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Development Performance Across Indian States and The Role of the Governments

Author

Listed:
  • Kaliappa Kalirajan
  • Shashanka Bhide
  • Kanhaiya Singh

Abstract

India has a federal system of governance with both the state or provincial and the Central governments responsible for the development of the nation as a whole. Policies at the Central as well as state levels influence the state level variations in economic conditions in turn. It is in this context, this paper examines whether governments in India within a federal framework have been able to foster development equitably across its states. Overall, the results in this paper indicate that Government in India within a federal framework has mechanisms that foster development equitably across its states, particularly through health and education expenditures aimed at improving human capital development. However, the slowly rising disparities in economic services across states warrant the Central and state governments’ attention.

Suggested Citation

  • Kaliappa Kalirajan & Shashanka Bhide & Kanhaiya Singh, 2009. "Development Performance Across Indian States and The Role of the Governments," ASARC Working Papers 2009-05, The Australian National University, Australia South Asia Research Centre.
    • Handle: RePEc:pas:asarcc:2009-05
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    File URL: https://crawford.anu.edu.au/acde/asarc/pdf/papers/2009/WP2009_05.pdf
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    Citations

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    Cited by:

    1. Alokesh Barua & Aparna Sawhney, "undated". "Structural Change, Economic Growth and Trade: Case for Regional Reallocation of Investment in India," Centre for International Trade and Development, Jawaharlal Nehru University, New Delhi Discussion Papers 10-06, Centre for International Trade and Development, Jawaharlal Nehru University, New Delhi, India.
    2. Hansa Jain, 2019. "Wage–Productivity Relationship in Indian Manufacturing Industries: Evidences from State-level Panel Data," Margin: The Journal of Applied Economic Research, National Council of Applied Economic Research, vol. 13(3), pages 277-305, August.
    3. Yusniliyana Yusof & Kaliappa Kalirajan & Azhar Mohamad, 2022. "Fiscal decentralization and convergence in government spending in Malaysia," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 27(3), pages 2669-2681, July.
    4. Kaliappa Kalirajan & Kanhaiya Singh, 2013. "Understanding Sectoral Economic Growth in India: The Potential for Services," Institutions and Economies (formerly known as International Journal of Institutions and Economies), Faculty of Economics and Administration, University of Malaya, vol. 5(1), pages 91-112, April.
    5. Alokesh Barua & Aparna Sawhney, 2015. "Development Policy Implications for Growth and Regional Inequality in a Small Open Economy: The Indian Case," Review of Development Economics, Wiley Blackwell, vol. 19(3), pages 695-709, August.
    6. Gagandeep Singh & Geetika Madaan, 2020. "An Empirical Study of the Economic Status of Punjab Concerning India," International Journal of Asian Social Science, Asian Economic and Social Society, vol. 10(2), pages 107-117, February.

    More about this item

    Keywords

    Government; interstate transfer; development expenditure; India;
    All these keywords.

    JEL classification:

    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy; Modern Monetary Theory
    • H70 - Public Economics - - State and Local Government; Intergovernmental Relations - - - General

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