapatnam

MARCH 2014

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Index

Acknowledgement 3

Introduction 4Research Methodology 6DATA 7A Framework with Entrepreneurial Innovation 8The Importance of Social Entrepreneurship 8 ENTREPRENEURSHIP DEVELOPMENT INSTITUTES (EDIs) 8NIMSME 9Funding 10QUESTIONAIRE 12RESEARCH FINDINGS 13BIBLIOGRAPHY 15

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Acknowledgement

I take this opportunity to thank the sociology faculty Mr.lakshime patay raju

for giving me the topic which give me a better insight about the topic. i also

take this opportunity to thank Dr Burra Manikya rao for helping me in

searching book to completion of project. i also thank my parents and friends

for providing me with the timely help.

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Introduction:

Endogenous growth theory captures that knowledge accumulates through the arrival of

innovations which are an outcome of profit-oriented R&D investments. Any set of

instructions for a quality-improvement, process innovation or a new good can be applied

without non-rivalry to the manufacturing process. It has been argued that, therefore, the

size of population inevitably affects either the long-run growth rate of per capita income

(“strong scale effect”) or its long-run level (“weak scale effect”).

Strong scale effects, featured by first-generation models of endogenous growth (Romer,

1990; Grossman and Helpman, 1991; Aghion and Howitt, 1992), are inconsistent with

the fact that the number of researchers has substantially increased over time while

productivity growth rates have remained relatively stable (see Jones 1995a,b).1 They

were successfully removed in a series of papers (e.g. Jones, 1995a; Dinopoulos and

Thompson, 1998; Peretto, 1998; Segerstrom, 1998; Young, 1998; Howitt, 1999). These

contributions instead predict the weak form of scale effects (Jones, 1999). In fact,

conventional wisdom holds that “the weak form of scale effects is so inextricably tied to

idea-based growth that rejecting one is largely equivalent to rejecting the other”

Dependency of long-run per capita income on population size has far-reaching policy

implications. For instance, it suggests that goods market integration, by increasing the

size of the economy, raises living standards.2 Moreover, it suggests that the demographic

change which is projected for many developed countries will impede advancements of

the world’s technological frontier. So-called “semi-endogenous” growth models (e.g.

Jones, 1995a, 2002, 2005) even suggest that economic growth is driven exclusively by

population growth in the long-run, as an implication of weak scale effects It may

therefore be argued on basis of R&D-based growth theory that governments should take

action to raise fertility.

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In view of international linkages and associated international technological spillovers it is

beside the point to dismiss scale effects by arguing that small economies like

Luxembourg, Switzerland or Hongkong are among the richest. Cross-country studies

which examine the impact of larger population size on per capita income therefore

account for international trade relations. They provide mixed evidence in support of weak

scale effects. For instance, Hall and Jones (1999) regress per capita income on population

size while controlling for instrumented “social infrastructure” − an index which includes

a measure of trade openness. They find that population size enters insignificantly.

Frankel and Romer (1999) show that when trade volumes are instrumented for by

geographical variables “there is a positive [...] relation between country size and income

per person”, which however is “only marginally significant” (p. 387). Rodrik,

Subramanian and Trebbi (2004) redo a similar analysis by using instruments for measures

of institutional quality as well, in addition to instrumenting trade volumes. In contrast to

Frankel and Romer (1999), they find insignificant and sometimes even negative effects of

larger population size on per capita income. Also consistent with the absence of scale

effects, another strand of literature suggests that the impact of an increase in the

population growth rate on the growth rate of per capita income is either in significant or

negative (Brander and Dowrick, 1994; Ahituv, 2001; Kelley and Schmidt, 2005).This

paper develops a simple vertical innovation model where a larger populationnsize not

only leaves the long-run growth rate unaffected but also the level of per capita income.

As not only strong scale effects but also weak ones are absent, faster population growth

may not be positively related to the long-run growth rate of per capita income. Long-run

economic growth is sustained also if there is no population growth

In contrast to the previous literature and reflecting the focus on entrepreneurial innovation

of heterogeneous final good producers, the framework abstains from assuming that the

aggregate production level is a function of some composite commodity index of

imperfectly substitutable intermediate products (Dixit and Stiglitz, 1977; Ethier, 1982).

The equilibrium number of firms is proportional to the size of the workforce in the long-

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run. Although the entry process is modelled differently, this feature is also contained in

several vertical innovation models which remove strong scale effects (e.g. Peretto, 1998;

Young, 1998) and is consistent with empirical evidence (Laincz and Peretto, 2006). In the

proposed framework, it also removes weak scale effects. Dalgaard and Kreiner (2001) as

well as Strulik (2005, 2007) have shown that scale invariant endogenous growth is

possible in infinite-horizon models with an ever increasing human capital level, like in

Lucas (1988). For instance, in Dalgaard and Kreiner (2001), the aggregate human capital

level is proportional to aggregate final output. For notable exceptions, see e.g. Clemens

(2006) as well as García-Peñalosa and Wen (2008). They consider occupational choice in

the context of entrepreneurial risk-taking. As a result, higher population growth exerts a

congestion effect on human capital per worker. It has the same impact as an increase in

the depreciation rate of the per capita level of human capital (Strulik, 2005, 2007).

Consequently, long-run R&D-based growth is not necessarily related to population

growth in a positive way. The overlapping generations structure in this paper abstains

from assuming infinite human capital accumulation. For simplicity, and to put the

contrast to the previous literature in its sharpest relief, human capital is exogenous.

Research Methodology

The research on the topic “RURAL EMPLOYMENT PROGRAMME” would require

non-doctrinal mode of research.

Non-doctrinal research required me to visit a village in chitoor district, a village

named ‘Pileru’. My research work based on the inhabitants of that area only. I

personally liked that village, as villagers were aware of their rights and the plans

of the government for them. The village is very beautiful with awesome land

scenic beauty, with mountain and a small stream of water especially managed by

the Government of Andhra Pradesh for irrigation in the fields.1

1 An Evaluation of Rural Employment Generation Programmes in Chittoor District, Mr. P. Nagaraju, Prof. A. Padmavathi

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DATA:

State % of Rural household provided

employment under

MGNREGA as per NSSO

% of rural household provided

employment under

MGNREGA as per MIS/MPR

Average person days/Households

as per NSSO

Average person days/Households as per MPR/MIS

Andhra Pradesh 35 50 46 61Assam 18 27 32 42Bihar 10 16 24 32Chhattisgarh 48 61 35 44Gujarat 18 24 25 38Haryana 5 5 39 37Himachal Pradesh 33 31 47 64J & K 8 20 34 40Jharkhand 16 44 23 43Karnataka 8 42 30 58Kerala 11 23 26 36Madhya Pradesh 36 31 29 57Maharashtra 4 3 34 38Odisha 22 24 26 38Punjab 5 9 30 27Rajasthan 59 49 71 69Tamil Nadu 34 34 43 58Uttar Pradesh 16 24 31 58Uttrakhand 27 33 23 35West Bengal 24 25 37 54Total All India 24 25 37 54

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A Framework with Entrepreneurial Innovation

Now consider the following overlapping generations, discrete time framework with an

endogenous mass (“number”) of heterogeneous entrepreneurs who can invest in R&D.

Both goods and factor markets are perfect.

The Importance of Social Entrepreneurship

Social entrepreneurship applies practical, innovative, and sustainable approaches to

benefit society, with an emphasis on the marginalized and the socio economically

disadvantaged. Social entrepreneurs drive transformative change across all diff erent fi

elds and sectors, including but not limited to health, education, environment, and

enterprise development.2 They pursue their social mission with entrepreneurial creativity,

business methods, and the courage overcome traditional practices.

SCHEME FOR ASSISTANCE FOR STRENGTHENING OF TRAINING

INFRASTRUCTURE OF EXISTING AND NEW ENTREPRENEURSHIP

DEVELOPMENT INSTITUTES (EDIs)

The scheme envisages providing financial assistance to State-level existing/ proposed

institutions meant for supporting entrepreneurship development and self- employment

activities. Under this scheme, grant is given for setting up of new entrepreneurship

development institutions (EDIs) and also for up-gradation and modernisation of existing

EDIs in the country. Under the scheme, a matching grant of 50 per cent, subject to a

ceiling of Rs.100 lakh, is provided for building, equipment, training aids etc., the balance

2 Sudha V Menon, National Rural Employment Gaurentee Act, 1st edition, 2010

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being contributed by the State/Union Territory Governments and other agencies. The

financial assistance provided under this scheme is only catalytic and supportive to the

contribution and efforts of State/Union Territory Governments and other agencies. Under

no circumstances grant funds provided under the scheme can be used to meet the

recurring expenditure of the institute.

The institutions/organizations seeking assistance under this scheme should be registered

as not-for-profit organization with entrepreneurship development as its main objective,

should possess a clear title of the land required for setting up of the proposed/ existing

institution, have a separate bank account in a scheduled bank in which all receipts/funds

received by the institute should be credited and payments made on the basis of

authorization by the Governing Council of the institute. all the proposals under this

scheme are required to be recommended by and routed through the concerned State/UT

Government.

NATIONAL INSTITUTE FOR MICRO, SMALL AND MEDIUM ENTERPRISES (NI-

MSME), HYDERABAD

NI-MSME, formerly known as National Institute of Small Industry Extension Training

(NISIET), was set up in 1960 at New Delhi as a Department of Central Government

under the Ministry of Commerce and Industry and was initially known as Central

Industrial Extension Training Institute (CIETI). Subsequently, in 1962, it was shifted to

Hyderabad and converted into an autonomous society. In 1984, the Institute was renamed

as National Institute of Small Industry Extension Training (NISIET). after enactment of

the MSMED act, 2006, the Institute has been renamed as National Institute for Micro,

Small and Medium Enterprises (NI-MSME), w.e.f. 11th april 2007.

INDIAN INSTITUTE OF ENTRE- PRENEURSHIP (IIE), GUWA- HATI

The Indian Institute of Entrepreneurship (IIE) was set up at Guwahati in 1993. It took

over NI-MSME’s NER Centre w.e.f. 1st april, 1994. The Institute is completing 14th

year of its operation on 31st March 2008. During this period, the Institute has expanded

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its activities to a great extent covering all facets of MSME activities. Since its

establishment and up to March 2007, the Institute has organized 1167 training

programmes / workshops / seminars / meets with a cumulative participation of 38524

persons. The Institute has obtained ISO-9001-2000 certification from the Bureau of

Indian Standards. The Institute has expanded its canvas of activities not only in terms of

geographical coverage but also in terms of diversification into various related areas of the

activities pertaining to socio-economic development. The Institute regularly organises

training programmes and undertakes research and consultancy services in the field of

promotion of MSMEs and entrepreneurship.The kind and number of training

programmes organised and number of participants trained during 2006-07 and 2007-08

(up to December, 2007) along with projections for the last quarter of the current financial

year.

TABLE 1: PROVISION OF EMPLOYMENT ACROSS COUNTRY

Year Number of households provided employment (in

crore)

Average number of person days of work per household

Total Expenditure (in lakh)

2006-07 2.10 43 8823.35

2007-08 3.39 42 15856.88

2008-09 4.51 48 27250.10

2009-10 5.25 54 37905.23

2010-11 5.49 47 39377.27

2011-12* 4.99 43 38034.69

2012-13**

4.25 36 28073.51

Source: Standing Committee on Rural Development; Note: *Provisional ** As on 31.01.2013

Funding

the funds for entrepreneurships is provide from both state and central governments

now a day’s banks also providing loans with low interests to people who

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establishing small and medium scale industries which creates employment by3

them selves

The Central Government bears the costs on the following items:

* The entire cost of wages of unskilled manual workers.

*75% of the cost of material, wages of skilled and semi skilled workers.

*Administrative expenses as may be determined by the Central Government, which will

include interalia, the salary and the allowances of the Programme Officer and his

supporting staff, work site facilities.

*Expenses of the National Employment Guarantee Council.

The State Government bears the costs on the following items:

*25% of the cost of material, wages of skilled and semi skilled workers.

*Unemployment allowance payable in case the State Government cannot provide wage

employment on time.

* Administrative expenses of the State Employment Guarantee Council.

Districts have dedicated accounts for employment generation funds. They have submitted

their proposals based on clearly delineated guidelines so that funds may be distributed

efficiently at each level, and adequate funds may be available to respond to demand.

Under Entrepreneurship, fund releases are based on an appraisal of both financial and

physical indicators of outcomes

CHITOOR DISTRICT

PRIMARY DATA: There are totally 66 districts in chitoor district. The area in sq.km

15151.No. of villages inhabited are1498 and uninhabited 42. Total number of households

in chitoor districts are 848607. Sex ratio in pileru village is 998 and sex ratio in district is

982.Density of population in pileru is 318 and in district is 395.

QUESTIONAIRE

3 An Evaluation of Rural Employment Generation Programmes in Chittoor District, Mr. P. Nagaraju, Prof. A. Padmavathi

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The questions that I have asked from the Sample of people, I have selected, I have

selected 10 people as a group and so I am now mentioning the questions I have asked.

1. From How many days you all are under Entrepreneurship?

- 4 years

2. How many houses are given employment till date?

- In our village, about 150 homes are till date.

3. What about your Sanitation process?

- Before we were going to field and that was open sanitation but now with

proper sanitation programme, we have bathroom constructed in our home only

and a public toilet is also in all the nearby villages.

4. How many children do you all have?

- As a whole average the villagers have 2 children.

5. What’s your main occupation?

- Agriculture and cattle rearing was the main occupation.

6. How much wage do you got under Entrepreneurship programs?

- Some of them get 100/- and some get around 200/- based on their work

7. Do you all like way of Entrepreneurship make life easy?

- Yes, I made our life better and easier

8. Do you face any problem in earning wage?

- No, we always get our payments on time-

Sl.no Year TotalExpenditure

Household

Individual Men womenSC individual

ST individual

1 2006-07 8,132 2.31,952 3,48,380 1,62,644 1,85,736 1,20,032 19,015

2 2007-08 14,324.73 2,71,248 4,28,916 1,88,264 2,40,652 1,39,409 23,071

3 2008-09 15,510 2,36,808 3,94,444 1,79,088 2,15,356 1,29,918 20,283

4 2009-10 22,031 2,52,122 4,47,960 2,09,193 2,38,767 1,47,107 22,533

5 2010-11 25,377 2,18,821 3,77,147 1,74,493 2,02,654 1,32,230 18,924

6 2011-12 22,062 1,68,853 2,84,266 1,29,898 1,54,368 1,04,364 13,072

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7 2012-13 14,929 1,60,923 2,65,602 1,20,894 1,44,708 93,956 10,925

ACCORDING TO HINDU4:

CHITTOOR: Chittoor district tops in the implementation of rural employment guarantee

scheme said Murali, Project Director, and District Water Management Agency. Talking

to media persons here he said that 11,974 works had been taken up in 65 mandals of the

district of which 306 works have been completed and the remaining works were under

progress. An amount of Rs.3546.89 lakhs has been spent on the works so far, he said. In

all, 4, 93,500 job cards were issued to 47,773 families out of which 2, 09,158 labourers

were provided with employment.

RESEARCH FINDINGS

With reference to my research work in pileru village near tirupathi, I found,

1. There were a total of 630 families live there.

2. Out of 630, 450 are Below Poverty line.

3. Out of those 450 BPL families, there were 325 are extreme poor.

4. Near about 500 families are engaged in different Agricultural work and rest have

small business like Shops, Fruit Vendors, they go to tirupathi and sell their fruits,

vegetables to gain livelihood.

Years Men Women

2001-2011 225 300

4 LBS Journal of Management & Research, Year : 2008, Volume : 6, Issue : 1and2 Chhabra Sangeeta, Professor, Sharma G. L., Corporate Advisor

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2011-2013* 100 130

5. There are near about 100 Indira Homes are built there and more in construction.

6. Each house has a Room, a Kitchen and a Bathroom.

7. There is a special plan related to awareness of Sanitation is also going there.

8. Government contributed to 15 Km of road stretch which makes this village and other

near villages to be joined with each other.

9. Proper Irrigation facility was there.

BIBLIOGRAPHY

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JOURNALS: -An Evaluation of Rural Employment Generation Programmes in Chittoor District, Mr. P. Nagaraju, Prof. A. Padmavathi

- LBS Journal of Management & Research, Year: 2008, Volume: 6, Issue: 1and2 Chhabra Sangeeta, Professor, Sharma G. L., and Corporate Advisor.

- Article from Times of India

- Articles from Hindu

BOOKS: -Sudha V Menon, National Rural Employment Gaurentee Act, 1st edition, 2010 -Orient Black Swan, 2005 edition

WEBSITES: Online References:

http://www.googlebooks.co.in

SBI public portal

http://www.bookfinder.com/ (Bookfinder.com)

http://www.ebooks4free.net/ (Ebook4free.net)

http://www.free-ebooks.net/ (Free-ebooks.net)

http://www.wikipedia.org

.

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