Development Performance Across Indian States and The Role of the Governments

Kaliappa Kalirajan (), Shashanka Bhide and Kanhaiya Singh

ASARC Working Papers from The Australian National University, Australia South Asia Research Centre

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.

Keywords: Government; interstate transfer; development expenditure; India (search for similar items in EconPapers)
JEL-codes: E62 H70 (search for similar items in EconPapers)
Pages: 25
Date: 2009
New Economics Papers: this item is included in nep-cwa
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Citations: View citations in EconPapers (7)

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