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Household Consumer Expenditure Inequalities In India: A Decomposition Analysis

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  • Padmaja Mishra
  • Ashok Parikh

Abstract

The objectives of this study are to decompose household consumer expenditure inequalities in India by regions (states) and sectors (urban‐rural) for the years 1977–78 and 1983 based on the National Sample Survey data. A class of Generalised Entropy measures is used. Our results consistently indicate that the inequality within states contributes much more towards national inequality and within‐sector inequality explains a large part of state level inequality. The inequality at state levels has shown a decline from 1977–78 to 1983 due to a better monsoon season in 1983, and anti‐poverty programmes.

Suggested Citation

  • Padmaja Mishra & Ashok Parikh, 1992. "Household Consumer Expenditure Inequalities In India: A Decomposition Analysis," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 38(2), pages 225-236, June.
    • Handle: RePEc:bla:revinw:v:38:y:1992:i:2:p:225-236
    DOI: 10.1111/j.1475-4991.1992.tb00421.x
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    Cited by:

    1. Thi Cam Van Cao & Takahiro Akita, 2008. "Urban and Rural Dimensions of Income Inequality in Vietnam," Working Papers EMS_2008_04, Research Institute, International University of Japan.
    2. Chatterjee, Arnab & Chakrabarti, Anindya S. & Ghosh, Asim & Chakraborti, Anirban & Nandi, Tushar K., 2016. "Invariant features of spatial inequality in consumption: The case of India," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 442(C), pages 169-181.
    3. Takahiro Akita & Sachiko Miyata, 2008. "Urbanization, educational expansion, and expenditure inequality in Indonesia in 1996, 1999, and 2002," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 13(2), pages 147-167.
    4. Uma Rani & Jaya Krishnakumar & Maurizio Bigotta, 2017. "Accounting for income inequality: empirical evidence from India," Indian Economic Review, Springer, vol. 52(1), pages 193-229, December.
    5. Mehtabul Azam & Vipul Bhatt, 2018. "Spatial Income Inequality in India, 1993–2011: A Decomposition Analysis," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 138(2), pages 505-522, July.
    6. Josef Novotný, 2007. "On the measurement of regional inequality: does spatial dimension of income inequality matter?," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 41(3), pages 563-580, September.
    7. Kam Ki Tang & Dennis Petrie, 2009. "Non-Hierarchical Bivariate Decomposition of Theil Indexes," Economics Bulletin, AccessEcon, vol. 29(2), pages 918-927.
    8. Tushar Agrawal & Ankush Agrawal, 2023. "Beyond Consumption Expenditure: Income Inequality and Its Sources in India," Progress in Development Studies, , vol. 23(1), pages 7-27, January.
    9. Anthony Shorrocks & Guanghua Wan, 2005. "Spatial decomposition of inequality," Journal of Economic Geography, Oxford University Press, vol. 5(1), pages 59-81, January.
    10. Jayanta Sen, 2020. "Growth and Distribution Effects of Changes in Levels of Living in Rural India: A Decomposition Analysis," Indian Journal of Human Development, , vol. 14(3), pages 407-423, December.
    11. Satya Paul, 1999. "The Population Sub‐Group Income Effects on Inequality: Analytical Framework and an Empirical Illustration," The Economic Record, The Economic Society of Australia, vol. 75(2), pages 149-155, June.
    12. Aekapol Chongvilaivan & Jungsuk Kim, 2016. "Individual Income Inequality and Its Drivers in Indonesia: A Theil Decomposition Reassessment," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 126(1), pages 79-98, March.
    13. Takahiro Akita, 2024. "The Roles of Location and Education in Income Inequality: An Analytical Framework," Working Papers EMS_2024_06, Research Institute, International University of Japan.

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