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Human Development and Regional Disparities in India

  • Farhad Noorbakhsh

There is enough evidence to suggest that regional disparities within most developing countries are alarmingly high and probably increasing. This paper analyses regional disparities amongst major states in India to find out if they are on a convergence or further divergence course. It compares human development and poverty indices for various states in India and investigates if there has been any reduction in disparities over a decade. The analysis is extended to the evolution of disparities amongst the states with respect to a larger set of socio-economic indicators. A number of regional composite indices are constructed from the selected indicators and tested for their validity. The paper then suggests and applies a method for computing targets aiming at reducing regional disparities systematically. Finally a number of inequality and polarisation measures are employed to see the change in inequality and polarisation over the decade and whether the suggested method results in a reduction in both these phenomena.

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Paper provided by Business School - Economics, University of Glasgow in its series Working Papers with number 2003_12.

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Handle: RePEc:gla:glaewp:2003_12
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  1. Esteban, Joan & Ray, Debraj, 1994. "On the Measurement of Polarization," Econometrica, Econometric Society, vol. 62(4), pages 819-51, July.
  2. Ravallion, Martin & Datt, Gaurav, 2002. "Why has economic growth been more pro-poor in some states of India than others?," Journal of Development Economics, Elsevier, vol. 68(2), pages 381-400, August.
  3. Serge Coulombe, 2003. "Human Capital, Urbanization and Canadian Provincial Growth," Regional Studies, Taylor & Francis Journals, vol. 37(3), pages 239-250.
  4. Datt, Gaurav & Ravallion, Martin, 1996. "Why have some Indian states done better than others at reducing rural poverty?," Policy Research Working Paper Series 1594, The World Bank.
  5. Farhad Noorbakhsh, 1999. "Standards of living, human development indices and structural adjustments in developing countries: an empirical investigation," Journal of International Development, John Wiley & Sons, Ltd., vol. 11(1), pages 151-175.
  6. Graham Pyatt & Chau-nan Chen & John Fei, 1980. "The Distribution of Income by Factor Components," The Quarterly Journal of Economics, Oxford University Press, vol. 95(3), pages 451-473.
  7. Milanovic, Branko, 1997. "A simple way to calculate the Gini coefficient, and some implications," Economics Letters, Elsevier, vol. 56(1), pages 45-49, September.
  8. Shorrocks, Anthony F, 1984. "Inequality Decomposition by Population Subgroups," Econometrica, Econometric Society, vol. 52(6), pages 1369-85, November.
  9. Robert J. Barro & Paul M. Romer, 1991. "Economic Growth," NBER Books, National Bureau of Economic Research, Inc, number barr91-1, December.
    • Robert J. Barro & Paul Romer, 1993. "Economic Growth," NBER Books, National Bureau of Economic Research, Inc, number barr93-1, December.
  10. Kapur Mehta, Aasha & Shah, Amita, 2003. "Chronic Poverty in India: Incidence, Causes and Policies," World Development, Elsevier, vol. 31(3), pages 491-511, March.
  11. Shorrocks, A F, 1980. "The Class of Additively Decomposable Inequality Measures," Econometrica, Econometric Society, vol. 48(3), pages 613-25, April.
  12. Wolfson, Michael C, 1997. "Divergent Inequalities: Theory and Empirical Results," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 43(4), pages 401-21, December.
  13. F. Noorbakhsh, 2002. "Human development and regional disparities in Iran: a policy model," Journal of International Development, John Wiley & Sons, Ltd., vol. 14(7), pages 927-949.
  14. Wolfson, Michael C, 1994. "When Inequalities Diverge," American Economic Review, American Economic Association, vol. 84(2), pages 353-58, May.
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