ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

Articles By Growth

Are Spectacular Growth and High Inequality Two Sides of the Same Coin?​​​​​​​

The emergence of India as an economic powerhouse notwithstanding, growth has failed to trickle down to marginalised sections, rendering inclusive growth a major concern. That has made India one of the most unequal countries. In this context, the extent of inequality across states during the post-economic reforms period has been analysed in this paper. Income inequality is estimated by sourcing gross state domestic product data from the Reserve Bank of India’s Handbook of Statistics on the Indian Economy and using the Gini coefficient and Lorenz curve for 26 states and three union territories from 1993–94 to 2019–20. During this period, the western and southern zones have recorded a higher GSDP than the rest of the states in the country. The Gini coefficient was the lowest at 0.25 for Andhra Pradesh and the highest for Sikkim at 0.52. It is argued that the policy focus should not just be on a higher magnitude of growth, but on equitable growth, which requires region-specific interventions with a focus on several dimensions such as setting up agro-processing storage unit storage and transportation and generating accessible employment opportunities—supplemented by significant investments in education and health.

Are Macroeconomic Indicators Accountable for Sectoral Stock Price Behaviours?

Capital market stability is a crucial ingredient for the smooth functioning of a developing economy. This paper attempts to identify the significant macroeconomic factors affecting prominent sectoral stock indices and helps investors draw up an effective diversification strategy.

Dynamics of Economic Growth in India

Using a model based on the Stojanovic’s matrix of growth to understand India’s economic progress shows that the service sector has been the dominant mover of the economy after the start of the reforms in 1990–91. The growth pattern, according to the matrix of growth, can be interpreted as maximising long-run efficiency, and hence, it might be an appropriate investment policy to approximate the output proportions generated using the matrix of growth.

 

Performance of Indian Information Technology Sector

In this age of computers, the development and advancement of the information technology sector can push a developing economy into the developed countries category. The present study found that the IT sector of India has experienced boom and prosperity during the first decade of this century. Therefore, the supportive policies and acts, such as the Information Technology Act, 2000, National Broadband Policy, 2004, and Special Economic Zones Act, 2005 have favourable impact on the information technology sector. Meanwhile, it is moving towards recession in the second half of the second decade of this century. However, the study confirms good performance of India’s information technology sector in terms of its contribution to the gross domestic product, foreign exchange earnings, and employment generation in the Indian economy.

 

Poverty and Deprivation in India

Building on the asset-based indicator, this paper estimates deprivation in India. The results suggest that there is a difference in the regional ranking of poverty based on the long-term picture of vulnerability provided by the asset-based indicator of deprivation. It also shows that while consumption poverty could identify the poor as a group, it cannot identify who among the poor are suffering from long-term deprivation, thus seeking a prompt policy attention.