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

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  • Sivagnanam, K. Jothi

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.

Suggested Citation

  • Sivagnanam, K. Jothi, 2007. "Poverty Reduction by Decentralisation: A Case for Rural Panchyats in Tamil Nadu," MPRA Paper 3210, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:3210
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    File URL: https://mpra.ub.uni-muenchen.de/3210/1/MPRA_paper_3210.pdf
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    References listed on IDEAS

    as
    1. 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.
    2. Brown, Charles C. & Oates, Wallace E., 1987. "Assistance to the poor in a federal system," Journal of Public Economics, Elsevier, vol. 32(3), pages 307-330, April.
    3. Prud'homme, Remy, 1995. "The Dangers of Decentralization," World Bank Research Observer, World Bank Group, vol. 10(2), pages 201-220, August.
    4. Richard M. Bird, 2000. "Intergovernmental Fiscal Relations: Universal Principles, Local Applications," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0002, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
    5. Wallace E. Oates, 1999. "An Essay on Fiscal Federalism," Journal of Economic Literature, American Economic Association, vol. 37(3), pages 1120-1149, September.
    6. K., Jothi Sivagnanam, 2006. "New approach to planning in Tamil Nadu: Targeting the growth process," MPRA Paper 3206, University Library of Munich, Germany.
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    Cited by:

    1. Kruks-Wisner, Gabrielle, 2011. "Seeking the Local State: Gender, Caste, and the Pursuit of Public Services in Post-Tsunami India," World Development, Elsevier, vol. 39(7), pages 1143-1154, July.

    More about this item

    Keywords

    Poverty Reduction; Decentralisation; Rural Panchayats; Tamil Nadu;

    JEL classification:

    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • R51 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Finance in Urban and Rural Economies
    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare

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