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Social Security in Developing Countries: Myth or Necessity? Evidence from India

  • Patricia Justino

    ()

    (Poverty Research Unit at Sussex, Department of Economics, University of Sussex)

This paper discusses the importance of social security policies in developing economies, using empirical evidence from India. The paper discusses the viability of implementing systems of social protection in developing countries and provides an empirical analysis of the effects of socio-economic security policies on Indian’s economic performance between 1973 and 1999, using a two-stage least square model adapted to data from a panel of 14 Indian states. The results show that policies that strengthen the social and economic security of the Indian population have been an important endogenous variable to both the reduction of poverty and the economic growth in India.

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File URL: http://www.sussex.ac.uk/Units/PRU/wps/wp20.pdf
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Paper provided by Poverty Research Unit at Sussex, University of Sussex in its series PRUS Working Papers with number 20.

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Length: 35 pages
Date of creation: Sep 2003
Date of revision:
Handle: RePEc:pru:wpaper:20
Contact details of provider: Postal: School of Social Sciences and Cultural Studies, Falmer, Brighton BN1 9SN
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Web page: http://www.sussex.ac.uk/Units/PRU/
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  1. Galor, Oded & Zeira, Joseph, 1993. "Income Distribution and Macroeconomics," Review of Economic Studies, Wiley Blackwell, vol. 60(1), pages 35-52, January.
  2. Patricia Justino & Julie Litchfield & Laurence Whitehead, 2003. "The Impact of Inequality in Latin America," PRUS Working Papers 21, Poverty Research Unit at Sussex, University of Sussex.
  3. Saint-Paul, Gilles & Verdier, Thierry, 1993. "Education, democracy and growth," Journal of Development Economics, Elsevier, vol. 42(2), pages 399-407, December.
  4. Kevin M. Murphy & Andrei Shleifer & Robert Vishny, 1988. "Income Distribution, Market Size, and Industrialization," NBER Working Papers 2709, National Bureau of Economic Research, Inc.
  5. Ahmad, Ehtisham, 1991. "Social Security and the Poor: Choices for Developing Countries," World Bank Research Observer, World Bank Group, vol. 6(1), pages 105-27, January.
  6. Mesa-Lago, Carmelo, 1983. "Social security and extreme poverty in Latin America," Journal of Development Economics, Elsevier, vol. 12(1-2), pages 83-110.
  7. Bruno, Michael & Ravallion, Martin & Squire, Lyn, 1996. "Equity and growth in developing countries : old and new perspectives on the policy issues," Policy Research Working Paper Series 1563, The World Bank.
  8. Angus Deaton & Jean Dreze, 2002. "Poverty and Inequality in India: A Re-Examination," Working Papers 184, Princeton University, Woodrow Wilson School of Public and International Affairs, Research Program in Development Studies..
  9. Barr, Nicholas, 1992. "Economic Theory and the Welfare State: A Survey and Interpretation," Journal of Economic Literature, American Economic Association, vol. 30(2), pages 741-803, June.
  10. Alberto Alesina & Sule Ozler & Nouriel Roubini & Phillip Swagel, 1992. "Political Instability and Economic Growth," NBER Working Papers 4173, National Bureau of Economic Research, Inc.
  11. Besley, Timothy J & Kanbur, S M Ravi, 1988. "Food Subsidies and Poverty Alleviation," Economic Journal, Royal Economic Society, vol. 98(392), pages 701-19, September.
  12. Atkinson, A.B., 1987. "Income maintenance and social insurance," Handbook of Public Economics, in: A. J. Auerbach & M. Feldstein (ed.), Handbook of Public Economics, edition 1, volume 2, chapter 13, pages 779-908 Elsevier.
  13. Dollar, David & Kraay, Aart, 2001. "Growth is good for the poor," Policy Research Working Paper Series 2587, The World Bank.
  14. Gintis, Herbert & Bowles, Samuel, 1982. "The Welfare State and Long-Term Economic Growth: Marxian, Neoclassical, and Keynesian Approaches," American Economic Review, American Economic Association, vol. 72(2), pages 341-45, May.
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