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Poverty Reduction by Decentralisation: A Case for Rural Panchyats in Tamil Nadu

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Author Info
Sivagnanam, K. Jothi

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Abstract

An attempt has been made in this paper to study the linkage between decentralisation and poverty reduction with special reference to panchayati raj institutions in Tamil Nadu. The policy implication of the study emphasises that the process of decentralisation should be designed and implemented so as to achieve required reduction in poverty. In the globalised era, decentralization has attracted significant interest in recent years. Decentralization is being seen as one of the missing institutional link between economic growth and distributive justice. Decentralisation is linked to poverty reduction in many ways. While decentralization has become a development strategy of many developing countries, its linkage to poverty reduction in particular has been the subject of recent time. In India, where social and rural sector are still backward and further affected by the ongoing liberalisation, privatisation and globalisation process, even high growth rates and innumerable poverty eradication schemes of the union as well as the state governments have failed to ensure distributive justice and left millions in sustained deprivation. Panchayati raj institutions could be a promising institutional link to combat poverty in terms of efficient designing and effective targeting.

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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 3210.

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Date of creation: 22 Jul 2007
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Handle: RePEc:pra:mprapa:3210

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Related research
Keywords: Poverty Reduction; Decentralisation; Rural Panchayats; Tamil Nadu;

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Find related papers by JEL classification:
I38 - Health, Education, and Welfare - - Welfare and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
R51 - Urban, Rural, and Regional Economics - - Regional Government Analysis - - - Finance in Urban and Rural Economies
H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Health, Education, and Welfare

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References listed on IDEAS
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  1. Charles Brown & Wallace E. Oates, 1987. "Assistance to the Poor in a Federal System," NBER Working Papers 1715, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  2. Bird, Richard M. & Litvack, Jennie I. & Rao, M. Govinda, 1995. "Intergovernmental fiscal relations and poverty alleviation in Viet Nam," Policy Research Working Paper Series 1430, The World Bank. [Downloadable!]
  3. K., Jothi Sivagnanam, 2006. "New approach to planning in Tamil Nadu: Targeting the growth process
    [Planning with ‘Human Face’: Tamil Nadu’s Approach towards ‘Correctives’]
    ," MPRA Paper 3206, University Library of Munich, Germany. [Downloadable!]
  4. Prud'homme, Remy, 1995. "The Dangers of Decentralization," World Bank Research Observer, Oxford University Press, vol. 10(2), pages 201-20, August.
  5. Richard M. Bird, 2000. "Intergovernmental Fiscal Relations: Universal Principles, Local Applications," International Studies Program Working Paper Series, at AYSPS, GSU paper0002, International Studies Program, Andrew Young School of Policy Studies, Georgia State University. [Downloadable!]
  6. Wallace E. Oates, 1999. "An Essay on Fiscal Federalism," Journal of Economic Literature, American Economic Association, vol. 37(3), pages 1120-1149, September. [Downloadable!] (restricted)
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