The list of Nobel laureates in economics in recent years is dominated byOECD academics. The science of economics has appeared to follow the nationaleconomic policies of these countries, divorced from the socio-economicrealities in developing countries.

With this year's nomination, the world has finally awakened to the concernsof the majority of the global population. The global economy, battered byrecession, has perhaps put privatisation and globalisation on hold fornow.

During this period, three economists from South Asia joined efforts todevelop an economic philosophy which provided a fair space for developingcountry concerns: Mahbub ul Haq, author of the UNDP's Human DevelopmentReports, Meghnad Desai of the London School of Economics and Amartya Sen.This new thinking was the golden midway between socialist planning andprivatisation. The recent debacle of both these ideologies necessitated anew thinking whose concerns were investment in human development and socialwelfare. To develop such a paradigm was significant in an academic milieuwhose concerns were predominantly economic growth and industrialinvestment.

In 1990, the three joined their efforts under the UNDP's aegis to preparethe Human Development Reports (HDRs). Alongwith Haq, Desai and Sen have beenthe advisor and the consultant in this project.

Recent decades have indicated that there is no obvious cause and effectrelationship between economic growth and human development. Sen has stressedthe structure and quality of growth. So far it has been a jobless growth, avoiceless growth not accompanied by an extension of democracy. It is afutureless growth, with unsustainable and reckless exploitation of naturalresources, and a ruthless growth which has caused ever-wideningdisparities.

The HDRs are an enlightened commentary on modern civilisation and globalsociety. They have redefined human development by taking into account lifeexpectancy, health, knowledge and social security. I had the opportunity tojoin the launch of the ninth HDR this year, as the distinguished ambassadorof the UNDP for human development. It reminded me of my first associationwith this project, conceptualised by the late Mahbub ul Haq who stressed theneed to modify liberalisation to accommodate human development. I told himit was essential that the nodal points of human development aredecentralised and peoples' representatives involved. Sen has also acceptedthat India's successful experiment in democracy could form a basis forefforts towards comprehensive human development.

This year's HDR deals with consumption patterns. It is startling to notethat just two percent people usurp 86 percent of world consumption. Theremaining 8 per cent are sustained on 14 per cent of consumable resources.The Earth Council has prepared a report to indicate consumption levels indifferent countries. According to its findings the consumption-adjustedpopulation of the USA is around 23000 million as against its actualpopulation of 249 million. India with its 900 million actual population, has4000 million as adjusted population.

About $40 billion are needed for human-development infrastructure indeveloping countries. About 60 percent of their people lack basicsanitation. A third lack access to clean water, a quarter lack adequatehousing. Twenty percent do not have access to modern health facilities. Onthe other hand the developed countries spent more than $ 50 billion oncosmetics, perfumes and other luxury items. The richest 20 percent consume60 percent of total energy whereas the poorest 20 percent are left with just4 percent. Three-fourths of telecom lines go to the richest 20 percent; thepoorest 20 percent are left with 2 percent.

In the interest of social peace and stability we must remove thesedisparities. The depletion of natural resources results in greaterdeprivation in the developing countries. This year's HDR observes:``Today's consumption is undermining the environmental resource base. It isexacerbating inequalities. And the dynamics of theconsumption-poverty-environmental nexus are accelerated...''

In the last fifty years world consumption has increased six-fold to reach$24 trillion. Consumption of fossil fuel has quintupled. Fresh waterconsumption has doubled since the '60s. Our planet is producing waste beyondits capacity to absorb or convert. In the last half century carbon dioxideemissions have quadrupled. Cities have become gas chambers. Global warminghas assumed alarming proportions. Countries like Bangladesh are facing therage of nature for the fault of an affluent few. Recent studies haveindicated a change in global climatic patterns that will adversely effectdeveloping countries. In this horrifying backdrop the per capita wasteproduction in the OECD countries has increased three-fold in 20 years.No doubt the recent consumption explosion offers greater choice to people.But there is an increasing polarisation of wealth. This may spell doom forthe global economic system. I find the root cause of current globalrecession in this polarisation. There is an acute dearth of purchasing powerand demand among the deprived sections of the population. Developingcountries are facing the deficit of past centuries. The onus of reformingthe global order cannot be passed over to them. There should be a socialaudit and violators must be made to pay.

South Asia can find a solution in Mahatma Gandhi's philosophy that thehaves shall be the trustees of the interests of the have-nots, that thepresent generations shall be the trustee of resources for future ones, thathuman beings will be the trustees of entire eco-systems.

The new paradigm would require people to be educated and informed, driven byhuman values and not by dictates of the market, and enlarged opportunitiesto participate in key decisions on freedom and democracy.Although the world has traveled a long way away from Mahatma Gandhi, we canfind some hope in the writings of Amartya Sen, Mahbub ul Haq and Desai.

The writer is Dy Chairman of the Rajya Sabha and Distinguished Ambassadorof the UNDP for Human Development