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Fiscal pressure of migration and horizontal fiscal inequality: Evidence from Indian experience

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  • Pinaki Chakraborty
  • Shatakshi Garg

Abstract

This paper examines the patterns and trends in inter-state migration across Indian states and observes that migration is affected by demographic profile as well as the fiscal profile of states. Econometric estimation suggests that level of vertical federal transfers and its horizontal distribution has an impact on out-migration.

Suggested Citation

  • Pinaki Chakraborty & Shatakshi Garg, 2018. "Fiscal pressure of migration and horizontal fiscal inequality: Evidence from Indian experience," WIDER Working Paper Series wp-2018-4, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2018-4
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    References listed on IDEAS

    as
    1. Bagchi, Amaresh, 2003. "Fifty years of fiscal federalism in India: An appraisal," Working Papers 03/2, National Institute of Public Finance and Policy.
    2. Singh, Nirvikar & Rao, Govinda, 2006. "Political Economy of Federalism in India," OUP Catalogue, Oxford University Press, number 9780195686937.
    3. Kumar, Surender & Managi, Shunsuke, 2009. "Compensation for environmental services and intergovernmental fiscal transfers: The case of India," Ecological Economics, Elsevier, vol. 68(12), pages 3052-3059, October.
    4. M. Govinda Rao & Nirvikar Singh, 2007. "Asymmetric Federalism in India," Chapters, in: Richard M. Bird & Robert D. Ebel (ed.), Fiscal Fragmentation in Decentralized Countries, chapter 10, Edward Elgar Publishing.
    5. repec:npf:wpaper:02 is not listed on IDEAS
    6. Paul Cashin & Ratna Sahay, 1996. "Internal Migration, Center-State Grants, and Economic Growth in the States of India," IMF Staff Papers, Palgrave Macmillan, vol. 43(1), pages 123-171, March.
    7. Chakraborty, Pinaki, 2011. "Deficit Fundamentalism vs Fiscal Federalism: Implications of 13th Finance Commission's Recommendations," Working Papers 11/81, National Institute of Public Finance and Policy.
    8. Hansjörg Blöchliger & David King, 2006. "Fiscal Autonomy of Sub-Central Governments," OECD Working Papers on Fiscal Federalism 2, OECD Publishing.
    9. William Joe, 2009. "Migration and Urban Poverty in India Some Preliminary Observations," Working Papers id:2287, eSocialSciences.
    10. Rangarajan, C. & Srivastava, D. K., 2011. "Federalism and Fiscal Transfers in India," OUP Catalogue, Oxford University Press, number 9780198070986.
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    12. Amaresh Bagchi, 2003. "Rethinking Federalism: Changing Power Relations Between the Center and the States," Publius: The Journal of Federalism, CSF Associates Inc., vol. 33(4), pages 21-42, Fall.
    13. Bird, Richard M. & Smart, Michael, 2002. "Intergovernmental Fiscal Transfers: International Lessons for Developing Countries," World Development, Elsevier, vol. 30(6), pages 899-912, June.
    Full references (including those not matched with items on IDEAS)

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