Regional income convergence in India and spatial dependence

dc.contributor.author	Lolayekar, A.P.
dc.contributor.author	Mukhopadhyay, P.
dc.date.accessioned	2017-01-27T11:30:03Z
dc.date.available	2017-01-27T11:30:03Z
dc.date.issued	2016
dc.identifier.citation	12. Annual Conf. on Economic Growth and Development, Indian Statistical Institute, New Delhi, 19-21 Dec 2016. 2016; 34pp.
dc.identifier.uri	http://www.isid.ac.in/~epu/acegd2016/papers/AparnaLolayekar.pdf
dc.identifier.uri	http://irgu.unigoa.ac.in/drs/handle/unigoa/4678
dc.description.abstract	This paper examines the convergence of India's economic growth in per capita incomes of 28 states for the period 1981-2010 and provides the first estimates from spatial panel data model. Our analysis reveals significant local and global spatial dependence in the growth of PCI of Indian states. This implies that all the earlier estimates of convergence rates and the impact of initial income on growth may be inaccurate and biased. Our findings suggest that in addition to a state's own initial income, what matters is how rich or poor their neighbours are. This implies that an initially poor state may grow faster if its neighbours are richer or growing fast. This has implications for growth policy-making in India.
dc.publisher	Indian Statistical Institute, New Delhi
dc.subject	Economics
dc.title	Regional income convergence in India and spatial dependence
dc.type	Conference article