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Gopal Siwkoti, then an attor- ney with the Washington-based International Human Rights Law Group, also provided materials and shared his insights on the de- velopment of Nepalese politics during the prodemocracy movement. Additionally, Thierry Mathou, a member of the staff of the Embassy of France in Washington, who is preparing his own manuscript on Bhutan, reviewed the Bhutan text and provided help- ful research materials and insights. Staff of the Permanent Mission to the United Nations of the Kingdom of Bhu- tan kindly provided maps, photographs, and documentary infor- mation on Bhutan. Shaw for lending his expertise on Nepal and Bhutan in serving as reader of the completed manuscript.

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The books represent the analysis of the authors and should not be construed as an expression of an official United States govern- ment position, policy, or decision.

Particular attention is devoted to the people who make up the society, their origins, dominant beliefs and values, their com- mon interests and the issues on which they are divided, the nature and extent of their involvement with national institutions, and their attitudes toward each other and toward their social system and political order.

The material on Sikkim has been dropped; readers should consult India: A Country Study for information on Sikkim.

Nepal and Bhutan: Country Studies is an effort to present an objec- tive and concise account of the social, economic, political, and na- tional security concerns of contemporary Nepal and Bhutan within historical frameworks.

C 20402 Foreword This volume is one in a continuing series of books prepared by the Federal Research Division of the Library of Congress under the Country Studies/ Area Handbook Program sponsored by the Department of the Army.

vi Contents Page Foreword iii Acknowledgments v Preface xiii Introduction , XV Table A. 700 4 Early Influences on Nepal 4 The Early Kingdom of the Licchavis, 400-750 6 MEDIEVAL NEPAL, 750-1750 9 Transition to the Medieval Kingdom, 750-1000 9 The Malla Kings 10 The Three Kingdoms 12 THE MAKING OF MODERN NEPAL 15 The Expansion of Gorkha 15 The Struggle for Power at Court 18 The Enclosing of Nepal 20 Infighting among Aristocratic Factions 23 RANA RULE 26 The Kot Massacre 26 The Dictatorship of Jang Bahadur 27 The Rana Oligarchy 32 The Growth of Political Parties 36 The Return of the King 38 The Democratic Experiment 41 The Panchayat System under King Mahendra 44 Modernization under King Birendra 48 Chapter 2. Shrestha GEOGRAPHY 56 The Land 56 vii Climate 60 The River System 62 POPULATION 65 Population Structure and Settlement Patterns 65 Urbanization 67 Migration 69 Population Planning 72 Caste and Ethnicity 74 SOCIAL SYSTEM AND VALUES 81 Rural Society and Kinship 83 Women's Status and Role in Society 86 Social Classes and Stratification 87 RELIGION 88 Religion and Society 88 Hinduism 90 Buddhism 91 EDUCATION 92 Education under Rana Rule 92 Education since 1951 94 HEALTH 98 Diseases and Disease Control 98 Health-Care Facilities 100 Chapter 3. Shukla ECONOMIC SETTING 107 ROLE OF GOVERNMENT 108 The Five- Year Plans 108 Other Development Programs 112 BUDGETING PROCESS 113 Regular and Development Budget 113 Taxation 113 MONEY AND BANKING 114 FOREIGN TRADE 116 BALANCE OF PAYMENTS 118 FOREIGN AID 119 LABOR 121 AGRICULTURE 122 LAND REFORM 124 FORESTS 125 INDUSTRY 126 Manufacturing 127 Private Industry 127 Vlll Public Companies 128 Minerals 128 ENERGY 129 TRANSPORTATION 133 Roads 133 Railroads 135 Ropeways 136 Civil Aviation 136 Other Modes of Transportation 137 COMMUNICATIONS 137 TOURISM 138 PROBLEMS AND PROSPECTS 139 Chapter 4. 143 Enayetur Rahim CONSTITUTIONAL DEVELOPMENT 146 The Rana System 146 The Interim Constitution, 1951 147 The Royal Constitution of 1959 148 The Panchayat Constitution, 1962 149 Constitutional Amendments 150 The Referendum of 1980 150 The Constitution of 1990 152 Other Features of the Constitution 154 The Executive 154 The Legislature 155 The Judiciary 157 The Civil Service 159 The Administrative System 159 POLITICAL DYNAMICS 161 The Panchayat System 161 Political Parties 166 Elections 171 THE MEDIA 176 FOREIGN POLICY 179 Relations with India 180 Relations with Other South Asian Nations 183 Relations with China 184 Relations with the United States 187 Relations with Britain 189 Relations with the Soviet Union 189 Relations with Other Countries 190 International and Regional Organizations 190 IX Chapter 5. Makeig ARMED FORCES AND SOCIETY 198 Origins of the Legendary Gurkha 198 From the Anglo-Nepalese War to World War II ....

78 8 Nepal: Shares of Gross Domestic Product, 1989 126 9 Nepal: Transportation System, 1991 134 10 Nepal: Structure of the Government, 1991 156 11 Nepal: Organization of the Armed Forces, 1991 210 xi 12 Nepal: Military Ranks and Insignia, 1991 222 13 Bhutan: Administrative Divisions, 1991 244 14 Bhutan: Topography and Drainage 268 15 Bhutan: Population Distribution by Age and Sex, 1988 274 16 Bhutan: Transportation System, 1988 310 17 Bhutan: Structure of the Government, 1991 320 xii Preface This is the first edition of Nepal and Bhutan: Country Studies.

It supersedes the 1973 Area Handbook for Nepal, Bhutan, and Sikkim.

Full refer- ences to these and other sources appear in the Bibliography.

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