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Spatial convergence and growth in Indian agriculture: 1967-2010

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  • Tirtha Chatterjee

    (Indira Gandhi Institute of Development Research)

Abstract

Inter-state diversity has been a perennial feature of Indian agriculture. The study probes if per capita income in Indian agriculture has converged across states in the last four and a half decades. It finds strong evidence in favour of beta convergence but not in favour of sigma convergence. Spatial econometric techniques used in the study aid in identifying the impact of spatial neighbours on the growth of a state. Results indicate significant spatial dependence among states. The study also identifies the drivers of growth agriculture in the last four and a half decades and results indicate that infrastructure like roads, irrigation, electricity aid in growth and so do quality of human capital. Hence, investments targeting higher quality of infrastructure, both physical and human and efficient water management will aid in agricultural growth in India.

Suggested Citation

  • Tirtha Chatterjee, 2014. "Spatial convergence and growth in Indian agriculture: 1967-2010," Indira Gandhi Institute of Development Research, Mumbai Working Papers 2014-035, Indira Gandhi Institute of Development Research, Mumbai, India.
    • Handle: RePEc:ind:igiwpp:2014-035
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    File URL: http://www.igidr.ac.in/pdf/publication/WP-2014-035.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    Agriculture; growth; regional convergence; spatial dependence;
    All these keywords.

    JEL classification:

    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R15 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Econometric and Input-Output Models; Other Methods

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