Abstract

1. Introduction 2. Key Challenges 2.1. Macroeconomic Challenges 2.1. Center-State and inter-state relations 2.3. Growth Drivers 2.4. Conclusion 3. Growth Performance 3.1. Growth Performance 3.2. Sectoral Growth Performance 3.3. Sectoral Contribution to Growth 3.4. variability of Output 3.5. Contribution of States to Growth in GDP and Population 3.6. Conclusion Annex 3.1. Data Issues Annex 3.2. Setcoral Growth 2000-03 Annex 3.3. Setcoral Growth 2004-08 Annex 3.4. Setcoral Growth 2009-12 Annex 3.5. Setcoral Growth 2000-12 Annex 3.6. Setcoral Shares 2000-03 Annex 3.7. Setcoral Shares 2004-08 Annex 3.8. Setcoral Shares 2009-12 Annex 3.9. Setcoral Shares 2000-12 Annex 3.10. Share of States in Combined SDP and Population Annex 3.11. Contribution to Growth in Combined Output and Population Annex 3.12. Variability in Sectoral Output Annex 3.13. Sectoral Contribution to Growth 4. Income Inequality 4.1. Consumption Based Inequality 4.2. Behaviour of Per Capita Income 4.3. Inequality Measures 4.4. Convergence Amongst Indian States 4.5. Conclusion Annex 4.1 Estimates of Absolute Convergence Behaviour in Cross section and Panel Dimension 5. Infrastructure and Growth 5.1. Approach to Provision of Infrastructure 5.2. Recent initiatives for infrastructure push 5.3. Infrastructure Index 5.4. Infrastructure Index-Relative Position of States 5.5. Infrastructure and Growth 5.6. Conclusion Annex 5.1. Causality between Social and Economic Infrastructure for General Category States Annex 5.2. Causality between Social and Economic Infrastructure for Special Category States Annex 5.3. Causality between growth in SDP and growth in Economic Infrastructure for GCS Annex 5.4. Causality between growth in SDP and growth in Social Infrastructure for GCS Annex 5.5. Causality between growth in SDP and growth in Overall Infrastructure for GCS Annex 5.6. Causality between growth in SDP and growth in Economic Infrastructure for SCS Annex 5.7. Causality between growth in SDP and growth in Social Infrastructure for SCS Annex 5.8. Causality between growth in SDP and growth in Overall Infrastructure for SCS Annex 5.9. Overall Infrastructure Index - General Category States (2001-2010) Annex 5.10. Overall Infrastructure Index-Special Category States (2001-2010) Annex 5.11. Infrastructure Index with Qualitative Dimensions for General Category States (2004-2010) Annex 5.12. Infrastructure Index with Qualitative Dimensions for Special Category States (2004-2010) 6. Health and Growth 6.1. Review of Literature 6.2. Stylised Facts 6.3. Empirical Methodology 6.4. Results 6.5. Concluding Observations Annex 6.1 Panel Unit Root test Annex 6.2 Panel-Cointegration tests 7. Credit and Growth 7.1. Growth of Credit and Credit Allocation Across Sectors 7.2. Credit-Output growth at the State level 7.3. Shares of different sectors in credit and output 7.4. Methodology and Empirical Results 7.5. Conclusion Annex 7.1. Growth of Sectoral Credit and Output 2001-2004 Annex 7.2. Growth of Sectoral Credit and Output 2001-2004 Annex 7.3. Growth of Sectoral Credit and Output 2001-2004 Annex 7.4. Growth of Sectoral Credit and Output 2001-2011 Annex 7.5. Sectoral Shares in Credit and Output 2001-2004 Annex 7.6. Sectoral Shares in Credit and Output 2005-2008 Annex 7.7. Sectoral Shares in Credit and Output 2009-2011 Annex 7.8. Unit Root Tests-General Category States Annex 7.9. Unit Root Tests - Special Category States Annex 7.10. Panel-cointegration Tests Annex 7.11. FMOLS Estimates of Responsiveness Between Credit and Output

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