The interplay between growth and development: evidence from Indian districts

Jyoti Prasad Mukhopadhyay () and Nilanjan Banik ()
Additional contact information
Jyoti Prasad Mukhopadhyay: corresponding author, PhD scholar, Institute for Financial Management Research (IFMR), 24 Kothari Road, Chennai, India

Asia-Pacific Development Journal, 2013, vol. 20, issue 2, 109-127

Abstract: In this paper we examine the nexus between growth and development using a recursive structural equation system which, to the best of our knowledge, has not been tried so far to examine such relationships in the Indian context. Another novel feature of our study is that we use district-level data to capture greater heterogeneity at a substate level. We use the growth rate of per capita income (PCI) as an indicator of economic growth, and the infant mortality rate (IMR) and literacy rate as the development outcomes. We find that IMR and literacy rate have a positive and statistically significant effect on the growth rate of PCI. Our results also show that the growth rate of PCI has a positive and statistically significant effect on IMR and the literacy rate. Further sensitivity analysis is performed to test the robustness of these findings.

Keywords: Growth; development; structural equation system; seemingly unrelated regressions (SUR) Model (search for similar items in EconPapers)
JEL-codes: C31 R12 (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.unescap.org/sites/default/files/6-Part5-JyotiPrasad.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:unt:jnapdj:v:20:y:2013:i:2:p:109-127

Access Statistics for this article

More articles in Asia-Pacific Development Journal from United Nations Economic and Social Commission for Asia and the Pacific (ESCAP) Contact information at EDIRC.
Bibliographic data for series maintained by Macroeconomic Policy and Development Division, ESCAP ().