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Is India Better off Today than 15 Years ago? A Robust Multidimensional Answer

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Author Info
Nicolas Gravel () (Greqam)
Abhiroop Mukhopadhyays () (Indian Statistical Institute, Delhi, India)

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Abstract

This paper provides a robust normative evaluation of the spectacular growth episode that India has experienced in the last 15 years. Specifically, the paper compares the evolution, between 1998, 1996 and 2001 of the distribution of several important individual attributes on the basis of ethically robust dominance criteria. The individual attributes considered are real consumptions (measured at the individual level), literacy rate, infant mortality and violent crime rates (all measured at the district levels). District level variables are interpreted as (local) public goods which, along with consumption, are assumed to contribute to individual well being. The robust criteria used are generalizations, to more than two attributes, of the first and the second order dominance criteria of Atkinson and Bourguignon (1982) and are known to correspond to the unanimity of utilitarian value judgements taken over a specific class of individual utility functions. The main result of the empirical analysis is that all utilitarian rankings of distributions of the four attributes who assume tha individual utility functions satisfy the assumptions of second order dominance aggree that India is better off in 2002 than in 1996. Furthermore, if one removes crime from the list of attributes, the dominance is shown to apply steadily over the whole period and to be of first order on the period 1988-1996.

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Paper provided by Institut d'economie publique (IDEP), Marseille, France in its series IDEP Working Papers with number 0704.

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Length: 46 pages
Date of creation: 18 May 2007
Date of revision: 18 May 2007
Handle: RePEc:iep:wpidep:0704

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Related research
Keywords: Poverty; Welfare; Dominance; Multidimensional; Development; local public goods.;

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Find related papers by JEL classification:
D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
H4 - Public Economics - - Publicly Provided Goods
I12 - Health, Education, and Welfare - - Health - - - Health Production
I2 - Health, Education, and Welfare - - Education
I31 - Health, Education, and Welfare - - Welfare and Poverty - - - General Welfare
I32 - Health, Education, and Welfare - - Welfare and Poverty - - - Measurement and Analysis of Poverty
I38 - Health, Education, and Welfare - - Welfare and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
N35 - Economic History - - Labor and Consumers, Demography, Education, Income, and Wealth - - - Asia including Middle East
O18 - Economic Development, Technological Change, and Growth - - Economic Development - - - Regional, Urban, and Rural Analyses

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References listed on IDEAS
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  1. Allison, R. Andrew & Foster, James E., 2004. "Measuring health inequality using qualitative data," Journal of Health Economics, Elsevier, vol. 23(3), pages 505-524, May. [Downloadable!] (restricted)
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  5. Gaurav Datt & Martin Ravallion, 2002. "Is India's Economic Growth Leaving the Poor Behind?," Journal of Economic Perspectives, American Economic Association, vol. 16(3), pages 89-108, Summer. [Downloadable!] (restricted)
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  6. Fleurbaey, M. & Hagnere, C. & Trannoy, A., 1998. "Welfare Comparisons with Bounded Equivalence Scales," Papers 9823, Paris X - Nanterre, U.F.R. de Sc. Ec. Gest. Maths Infor..
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  7. Ian Crawford, 2005. "A nonparametric test of stochastic dominance in multivariate distributions," Department of Economics Discussion Papers 1205, Department of Economics, University of Surrey. [Downloadable!]
  8. Bourguignon, Francois, 1989. "Family size and social utility : Income distribution dominance criteria," Journal of Econometrics, Elsevier, vol. 42(1), pages 67-80, September. [Downloadable!] (restricted)
  9. Dasgupta, Partha & Sen, Amartya & Starrett, David, 1973. "Notes on the measurement of inequality," Journal of Economic Theory, Elsevier, vol. 6(2), pages 180-187, April. [Downloadable!] (restricted)
  10. NICOLAS GRAVEL & PATRICK MOYES & BENOÎT TARROUX, 2009. "Robust International Comparisons of Distributions of Disposable Income and Regional Public Goods," Economica, London School of Economics and Political Science, vol. 76(303), pages 432-461, 07. [Downloadable!] (restricted)
  11. Lipton, Michael & Ravallion, Martin, 1993. "Poverty and policy," Policy Research Working Paper Series 1130, The World Bank. [Downloadable!]
    Other versions:
    • Lipton, Michael & Ravallion, Martin, 1995. "Poverty and policy," Handbook of Development Economics, in: Hollis Chenery† & T.N. Srinivasan (ed.), Handbook of Development Economics, edition 1, volume 3, chapter 41, pages 2551-2657 Elsevier. [Downloadable!] (restricted)
  12. Russell Davidson & Jean-Yves Duclos, 2000. "Statistical Inference for Stochastic Dominance and for the Measurement of Poverty and Inequality," Econometrica, Econometric Society, vol. 68(6), pages 1435-1464, November.
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  13. Jean-Yves Duclos & David E. Sahn & Stephen D. Younger, 2006. "Robust Multidimensional Poverty Comparisons," Economic Journal, Royal Economic Society, vol. 116(514), pages 943-968, October. [Downloadable!] (restricted)
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  14. Shorrocks, Anthony F, 1983. "Ranking Income Distributions," Economica, London School of Economics and Political Science, vol. 50(197), pages 3-17, February. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Nicolas Gravel & Benoit Tarroux, 2008. "Robust Normative Comparisons of Socially Risky Situations," IDEP Working Papers 0806, Institut d'economie publique (IDEP), Marseille, France, revised 15 Oct 2008. [Downloadable!]
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