Is India's Economic Growth Leaving the Poor Behind?

There has been much debate about how much India's poor have shared in the economic growth unleashed by economic reforms in the 1990s. The authors argue that India has probably maintained its 1980s rate of poverty reduction in the 1990s. Howeve...

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Main Authors: Datt, Gaurav, Ravallion, Martin
Format: Policy Research Working Paper
Language:English
en_US
Published: World Bank, Washington, D.C. 2013
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2002/05/1796878/indias-economic-growth-leaving-poor-behind
http://hdl.handle.net/10986/14798
id okr-10986-14798
recordtype oai_dc
spelling okr-10986-147982021-04-23T14:03:20Z Is India's Economic Growth Leaving the Poor Behind? Datt, Gaurav Ravallion, Martin ABSOLUTE POVERTY ABSOLUTE TERMS AGRICULTURAL GROWTH AGRICULTURAL OUTPUT AGRICULTURAL PERFORMANCE AGRICULTURAL SECTOR ANNUAL GROWTH ANNUAL GROWTH RATE ANNUAL RATE AVERAGE CONSUMPTION BASIC EDUCATION CASE STUDY CONSUMPTION DATA CONSUMPTION GROWTH CONSUMPTION MODULE CONSUMPTION MODULES COST OF LIVING COUNTRY REGRESSIONS CRISES DATA SOURCES DECOMPOSABLE POVERTY MEASURES DEPENDENT VARIABLE DEVELOPING COUNTRIES DEVELOPING COUNTRY DEVELOPMENT ECONOMICS DEVELOPMENT RESEARCH DEVELOPMENT STUDIES DISTRIBUTIONAL EFFECT DURABLE GOODS ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC MANAGEMENT ECONOMIC PERSPECTIVES ECONOMIC REFORM ECONOMIC REFORMS ECONOMICS EFFECTIVE STRATEGY ELASTICITIES EMPIRICAL EVIDENCE ERROR TERM ESTIMATION METHOD EXCHANGE RATE EXPENDITURE SURVEY EXPLANATORY VARIABLES FINANCIAL SERVICES FIXED EFFECTS FOOD CONSUMPTION FOOD EXPENDITURES GROWTH ELASTICITY GROWTH PROCESS GROWTH RATES HEADCOUNT INDEX HIGH GROWTH HOUSEHOLD CONSUMPTION HOUSEHOLD DATA HOUSEHOLD INCOME HOUSEHOLD SURVEYS HUMAN CAPITAL HUMAN RESOURCE INCOME DISTRIBUTION INCOME SHARE INEQUALITY INFANT MORTALITY INFLATION INFLATION RATE INTERNATIONAL POVERTY LINE LABOR MARKET LAGGED VALUES LIBERALIZATION LIVING STANDARDS LOW FARM PRODUCTIVITY MACROECONOMIC REFORMS MEAN CONSUMPTION MEAN EXPENDITURE MEASURING POVERTY MICRO DATA NATIONAL ACCOUNTS NATIONAL POVERTY NET NATIONAL PRODUCT 0 HYPOTHESIS POLICY ENVIRONMENT POLICY ISSUES POLICY RESEARCH POOR PERFORMANCE POPULATION GROWTH POVERTY IMPACT POVERTY LEVEL POVERTY LINE POVERTY LINES POVERTY MEASURE POVERTY MONITORING POVERTY RATE POVERTY REDUCING POVERTY REDUCTION PRICE INDEXES PRIVATE CONSUMPTION PRO-POOR PRO-POOR GROWTH PURCHASING POWER PURCHASING POWER PARITY REDUCING POVERTY RELATIVE PRICES RURAL AREAS RURAL POPULATION RURAL POVERTY SAMPLE SURVEYS SECTORAL COMPOSITION SHARP REDUCTION THEORETICAL MODELS UNDERDEVELOPMENT UNEMPLOYMENT UNSKILLED LABOR URBAN AREAS URBAN POVERTY URBANIZATION WAGES ECONOMIC GROWTH ECONOMIC REFORM ECONOMIC IMPACT GEOGRAPHIC BALANCE POVERTY REDUCTION STRATEGIES HUMAN CAPITAL DEVELOPMENT RURAL DEVELOPMENT HUMAN RESOURCES DEVELOPMENT There has been much debate about how much India's poor have shared in the economic growth unleashed by economic reforms in the 1990s. The authors argue that India has probably maintained its 1980s rate of poverty reduction in the 1990s. However, there is considerable diversity in performance across states. This holds some important clues for understanding why economic growth has not done more for India's poor. India's economic growth in the 1990s has not been occurring in the states where it would have the most impact on poverty nationally. If not for the sectoral and geographic imbalance of growth, the national rate of growth would have generated a rate of poverty reduction that was double India's historical trend rate. States with relatively low levels of initial rural development and human capital development were not well-suited to reduce poverty in response to economic growth. The study's results are consistent with the view that achieving higher aggregate economic growth is only one element of an effective strategy for poverty reduction in India. The sectoral and geographic composition of growth is also important, as is the need to redress existing inequalities in human resource development and between rural and urban areas. 2013-08-05T17:39:52Z 2013-08-05T17:39:52Z 2002-05 http://documents.worldbank.org/curated/en/2002/05/1796878/indias-economic-growth-leaving-poor-behind http://hdl.handle.net/10986/14798 English en_US Policy Research Working Paper;No.2846 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, D.C. Publications & Research :: Policy Research Working Paper Publications & Research South Asia India
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic ABSOLUTE POVERTY
ABSOLUTE TERMS
AGRICULTURAL GROWTH
AGRICULTURAL OUTPUT
AGRICULTURAL PERFORMANCE
AGRICULTURAL SECTOR
ANNUAL GROWTH
ANNUAL GROWTH RATE
ANNUAL RATE
AVERAGE CONSUMPTION
BASIC EDUCATION
CASE STUDY
CONSUMPTION DATA
CONSUMPTION GROWTH
CONSUMPTION MODULE
CONSUMPTION MODULES
COST OF LIVING
COUNTRY REGRESSIONS
CRISES
DATA SOURCES
DECOMPOSABLE POVERTY MEASURES
DEPENDENT VARIABLE
DEVELOPING COUNTRIES
DEVELOPING COUNTRY
DEVELOPMENT ECONOMICS
DEVELOPMENT RESEARCH
DEVELOPMENT STUDIES
DISTRIBUTIONAL EFFECT
DURABLE GOODS
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC MANAGEMENT
ECONOMIC PERSPECTIVES
ECONOMIC REFORM
ECONOMIC REFORMS
ECONOMICS
EFFECTIVE STRATEGY
ELASTICITIES
EMPIRICAL EVIDENCE
ERROR TERM
ESTIMATION METHOD
EXCHANGE RATE
EXPENDITURE SURVEY
EXPLANATORY VARIABLES
FINANCIAL SERVICES
FIXED EFFECTS
FOOD CONSUMPTION
FOOD EXPENDITURES
GROWTH ELASTICITY
GROWTH PROCESS
GROWTH RATES
HEADCOUNT INDEX
HIGH GROWTH
HOUSEHOLD CONSUMPTION
HOUSEHOLD DATA
HOUSEHOLD INCOME
HOUSEHOLD SURVEYS
HUMAN CAPITAL
HUMAN RESOURCE
INCOME DISTRIBUTION
INCOME SHARE
INEQUALITY
INFANT MORTALITY
INFLATION
INFLATION RATE
INTERNATIONAL POVERTY LINE
LABOR MARKET
LAGGED VALUES
LIBERALIZATION
LIVING STANDARDS
LOW FARM PRODUCTIVITY
MACROECONOMIC REFORMS
MEAN CONSUMPTION
MEAN EXPENDITURE
MEASURING POVERTY
MICRO DATA
NATIONAL ACCOUNTS
NATIONAL POVERTY
NET NATIONAL PRODUCT
0 HYPOTHESIS
POLICY ENVIRONMENT
POLICY ISSUES
POLICY RESEARCH
POOR PERFORMANCE
POPULATION GROWTH
POVERTY IMPACT
POVERTY LEVEL
POVERTY LINE
POVERTY LINES
POVERTY MEASURE
POVERTY MONITORING
POVERTY RATE
POVERTY REDUCING
POVERTY REDUCTION
PRICE INDEXES
PRIVATE CONSUMPTION
PRO-POOR
PRO-POOR GROWTH
PURCHASING POWER
PURCHASING POWER PARITY
REDUCING POVERTY
RELATIVE PRICES
RURAL AREAS
RURAL POPULATION
RURAL POVERTY
SAMPLE SURVEYS
SECTORAL COMPOSITION
SHARP REDUCTION
THEORETICAL MODELS
UNDERDEVELOPMENT
UNEMPLOYMENT
UNSKILLED LABOR
URBAN AREAS
URBAN POVERTY
URBANIZATION
WAGES ECONOMIC GROWTH
ECONOMIC REFORM
ECONOMIC IMPACT
GEOGRAPHIC BALANCE
POVERTY REDUCTION STRATEGIES
HUMAN CAPITAL DEVELOPMENT
RURAL DEVELOPMENT
HUMAN RESOURCES DEVELOPMENT
spellingShingle ABSOLUTE POVERTY
ABSOLUTE TERMS
AGRICULTURAL GROWTH
AGRICULTURAL OUTPUT
AGRICULTURAL PERFORMANCE
AGRICULTURAL SECTOR
ANNUAL GROWTH
ANNUAL GROWTH RATE
ANNUAL RATE
AVERAGE CONSUMPTION
BASIC EDUCATION
CASE STUDY
CONSUMPTION DATA
CONSUMPTION GROWTH
CONSUMPTION MODULE
CONSUMPTION MODULES
COST OF LIVING
COUNTRY REGRESSIONS
CRISES
DATA SOURCES
DECOMPOSABLE POVERTY MEASURES
DEPENDENT VARIABLE
DEVELOPING COUNTRIES
DEVELOPING COUNTRY
DEVELOPMENT ECONOMICS
DEVELOPMENT RESEARCH
DEVELOPMENT STUDIES
DISTRIBUTIONAL EFFECT
DURABLE GOODS
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC MANAGEMENT
ECONOMIC PERSPECTIVES
ECONOMIC REFORM
ECONOMIC REFORMS
ECONOMICS
EFFECTIVE STRATEGY
ELASTICITIES
EMPIRICAL EVIDENCE
ERROR TERM
ESTIMATION METHOD
EXCHANGE RATE
EXPENDITURE SURVEY
EXPLANATORY VARIABLES
FINANCIAL SERVICES
FIXED EFFECTS
FOOD CONSUMPTION
FOOD EXPENDITURES
GROWTH ELASTICITY
GROWTH PROCESS
GROWTH RATES
HEADCOUNT INDEX
HIGH GROWTH
HOUSEHOLD CONSUMPTION
HOUSEHOLD DATA
HOUSEHOLD INCOME
HOUSEHOLD SURVEYS
HUMAN CAPITAL
HUMAN RESOURCE
INCOME DISTRIBUTION
INCOME SHARE
INEQUALITY
INFANT MORTALITY
INFLATION
INFLATION RATE
INTERNATIONAL POVERTY LINE
LABOR MARKET
LAGGED VALUES
LIBERALIZATION
LIVING STANDARDS
LOW FARM PRODUCTIVITY
MACROECONOMIC REFORMS
MEAN CONSUMPTION
MEAN EXPENDITURE
MEASURING POVERTY
MICRO DATA
NATIONAL ACCOUNTS
NATIONAL POVERTY
NET NATIONAL PRODUCT
0 HYPOTHESIS
POLICY ENVIRONMENT
POLICY ISSUES
POLICY RESEARCH
POOR PERFORMANCE
POPULATION GROWTH
POVERTY IMPACT
POVERTY LEVEL
POVERTY LINE
POVERTY LINES
POVERTY MEASURE
POVERTY MONITORING
POVERTY RATE
POVERTY REDUCING
POVERTY REDUCTION
PRICE INDEXES
PRIVATE CONSUMPTION
PRO-POOR
PRO-POOR GROWTH
PURCHASING POWER
PURCHASING POWER PARITY
REDUCING POVERTY
RELATIVE PRICES
RURAL AREAS
RURAL POPULATION
RURAL POVERTY
SAMPLE SURVEYS
SECTORAL COMPOSITION
SHARP REDUCTION
THEORETICAL MODELS
UNDERDEVELOPMENT
UNEMPLOYMENT
UNSKILLED LABOR
URBAN AREAS
URBAN POVERTY
URBANIZATION
WAGES ECONOMIC GROWTH
ECONOMIC REFORM
ECONOMIC IMPACT
GEOGRAPHIC BALANCE
POVERTY REDUCTION STRATEGIES
HUMAN CAPITAL DEVELOPMENT
RURAL DEVELOPMENT
HUMAN RESOURCES DEVELOPMENT
Datt, Gaurav
Ravallion, Martin
Is India's Economic Growth Leaving the Poor Behind?
geographic_facet South Asia
India
relation Policy Research Working Paper;No.2846
description There has been much debate about how much India's poor have shared in the economic growth unleashed by economic reforms in the 1990s. The authors argue that India has probably maintained its 1980s rate of poverty reduction in the 1990s. However, there is considerable diversity in performance across states. This holds some important clues for understanding why economic growth has not done more for India's poor. India's economic growth in the 1990s has not been occurring in the states where it would have the most impact on poverty nationally. If not for the sectoral and geographic imbalance of growth, the national rate of growth would have generated a rate of poverty reduction that was double India's historical trend rate. States with relatively low levels of initial rural development and human capital development were not well-suited to reduce poverty in response to economic growth. The study's results are consistent with the view that achieving higher aggregate economic growth is only one element of an effective strategy for poverty reduction in India. The sectoral and geographic composition of growth is also important, as is the need to redress existing inequalities in human resource development and between rural and urban areas.
format Publications & Research :: Policy Research Working Paper
author Datt, Gaurav
Ravallion, Martin
author_facet Datt, Gaurav
Ravallion, Martin
author_sort Datt, Gaurav
title Is India's Economic Growth Leaving the Poor Behind?
title_short Is India's Economic Growth Leaving the Poor Behind?
title_full Is India's Economic Growth Leaving the Poor Behind?
title_fullStr Is India's Economic Growth Leaving the Poor Behind?
title_full_unstemmed Is India's Economic Growth Leaving the Poor Behind?
title_sort is india's economic growth leaving the poor behind?
publisher World Bank, Washington, D.C.
publishDate 2013
url http://documents.worldbank.org/curated/en/2002/05/1796878/indias-economic-growth-leaving-poor-behind
http://hdl.handle.net/10986/14798
_version_ 1764429972604190720