Inter-state Growth Inequalities in India: Pre- and Post-reform Period

R V Dadibhavi, S T Bagalkoti and Sahana Joshi
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R V Dadibhavi: Department of Economics, Karnatak University, Dharwad.
S T Bagalkoti: Department of Economics, Karnatak University, Dharwad.
Sahana Joshi: Department of Economics, Karnatak University, Dharwad.

Journal of Social and Economic Development, 2006, vol. 8, issue 2, 207-221

Abstract: Regional disparities continue to haunt the policy makers worldwide as well as India. In fact, at certain times, the issue has become explosive warranting immediate attention from the policy makers. A number of attempts have been made by the government as well as individual researchers to understand the study of regional dynamics. The present study is another such attempt that tries to analyse the regional disparities in India before and after the reforms. The investment pattern – governments, financial institutions and Foreign Direct Investment (FDI) has been found to be perpetuating regional disparities. This has influenced and been influenced by the level of infrastructure development across the state, which in turn follows the general development pattern. Given such a scenario, the study recommends for a continued additional support to the backward regions to bring them on par with, at least, the average rate of growth.

Date: 2006
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