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The Dynamics of Income Growth and Poverty: Evidence from Districts in India

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  • Anurag Narayan Banerjee
  • Nilanjan Banik
  • Jyoti Prasad Mukhopadhyay

Abstract

type="main" xml:id="dpr12110-abs-0001"> This article examines the dynamics of the income-distribution pattern in India during the post-1991 economic reforms. It considers district-level per-capita income data across agriculture, manufacturing, services, and various constituent sub-sectors, and finds evidence in favour of a uniform process of growth across sectors and regions, which has helped to reduce poverty. In particular, the article finds that growth in agricultural income and access to finance are important for this.

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  • Anurag Narayan Banerjee & Nilanjan Banik & Jyoti Prasad Mukhopadhyay, 2015. "The Dynamics of Income Growth and Poverty: Evidence from Districts in India," Development Policy Review, Overseas Development Institute, vol. 33(3), pages 293-312, May.
  • Handle: RePEc:bla:devpol:v:33:y:2015:i:3:p:293-312
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    References listed on IDEAS

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    1. Robin Burgess & Rohini Pande, 2005. "Do Rural Banks Matter? Evidence from the Indian Social Banking Experiment," American Economic Review, American Economic Association, vol. 95(3), pages 780-795, June.
    2. Quah, Danny T, 1996. "Twin Peaks: Growth and Convergence in Models of Distribution Dynamics," Economic Journal, Royal Economic Society, vol. 106(437), pages 1045-1055, July.
    3. Charles I. Jones, 1997. "On the Evolution of the World Income Distribution," Journal of Economic Perspectives, American Economic Association, vol. 11(3), pages 19-36, Summer.
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    6. Quah, Danny, 1996. "Twin peaks : growth and convergence in models of distribution dynamics," LSE Research Online Documents on Economics 2278, London School of Economics and Political Science, LSE Library.
    7. Rosenzweig, Mark R, 1990. "Population Growth and Human Capital Investments: Theory and Evidence," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages 38-70, October.
    8. Levine, Ross & Renelt, David, 1992. "A Sensitivity Analysis of Cross-Country Growth Regressions," American Economic Review, American Economic Association, vol. 82(4), pages 942-963, September.
    9. Singh, Nirvikar & Kendall, Jake & Jain, R.K. & Chander, Jai, 2013. "Regional Inequality in India in the 1990s: A Further Look," Santa Cruz Department of Economics, Working Paper Series qt8pd8n5qn, Department of Economics, UC Santa Cruz.
    10. Harris, John R & Todaro, Michael P, 1970. "Migration, Unemployment & Development: A Two-Sector Analysis," American Economic Review, American Economic Association, vol. 60(1), pages 126-142, March.
    11. Danny Quah, 1996. "Twin Peaks: Growth and Convergence in Models of Distribution Dynamics," CEP Discussion Papers dp0280, Centre for Economic Performance, LSE.
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    Cited by:

    1. Kim, Rockli & Mohanty, Sanjay K. & Subramanian, S.V., 2016. "Multilevel Geographies of Poverty in India," World Development, Elsevier, vol. 87(C), pages 349-359.

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