Poverty and Growth in India Over Six Decades

24 Pages Posted: 24 Mar 2020

See all articles by Gaurav Datt

Gaurav Datt

Monash University - Department of Economics

Martin Ravallion

Georgetown University

Rinku Murgai

World Bank

Date Written: January 2020


We study the evolution of consumption‐poverty measures for post‐independence India, including 20 years since extensive economic reforms began in 1991. Progress against poverty was negligible until the mid‐1970s, after which a downward trend in poverty measures emerged. The pace of poverty reduction accelerated in the post‐reform period, despite rising inequality amidst faster growth. A key finding is that the relationship to the pattern of growth changed greatly, suggesting stronger intersectoral linkages, with urban consumption growth benefiting both the rural and urban poor. In contrast to the pre‐reform period, growth in primary, secondary and tertiary sector outputs yielded similar impacts on poverty.

Keywords: Poverty, inequality, Kuznets, economic growth, rural development, urbanization

Suggested Citation

Datt, Gaurav and Ravallion, Martin and Murgai, Rinku, Poverty and Growth in India Over Six Decades (January 2020). American Journal of Agricultural Economics, Vol. 102, Issue 1, pp. 4-27, 2020, Available at SSRN: https://ssrn.com/abstract=3558965 or http://dx.doi.org/10.1093/ajae/aaz043

Gaurav Datt (Contact Author)

Monash University - Department of Economics ( email )


Martin Ravallion

Georgetown University ( email )

Washington, DC 20057
United States

Rinku Murgai

World Bank

1818 H Street, NW
Washington, DC 20433
United States

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