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Transition pattern of Indian states across different categories of growth and development: Post economic liberalisation experience

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  • Saksena, Shalini
  • Deb, Moumita

Abstract

This paper analyses the emerging trends in twenty eight major states in India in respect of few key parameters which have an intrinsic bearing on social and economic development and establishes the economic growth (EG) - human development (HD) nexus in the post economic reforms era (1990s to 2010s). Data for the period 1990 to 2011/12 is used to analyse the relative performance of Indian states on human development and growth indicators and determine if inter-state disparity has increased or decreased over time. The two way relationship between EG and HD is empirically estimated using cross section pooled data. Further, states are classified into four different categories of growth and development: (i) vicious cycle (low EG - low HD), (ii) virtuous cycle (high EG - high HD), (iii) lopsided-EG (high EG - low HD) and (iv) lopsided-HD (low EG - high HD), for the years 1993, 1999-2000 and 2011-12. The pattern of transition of states across different categories over the two decades is traced. Such categorization and the shifts therein have obvious policy implications. The paper highlights the need for more focused regional planning and a simultaneous policy thrust on EG and HD to enable states escape the vicious cycle of low growth and development.

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  • Saksena, Shalini & Deb, Moumita, 2016. "Transition pattern of Indian states across different categories of growth and development: Post economic liberalisation experience," Business and Economic Horizons (BEH), Prague Development Center (PRADEC), vol. 12(3).
    • Handle: RePEc:ags:pdcbeh:264615
    DOI: 10.22004/ag.econ.264615
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    1. Gustav Ranis & Frances Stewart, 2005. "Dynamic Links between the Economy and Human Development," Working Papers 8, United Nations, Department of Economics and Social Affairs.
    2. Sen, Amartya, 2001. "Development as Freedom," OUP Catalogue, Oxford University Press, number 9780192893307.
    3. World Commission on Environment and Development,, 1987. "Our Common Future," OUP Catalogue, Oxford University Press, number 9780192820808.
    4. Sacchidananda Mukherjee & Satadru Sikdar & Debashis Chakraborty, 2014. "Three Decades of Human Development across Indian States: Inclusive Growth or Perpetual Disparity?," Working Papers id:5929, eSocialSciences.
    5. Sacchidananda Mukherjee & Debashis Chakraborty, 2007. "Environment, Human Development and Economic Growth after Liberalisation : An Analysis of Indian States," Development Economics Working Papers 22505, East Asian Bureau of Economic Research.
    6. Roy, Satyaki, 2012. "Regional Disparities in Growth and Human Development in India," MPRA Paper 43841, University Library of Munich, Germany.
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    2. P. K. Viswanathan & Chandra Sekhar Bahinipati, 2021. "Growth and human development in the regional economy of Gujarat, India: an analysis of missed linkages," Journal of Social and Economic Development, Springer;Institute for Social and Economic Change, vol. 23(1), pages 25-47, June.

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