October 2018
ISSN - 0975-2382
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Uttar Pradesh and Uttarakhand Economic Association (Founded By
Arthik Adhyayan Evam Shodh Vikas Samiti)
Organized By
OFFICE BEARERS
REGIONAL COORDINATORS
The foundation stone of the association was laid on 25th February
2005 with its first formal meeting held at Udai Pratap Autonomous
P.G. College, Varanasi presided over by Dr. M. Muzammil, Professor
of Economics. The Association was founded by "Arthik Adhyayan Evam
Shodh Vikas Samiti" functioning as Uttar Pradesh - Uttarakhand
Chapter of Indian Economics Association- lEA, and is registered
under society registration act. UPUEA has its independent
membership, constitution, fund and the management system. The UPUEA
organizes annual conference of membership that discuss contemporary
economic problems. Besides, it promotes orig inal research in the
area of regional economic issue such as one on whole of U.P. and
Uttaranchal, or on area specific problem. It publishes
abi-anjnual-bilinguial economic journal. The UPUEA sponsores or
arranges sponsorship to research project undertaken by members on
disciplinary or trans disciplinary economic issues to add to the
knowledge and to facilitate development of the region. It also
supports and encourages the members to organize seminars, symposia,
workshops and training courses for professional of economics.
EXECUTIVE COMMITTEE MEMBERS
Recent Development Experience and Challenges of Low Income States
in India
Indian Economy : Its Employment Dimension
Doubling Farmer’s Income : Improving Agricultural Viability and
Farmer’s Income in India
Uttar Pradesh-Uttarakhand Economic Association (Reg. No.
1136/2005-06)
www.upuea.org
Prof. P.S. Bisht Kumaun University, Nainital
President 14th Conference (2018) Prof. Jagdish Narayan Allahabad
University, Allahabad
Vice Presidents Dr. A.K. Tomar Director, Lal Bahadur Shastri
Women's College, Aligarh
Prof. Pradeep Kumar Pandey M.G. Kashi Vidyapeeth, Varanasi
Executive President Prof. Ashok Mittal AMU, Aligarh
Dr. Dushyant Kumar Meerut University, Meerut
Treasurer Dr. Anoop Kumar Mishra DAV College, Varanasi
Joint Secretaries Prof. M.C. Sati HNB Garhwal University, Srinagar,
U.K.
Prof. C.B. Singh Bundelkhand University, Jhansi
Dr. Vinod Kumar Srivastava RML Awadh University, Faizabad
Editor in Chief Prof. P.K. Chaubey Former Director, IMS, Lucknow
University,Lucknow
General Secretary Prof. S.K. Mishra Pt. Deendayal Upadhyay Chair,
BHU, Varanasi
Prof. V.P. Tripathi Agra University, (Western U.P.)
Dr. Birendra Singh Tibettan Central University, (Eastern
U.P.)
Dr. V.B. Chaurasia DAV College, Dehradun, (Uttarakhand)
Dr. Angraj Singh Pilibhit (Rohilkhand)
Dr. B.B. Tiwari Lucknow (Central U.P.)
Dr. U.R. Yadav Jhansi (Bundelkhand)
Dr. Indu Varshney D.S. PG College, Aligarh (Camp Office)
Prof. Nisar Ahmad Khan, AMU, Aligarh Prof. S.P. Singh, IIT,
Roorkee, U.K. Dr. Priti Atreya, Garhwal University Dr. Abha
Agrawal, Kumaun University Dr. Dinesh Kumar, Meerut, Meerut
University Dr. Mamta Singh, Meerut, Meerut University Dr. Prashant
Agrawal, Ferozabad, Agra University Dr. Nirja Maheshwari, Agra
University
Prof. N.M.P. Verma, BBRAU, Lucknow Prof. Nar Singh, Lucknow
University Dr. Shambhunath Singh, Bundelkhand University Dr. Ripu
Daman Singh, Etawah, Kanpur University Dr. Umesh Yadav, Kanpur
University Dr. Rashi K. Sinha, DSMRU, Lucknow Dr. Rajbir Singh,
Bahraich, Awadh University Dr. Vishal Dubey, Badaun, Rohilkhand
University
Prof. Prahlad Kumar, Allahabad University Prof. Rajnath,
Sampurnanand Sanskrit University Prof. Sandeep Kumar, Gorakhpur
University Dr. R.P.S. Yadav, RTOU, Allahabad Dr. V.D. Sharma,
Purvanchal University, Jaunpur Dr. Alok Kumar Pandey, BHU, Varanasi
Dr. Jagdish Singh, Varanasi, MG Kashi Vidyapeeth Dr. Shobha Jain,
Aligarh, Camp Office
Dr. Satish Chand Dwivedi (MLA) Dr. Ranju Narang, Meerut
Dr. Savita Tomar, Meerut Dr. Urjaswita Singh, Varanasi
INVITED EC MEMBERS
A Biannual-Bilingual Refereed Journal of Economics
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Joint Editors
Associate Editors for Current Issue
Dr. Indu Varshney Aligarh
Dr. Shobha Jain Aligarh
Dr. Mukulika Hitkari Kanpur
Dr. Manukant Shastri Agra
Dr. Dimpal Vij Ghaziabad
Dr. Chinmai Chaturvedi Meerut
Dr. Prashant Agrawal Agra
University of Lucknow, Lucknow
Prof. S.P. Singh Department of Humanities & Social Sciences
Indian Institute of Technology, Roorkee
Prof. A.K. Gaur Department of Economics, Banaras Hindu University,
Varanasi
Prof. Dinesh Kumar Department of Economics, Chaudhary Charan Singh
University, Meerut
Dr. Nomita Kumar Giri Institute of Development Studies,
Lucknow
Dr. Swati Jain Department of Economics, University of Allahabad,
Allahabad
Dr. Anamika Choudhary Department of Economics, Dr. Shakuntala Misra
National Rehabilitation University, Lucknow
Prof. S.K. Mishra General Secretary, UPUEA
Mob.: 9628855558 e-mail:
[email protected]
L.S. Singh
M. Muzammil
VOLUME - 14 CONFERENCE NO. - 14 OCTOBER 2018
ANNUAL
CONFERENCE 14th
and Farmer’s Income in India
Uttar Pradesh - Uttarakhand Economic Association Giri Institute of
Development Studies, Aliganj, Lucknow
SUPPORTED BY: NABARD
From Secretary’s Desk
Uttar Pradesh - Uttarakhand Economic Association, currently with
about 1600 life members, has grown by more than tenfold with
regards to membership and pages of publication over thirteen years
of span ever since its inception on 25 th
February 2005. The association has an excellent track record of
continuously organizing annual conferences with rapidly increasing
number of delegates, paper presenters and high quality of resource
persons and academic deliberations. We applaud camp office of the
association at D.S. PG College, Aligarh, efficiently managed by
Co-ordinator Dr. Indu Varshney and assistant co-ordinator Dr.
Shobha Jain for handling a tedious task of management of the
conference volume.
This year too, we have received more than two hundred papers for
the conference of which 166 are being published in full text in the
conference volume. We have published, 66 papers in theme I, 61 in
theme II and 39 papers in theme III in this conference
volume.
Despite persistent and frequent reminder to the members to
contribute their papers as per schedule, we continue to receive the
late response under the pretext of late information, left us with
an only alternative to accomplish further steps in haste. Once
again, members are requested to self enquire about the annual
conference in the month of May itself either from General Secretary
of the association or from the organising secretary to keep up with
the schedule. Paper contributors are also requested to follow the
instructions related to size of their paper.
Nearly one and half decade old this association, now needs to
diversify its activities in order to meet the emerging challenges
before the economies, more especially related to agriculture and
rural development of the twin states, posed by the fast growing
national economy.
I appreciate Mr. Prem Singh Bisht, Kunal Books, New Delhi for
accomplishing the printing of the conference proceedings
competently.
“The financial assistance received from Research and Development
Fund of National Bank for Agriculture and Rural Development
(NABARD) towards publication of journal/printing of proceedings of
the Conference and also by Indian Economic Trust (IET) is
gratefully acknowledged.” Wishing you all the best
Prof. Shyam Kartik Mishra Prof. B.K. Bajpai General Secretary,
UPUEA Organising Secretary, XIV Annual Conference, Pt.DDU Chair
Professor, FSS, BHU UPUEA Director, Giri Institute of
Development Studies, Lucknow Dated: 10-10-2018
Contents
THEME 1 Recent Development Experience and Challenges of Low Income
States in
India: With Special Reference to UP and Uttarakhand
1. Sustaining Chikancraft as a Means of Livelihood: Issues and
Challenges 3 Darshan Kaur Kinot, Padam S. Bisht & Chitra
Pandey
2. Make in India Campaign and its Impact on Indian Economy 7
Kailash Bharti Goswami, Padam Singh Bisht, Rajnish Pandey &
Santokh
3. Sigma Convergence of Growth Rate of Low Income States of India
11 Nandan Singh Bisht, R.S. Jalal & Thakur Dev Pandey
4. Impact of Development Programmes: A Case Study of Handia Tahshil
of Allahabad District of Uttar Pradesh 15
Dharmnath Uraon, Anup Kumar & Ajay Kr. Pandey 5. Employment
Intensity and Sectoral Growth: A Study with Special
Reference to Secondary Sector of India 19 Azazuddin, Pradeep Jain
& Dinesh Kumar
6. Impact Analysis of Poverty Alleviation Programmes in Doda
District with Special Reference to Block Gundana 23
Amjid Nadeem, Padam S. Bisht, Mohd. Arif & Krishna Singh 7.
Gandhian Philosophy for Better Fiscal Management in Bharat 27
Vikramdev 8. Mid Day Meal Scheme: A Paradox between A Happy
Diet
and Hazardus Food 31 Nitish Kumar Arya & Inu Mehta
UPUEA ECONOMIC JOURNAL A Biannual-Bilingual Refereed Journal of
Economics
Volume 14, Conference Number 14 October 2018
(iv) 9. Measurement of Surplus Labour or Unemployment in India
35
Masroor Ahmad Beg 10. Sectoral Performance in Indian Economy
40
Nripendra Pratap Singh 11. Managing Risk and Uncertainty in Indian
Agriculture 44
Jagadish Singh 12. Macro Economic Factors Affecting the
Manufacturing
Sector Growth in India 48 Archana Singh & Rashmi Sharma
13. Causality between Disaster and Development: An Introduction 53
Ganesh Kumar
14. Dynamics of Seven Decades of India's Economic Growth 57 Pratima
Gupta
15. Step towards the Improvement of Indian Agriculture 61 V.B.
Chaurasia & Manjeet Singh
16. Regional Disparity in India: With Special Reference to U.P. and
Uttarakhand 65
Gunjan Pandey 17. An Analysis of Government Efforts towards Poverty
Eradication
through Employment Generation Programs 70 Himanshu Rastogi
18. The Determinants of India's FDI Inflows: The Bound test
Analysis 75 Md. Qaiser Alam
19. A Summative Evaluation of Recent Trends of Human Development
Indicators in Uttar Pradesh 80
Swarnim Ghosh 20. Poverty and Unemployment: Opportunities and
Challenges in
21th Century for Rural India 84 Ram Kishor & Kiran Singh
21. Changing Consumption Pattern in Meerut: An Analysis 88 Ranju
Narang & Neena Batra
22. Textile Industry: Socio Economic Profile of Powerloom Weaving
Community in India 93
Yasmeen Bano & Arvind Prakash 23. Government Schemes Lacked
Proper Implementation 97
Kirti Sharma
(v) 24. Indian Social Sector and the Economic Reforms 101
Ganga Prasad 25. Trends and Pattern of Unemployment of India
105
Prabha Kant Mishra 26. The Concept of Social Justice in India
(Special Reference to Uttar Pradesh) 109 Jay Prakash Kant
27. Social Welfare Schemes and their Implementation: Status of
Industrial Worker in Kanpur District of Uttar Pradesh 113
Deepshikha Sonker 28. An Analytical Analysis of Human Development
of Uttar Pradesh 118
Priyanka Singh 29. Financial Inclusion and Reform of Indian Economy
122
Dinesh Kuma Gupta 30. Growth Performance of Indian States: Are they
Converging
or Diverging? 126 Kshamanidhi Adabar & Manas Kumar Pedi
31. The Unsatisfactory Improvement in HDI (In Special Reference of
India) 130
Rukhsana Begam 32. Contribution of Service Sector in the
Development of
Indian Economy 135 Dinesh Yadav & Anup Kumar
33. Impact of Self Help Group on Socio Economic Empowerment of
Rural Women under NRLM: A case Study of Nuh Block of Mewat Distt.
139
Manveen Kaur, Rachna Gupta & Meenakshi Yadav 34. Alternative
Means of Dispute Resolution: An Evaluation 143
Farhat Yaqub 35. Social and Caste Inequality in India 147
Sunil Kumar Singh 36. Changes in the Destination India's Imports: A
comparative Study of
Pre and Post Reform Period 151 Muneera Sayeed
37. Trends in Human Development Indicators 155 Ruchi Sharma
38. Public Spending on Health and Human Development in India:
Special Reference in Uttar Pradesh District 159
Soni Singh
(vi) 39. Women's Health: A Crucial Factor Affecting Human
Development
in India 163 Sunil Kumar Tripathi
40. An Analysis of Performance of Industrial Sector in India Since
Economic Reform 167
Prabal Kumar Dwivedi
41. Implications of Structural Changes in Rural Indian Economy on
Rural Development and Employment 171
Ravi Kant Dwivedi & Niyati Padhi
42. Exploring the Macroeconomic Factors affecting Health Outcomes:
An Analysis based on Selected States in India 175
Arpita Agrawal
43. Upliftment of Rural Indian Economy through Diary Business: An
Overview 179
Priyanka Rani
44. Social Welfare Schemes and their Implementation With Special
Reference to Uttarakhand 182
Richa Pant & Devverth
45. Economic Inclusion of Women: Role of Mudra (PMMY) 186 Meenu
Kumari
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(vii)
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(viii)
THEME 2 Indian Economy: Its Employment Dimension
1. Inclusive Growth and Employment Generation through MGNREGA in
Uttarakhand 273
Richa Ginwal, Daleep Kumar, P.S. Bisht & Mukta Kanwal 2. Role
of Indian Textile Industry in Employment Generation 277
Daminee Srivastava & S.K. Chaturvedi 3. Implementation of
Demonetisation and GST its Effects on
Employment in India 281 Dolly Singh & G.M. Dubey
4. Prospects of Entrepreneurship and Self Employment in India 286
Suman Joshi, Shakti Kumar & P.S. Bisht
5. Sectoral Performance: Agriculture, Industry, Infrastructure Role
of Energy in Sustainable Economic Growth 290
Krishna Kant Mishra & V.N. Pandey 6. Employment and Income
Pattern of Handicraft Sector in Jammu
and Kashmir, India 294 R.S. Negi, Mohd. Arif & Amjid
Nadeem
7. Income and Household Consumption Level among Rural Households:
Impacts of MGNREGA 299
R.S. Negi & Abhay Kumar 8. Female Employment Rate in Indian
Sectors: Panel Cointegration and
Vector Error Correction Analysis 304 Debesh Bhowmik
9. Skill Development and Employment Scenario in Emerging India 310
Dalip Kumar & Arundhati Sharma
10. Role of Skill Development and Education in Faster Economic
Development 316
Manukant Shastri 11. Skilled India through Make in India 320
Yamini Pandey 12. Human Development-Conceptual Framework, Trends
Analysis
and Dimensions 324 Mukulika Hitkari & Aradhana Asthana
13. An Analysis of Higher Education System in Brics Nations and its
Economic Potential 329
Nimish Gupta 14. Unemployment Problem in Bihar: An Overview
334
Shobha Rani
(ix) 15. Economic Alarm: Shrinking Job opportunities with Growth
338
Anup Kumar Mishra 16. Development Gap in Uttarakhand: District
Disparities 342
Surjeet Singh 17. Indian Economy: Its Employment Dimension
347
Rohini Maheshwari & Neerja Maheshwari 18. Key Success Factors
and Challenges of Skill India in Chhattisgarh 351
Kiran Shrivastava 19. A Study on Skill India Initiative and its
Impact on India 356
Richa Raghuvanshi 20. Skill India and It’s Impact 360
Sarika Singh, Kalpana Singh & Ankit Kumar 21. Skill India:
Challenges, Achievements and the Way Forward 364
Arti Parihar 22. Employment and Occupational Structure of Women in
India 368
Qamar Alam 23. Increasing Women's Participation and Employment
Generation among
Rural Poor: An Approach through Informal Groups 373 Jyotika Awasthi
& Prashant Kumar Agarwal
24. Indian Economy: Its Employment Dimension Impact of Skill
Development on Economic Growth 377
Lakshmi Chatterjee 25. Promoting Tribal Equity through Public
Expenditure in
Low Income States 381 Swati Jain
26. Growth without Job in India 385 Arti Mishra & Prashant
Kumar Pandey
27. Glocal Success Stories Having Strategic POSDCORB 389 Amit Kumar
Singh
28. Nature and Trend of Employment in Uttar Pradesh 393 Abhishek
Kumar Pandey
29. A Study on Skill India and Its Impact on Employment 398 Manisha
Singh & Manjri Damele
30. An Overview: Anti-Poverty and Employment Generation Programmes
in India 402
Sharad Kumar 31. Impact of Unemployment on Crimes in Indian Society
406
William
(x) 32. Employment Implications of Disinvestment Policy in India
410
Vikas Pradhan 33. Performance of the self-help Groups Bank Linkage
Programme
and its Impact on Empowerment of the Poor in Allahabad District 414
Mukta Tripathi
34. Change in Occupational Pattern and Rural-Urban Division in
India 418 Mohan Singh
35. Understanding Disparities in Access to Higher Education and
Economic Growth in India: A State-wise Analysis 422
Rajesh Chandra & Kshamanidhi Adabar
36. “Skill India” Next Bread and Butter for Rural India 426 Shweta
Varshney
37. Enhancing Skills and Generation of Employment in India 430
Bhupendra Kumar
38. Working of the Panchayati Raj in India: An Analytical Overview
435 Dewendra Pratap Tiwari & Yogendra Tiwari
39. Higher Education Inequality and Constraints of Scheduled Caste
Females in Uttar Pradesh 439
Priya Sauni 40. Effects of Poverty and Unemployment Trends in India
443
Saurabh Maheshwari
41. Unemployment, Issues and Challenges among South Asia Countries
447 Hemlata
42. Status of Poverty in India: A Panel Data Analysis 451 Seema
Yadav
43. Impact of Indo-Nepal Trade Relationship on Indian Economy and
Employment: An Analytical Study 455
Santosh Kumar Choudhary 44. Skill India: Its Impact on Employment
Generation in India 458
Neelam Kumari 45. Impact of MGNREGA on Rural livelihood: A Case
Study of
Kathua District, J. & K. 463 Priya Sharma
46. Rising Gap between the Hills and the Plain in Uttarakhand: Need
for a Himalayan Industrial Policy 467
Pitamber Datt Pant
(xi) 47. Effectiveness of Skill Training Programme of Deen Dayal
Upadhayaya
Grameen Kaushal Vikas Yojana (DDU-GKY) among Youth in India 471 Md.
Rashid Hussain
48. Economic Welfare and Development through Skill India Programme:
A Study of Success Factors and Challenges 475
Yogendra Narayan Singh 49. Determinants of Beneficiaries of MGNREGA
and Socio-economic
Impact of MGNREGA: A Case Study of District Kathua 480 Sonia
Khajuria & Dinesh Musser
50. Government Employment Generating Schemes of MSME: With
Reference to Prime Minister's Employment Generation Programme in
India 485
Preeti Mishra 51. Skill India and Its Impact on Economic
Development 489
Santosh Pandit
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and Farmer’s Income in India
1. Doubling Farmers Income: Improving Agriculture Viability and
Farmers Income in India 535
Padam S. Bisht, Pramod Kumar & Usha Pokharia 2. Role of Dairy
Sector in Increasing Farmers’ Income in Uttar Pradesh 539
Neelu Mishra & P.K. Ghosh 3. Barriers to Sustainable
Agricultural Practices: A Literature Review 543
Arpita Sanyal, Priyavrat Sanyal & Gyan Prakash 4. Agricultural
Growth and Minimum Support Price: A Review 547
Prashant Agarwal 5. Sex Discrimination in the Labour Market: A
Study of
Women Employment in the Unorganised Sector 551 Anupma Srivastava
& Sanjay Srivastava
6. Food Processing: A Ray of Hope to Double Farmer’s Income in UP
556 Aparna Shukla
7. Performance of Horticulture Crops in Uttar Pradesh 561 Anjali
Singh
8. Technological Diversification of Dry Land Agriculture in
Chitrakoot Dham region of Uttar Pradesh 565
Arachana Shukla & Rajeev Kumar Yadav 9. Unviability of
Agriculture for Marginal and Small Farmers:
A Micro Level Study in Uttar Pradesh 570 Khursheed Ahmad Khan
10. Economizing Cost of Agricultural Production through Wastewater
Irrigation: A Case Study of Varanasi 574
Rajeev Kumar Kannaujiya 11. Crop Diversification in Western Uttar
Pradesh: Emerging Trends,
Determinants and Policy Options 578 Sanjeev Kumar & Kavita
Baliyan
12. Production and Productivity of Fruits in Post Reform Period
among Major Fruit Producing States of India 584
Vishakha Kutumbale & Jawad Ul Haque Eytoo 13. Livestock
Economics: A New Approach on Doubling Farmer’s
Income of Agra Region of UP State 589 Surendra Kumar
(xiii) 14. Uncertainty and Risk Minimization in Agriculture through
Management 594
Anil Thakur 15. Doubling Farmers Income: Improving Agricultural
Viability and
Farmer’s Income in India 597 Anshu Gupta
16. Doubling Farmers’ Income: Farmer’s Income in India 601 Mukesh
Kumar Sharma & Shubhika
17. Agricultural Diversification: A Wayout for Doubling Farmer's
Income 605 Urjaswita Singh
18. Farmers’ Income and Agricultural Distress: Knowing the
Realities 610 Ved Prakash Mishra
19. Trends in Agriculture Production of Principal Crops in Uttar
Pradesh 614 Vishnu Verma & Keshav Tekam
20. Managing Risk and Uncertainty in Agriculture 619 Akshita
Masih
21. Diversification in Agriculture: A Way Towards Sustainable
Livelihood of Farmers 623
Sakshi, Prabhjyot Kour & Dinesh Musser
22. Analyzing Agricultural Sustainability: Evidence from Kasia
Block of Kushinagar District (Uttar Pradesh) 628
Amrita
23. Climate Change and its Impact on Agriculture and Food Security
in India 632
Suneel Yadav
24. Role of Regional Rural Banks in Doubling Agricultural
Productivity and Improving Farmers Income 636
Viswendra
25. Research Development Experience and Challenges of Low Income
States in India; with Special References to UP & Uttaranchal
640
Saurabh Bajpai & A.K. Tomar 26. Double Farmer's Income : Role
of Crop Production, Chemicals
and its Solutions 645 Shobha Jain
27. Market Access: Tariff Reduction by Partner Countries, Impact on
Indian Economy 649
Satpal
(xiv)
28- dqekÅ¡ e.My ds Ñ"kdksa dh Ñf"k mRikndrk ,oa vk; dk fooj.k ¼tuin
mèke flg uxj ds fodkl[k.M dk'khiqj ds fo'ks"k lUnHkZ esa½ 653
fu'kk ijohu] ih0,l0 fc"V ,oa lUrks[k flag fc"V
29- d`"kd dY;k.k % ljdkj dh uhfr;ksa vkSj dk;ZØeksa dk vkèkkj 658
fo'oukFk ik.Ms; ,oa ine ,l0 fo"V
30- Hkkjr esa Ñf"k fodkl ,oa Ñ"kd vk; dh vlekurk] leL;k lekèkku ,oa
pqukSfr;k¡&,d fo'ys"k.k 662
lkgc flag
31- Ñf"k {ks=% tksf[ke vkSj vfuf'prrk 667 o"kkZ jkgqy
32- Hkkjr esa fdlkuksa dh vk; nksxquh djus dk dfBu y{;% ,d vè;;u
672
iqUt Hkk"dj
33- Ñf"k {ks= esa vfuf'prrk vkSj tksf[ke izcaèku 676 eksgEen Qqjdku
,oa ghjkyky
34- fdlkuksa dh nksxquh vk;&y{; ,oa j.kuhfr 682 ljLorh
35- mÙkjk[k.M ds ioZrh; {ks=ksa esa Ñf"k dh Hkwfedk dk vè;;u 686
euh"kk jkor ,oa iz'kkUr daMkjh
36- Ñf"k ,oa lac} {ks= % xzkeh.k efgykvksa dh vk; c<+kus esa
enn~xkj 690 enyk nqcs
37- vko';d gS Ñf"k ,oa fdlku esa ,dkRedrk ¼ljdkjh ;kstukvksa ds
fo'ks"k lanHkZ esa½ 694
vthr izrki flag ,oa vkfnR; Hkkj}kt
38- ioZrh; Ñf"k O;oLFkk ,oa ijEijkxr [ksrh ls vk; ¼mÙkjk[k.M ds
fo'ks"k lanHkZ esa½ 698
'osrk vk;Z] uferk oekZ ,oa yrk vk;Z
39- vkfFkZd fodkl esa Ñf"k dk ;ksxnku 702 fuf'k dqekj
40. Employment Challenges and Strategies: Demographic Dividend and
Trends in India 706
Angrej Singh 41. Urbanization and Rural Migration in India an
Overview 710
Tarun Kumar Dwivedi
Theme 1 Recent Development Experience and Challenges
of Low Income States in India: With Special Reference to UP and
Uttarakhand
Sustaining Chikancraft as a Means of Livelihood: Issues and
Challenges
Darshan Kaur Kinot*, Padam S. Bisht** & Chitra Pandey***
Introduction Crafts have been an integral part of daily life in
villages, towns, courts and religious
establishments. It is this variety of crafts and craft skills
existing in India and their continuous development throughout the
centuries that makes India a unique country, distinct from other
countries in the world. While, as we know that agriculture employs
the largest number of people in India, the crafts sector is next
and there are over 30 million practitioners engaged in this sector.
Handicrafts are still today aneffervescent aspect of Indian culture
and society. Right from the beginning of the human history, crafts
have been interwoven in the culture and lives of the people of
India. The crafts sector provides livelihood to a large number of
people. This sector is hugely contributing to India’s export and
foreign exchange earnings.
The Lucknow Chikan (a form of embroidery) is one of those treasures
of the rich Indian culture that has been an international favourite
for centuries. The enchanting city of Lucknow is known more for the
craft of Chikan than for any other craft or for the historical
monuments that exist even today; such is the beauty and importance
of the Chikan embroidery. The rich and the elite of the medieval
times had their silk garments of muslin and gossamer decorated with
this exquisite and rich needlework. Even today, the Lucknow Chikan
forms an integral part of their wardrobe.
With other livelihood opportunities available, and limited demand
for handicrafts, pursuing this craft is not considered a lucrative
livelihood option. More and more chikan artisans are giving up this
craft and are opting for jobs which could fetch them more earnings.
Hence it becomes extremely important to work in collaboration with
the artisans and their communities to understand the intricacies of
their lives, their cultural heritage and the challenges they face
in practising their craft. Interactions
* Research Scholar, Department of Economics, D.S.B. Campus, Kumaun
University, Nainital, Uttarakhand.
** Professor, Department of Economics D.S.B. Campus, Kumaun
University, Nainital, Uttarakhand. *** Professor, Department of
Economics D.S.B. Campus, Kumaun University, Nainital,
Uttarakhand.
4 UPUEA Economic Journal: 14th Annual Conference, 2018
with the communities help us understand various social issues they
face and find probable solutions for them.
The Objectives 1. To understand the critical role of the crafts
community and its integral relationship
to the Indian society. 2. To explore the linkages between
environment, craft traditions and society. 3. To develop a respect
for the craft of Chikan and to uphold the dignity of its
practitioners by understanding the difficulties that they face. 4.
To investigate the difficulties and challenges faced by the Chikan
industry and its
workers. 5. To suggest measures to revitalise this craft for its
sustainability.
Brief Review of Literature A review of the existing literature on
the subject is necessitated to clearly outline
the objectives of the study. Kantor’s (2009) ‘Women’s Exclusion and
Unfavourable Inclusion in Informal
Employment in Lucknow’, Naheed’s (2006) ‘Reflections on
Socio-Economic Conditions of Muslim Artisans’ and Zaidi’s (2006)
‘Muslim Artisans of Uttar Pradesh: Issues and Opportunities for
Development’ are some of the studies worthy of mention from the
above-stated point of view.
The economic background of the women engaged in Chikan industry.
Almost all the women Chikan workers belong to the lower-class
family background
marked by poverty, illiteracy and deprivation. They are exploited
by the work providers who are either contractors, middlemen or
agents who bring them work from the wholesale business managers or
designers of their products. Each day of hard work brings only a
trifling sum, because the “agents” who bring them the business keep
the heavy commissions in their pockets. The Chikan workers are
forced to sell their valuable work at throwaway prices. It’s the
entrepreneurs who thrive, as the women workers silently bear the
exploitation.
Most women Chikankaars (Chikan embroiderers) in Lucknow took up the
craft of Chikan for the survival of the household and not for
improving their standard of living or say in the household.
Additionally, to improve the financial conditions of the family and
to shield the family from destitution, they take up the Chikan
work. Also because they do not have enough qualification or any
other technical education to earn a livelihood for themselves, they
take up this craft which usually has been running in their families
since many years.
The Wage Patterns of Muslim Women Workers It was found that in
contrast to the hard labour that goes into this craft, the
wages
received by the women embroiderers are very low. Besides this, the
artisans do not
5UPUEA Economic Journal: 14th Annual Conference, 2018
get regular work and payment from the contractor. Due to the job
distribution by the contractor, the artisans, who are the actual
creators of the art, do not get the payment due to them.
Most of the Chikan workers are not satisfied with the wages that
are paid for their work. Majority of the workers do not receive
their payment timely.
The impact of the wages of the Muslim women Chikan workers on their
economic status.
The wages of the Muslim women Chikan workers have a very
significant impact on their economic status. Though their
contribution to the household income is small yet it has a
significant impact on their economic status. However their income
was intended more for survival of their families than raising their
standard of living.
The nature of work, working and living conditions of the Muslim
women Chikan workers.
The conditions at the homes of the workers, which happen to be
their workplace too, are very uncongenial, unhygienic and
pathetic.
These women are confronted with scarce space at their homes
especially when the garments to be embroidered are large in size.
Their workplace which is their home, lacks basic amenities and
suitable furniture and mattings. A large number of the Muslim
Chikan craft workers do not own a house like, printers, washermen,
cutting masters, and tailors engaged in this industry. They live in
rented accommodations. The poor light and unhygienic conditions of
the workplace adversely affect their health too.
The effect of the Chikan work on the mental health of the Muslim
women Chikan artisans.
The psychological risks to health such as stress, accumulate during
life and increase the chances of poor mental health and premature
death. The Chikan work done by these women plays a large role in
inducing stress and this is manifested by feelings of irritability,
general tiredness and exhaustion, difficulty sleeping and
depression.
From the problems discussed above, the miserable and harsh working
conditions of these artisans becomes evident. They are still in the
job because they are victims of absolute poverty and have no option
open to them. Their inaccessibility to education, particularly of
the vocational type suitable to them, worsens their overall
existential conditions.
Suggestions There is a great need for the women artisans to be
technologically upgraded. The
use of modernised facilities such as computer, CAD (computer aided
design), internet and email etc. is totally absent.
Since most manufacturers of Chikan garments lack appropriate
technical qualifications, they are at times ignorant about how to
promote the business in the national and international markets even
in this age of globalisation. Consequently these Chikan
6 UPUEA Economic Journal: 14th Annual Conference, 2018
artisans are deprived of the possible benefits that can arise from
such international promotion and trade of this craft.
The centuries old Chikankari craft of Lucknow is being threatened
by the Chinese Chikan, which is up to 30% cheaper and is produced
faster. This is affecting the livelihoods of people involved in
this unorganised industry. Lack of awareness together with dearth
of skilled manpower is affecting the growth of Chikankari as only
five per cent of total production is exported while the rest is
sold in the domestic market. Unfortunately only 5% of the Chikan
manufacturers in the city are into direct exports.
Within these directions, there are many opportunities for design to
contribute in terms of product, service, communication design and
branding, and related design methods.
There is a need to improve the ability of the craft community via
updating technology, information exchange and international
communication. This would expand local artisans’ knowledge
regarding frontier designs and diverse cultures, as well as
enhancing their global perspectives.
A mechanism should be developed by the Government in which each
time a Chikan product is sold whether through designer outlets or
showrooms, a percentage of the sale price should go to the artisan
directly who created that piece. In this age of digitisation it is
not a far-fetched idea. The amount due to the artisan should be
directly credited in her/his account.
In schools this art can be taught to the students to create an
awareness among them about an art which their city as well as their
country is so well known for. Especially in art colleges and
designing institutes this can be taught as a separate subject. This
would provide employment to these artisans in such institutes
too.
Conclusion Although the women Chikan artisans are the contributors
to the local and regional
economy of the state of Uttar Pradesh, yet their access to better
knowledge, skills, resources, opportunities and power still remains
rather low. We need to eliminate these shortcomings and efforts
need to be made on a much larger scale so as to help them fully
realise their potential and capability.
It is only after such efforts and many more that we can sustain
this age old renowned craft of the city of Lucknow and can prevent
the Chikan artisans from quitting this art and help them in
pursuing it with dignity and contentment.
References 1. Arya, Pankaj and Sadhana, Shilp. 2002. Diagnostic
Study, Artisan: The Chikan Embroidery
Cluster, Lucknow, Uttar Pradesh. New Delhi: UNIDO CDP. Sponsored by
SIDBI (Small Industries Development Bank of India).
2. Census of India 2011. ‘Instruction Manual for House listing and
Housing Census. New Delhi: Ministry of Home Affairs, Government of
India.
3. Chattopadhyaya, K.1964, ‘Origin and Development of Embroidery’,
Marg, Volume 17 Number 2, March1964, pp. 5-6.
7UPUEA Economic Journal: 14th Annual Conference, 2018
Make in India Campaign and its Impact on Indian Economy
Kailash Bharti Goswami*, Padam Singh Bisht**, Rajnish Pandey***
& Santokh****
Introduction Make in India is an initiative launched by the
Government of India to encourage
multinational, as well as national companies to manufacture their
products in India. It was launched by Prime Minister Narendra Modi
on 25, September, 2014. India emerged, after initiation of the
programme in 2015 as the top destination globally for foreign
direct investment, surpassing the United States of America as well
as the People’s Republic of China. Make in India is a campaign
launched by the PM, Narendra Modi, which facilitates all the big
business investors worldwide who want to do business in India. This
programme was launched in 2014 on 25thof September by the PM at the
Vigyan Bhawan in New Delhi. It is a big step taken by the
government of India to reduce the level of unemployment faced by
the youths of the country. This campaign was launched a day after
the Mars mission when PM was to go on his first visit to the USA as
prime minister of India. The aim of launching this campaign in
India is to make India a world level manufacturing powerhouse which
will definitely help in solving the biggest issue of Indian
economy. This initiative was launched with new deals for foreign
investors successfully in New Delhi with the top industrialists of
India including Mukesh Ambani (Reliance Industries chairman), Azim
Premji (Wipro chairman), etc.
The Objectives of the Study Are: To understand the advantages and
disadvantages of Make in India To understand the impact of Make in
India on the Indian Economy
* Ph.D Research Scholar, Department of Economics, D.S.B. Campus,
Kumaun University, Nainital, Uttarakhand.
** Professor, Department of Economics, D.S.B. Campus, Kumaun
University, Nainital, Uttarakhand. *** Professor, D.S.B. Campus,
Kumaun University, Nainital, Uttarakhand. **** Research Scholar,
Department of Economics, D.S.B. Campus, Kumaun University,
Nainital,
Uttarakhand.
8 UPUEA Economic Journal: 14th Annual Conference, 2018
Research Methodology The study involves the data collected from the
secondary sources. The secondary
data has been collected from journals, Research paper, Newspapers,
Literature review, Websites. An Exploratory research was chosen in
order to develop a profound understanding of the research topic and
obtain in depth data about the research objectives.
Process of Make in India Make in India was launched by Prime
Minister against the backdrop of this crisis,
and quickly became a rallying cry for India’s innumerable
stakeholders and partners. It was a powerful, galvanizing call to
action to India’s citizens and business leaders, and an invitation
to potential partners and investors around the world. But, Make in
India is much more than an inspiring slogan. It represents a
comprehensive and unprecedented overhaul of out-dated processes and
policies. Most importantly, it represents a complete change of the
Government’s mindset – a shift from issuing authority to business
partner, in keeping with Prime Minister’s tenet of Minimum
Government, Maximum Governance.
Advantage of Make in India "Make in India is a Lion’s Step." So,
pledged the prime minister of India, Narendra
Modi, during the inauguration of the prominent "Make in India"
campaign. Some of the advantages are given below:
(i) Generating Job Opportunity (ii) Growth of GDP
(iii) Increase in Brand Value (iv) Business can be carried out at
ease. (v) Attracting the Young generation
(vi) Rural Areas are developing (vii) Capital Inflow
(viii) Junking the Old System & Laws
Disadvantages There are some disadvantages of Make in India are
discussed below: (i) Anti competitive
(ii) Disputes in WTO against India: (iii) Agriculture Myth (iv)
Pollution (v) Interest in International Brands
(vi) Loss for Small Entrepreneurs
9UPUEA Economic Journal: 14th Annual Conference, 2018
“Make in India” Impact on Indian Economy Creates a policy framework
to ease foreign investment, ease of business and
management of intellectual property. This helps industries to
establish their manufacturing bases in India. In turn, this helps
create employment in India. Industries tend to develop a support
ecosystem around them, thus empowering small businesses. Exports
from such industries help in contributing to our foreign exchange
reserve. Most importantly, such an initiative helps bring critical
knowledge about manufacturing and production into the Indian
population.
List This initiative, by Mr Modi is literally inviting the rich and
semi-rich countries to
step in India and invest their money for the future of India. It’s
like inviting the countries to set up their companies in India and
manufacture in the territory of our country. Now, this initiative
has a great impact on the economy of our country. Obviously, if the
big companies will setup their branches here, it will directly
affect the GDP of India. The supreme objectives of Make in India
are as follow: The main focus of Make in India Campaign is mainly
on 25 sectors. Almost every sector is capital-intensive and demands
a lot of skill. So, with the more and more investment in these
sectors, the main focus will be on increasing employment and the
use of advanced technology. These sectors are: 1. Automobiles 2.
Food processing 3. Renewable energy 4. Automobile components 5. IT
and BPM 6. Roads and highways 7. Aviation 8. Leather 9. Space 10.
Biotechnology 11. Media, Entertainment 12. Textiles and garments
13. Chemicals 14. Mining 15. Thermal power 16. Construction 17. Oil
and gas 18. Tourism, Hospitality 19. Defense manufacturing 20.
Pharmaceuticals 21. Wellness 22. Electrical machinery 23. Ports 24.
Electronic system 25. Railways.
However, like every coin has two sides, we cannot ignore the
negative impact and the probabilities of failure of this campaign.
There are some constraints and limitations to this campaign as
well. The main thing is that the focus is on the manufacturing
sector, and the population of India is majorly middle-class or
lower middle-class. So, the products manufactured by the foreign
companies will be entirely for the upper section of the society.
Hence, it is possible that the goals and aspirations of Make in
India may not find much success. Make in India initiative is an
honest attempt to revive the fortunes of Industry/Manufacturing
sector. Revival of Industry sector is key to revival of Indian
economy. Digital India will help to maintain contribution of
Service sector but manufacturing/industry sector has to grow at
much faster pace to out-pace service sector. It is not an easy
task. Government should target to increase contribution of
Industry/manufacturing from existing 16% to 35% in next 5 years.
Make in India will help to achieve this goal but it comes with its
own set of challenges.
Manufacturing is capital and resources intensive sector which will
require conducive environment for business. Labour issues will be
major hurdle which the govt is trying to handle through labour
reforms. Besides this, a major push is required to upgrade
infrastructure
10 UPUEA Economic Journal: 14th Annual Conference, 2018
of country. Govt has also set up 10,000 Crore start up fund to
encourage entrepreneurship. Basically objective is to create
ecosystem of small industries in periphery of manufacturing hub
similar to Maruti model. Government will provide all the approvals
under Make in India initiate in a time bound manner through single
online portal. However, as that quote goes “Never judge a book by
its cover.” So, today, we are not going to judge the Make in India
initiative by its policies and schemes, but future results.
Conclusion Make in India is an ambitious project, with an aim for
sustainable growth of the
economy. With relentless policies towards this end, it is possible
to make India the powerhouse of manufacturing sector in the world.
At this moment, our Prime Minister’s Make in India campaign appears
to be an imaginative marketing campaign. But there is much thought
and even more work that is required to convert this to reality.
Make in India theme and also accept that this is an opportunity
before us and we must cash it. This project will help us to stand
globally with strong economy along with our Indian brand through
Make in India. Creates job opportunities and looks for overall
development of India, But like every coin has two sides Make in
India is not in the favor of agriculture development, Indian has
the capacity to push the GDP to 25% in next few years. The
government of India has taken number of steps to further encourage
investment and further improve business climate.
“Make in India” mission is one such long term initiative which will
realize the dream of transforming India into manufacturing Hub.
Start-ups in the core manufacturing sectors are poised to play a
crucial role in the success of “Make in India” “Start-ups in the
fields of telecom, defense manufacturing, automobile, Internet of
Things, financial technology modules and mobile internet have
immense potential to succeed in the scheme of “Make in India”,”
said Siddhartha Das, general partner, Venture East addressing
aspiring entrepreneurs at the discussion on “Entrepreneurship -
Role of Startups towards Make in India”. Make in India scheme also
focuses on producing products with zero defects and zero effects on
environment.
References 1.
www.iimcal.ac.in/make-india-academic-perspective-prof-partha-priya-dutta
2. Sunil Kumar Gupta, Make in India : A Compendium of Business
Opportunities & Laws in India,
Parragon Publishers, 2015 3. Chetan Bhagat, Making India Awesome:
New Essays and Columns, Rupa Publications, 2015 4. Naman Vinod,
Make in India: Pradhanmantri Narinder Modi Ka Naya Prayaas, Hind
Pocket
Books, 2015 5. Can “Make in India” make jobs? The challenges of
manufacturing growth and high–quality job
creation in India by Russell A. Green Will Clayton, fellow,
International Economics, James A. Baker, Institute for Public
Policy Rice University, (http://bakerinstitute.org. 2014)
6.
http://www.mapsofindia.com/myindia/business/make-in-india-call-getssmartresponse-fromhttp:/
/www.livemint.com/Politics/n
11UPUEA Economic Journal: 14th Annual Conference, 2018
Sigma Convergence of Growth Rate of Low Income States of
India
Nandan Singh Bisht*, R.S. Jalal** & Thakur Dev Pandey***
Introduction Economic growth is a modern phenomenon. It is the
increase in the market value
of goods and services produced by an economy over time. It is
conventionally calculated as the percent rate of increase in real
GDP. In economics, economic growth theory typically refers to
growth of potential output i.e. production at full employment. As
an area of study, economic growth generally distinguished from
economic development, the former generally refers to the increase
in per capita income while letters tries to focus on quantitative
as well as qualitative changes in nation’s. A life during the
economic advancement. According to Kindleberger, “economic growth
means more output, while economic development implies both more
output and changes in the technical and institutional arrangement
by which it is produced and distributed. Growth not only involves
more output derived from higher amounts of input but also refers
greater efficiency i.e. an increase in output per unit of input.
Keeping the track of performance of the States is very useful at
the present time as performance tracking tell us how the states are
performing so that the authorities could identify where they could
improve and what strategic initiatives to take to enhance the
efficiency of the state.
Review of Literature Economic growth means a rise in real GDP;
effectively this means a rise in national
income, national output and total expenditure. Economic growth
should enable a rise in living standards and greater consumption of
goods and services.
* Assistant Professor, Department of Economics, Kumaun University,
(D.S.B. Campus), Nainital, Uttarakhand.
** Head of Department, Department of Economics, Kumaun University,
(D.S.B. Campus), Nainital, Uttarakhand.
*** Research Scholar, Department of Economics, Kumaun University,
(D.S.B. Campus), Nainital, Uttarakhand.
12 UPUEA Economic Journal: 14th Annual Conference, 2018
Bajpai and Sachs (1996)1 find absolute convergence across 19 states
only in the 1960s. Rao, Shand, and Kalirajan (1999)2 find income
divergence across 14 states over 1965- 1995. Nagaraj, et al.
(2000)3, Aiyar (2001)4, Kochhar et. al. (2006)5 and Misra
(2011).
Research Methodology The presented paper is based on the analysis
of secondary data of rate of GSDP
growth rate of the states of India from National Sample Survey
Organization (NSSO), Census of India 2011, and various reports from
the government of India, journals and research publications. The
presented paper is primarily concerned with analysing the trends in
the convergence of the states of India with empirically presenting
the evidence that the low income states are growing at a faster
rate than high income states, therefore, showing sigma convergence.
We measure the standard deviation across regions of the logarithm
of Real Gross State Domestic Product (GSDP) per capita. There is
á-convergence if the standard deviation across states tends to
decline over time, i.e., low income states are growing at a faster
rate than the high income states.
= ∑(log ( ) − ( ))
x = Real Gross State Domestic Product Per Capita
Equation 1: Standard Deviation of logarithm of Real GSDP per
capita
Trends in GDP Growth Rate of Indian States
Figure 1: GDP Growth Rate of Different States of India
(2010-2014)
In this study we used the alpha-convergence (sigma convergence). We
measure the standard deviation across regions of the logarithm of
Real Gross State Domestic Product (GSDP) per capita. There is
a-convergence if the standard deviation across states tends to
decline over time.
In addition to looking at a-convergence across the 14 states, we
also divide the states into two groups based on GSDP per capita,
and examine convergence within these two subgroups.
13UPUEA Economic Journal: 14th Annual Conference, 2018
Convergence of Low Income States of India
Figure 2: Convergence of log of real GDP per capita of Different
States of India
The Fig. 3 gives us a clear picture of the time series analysis of
convergence pattern of low income states of India.
Factors Responsible for Income of a States Economic growth is one
of the most important indicators of a healthy economy.
One of the biggest impacts of long-term growth of a country is that
it has a positive impact on national income and the level of
employment, which increases the standard of living. As the
country’s GDP is increasing, it is more productive which leads to
more people being employed. This increases the wealth of the
country and its population.
Higher economic growth also leads to extra tax income for
government spending, which the government can use to develop the
economy. This expansion can also be used to reduce the budget
deficit.
Additionally, as the population of a country grows, it requires the
growth to keep up its standard of living and wealth. Economic
growth also helps improve the standards of living and reduce
poverty, but these improvements cannot occur without economic
development. Economic growth alone cannot eliminate poverty on its
own.
Some of the important factors of Economic Growth are:- 1. Efficient
Allocation of Property Rights 2. Geographic Location 3. Human
Capital 4. Institutions
Uttarakhand has maintained the higher growth rate from the last
decade this shows the higher marginal rate of return to investment
in the state due to strong catching up of the state with the rest
of the high income states.
14 UPUEA Economic Journal: 14th Annual Conference, 2018
Figure 5: Annual Poverty Rate (%) of Different States of India
(2005-2012)
Source: World Bank staff calculations using National Sample Survey
(NSS), 2012, and Registrar General and Census Commissioner, India,
2011.
Conclusion While India’s economy grew more rapidly after the
mid-2000s and millions were
lifted out of poverty, the gains were unevenly spread across
different regions. Despite appreciable progress, some of the
‘Low-Income States’ - namely Bihar, Chhattisgarh, Jharkhand, Madhya
Pradesh, Odisha, Rajasthan and Uttar Pradesh - continue to lag
behind the rest of the country. After 2005, all LIS, with the
exception of Bihar and Rajasthan, grew at a slower pace than other
states. Poverty reduction in these states was also not as
responsive to economic growth as in the rest of the country. In
other words, economic growth in the LIS has been less inclusive
than in India as a whole. Though progress on human development
outcomes such as health and education has been relatively muted for
the country as a whole, the LIS have a lot more ground to cover.
Underlying this divergence is the variance in the capacity and
performance of institutions across the country.
References 1 Bajpai, N. and Sachs, J.D., 1996. Trends in
inter-state inequalities of income in India. 2 Rao, M.G., Shand,
R.T. and Kalirajan, K.P., 1999. Convergence of incomes across
Indian states:
A divergent view. Economic and Political Weekly, pp.769-778. 3
Nagaraj, R., Varoudakis, A. and Véganzonès, M.A., 2000. Long run
growth trends and convergence
across Indian States. Journal of International Development: The
Journal of the Development Studies Association, 12(1),
pp.45-70.
4 Aiyar, S., 2001. Growth theory and convergence across Indian
states: a panel study. India at the crossroads: sustaining growth
and reducing poverty, pp.143-169.
5 Banerjee, A.V., 2006. The paradox of Indian growth: A comment on
Kochhar et al. Journal of Monetary Economics, 53(5),
pp.1021-1026.
15UPUEA Economic Journal: 14th Annual Conference, 2018
Impact of Development Programmes: A Case Study of Handia Tahshil of
Allahabad District of Uttar Pradesh
Dharmnath Uraon*, Anup Kumar** & Ajay Kr. Pandey***
Introduction Rural Development Programmes is considered as a
“Silver Bullet” for eradicating
rural poverty and unemployment, by way of generating demand for
productive labour force in villages and raising their standard of
living. In this paper, based on the Primary data, an attempt has
been made to comprehensively understand the development effort to
rebuild the rural life and livelihood on the basis of primary data
of Handia tahsil of Allahabad Uttar Pradesh data.
To improve the conditions of rural people, Government of India
launched some schemes through the planning commission of India such
as Mahatma Gandhi National Rural Employment Guarantee Act
(MGNREGA), Rastriya Sama Vikas Yojana (RSVY), Indira Awas Yojana
(IAY), Sampoorna Grameen Rozgar Yojana (SGRY), Mid day Meals, PDS,
Beti Bachao Beti Badhao etc. All these schemes are aimed to reduce
the gap between rural and urban people which would help reduce
imbalances and speed up the development process.
Overview of Literature Evaluation studies on different programmes
in district in districts of Balasore (Orissa).
Chhapra (Bihar) and Meerut (Uttar Pradesh) were commissioned by
ministry of Rural Development and the findings reveal that
implementation was fraught with severe administrative problems
limiting an overall impact.
The study on Balasore found that party policy and monetary
considerations influenced selection of IRDP beneficiaries and in
most cases selection guidelines were not followed.
* Assistant Professor, Department of Economics, University of
Allahabad, Allahabad, U.P. ** Assistant Professor, Department of
Economics, University of Allahabad, Allahabad, U.P. *** HOD of
Economics, Handiya P.G. College, Handiya Allahabad, U.P.
16 UPUEA Economic Journal: 14th Annual Conference, 2018
Study Area: Handia is a town and a Nagar
Panchayat in East of Allahabad District of Uttar Pradesh
state in Indian. It is the Tehsil comes on the way of NH-2
also popularly known as G.T. Road (Grand Trunk Road) National
Highways of India Ganga or Ganges is the only main
river in this area.
Objective of the Study
1. To understand the socio-economic profile of the respondents in
the study area. 2. To assess the impact of development programmes
implemented by the government
on the development of the respondents in study area.
Hypothesis of the Study
1. H0 = There is no significant difference in socio-economic
profiles of the respondents in the study area. H1 = There is a
significant difference in the socio-economic profiles of the
respondents in the study area.
2. H0 = There is no significant impact of the development
programmes in the study area. H1 = There is a significant impact of
the development programmes in the study area.
Methodology
Population & Sampling Elements: All the beneficiaries of
different schemes in Handiya Tehsil are the elements of the
population whereas every individual head of family is taken as
respondents in the study area.
Sample size: A sample size of 106 respondents has been selected for
the present study. The respondents were selected from study area by
covering 2 blocks in which three social category namely SCs, OBCs
& General are covered in the above study. The interview
scheduled was prepared in English containing various closed ended
and few open ended questions. The researcher conducted the survey
on period of June, 2018 (Two weeks).
Tools and Methods of Data Analysis: Data were analyzed by using
some statistical tools like: frequencies, percentages, and cross
tabulation (bi-variate analysis) were also generated and ÷2
(Chi-Square) test was used as a test of significance at 5 percent
level of significance, for analyzing these.
Data Analysis and Hypothesis Testing
For the solution of above framed hypothesis we have used required
tools to getting appropriate results are given below:
17UPUEA Economic Journal: 14th Annual Conference, 2018
A. Social Indicators (First Objective)
Table 1.1: Distribution of respondents by their age group &
Literacy Status
Age Group (In Yrs.)
Status of Literacy Total Yes No
Less than 34 30 (93.8) 2 (6.2) 32 (100.0) 34 -50 24 (43.6) 31
(56.4) 55 (100.0)
51 & Above 2 (10.5) 17 (89.5) 19 (100.0) Total 56 (52.) 50
(47.2) 106 (100.0)
Statistical Test χ2 = 37.012 , df = 2, p = 0.000
Source: Field Survey. Note: Figures in parenthesis are percentages
to the total in the respective rows.
Table 1.2: Distribution of respondents by their Social Category
& House Ownership
Category House Ownership
Total Owned Govt.
SCs 13 (36.1) 23 (63.9) 36 (100.0) OBC 32 (84.2) 6 (15.8) 38
(100.0)
General 30 (93.8) 2 (6.2) 32 (100.0) Total 75 (70.8) 31 (29.2) 106
(100.0)
Statistical Test χ2 = 32.383, df = 2, p = 0.000
Source: Field Survey. Note: Figures in parenthesis are percentages
to the total in the respective rows.
B. Economic Indicators (Second Objective)
Table 2.1: Distribution of respondents by their Social Category
& Employment Generation
Category Employment Generation
Total Self Employed Through Scheme
SCs 24 (66.7) 12 (33.3) 36 (100.0) OBC 18 (47.4) 20 (52.6) 38
(100.0)
General 6 (18.8) 26 (81.2) 32 (100.0) Total 48 (45.3) 58 (54.7) 106
(100.0)
Statistical Test χ2 = 15.803, df = 2, p = 0.000
Source: Field Survey. Note: Figures in parenthesis are percentages
to the total in the respective rows.
18 UPUEA Economic Journal: 14th Annual Conference, 2018
Major Findings
1. The relationship between age of the respondents and the status
of literacy, which signifies the role of ‘Sarva Shiksha Abhiyan’
i.e. literacy among the younger respondents is more than older
respondents.
2. It is visible that as the social category of the respondents
move upward the ownership of the house goes to individuals. This
also shows that various ‘Awas Yojana’ of the government have
benefited the people at the grass root level.
3. The status of employment along the social group and it is clear
that the people on the lower ladder of social category are largely
involved in self employment.
Policy Recommendations The deepening and widening or ‘Sarva Shiksha
Abhiyan’ and ‘Mid-Day Meal
Yojana’ is required with proper monitoring. The implementation of
various ‘Awas Yojana’ needs proper supervision, so
that the benefit of government support reaches to the actual
beneficiary. The skill development programme and make in India
programme may be
rewarding if it is implemented in true sense. It is required that
proper coordinated campaign be made to make people aware
regarding government schemes and people needs to be given proper
skill and training. The issues of power supply also need to be
addressed.
References 1. Avasthi, I.L. (1990). ‘Decentralization Perspectives
and Rural Development’ in Ashok Kumar
(ed.), Planning, Development and Disparities in Rural India,
Commonwealth Publishers, New Delhi, pp 123-133.
2. Baden-Powell, B.H. (1957). The Indian Village community, New
Haven. 3. Balan et. al. (2009). Functioning of Panchayati Raj
Institutions Status, Issues and Options. CRIDD,
Chandigarh. 4. Bandyopadhyay, D. (2002). ‘Panchayats in Karnataka
Two Steps Back’, Economic and Political
Weekly, Vol. 37, No. 35, Aug, p.3572.
19UPUEA Economic Journal: 14th Annual Conference, 2018
Employment Intensity and Sectoral Growth: A Study with Special
Reference to Secondary Sector of India
Azazuddin*, Pradeep Jain** & Dinesh Kumar***
Introduction Accelerated growth and expanding employment
opportunities are two basic goals
of any economic policy. Providing productive employment for ever
growing labour force has been integral part of the Indian economic
policy. The single biggest challenge for Indian planners and policy
makers is to create decent employment opportunities for ever
expanding labour force. The focus on the employment generation in
Indian economy has initiated around the second half of 1970s and
1980s when economy is facing high unemployment rates during the
planning period. With the initiation of reform in 1991, it has
generally been realized whether reform driven growth of Indian
economy has been job creating or not. The process of rapid growth
in the awake of economic reforms was expected to generate more
enough and more rewarding jobs through increasing productivity of
workers.
In recent decades, the economies of the world have witnessed
sweeping changes on several macroeconomic indicators, thanks to
globalization and liberalization processes. It is, however, common
place that along with certain opportunities, globalization has
brought in immense challenges. This observation is particularly
relevant with regard to employment. Historically, India has had the
convention of experiencing failures on employment fronts despite
ups and downs in income growth. In the early period, low GDP growth
rates were not employment. Intensive and the basic sources of
growth were the sectors with capital-intensive production
techniques. The 1980s was characterized by poor and unstable
economic performance. Modest GDP growth rates were associated with
inadequate employment content, notwithstanding increasing number of
new entrants to the labour market. Adoption of economic reform
programmes in the early 1990s
* Research Scholar, Department of Economics, Ch. Charan Singh
University, Meerut, U.P. ** Research Scholar, Department of
Economics, Ch. Charan Singh University, Meerut, U.P. *** Professor
& Head, Department of Economics, Ch. Charan Singh University,
Meerut, U.P.
20 UPUEA Economic Journal: 14th Annual Conference, 2018
brought about changes in the structure of GDP and employment, which
was, however, accompanied by a situation of ‘jobless growth’.
Objectives: To identify and classify the category of secondary
sector and its sub sectors
with their growth trends and pattern. To analyze the employment
elasticity of secondary sector and its sub sectors of
Indian economy.
Research Methodology and Data Sources In the empirical literature,
there are two methodologies that have generally been
used for calculation of employment elasticities. These are based on
compound annual growth rate (CAGR) approach that gives the ‘arc’
elasticity and regression approaches that provide point elasticity.
The formula for calculation of ‘arc’ elasticity of employment is
generally as under:
= / / ...(1)
An alternative way to compute the elasticity is to estimate a log
linear regression equation between employment and GDP that
generates the point elasticity of employment. The conventional form
of the equation is
= = / /
...(3)
Given the above backdrop, the present study attempts to develop a
set of stylized facts characterizing the industrial sector in India
with respect to economic growth and employment, and their
inter-linkages. In present study, annual data is used and the study
considers the period from 1972-73 to 2011-12. The study analyses
three phases of the post-independent Indian economy, which are
easily distinguishable namely (a) 1972/73-1983/84, (b)
1983/84-1993/94, and (c) 1993/94- 2011/12, adoption of economic
reforms programmes leading to change in the structure of GDP and
employment. Data on employment and output is collected by the broad
sector (secondary) and its four sub-sectors. Data on GDP and
investment is collected from the Central Statistical Organization
(CSO) considering 2004/05 as the base year. Inflation, as a proxy
for price uncertainty is taken from the statistical handbook of
Reserve Bank of India.
Review of Literature Different economists have offered different
explanations for the observed pattern
of structural changes in an economy as mentioned above; notable
amongst them are Fisher (1939), Clark (1951), Kuznets (1966, 1971)
and Kaldor (1966, 1967). The major differences in their
explanations lie in their relative emphasis on demand and
supply
21UPUEA Economic Journal: 14th Annual Conference, 2018
side factors. Fisher, Clark and Kuznets focus mainly on the demand
side and base their arguments on changes in the income elasticity
of demand for products and services of different categories.
Growth of Employment In a developing country like India, constant
increase in growth rate of employment
is a tough task. One of the major reason due to which India is
unable to achieve higher growth is the under – utilization of
resources.
Employment Elasticity of Secondary Sector and Its Sub-Sectors In
public utilities, the last phase has witnessed negative employment
elasticity
(table 1).
Table 1 : Employment Elasticity of Secondary Sector and Its
Sub-Sectors
Employment Elasticity Year Mining&
Quarrying Manufacturing Utilities Construction Secondary
Sector 1972/73-1983/84 0.56 0.51 0.57 0.97 0.58 1983/84-1993/94
0.93 0.49 0.71 1.34 0.63 1993/94-2009/10 0.33 0.33 -0.03 1.12
0.61
1972/73-2009/10 0.58 0.43 0.45 1.11 0.60
Source: Estimated from the data obtained from NSSO and CSO
Results, Conclusion and Discussion The results of the study reveal
that the, secondary sector employment intensity in
India is found to have been affected by output growth and the share
of services to the GDP. Rise in investment in the economy and
increase in imports tend to promote employment in the secondary
sector the share of services to GDP exerts positive impact on
employment intensity of growth of the secondary sector. It may,
thus, indicate that there is a strong inter-linkage between
services and the secondary sector. While secondary sector’s output
growth has shown fluctuations over time, the employment elasticity
has remained, by and large, stable. Overall employment elasticity
is, however, not very encouraging. It is important that secondary
sector grows at a faster rate and continues to remain more
labour-intensive. It is right that improvement in labour
productivity in the secondary sector is necessary to improve the
quality of employment. It may, however, undermine efforts to
enhance the quantity of labour employed. Given the fact that both
quality and quantity are important, there is perhaps a need to
provide a policy framework that ensures expansion in employment
without compromising productivity increase construction sector’s
share in the secondary sector is rising and its employment share is
also on the rise. Besides, employment elasticity of this sub-
sector is greater than unity, thus indicating possibly a very low
labour productivity in this context, it may be stated that there
ought to be inter-sectoral transfer of labour
22 UPUEA Economic Journal: 14th Annual Conference, 2018
and tendency of convergence of sectoral labour productivities to
bring about improvement in employment conditions in the secondary
sector.
There are historical evidences that with economic development,
contribution of agriculture to GDP declines and consequently,
contribution of industry followed by services rises. Employment
shift should necessarily take the same course. Ironically, the
Indian economy does not seem to have been following the
conventional path. Growth of industrial output has been much less
than desirable, while the service sector has grown at an incredible
rate with, however, no corresponding rise in employment. Hence, it
may be necessary to reorient our focus towards developing
industrial sector which should be labour-intensive.
Labour-intensive industries require low skills and thus, can help
the workforce shift smoothly from agriculture to industry.
It is interesting to note that India’s service sector growth can
contribute towards the promotion of employment in secondary sector,
though services by themselves fail to be more employment intensive.
As the Indian economy has been experiencing structural economic
changes in that service sector grows at a faster rate, the latter
may be helping the industries grow rapidly. To be precise, services
like ICT, banking, insurance, health etc are creating level playing
fields for the industries in India. It is, thus, imperative to
maintain and sustain such linkages between services and industries.
That increase in investment promotes employment in secondary sector
purports to suggest that more investment-friendly measures must be
put in place to promote investment in the country. Suffice to state
that market should remain open to international competitions. This
would warrant reduction in barriers to foreign trade and foreign
direct investment. As there are ample evidences of market failure,
a conducive fiscal environment through selective government
intervention remains the key. There is also a need for an
improvement in the functioning of labour markets and institutions
to adjust to globalisation and the missing link of the secondary
sector with other broad sectors of the Indian economy.
To conclude, it may be stated that a well functioning secondary
sector is the key to India’s target of achieving high and
sustainable growth. Growth of secondary sector provides important
opportunities to strengthen employment and productivity. A
comprehensive strategy is, thus, required to address the secondary
sector’s challenges in respect of its growth and employment in the
country.
References 1. Anklesaria Aiyar, S.S., (2011), “The Elephant that
became a Tiger: 20 Years of Economic Reforms
in India”, Development Policy Analysis, No-13, Centre for Global
Liberty and Prosperity, Cato Institute, July 20.
2. Auer, Peter and Rizwanul Islam, (2006), “Economic Growth,
Employment, Competitiveness and Labour Market Institutions”, World
Economic Forum: The Global Competitiveness report 2006-2007, WEF,
Geneva.
3. Bhattacharya, B.B. and Sakthivel, S. (2004), “Economic Reforms
and Jobless Growth in India”, Working Paper Series, No E/245,
Institute of Economic Growth, New Delhi.
4. Fisher, A.G.B., (1939), “Production, Primary, Secondary and
Tertiary”, The Economic Journal, Vol.15.
23UPUEA Economic Journal: 14th Annual Conference, 2018
Impact Analysis of Poverty Alleviation Programmes in Doda District
with Special Reference to Block Gundana
Amjid Nadeem*, Padam S. Bisht**, Mohd. Arif*** & Krishna
Singh****
Introduction The head quarter of block Gundana is at Gundana. It is
located at a distance of 40
km. towards north from headquarter Doda. The block Gundana is near
about 225 km. away from Winter Capital Jammu. The block Gundana
touches it boundary with Kishtwar district. The people living in
block Gundana suffer from basic necessities of their life like
health facility, educational facility and infrastructural
facilities. The most area of block Gundana is hilly and
mountainous. The present study is initiate the complete picture of
povety alleviation programmes in block Gundana. The primary study
of block Gundana is comprised of 150 households. According to
questionnaire schedule the survey is cnducted of 150 households
from 5 villages namely AlbiMasri, Assassi, Bakhna, Barshalla and
Bhawanaand 30 households is selected from each village which is
selected randomly.
Objective of the Study 1. To highlight the the picture of poverty
alleviation programmes in doda district of
Jammu and Kashmir 2. To suggest the effective policy measures for
improving poverty alleviation
programmes in selected area.
Methodology of Study This research paper is based on primary data;
primary data is collected from the
survey made in selected block of sample area.
* Department of Economics, D.S.B. Campus, Kumaun University,
Nainital, Uttarakhand. ** Professor, Department of Economics,
D.S.B. Campus, Kumaun University, Nainital, Uttarakhand. ***
Department of Economics, D.S.B. Campus, Kumaun University,
Nainital, Uttarakhand. ****Department of Economics, D.S.B. Campus,
Kumaun University, Nainital, Uttarakhand.
24 UPUEA Economic Journal: 14th Annual Conference, 2018
Finding of Research As per the study conducted in sample area of
block Gundana, the finding of the
study is given as under;
Table 1.1: Description of Monthly Income before Implementation of
Programme in Sample Area of Block Gundana (Total no. of Panchyats
18)
S. No. Monthly Income No. of Households Percentage 01 0 – 800 Nil
Nil 02 800 – 1600 Nil Nil 03 1600 – 2400 10 6.67 04 2400 – 3200 60
40.00 05 3200 – 4000 50 33.33
06 4000 – 4800 30 20.00
Total Sample Size 150 100.00
Average Monthly Income in Sample Area
Class Interval Frequency (f) Mid Value (M.V.) f.m.v.
0 – 800 0 400 0
800 – 1600 0 1200 0
1600 – 2400 10 2000 20000
2400 – 3200 60 2800 168000
3200 – 4000 50 3600 180000
4000 – 4800 30 4400 132000
N = 150 fx = 500,000
25UPUEA Economic Journal: 14th Annual Conference, 2018
Table 1.2 : Description of Monthly Income after Implementation of
Poverty Alleviation Programme in Sample Area of Block Gundana Block
Gundana (Total No. of Panchyats = 18)
S. No. Monthly Income No. of Households Percentage 01 0 – 800 Nil
Nil
02 800 – 1600 Nil Nil 03 1600 – 2400 Nil Nil 04 2400 – 3200 50
33.33
05 3200 – 4000 50 33.33 06 4000 – 4800 40 26.67
07 4800 – 5600 10 6.67
Total Sample Size 150 100.00
Source: Based on Primary Survey.
Table 1.3: Description of Monthly Expenditure in Sample Area of
Block Gundana (Total no. of Panchyats = 18)
S. N. Monthly Expenditure No. of Households Percentage 01 0 – 500 0
0 02 500 – 1000 0 0 03 1000 – 1500 0 0 04 1500 – 2000 30 20.00 05
2000 – 2500 60 40.00 06 2500 – 3000 40 26.67 07 3000 – 3500 10 6.66
08 3500 – 4000 10 6.67
Table 1.4: Description of Poverty Alleviation Programmes
(Beneficiaries) in Block Gundana (Total no. of Panchyats =
18)
S. N. Name of Poverty Alleviation Programmes No. of
Households
Percentage
26 UPUEA Economic Journal: 14th Annual Conference, 2018
Table 1.5: Description of Form of Saving in Sample Area at Primary
Level of Block Gundana (Total no. of Panchyats = 18)
S. N. Form of Saving No. of Households Percentage 01 National Banks
50 33.33 02 Jewellery 20 13.33
03 Land 80 53.34 04 Post Office Nil Nil
Total Sample Size 150 100.00
Source: Based on Primary Survey.
Conclusion and Suggestion • The study shows that income of
beneficiaries after implementation of poverty
alleviation programmes increase but still need a pace to uplift the
poorer sections of society.
• The study further reveals that in sample area where the survey is
conducted average monthly income is 3333.33.
• The study further shows that in sample are 3.34 percent got
benefit from Indira awaas yojna 83.34 percent got benefit from
MANREGA and 13.3 percent got benefited from BRGF.
Suggestion • In order to lift poor section of society in sample
area it is necessary to check
whether benefits of anti poverty programmes Goes to poor section or
not. • There is dire need of transparency while selecting
beneficiaries in sample.
27UPUEA Economic Journal: 14th Annual Conference, 2018
Gandhian Philosophy for Better Fiscal Management in Bharat
Vikramdev*
The paper focuses that up to which extent the role of FISCAL POLICY
is pivotal in the rural or urban development? The prevailing FISCAL
POLICY needs to be changed and strategically managed in such
Gandhian way that we may overcome from our socio-economic problems.
Further recommendations have been made how to achieve the targets
of SUPER POWER/our glorious past.
Fiscal management refers to government spending, taxing, borrowing
and debt management. According to Prof. Samuelson, “By a positive
fiscal policy, we mean the process of moping public taxation and
public expenditure so as (1) to help hampen down the swings of
business cycle, and (2) to contribute towards the maintenance of
progressive high employment economy free from excessive inflation
or deflation. For the sake of development our governments in
general have adopted the policy of deficit financing which leads
the general price rise and slow down the purchasing power of common
people. The main justification for the deficit financing arises out
of the shortage of funds for the public sector projects. In the
name of so called economic reforms and liberalization, the interest
of common people has been ignored. This ignorance has led to the
common people to commit suicides. Such policy has led to offer the
golden opportunity to the rich to become more & more
rich.
Fully Managed Compensatory Budget: The policy of managed budget
consists of a deliberate attempt to adjust revenue, expenditures
and public debts in a way so as to provide full employment without
inflation. The policy became popular with the publication of
Keynes’ General Theory. It advocates that we should forget about
balancing the budget as a separate goal and make use of State
budget in whatever way is necessary to provide full employment
without inflation.
* Gandhian Professor & Dean, Faculty of Management Studies and
Coordinator-CGS & HR, Extn. Cell, VBS Purvanchal University
Jaunpur, U.P.
28 UPUEA Economic Journal: 14th Annual Conference, 2018
Overview of Indian Fiscal Policy Our Economic Reforms have yielded
credible gains in the external and monetary
sector since the early 1990s. Inflation has negatively &
surprisingly climbed down from a peak of 17 % in August, 1991 to
below zero % in 2009.
CPI India 2017 2.49 % CPI India 2007 CPI India 2016 4.97 % CPI
India 2006 CPI India 2015 5.88 % CPI India 2005
CPI India 2014 6.37 % CPI India 2004
These are very impressive achievements. Stability has been achieved
in the external sector and the central bank can now conduct
autonomous monetary policy. However, continued fiscal deficits are
restraining the economy from realizing its full potential to grow
and in providing quality infrastructure, both physical and social,
that can meet the growing needs of a resurgent economy. The fiscal
stress, which had peaked in the aftermath of the 5th, 6th & 7th
Central Pay Commission, dream projects like NREGS, farmer’s debt
waiving schemes, now Make in, Stand Up, Start Up, Mudra Bank,
Jandhan Yojna etc, and the economic slowdown has since eased,
mainly due to selling of public enterprises in the name of
disinvestments, improvement in tax collections and softening of
interest rates. In an attempt to remove the fiscal drag on the
economy, the government has been attempting to increase the tax
base and improve tax collections.
As indicated in the Macroeconomic Framework Statement, the Budget
2005-06 was presented in the backdrop of a positive outlook for the
economy, driven by a spurt in domestic and export demand.
Tax Policy The current phase of high growth provides an opportunity
to improve the fiscal
health of the country. We must increase our revenues without
hurting the growth momentum. It is Government’s intention to
undertake major tax reforms to improve the tax to GDP ratio, expand
the tax payer base, increase tax compliance and make tax
administration more efficient. Government is moving to a tax system
that is based on moderate rates and wider base through
rationalization of exemptions.
Rationale for Policy changes: Changes in Customs duty structure are
broadly in line with the medium term objective of moving towards
tariff levels prevailing in ASEAN
29UPUEA Economic Journal: 14th Annual Conference, 2018
countries. Inclusion of 12 additional services within the service
tax net is in line with the medium term objective of removing the
distortion caused by inadequate taxation of services commensurate
with their rising share in GDP. Changes in Excise duty structure
are designed to inter alia, serve the medium term objective of
movement towards introduction of a Value Added Tax and eventual
integrated taxation of goods and services.
Since the services sector accounts for nearly 52 percent of the GDP
it is necessary to cast the service tax net wide with relief to
small service providers in the interest of administrative
efficiency.
The corporate income tax rate, the surcharge thereon and the rates
of depreciation are inter-linked. The international best practice
is to provide for depreciation at rates that would enable the
investor to replace the asset before its economic life ends. In
India, in addition to the depreciation rate we have allowed an
initial depreciation in order to encourage new investment. Thus, a
number of profit making companies continue to pay low tax, even if
well within the law, by taking advantage of liberal depreciation
rates and of exemptions and incentives.
Contingent & Other Liabilities: The Government believes in
creating an investor- friendly environment through deepening the
process of decontrol and deregulation. With credit and
infrastructure (energy, transport and communications) no longer
being major hurdles for new investment as they used to be, the need
for sops like Government guarantees to attract investment has
substantially reduced.
Pricing of Administered Goods: At present, no further change is
proposed in the policy regarding pricing of administered products.
The situation regarding international crude oil prices is still
volatile will remain under close watch. Adjustments will be made as
and when required with equitable sharing of burden between
consumers, oil companies and government.
Government Borrowings, Lending and Investments: The Fiscal Policy
Strategy Statement for Budget 2004-05 brought out Government’s
intention to encourage States to approach the market directly
rather than routing State debt through the Central Budget and to
consider on-lending external loans to States on the same terms and
conditions on which these are received by the Central Government.
Both these measures have now been accepted by the Government
following the recommendations of the Twelfth Finance
Commission.
Government’s Strategy to Pursue Fiscal Consolidation: Initiatives
in tax administration: Major planks of the administrative dimension
of tax reforms are (i) computerization of departmental business
processes (ii) encouragement to voluntary tax-compliance through
better taxpayers service (iii) reduction in compliance cost to the
tax payers including minimization of direct interface through
improved e- governance.
Initiatives in Public Expenditure Management