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What are the key factors of economic growth that affect rural development in India?

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  • Bhruguwar, Ira

Abstract

The aim of this research is to identify and analyse the key factors that have a correlation with rural development, specifically focusing on rural India. This paper employs a rigorous econometric approach, including correlation analysis, regression analysis, and Pearson tests in order to formulate equations pertaining to key factors identified as well as a multivariable equation. It finds that households with access to gas and electricity, literacy rate, school electrification, access to sanitation facilities, and the availability of treated tap water show a high correlation with rural development, and hence theorize the reasons behind each factor. These findings are shown to hold largely true through the Pearson tests and are assumed to be largely generalizable due to the data taken across states and for multiple years.

Suggested Citation

  • Bhruguwar, Ira, 2023. "What are the key factors of economic growth that affect rural development in India?," MPRA Paper 118772, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:118772
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    References listed on IDEAS

    as
    1. Shenggen Fan & Peter Hazell & Sukhadeo Thorat, 2000. "Government Spending, Growth and Poverty in Rural India," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 82(4), pages 1038-1051.
    2. Thomas, Daniel Robert & Harish, S.P. & Kennedy, Ryan & Urpelainen, Johannes, 2020. "The effects of rural electrification in India: An instrumental variable approach at the household level," Journal of Development Economics, Elsevier, vol. 146(C).
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    Keywords

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    JEL classification:

    • C1 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O21 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Planning Models; Planning Policy
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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