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A REVIEW OF INDIAN GOVERNMENT INCLUSIVE INITIATIVES: POVERTY ON THE DECLINE
Corresponding Author(s) : Dr. Sheetal Mundra
Humanities & Social Sciences Reviews,
Vol. 7 No. 1 (2019): January
Abstract
Purpose of the study: The ineffectiveness of the Indian development planning model reflected in India’s largest share in the count of poor people for the year 2016. This paper depicts the current poverty situation and the importance of poverty reduction in India. It also explores the socioeconomic determinants affecting poverty across different states of India and the possible reasons of the recent decline in the poverty ratio in India during the Modi reform era (2015-2018).
Methodology: The study is based on secondary data. The data of 28 Indian states for the year 2009-10 and 2011-12 have been considered on key inclusive socioeconomic indicators, namely, Human Development Index (HDI), Work Participation Rate, Gini-coefficient, Gross State Domestic Product, Mahatma Gandhi National Rural Employment Guarantee Act expenditure, and Poverty Head Count Ratio. The variation in the poverty headcount ratio, having the combined effect of these indicators, has been measured through the multiple regression model and presented with the help of SPSS.
Main Findings: The paper concludes that HDI is the most significant determinant in both years (2009-10 and 2011-12) across different states of India. It underlines the fact that major inclusive initiatives during the Modi reform era have been coincidentally directed towards the improvement of health and education and the generation of income, resulting in poverty reduction. Thus, right initiatives require the right direction for their effectiveness.
Applications of this study: This study will help in highlighting the key inclusive initiatives of performance and in supporting these initiatives to reduce poverty in India. India can be considered as a model for many developing countries to follow such inclusive initiatives, identify the significant determinant of poverty, and get rid of it.
Novelty/Originality of this study: This paper sheds light on key determinants of poverty in the Indian context. The paper examines the government inclusive initiatives in the context of identifying the determinants that help in supporting the right initiatives towards the right direction, resulting in the reduction of poverty in India.
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- Alvarez, S. A., Barney, J. B., & Newman, A. M. B. (2015). The Poverty Problem and the Industrialization Solution. Asia Pacific Journal of Management, 32, 1-22. DOI: https://doi.org/10.1007/s10490-014-9397-5
- Bruton,G. D., Ketchen, D. & Ireland, D. (2013). Entrepreneurship as a solution to poverty. Journal of Business venturing, 28(6), 683-689. DOI: https://doi.org/10.1016/j.jbusvent.2013.05.002
- Datt, G. & Ravallion, M. (2002). Is India’s Economic Growth Leaving the Poor Behind? Journal of Economic Perspectives, 16 (3), 89 –108. DOI: https://doi.org/10.1257/089533002760278730
- Dollar, D., & Kraay, A. (2002). Spreading the wealth. Foreign Affairs, 81(1), 120–133. DOI: https://doi.org/10.2307/20033007
- Naim, M. (2013). The End of Power: From Boardrooms to Battlefields and Churches to States, Why Being in Charge isn’t What It Used to be. New York: Basic Books.
- Narayan, D., Patel, R., Schafft, K., Rademacher, A., & Koch-Schulte, S. (2000). Voices of the poor: can anyone hear us ? (English). New York : Oxford University Press. DOI: https://doi.org/10.1596/0-1952-1601-6
- Ravallion, M., S. Chen, P. Sangraula. (2007). New Evidence on the Urbanization of Global Poverty. Population and Development Review, 33 (4), 667–702. DOI: https://doi.org/10.1111/j.1728-4457.2007.00193.x
- Roy, K.C. (2005). Historical Pattern of India’s Economic Growth: Salient Features. International Journal of Social Economics, 32(11), 951-967. DOI: https://doi.org/10.1108/03068290510623799
- Sachs, J. (2005). The End of the Poverty. The Penguin Press, New York , NY.
- Sen, A. (1976). Poverty: An Ordinal Approach to Measurement, Econometrica, 46, 437-446.
- Sen, A. (1999). Development as freedom. New York: Anchor Books.
- Shepherd, A. (2007). Chronic Poverty: Some Policy Implications. Development, 50 (2), 48-55. DOI: https://doi.org/10.1057/palgrave.development.1100381
- Smith, A. (1776). Wealth of Nations (2007 ed). Cosimo, Inc. - ISBN: 9781602069404
- Srinivasan, T.N. (2013). Planning, Poverty and Political Economy of Reforms: A Tribute to Suresh Tendulkar. Indian Economic Review, 48 (1), 1-32.
- VanSandt C. V. & Sud M. (2012). Poverty Alleviation through Partnerships: A Road Less Travelled for Business, Governments, and Entrepreneurs. J Bus Ethics, 110, 321–332. DOI: https://doi.org/10.1007/s10551-011-1160-y
- FURTHER READINGS
- Choudhury, G. (2015). Demystifying India's poverty line: Here's everything you need to know. Hindustantimes, Retrieved from http://www.hindustantimes.com/business/demystifying-india-s-poverty-line-here-s-everything-you-need-to-know/story-43vy1sQ7LrCZuezTakDnkM.html. Accessed Aug. 9, 2018
- Duraippah, A. (1996). Poverty and environmental protection: A literature review and analysis. (Creed Working Paper Series No. 8), International Institute for Environment and Development, London, http://www.prem-online.org/archive/17/doc/creed08e.pdf Accessed July 11, 2018
- Economic Survey 2014-15. Union Budget and Economic Survey. Ministry of Finance, Government of India, New Delhi.
- Flor, A.G. (2001). ICT and poverty: the indisputable link. Paper presented for Third Asia Development Forum on ‘Regional Economic Cooperation in Asia and the Pacific’, Bangkok, Retrieved fromwww.ethnosproject.org/wp-content/uploads/ICT-and-poverty.pdfAccessed Aug. 8, 2018.
- Global Entrepreneurship Monitor (2009). http://www.gem consortium.org/. Accessed 10 Jan. 2018.
- Greenberg, A. (2005). ICT’s for Poverty Alleviation: Basic Tools and Enabling Sector. ICT For Development Secretarait, Sida, https://www.sida.se/contentassets/e2425616ca0542e0a55270d5087e0c3a/icts-for-poverty-alleviation_1080.pdf Accessed Aug. 9, 2018
- Ianchovichina, E. & Lundstrom, S. (2009). Inclusive Growth Analytics: Framework and Application. (Policy Research Working paper -4851). The World Bank, Economic Policy and Debt Department. Retrieved from https://openknowledge.worldbank.org/bitstream/handle/10986/4047/WPS4851.pdf;sequence=1 Accessed May 23, 2018
- Kharas H., Hamel, K. & Hofer, M. (2018). The Start of a New Poverty Narrative. Future Development blog of BROOKINGS. Retrieved from https://www.brookings.edu/blog/future-development/2018/06/19/the-start-of-a-new-poverty-narrative/ Accessed Aug, 8, 2018
- Nalunkuuma, J. (2006) Microfinance and Outreach: A case study of Soroti Catholic Diocese. Integrated Development Organisation, The Hague: ISS Accessed Sept.15, 2018
- Odusola (2001). Conceptual issues in poverty and poverty measurement. Paper presented at NCEMA Workshop on poverty alleviation policies and strategies, 15th - 26th,October. Accessed May 7, 2018
- Ogwumike (2001). Profile and dimension of poverty in Nigeria. Paper presented at NCEMA workshop on poverty reduction, Development policy centre, Ibadan, 3rd-21st August. Accessed May 6, 2018
- UNDP (2018). 271 million fewer in India. Retrieved from http://www.in.undp.org/content/india/en/home/sustainabledevelopment/successstories/MultiDimesnionalPovertyIndex.html Accessed on Oct. 10, 2018.
- World Bank (2008). New Data Show 1.4 billion Live on Less than $1.25 a day, But Progress against Poverty Remains Strong. http://web.worldbank.org/archive/website01291/WEB/0__C-248.HTM. Accessed Sept. 22, 2018
References
Alvarez, S. A., Barney, J. B., & Newman, A. M. B. (2015). The Poverty Problem and the Industrialization Solution. Asia Pacific Journal of Management, 32, 1-22. DOI: https://doi.org/10.1007/s10490-014-9397-5
Bruton,G. D., Ketchen, D. & Ireland, D. (2013). Entrepreneurship as a solution to poverty. Journal of Business venturing, 28(6), 683-689. DOI: https://doi.org/10.1016/j.jbusvent.2013.05.002
Datt, G. & Ravallion, M. (2002). Is India’s Economic Growth Leaving the Poor Behind? Journal of Economic Perspectives, 16 (3), 89 –108. DOI: https://doi.org/10.1257/089533002760278730
Dollar, D., & Kraay, A. (2002). Spreading the wealth. Foreign Affairs, 81(1), 120–133. DOI: https://doi.org/10.2307/20033007
Naim, M. (2013). The End of Power: From Boardrooms to Battlefields and Churches to States, Why Being in Charge isn’t What It Used to be. New York: Basic Books.
Narayan, D., Patel, R., Schafft, K., Rademacher, A., & Koch-Schulte, S. (2000). Voices of the poor: can anyone hear us ? (English). New York : Oxford University Press. DOI: https://doi.org/10.1596/0-1952-1601-6
Ravallion, M., S. Chen, P. Sangraula. (2007). New Evidence on the Urbanization of Global Poverty. Population and Development Review, 33 (4), 667–702. DOI: https://doi.org/10.1111/j.1728-4457.2007.00193.x
Roy, K.C. (2005). Historical Pattern of India’s Economic Growth: Salient Features. International Journal of Social Economics, 32(11), 951-967. DOI: https://doi.org/10.1108/03068290510623799
Sachs, J. (2005). The End of the Poverty. The Penguin Press, New York , NY.
Sen, A. (1976). Poverty: An Ordinal Approach to Measurement, Econometrica, 46, 437-446.
Sen, A. (1999). Development as freedom. New York: Anchor Books.
Shepherd, A. (2007). Chronic Poverty: Some Policy Implications. Development, 50 (2), 48-55. DOI: https://doi.org/10.1057/palgrave.development.1100381
Smith, A. (1776). Wealth of Nations (2007 ed). Cosimo, Inc. - ISBN: 9781602069404
Srinivasan, T.N. (2013). Planning, Poverty and Political Economy of Reforms: A Tribute to Suresh Tendulkar. Indian Economic Review, 48 (1), 1-32.
VanSandt C. V. & Sud M. (2012). Poverty Alleviation through Partnerships: A Road Less Travelled for Business, Governments, and Entrepreneurs. J Bus Ethics, 110, 321–332. DOI: https://doi.org/10.1007/s10551-011-1160-y
FURTHER READINGS
Choudhury, G. (2015). Demystifying India's poverty line: Here's everything you need to know. Hindustantimes, Retrieved from http://www.hindustantimes.com/business/demystifying-india-s-poverty-line-here-s-everything-you-need-to-know/story-43vy1sQ7LrCZuezTakDnkM.html. Accessed Aug. 9, 2018
Duraippah, A. (1996). Poverty and environmental protection: A literature review and analysis. (Creed Working Paper Series No. 8), International Institute for Environment and Development, London, http://www.prem-online.org/archive/17/doc/creed08e.pdf Accessed July 11, 2018
Economic Survey 2014-15. Union Budget and Economic Survey. Ministry of Finance, Government of India, New Delhi.
Flor, A.G. (2001). ICT and poverty: the indisputable link. Paper presented for Third Asia Development Forum on ‘Regional Economic Cooperation in Asia and the Pacific’, Bangkok, Retrieved fromwww.ethnosproject.org/wp-content/uploads/ICT-and-poverty.pdfAccessed Aug. 8, 2018.
Global Entrepreneurship Monitor (2009). http://www.gem consortium.org/. Accessed 10 Jan. 2018.
Greenberg, A. (2005). ICT’s for Poverty Alleviation: Basic Tools and Enabling Sector. ICT For Development Secretarait, Sida, https://www.sida.se/contentassets/e2425616ca0542e0a55270d5087e0c3a/icts-for-poverty-alleviation_1080.pdf Accessed Aug. 9, 2018
Ianchovichina, E. & Lundstrom, S. (2009). Inclusive Growth Analytics: Framework and Application. (Policy Research Working paper -4851). The World Bank, Economic Policy and Debt Department. Retrieved from https://openknowledge.worldbank.org/bitstream/handle/10986/4047/WPS4851.pdf;sequence=1 Accessed May 23, 2018
Kharas H., Hamel, K. & Hofer, M. (2018). The Start of a New Poverty Narrative. Future Development blog of BROOKINGS. Retrieved from https://www.brookings.edu/blog/future-development/2018/06/19/the-start-of-a-new-poverty-narrative/ Accessed Aug, 8, 2018
Nalunkuuma, J. (2006) Microfinance and Outreach: A case study of Soroti Catholic Diocese. Integrated Development Organisation, The Hague: ISS Accessed Sept.15, 2018
Odusola (2001). Conceptual issues in poverty and poverty measurement. Paper presented at NCEMA Workshop on poverty alleviation policies and strategies, 15th - 26th,October. Accessed May 7, 2018
Ogwumike (2001). Profile and dimension of poverty in Nigeria. Paper presented at NCEMA workshop on poverty reduction, Development policy centre, Ibadan, 3rd-21st August. Accessed May 6, 2018
UNDP (2018). 271 million fewer in India. Retrieved from http://www.in.undp.org/content/india/en/home/sustainabledevelopment/successstories/MultiDimesnionalPovertyIndex.html Accessed on Oct. 10, 2018.
World Bank (2008). New Data Show 1.4 billion Live on Less than $1.25 a day, But Progress against Poverty Remains Strong. http://web.worldbank.org/archive/website01291/WEB/0__C-248.HTM. Accessed Sept. 22, 2018