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Regional Disparities in Growth and Human Development in India

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  • Roy, Satyaki

Abstract

This paper argues that per capita income in all states in India increased in the past four decades but in fact no sign of convergence could be visible as it was expected in the context of liberalizing markets. The paper shows that disparities in terms of income were higher within the rural areas across states compared to their urban counterparts. This might be a reflection of a converging trend in terms of opportunities available in the cities and towns across states. The paper identifies a declining gap in terms of various human development indices such as literacy rate, general enrollment ratio and life expectancy at birth across states and shows that gaps also declined between the rural and urban segments within states. The paper however argues that performance in terms of various dimensions of human development increases with income but at a declining rate which is indicative of the fact that per capita income at higher levels becomes less important in generating gains in terms of basic human development indices. Finally, the paper compares the performance of the states in terms of human development over the years including that computed from the latest available data and shows that the relative positions of the states did not undergo much change over the years.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 43841.

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Date of creation: Sep 2012
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Handle: RePEc:pra:mprapa:43841

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Keywords: growth; per capita income; human development;

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  1. Sugden, Robert, 1993. "Welfare, Resources, and Capabilities: A Review [Inequality Reexamined]," Journal of Economic Literature, American Economic Association, vol. 31(4), pages 1947-62, December.
  2. Alejandro Ramirez & Gustav Ranis & Frances Stewart, . "Economic Growth and Human Development -," QEH Working Papers qehwps18, Queen Elizabeth House, University of Oxford.
  3. Sakiko Fukuda-Parr, 2003. "The Human Development Paradigm: Operationalizing Sen'S Ideas On Capabilities," Feminist Economics, Taylor & Francis Journals, vol. 9(2-3), pages 301-317.
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