Regional Economic Growth and Inequality in India: A Sector-wise Decomposition Analysis

2020 ◽  
pp. 097674792091082
Author(s):  
Ranjan Aneja ◽  
Barkha ◽  
Umer Jeelanie Banday
Keyword(s):  
Income Inequality ◽  
Capita Income ◽  
Decomposition Analysis ◽  
High Growth ◽  
Major Change ◽  
Per Capita Income ◽  
Tertiary Sector ◽  
Reform Period ◽  
Per Capita

This article attempts to examine the behaviour of various sectors, with emphasis on the role of income inequality. First, the article estimates the sectoral decomposition in terms of net state domestic product (NSDP) among different states from years 1991–1992 to 2016–2017. Second, we analyse the sector-wise decomposition of regional inequality in term of per capita income. Finally, we analyse the role of developmental expenditure in regional inequalities in term of per capita developmental expenditure across various states. Based on empirical results, India has witnessed a high growth in per capita income in the post-reform period. With high growth rate, the sectoral composition of income has also registered a major change. The tertiary sector is the major contributor to growth in the post-reform period. At the sectoral level, disparity decreased within the sectors in case of primary and tertiary sector and increased in secondary sector. However, overall, the tertiary and secondary sectors are more responsible for raising the income inequality among the states while primary sector is offsetting this gap. JEL: O15, I14, I32, O12

scholarly journals Examining Growth–Inequality Nexus in Post-reform Odisha: A Sectoral Decomposition Analysis

2019 ◽  
Vol 4 (1) ◽  
pp. 12-34 ◽  
Author(s):  
Priyabrata Sahoo ◽  
Kirtti Ranjan Paltasingh
Keyword(s):  
Economic Growth ◽  
National Level ◽  
Decomposition Analysis ◽  
High Growth ◽  
Major Change ◽  
High Growth Rate ◽  
Major Contributor ◽  
Tertiary Sector ◽  
Reform Period ◽  
Sectoral Composition

This article examines the nexus between economic growth and inequality in Odisha at sectoral level for the post-reform period. Odisha has witnessed high economic growth in the post-reform period. With high growth rate, the sectoral composition of income has also registered a major change. However, the post-reform period too witnessed an increase in disparities in income among the sectors and increased inequality. So the question that normally arises here is whether the sector witnessing high growth remains the major contributor to income inequality in the state during the post-reform period? While seeking an answer to this question, we observed that the primary sector which is growing at a low rate caused a reduction in inequality. But, the tertiary sector which is the main driver of overall economic growth in Odisha in the post-reform period remains the major contributor to the rise in inequality. The study supports the hypothesis found at national level that a sector driving the overall economic growth also positively contributes to inequality.

scholarly journals DOES EXPORT DIVERSIFICATION LEAD TO INCOME CONVERGENCE? EVIDENCE FROM CROSS-COUNTRY ANALYSIS

2020 ◽  
Vol 23 (3) ◽  
pp. 319-346
Author(s):  
Vaseem Akram ◽  
Badri Narayan Rath
Keyword(s):  
Capita Income ◽  
Generalized Method Of Moments ◽  
Export Diversification ◽  
Income Convergence ◽  
Per Capita Income ◽  
Full Sample ◽  
Poor Countries ◽  
Country Analysis ◽  
Per Capita

In this study, we examine the role of export diversification in the convergence of per capita income (output). By applying the dynamic system Generalized Method of Moments (GMM) estimator to a panel dataset consisting of 95 countries, we find evidence of both absolute and conditional divergence for the full sample and the subsamples based on income and regions. Thus, our findings suggest that, although high export diversification boosts the per capita income (output), it does not significantly reduce per capita income (output) gap between rich and poor countries.

Role of economic reforms on dismantling barriers to inter-state migration in India

2021 ◽  
Vol 18 (3) ◽  
pp. 297-304
Author(s):  
Sunetra Ghatak ◽  
Debajit Jha
Keyword(s):  
Capita Income ◽  
Economic Reforms ◽  
Per Capita Income ◽  
Model Framework ◽  
The Common ◽  
Per Capita ◽  
Linguistic Divide ◽  
The Impact ◽  
Inter State

Traditionally inter-state migration in India was limited compared to within state migration. Economic reforms in the early 1990s have boosted inter-state migration in the country. Hence, it is important to understand the impact of economic reforms on the determinants of inter-state migration. Recent studies have identified that state border; linguistic divide and per capita income play an important role in determining the location of inter-state migration in India. In this paper, we tried to understand the impact of economic reforms on the choice of the location of inter-state migration in the country by using a gravity model framework. We found that while the impact of per capita income difference has increased in the post-reform period, the impact of the common-border has declined. Moreover, the impact of the linguistic divide has initially increased after reforms.

scholarly journals PENGARUH KETIMPANGAN PENDAPATAN, PENDAPATAN PER KAPITA, DAN PENGELUARAN PEMERINTAH DI BIDANG KESEHATAN TERHADAP SEKTOR KESEHATAN DI INDONESIA

2017 ◽  
Vol 2 (1) ◽  
Author(s):  
Uswatun Hasanah
Keyword(s):  
Income Inequality ◽  
Capita Income ◽  
Health Effect ◽  
Government Expenditure ◽  
Health Sector ◽  
Research Area ◽  
External Factors ◽  
Per Capita Income ◽  
Income Per Capita ◽  
Per Capita

AbstractHuman resource is one of capital importance in the development of a nation. One of the important aspects that affect human resources are a public health level, where health sector has an important role. The status of one's health is the result of the interaction of various factors, namely internal and external factors. Internal factors consist of physical and psychological factors, while external factors consist of economic factors, education, environment and cultureThis research aims to examine and analyze the effect of income inequality as measured by the Gini Ratio against the health sector as measured by life expectancy in Indonesia in 2005-2013. On the research of regression equation using data panels with Random Effects Model approach. The results of this research is the inequality of income, per capita income, and Government expenditure in the health effect simultaneously against health sector in Indonesia in 2005-2013 and is partial, inequality of income, per capita income, and Government expenditure in the health sector impact health sector in Indonesia in 2005-2013. Keywords : Health sector, income inequality, income per capita, Government expenditure in health sector. Research Area: Indonesia

scholarly journals Per Capita Income Inequality in Czech Households Before, During and After the Economic and Financial Crisis

2020 ◽  
Vol 68 (5) ◽  
pp. 885-899
Author(s):  
Markéta Hnízdilová ◽  
Václav Adamec
Keyword(s):  
Czech Republic ◽  
Financial Crisis ◽  
Income Inequality ◽  
Capita Income ◽  
Household Head ◽  
Income Level ◽  
Per Capita Income ◽  
The Czech Republic ◽  
Per Capita ◽  
Economic And Financial Crisis

The study tackles the issue of distribution inequality in equalized per capita income in households defined by multiple grouping criteria in the Czech Republic before, during and after the economic and financial crisis. The factors were economic status of the household head, number of children, education and the NUTS 3 administrative regions. Interval grouped per capita income data assembled within the EU-SILC framework via quota sampling were received from czso.cz for 2008, 2012 and 2016. Indicators of income level, variation, quantiles, medial and Gini index were calculated for the respective household groups. Income concentration in the Czech Republic is considerably low among OECD states and still decreasing due to government social and economic policy and favourable phase of the economic cycle. The largest income inequality was detected in the self-employed, jobless and qualified employees, households with 3 or more children, single-parent families with dependants, households with one or both tertiary educated parents or households residing in Prague or Středočeský region. The threat of poverty is imminent in the jobless, economically inactive pensioners, unqualified labourers and households with 3 or more children. Geographically, the poverty affects households mostly in Moravskoslezský or Ústecký regions. Government measures evidently helped reduce income inequality, poverty and social exclusion in Ústecký region in 2008. The least affected regions by poverty were Prague and Středočeský region. Significant differences in income level or concentration of income distributions by regional and other household grouping criteria were revealed.

scholarly journals EVIDÊNCIAS EMPÍRICAS SOBRE CONVERGÊNCIA DA DESIGUALDADE DE RENDA ENTRE OS MUNICÍPIOS CEARENSES

2015 ◽  
Vol 18 (2) ◽  
pp. 557
Author(s):  
Airton Lopes Amorim ◽  
Ricardo Bruno Nascimento dos Santos ◽  
Eliane Pinheiro de Sousa ◽  
Daniel Arruda Coronel
Keyword(s):  
Income Inequality ◽  
Capita Income ◽  
Gini Index ◽  
Initial Period ◽  
Threshold Effect ◽  
Per Capita Income ◽  
Conditional Convergence ◽  
Average Value ◽  
Convergence Clubs ◽  
Per Capita

A desigualdade de renda tende a diminuir em municípios com elevada desigualdade e a aumentar naqueles com baixa desigualdade? Este trabalho tenta responder a essa questão ao verificar se existiu convergência da desigualdade de renda entreos municípios cearenses, nos anos 1991 e 2000. A principal medida de desigualdade de renda utilizada foi o índice de Gini, sendoos testes de convergência realizados por meio de modelos com efeito threshold, nos quais as variáveis concernentes ao índice deGini, à renda per capita e aos anos de estudo, medidas no período inicial, foram consideradas como possíveis variáveis threshold. Os resultados permitiram rejeitar a hipótese de clubes de convergência da desigualdade de renda entre os municípios cearenses. Noentanto, não se pode rejeitar a hipótese de convergência condicional da desigualdade de renda entre os mesmos, sendo que eles estariam convergindo para um valor médio de equilíbrio de desigualdade de renda maior, ou seja, os municípios cearenses estariam tornando-se mais concentradores de renda per capita. Palavras-chave: Desigualdade de renda, Índice de Gini, efeitos Threshold.EMPIRICAL EVIDENCES ABOUT THE CONVERGENCE OF INCOME INEQUALITY AMONG CITIES FROM CEARAAbstract: The income inequality tends to decrease in municipalities with high inequality and increase in those with low inequality? This paper intends to answer this question by checking if there was convergence of income inequality in the municipalities of the State of Ceará, in the years 1991 and 2000. The main measurement of income inequality used was the Gini index, with the convergencetests conducted through models with threshold effect, in which the variables relating to the Gini index, to the per capita income and to the years of study were considered, measured in the initial period as possible threshold variables. The results allowed rejectingthe hypothesis of convergence clubs of the per capita income inequality among the cities from Ceará. However there is no way to reject the hypothesis of conditional convergence of the income inequality in the municipalities among the same, where these would be converging to an average value of the bigger income inequality, that is, they would be turning themselves into more per capita income-concentrating municipalities.Key words: Income inequality, Gini Index, Threshold effect.

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