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Is there any relationship between Economic Growth and Human Development? Evidence from Indian States

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  • Mukherjee, Sacchidananda
  • Chakraborty, Debashis

Abstract

The paper attempts to analyse the relationship between economic growth and human development for 28 major Indian States during four time periods ranging over last two decades: 1983, 1993, 1999-00 and 2004-05. To construct Human Development Index for Indian States, we consider the National Human Development Report 2001 Methodology. The objective of this exercise to understand at what degree and extent the per capita income (as an indicator of economic growth) has influenced the human development across Indian States. To understand the rural – urban disparity in the achievement of human development, the Human Development Index is constructed for rural and urban areas separately for each of the States. The result shows that that per capita income is not translating into human well being. This perhaps in another way might signify the rising influence of other variables in determination of the HD achievements of a state. The result shows the need for further investigation to determine the underlying factors (other than per capita income) which influence HD achievements of a State.

Suggested Citation

  • Mukherjee, Sacchidananda & Chakraborty, Debashis, 2010. "Is there any relationship between Economic Growth and Human Development? Evidence from Indian States," MPRA Paper 22997, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:22997
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    References listed on IDEAS

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    1. Chakraborty, Pinaki & Mukherjee, Anit K. & Amar Nath, H.K., 2010. "Interstate distribution of central expenditure and subsidies," Working Papers 10/66, National Institute of Public Finance and Policy.
    2. Suri, Tavneet & Boozer, Michael A. & Ranis, Gustav & Stewart, Frances, 2011. "Paths to Success: The Relationship Between Human Development and Economic Growth," World Development, Elsevier, vol. 39(4), pages 506-522, April.
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    4. Costantini, Valeria & Monni, Salvatore, 2008. "Environment, human development and economic growth," Ecological Economics, Elsevier, vol. 64(4), pages 867-880, February.
    5. S. Narayan, 2009. "India," Chapters, in: Peter Draper & Philip Alves & Razeen Sally (ed.), The Political Economy of Trade Reform in Emerging Markets, chapter 7, Edward Elgar Publishing.
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    2. Dash, Bharatee Bhushan & Mukherjee, Sacchidananda, 2013. "Does Political Competition Influence Human Development? Evidence from the Indian States," Working Papers 13/118, National Institute of Public Finance and Policy.
    3. Mine Yilmazer & Serkan inar, 2015. "Human Capabilities and Economic Growth: A Comparative Human Capability Index," International Journal of Economics and Financial Issues, Econjournals, vol. 5(4), pages 843-853.
    4. Aalok Ranjan Chaurasia, 2019. "Empirics of Human Development in India,1990–2015," Indian Journal of Human Development, , vol. 13(2), pages 135-158, August.
    5. J. Andres Dominguez & Teresa Noronha Vaz, 2011. "Contrasts in the governance structures in the transborder regions Andaluzia -Algarve," ERSA conference papers ersa10p1121, European Regional Science Association.
    6. Susan Randolph & Elizabeth Kaletski, 2018. "Securing Economic and Social Rights: Obstacle or Handmaiden to Growth?," Economic Rights Working Papers 26, University of Connecticut, Human Rights Institute.
    7. Yashobanta Parida & Prarthna Agarwal Goel & Joyita Roy Chowdhury & Prakash Kumar Sahoo & Tapaswini Nayak, 2021. "Do economic development and disaster adaptation measures reduce the impact of natural disasters? A district-level analysis, Odisha, India," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 23(3), pages 3487-3519, March.
    8. Bryane Michael, 2018. "What does Brunei teach us about using Human Development Index rankings as a policy tool?," Development Policy Review, Overseas Development Institute, vol. 36(S1), pages 414-431, March.
    9. Mukherjee, Sacchidananda & Chakraborty, Debashis, 2016. "Do Public Policy Dynamics Stimulate Anti-Incumbency Waves? Results from Indian States," MPRA Paper 73010, University Library of Munich, Germany.
    10. Saleema Razvi & Debashis Chakraborty, 2016. "Does Economic Freedom Influence Major Health Indicators in India? Cross-state Panel Estimation Results," Journal of Development Policy and Practice, , vol. 1(2), pages 203-221, July.
    11. Wang, Zhaohua & Bui, Quocviet & Zhang, Bin, 2020. "The relationship between biomass energy consumption and human development: Empirical evidence from BRICS countries," Energy, Elsevier, vol. 194(C).
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    14. Aravind M, 2019. "Economic Performance and Human Development: A Critical Examination on SAARC Region," Romanian Economic Journal, Department of International Business and Economics from the Academy of Economic Studies Bucharest, vol. 22(71), pages 79-92, March.

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    More about this item

    Keywords

    Economic Growth; Human Development; Human Development Index Methodology; Economic Liberalisation; Indian States;
    All these keywords.

    JEL classification:

    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • E21 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth
    • C01 - Mathematical and Quantitative Methods - - General - - - Econometrics

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