An Assessment of Poverty Studies in India with Special Reference to Economic Reforms

As it is well-known, the study of poverty is extremely important on moral and philosophical and also, political grounds. Further, evidences are available to show that poverty affects growth adversely. We, therefore, have made an attempt to review some of the important studies on poverty in India. The concept of poverty relates to socially perceived deprivation with respect to basic minimum needs. In the Indian context, poverty is measured in terms of a specified normative poverty line reflecting the minimum living standard of the people. Defining a poverty line is, therefore, the first step in estimating poverty. According to the Expert Group (1993), a poverty line, dividing the poor from the non-poor, is used by putting a price on the minimum required consumption levels of food, clothing, shelter, fuel and health care, etc. In equal practice however, the poverty lines are normative only in terms of calorie requirements of the diet. Since the beginning of sixties a number of studies have been conducted to estimate the incidence of poverty and to find out the determinants of poverty. Different methods have been used to estimate the incidence. All these are, however, based on the use of poverty lines and the distribution of expenditure of households. These lines have been updated by using alternative price index numbers, and, expectedly, it has resulted in different estimates. Even the base year poverty lines, used by various authors, are different. Various measures of poverty to know its severity and depth have also been estimated by the researchers. The relationships between the incidence of poverty and its determinants have been estimated by using different variables and models.

The Impact of Trade Liberalization on Household Welfare and Poverty in India

A 28-sector, 3-factor and 9-household group Computable General Equilibrium (CGE) model for India is constructed to analyze the impacts of Tariffs and Non-tariff Barriers (NTBs) on the welfare and poverty of socio-economic household groups. A general cut in tariffs leads to a decrease in overall welfare and reduction in poverty, which urban households are in a relatively better position to address. The choice of a fiscal compensatory mechanism with indirect tax on domestic consumption does not substantially change the pattern of impact except that it increases overall poverty in the economy. On the other hand, quota reductions on agriculture and food products result in a gain in welfare and a bigger reduction of poverty, with rural households doing better than urban households.Computable general equilibrium (CGE) model, microsimulations, International trade, poverty, India

The Macro-Economic and Sectoral Impacts of HIV and AIDS in India

The adverse economic impact of HIV and AIDS occurs at three levels : the individual/household, sector, and national or macro-levels. In the early phase of the epidemic, the impacts at the sector and macro-levels are rather mild and, hence, not easily measurable or quantifiable. So far in India, given the low overall prevalence, the focus has been on the effects at the level of the individual and the household. The enlisted study, by Pradhan, Sundar and Singh (2006)1 also focuses on the impact of HIV and AIDS on affected households, which it finds to be seriously adverse, and, therefore, a matter of acute concern. At the same time, the study underplays the adverse economywide impact of AIDS. Given the current prevalence rate, the extrapolation of the household-level impact to the level of the state or the national economy does not reveal a large macro-economic impact. But, this is because the survey, on which the study is based, captures the snapshot of the economy at a given point of time, while the question of the macroeconomic impact of AIDS is essentially a dynamic one. As the HIV epidemic unfolds, its impacts are bound to be deeply compounded. These impacts cannot be assessed in their totality by a mere extrapolation of the household level impact. Furthermore, in 2005, the number of HIV-infected persons exceeds 5 million, and this number is expected to quintuple to between 20 million and 25 million by 2010. With that kind of a jump in the number of HIV cases in the next 5-10 years, there is bound to be a visible impact on the national economy. At present, little or nothing is known about the potential macro-economic impact of HIV and AIDS on the Indian economy. The rough-and-ready estimates of the macro-economic costs of AIDS that are available are of no help in guiding and accelerating the response of the Government of India to the potential threat to the economy imposed by this epidemic. A quantitative assessment of the macro-economic impact of AIDS on the Indian economy, therefore, needs to be undertaken urgently to assist the policy makers. Keeping this in mind, the study analyses the macro-economic and sectoral impacts of HIV and AIDS in India, using a fivesector computable general equilibrium (CGE) model.HIV, AIDS, macroeconomic impact of AIDS, computable general equilibrium

Policy Reforms and Financing of Elementary Education in India: A Study of the Quality of Service and Outcome

Even as a case can be made out for public spending on elementary education, its link with enrolment rates does not appear strong. However, once efficiency and demand-side factors are accounted for, public spending is seen to make an impact on the rate of enrolment and quality of education as measured by teacher-pupil ratio. Teacher-pupil ratio and the number of schools, in turn, are seen to have a stronger impact on the rate of enrolment in efficient states. Literacy rates as well as state domestic product were seen to have a positive influence on education. The share of public expenditure on elementary education in GDP peaked in 1990-91 but never achieved the targeted level of 6 per cent of GDP. The reforms brought a break in the growth rate of public expenditure on elementary education, from which not all the states could recover even over an extended period of time.EducationElementary Education

Effects of international climate policy for India: Evidence from a national and global CGE model

In order to reach the two degree target it is necessary to control CO2 emissions also in fast growing emerging economies such as India. The question is how the Indian economy would be affected by e.g. including the country into an international climate regime. Existing analyses with either a global model or a single country computable general equilibrium model miss important aspects such as distributional issues or international repercussions. By soft-linking models of these two classes, we provide a more detailed view on these issues. In particular, we analyze different options of transferring revenues from domestic carbon taxes and international transfers to different household types and how different assumptions on exchange rates affect transfer payments. We also show effects stemming from international price repercussions. Our analysis focusses on how these transmission channels affect welfare of nine different household types

Gender impact of HIV and AIDS in India

"The study on the Socio-Economic Impact of HIV and AIDS was conducted in the six high prevalence states of India. The study was aimed to assess the impact of HIV and AIDS on households and make projections at the macro and sectoral level.

Gender impact of HIV and AIDS in India

"The study on the Socio-Economic Impact of HIV and AIDS was conducted in the six high prevalence states of India. The study was aimed to assess the impact of HIV and AIDS on households and make projections at the macro and sectoral level.

Farmland Prices in a Developing Economy: Some Stylised Facts and Determinants

The study constructs a district and state level series of farmland prices using the village level data from MIMAP-India survey and identifies the major determinants of farmland prices. The estimates at micro level showed that density of population in the rural areas, food grain yield and distance from the nearest town were the major determinants of farmland prices. When macro variables were added at the All India level, it was found that density of rural population, road density and share of non-agriculture in GDP as well as in work force affected farmland prices positively while rural poverty affected them adversely. The results appear to have implications for urban planning, industrial location and various government programs for rural development and poverty alleviation