ALCALDE MUNICIPAL INAUGURA AULAS ESCOLARES EN EL CENTRO

IMPACT OF REGIONAL DISPARITY ON INDIAN ECONOMY Dr. Vandana K. Mishra

Associate Professor,Smt.L.R.T.College of Commerce, Akola

INTRODUCTION India, which is the largest democracy, second largest population and third largest economy in the World, followed mixed economy model after independence. During the closing years of its seventh five year plan (1985-1990) India’s economy was in worse situation. India adopted New Economic Policies (NEP) in 1990’s to pursue liberalization, privatization and globalization of its economy. India is often characterized as an emerging economic super power. In fact, it is the only large potential market a waiting to be conquered by the multinational corporations. The process of integration of India into the global market is progressing fast. Almost all economic indicators are showing healthy trend and India is one of the fastest growing major economies of the world. India has several strengths which can be fully exploited in the coming decades. The relatively young population which is still growing at about 2 per cent per annum in a world inhabited by nations with ageing populations can be considered an important asset. This asset can generate huge demographic dividend in the coming decades. India can become the principal supplier of skilled workers to developed countries with ageing societies experiencing acute labour shortage. Indians constitute about 17 per cent of world population. But we account for about 35 per cent of the poor and 40 per cent of the illiterates in the world. There are more poor and illiterates today than at the time of independence sixty years ago. Our infant mortality is still about 60 per 1000 live births, which is one of the highest in the world. More than 50 per cent of Indian women and children are anemic due to acute nutritional deficiency 2. India also experiences a high incidence of morbidity and mortality on account of various waterborne diseases, tuberculosis, diabetes, etc.These are not normal characteristics of a modern nation which is aspiring to be a world economic power. A decent society cannot be built on the ruins of hunger, malnutrition, ill health and illiteracy. Children who are the bridge between our inherited past and the aspirations for the future are neglected beyond limit. As a result huge damage is done to their physical and mental health. If the trend continues, our chances of gaining from globalization on the strength of our human resources are slim.The purpose of the present paper is an attempt to present an over view of the ‘Impact of Regional Disparity on Indian Economy’

OBJECTIVES OF THE STUDY

1] To study the regional disparity in Indian Economy.

2] To evaluate the indicators of Regional Disparity in Indian Economy. 3] To the impact of Regional Disparity on the Indian Economy.

4] To analyze the government policies for balanced regional development. RESEARCH METHODOLOGY

Data Collection: This is a descriptive research paper based on secondary data. Data have been collected through the books, magazines, Journals, research paper and websites.

CONCEPT OF REGIONAL DISPARITY

The word disparity comes from the Latin word disparitas, which means divided. In the modern day scenario the condition of being unequal is considered disparity. Regional disparity refers to differences between economic performance and welfare between different regions. Regional disparity means unbalanced spatial structures in some region or in different regions. Regional disparities are manifested in different conditions of life as well as in unequal economic and development potential. A good example of spatial disparity is the contrast between urban and rural areas.

SCHOLARLY RESEARCH JOURNAL FOR INTERDISCIPLINART STUDIES SJIF 2016 – 6.177 ISSN: 2349-4766 (P), 2278-8808 (E)

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Sitabai Arts, Commerce & Science College, Akola

 Certain areas are more endowed than others, in terms of natural resources, these cover everything from minerals to cultivable land and river systems.

 Some regions get neglected as others are well-connected, missing the chance of development. Some regions have been neglected historically.

 Government policies also play an important role. The government sometimes focuses INDICATORS OF REGIONAL DISPARITY IN INDIAN ECONOMY

1. State Per - Capita Income: The most important indicator of regional Disparity is difference in per capita income of States. In most of the years States like Punjab, Haryana, Maharashtra, Gujarat, Karnataka, Tamil Nadu and Kerala have achieved higher per capita income when compared with Orissa, Bihar, M.P, UP, Assam and Rajasthan. In 2016, Delhi’s per capita income stood at Rs. 2,01,083 as compared to Bihar’s Rs. 22,890. PCI for 6 Indian states is not available, including Gujarat, Kerala, Mizoram, Chandigarh, Rajasthan and Goa. In 2012, Goa had the highest Per Capita Income followed by Delhi.

2. Inter - State Disparities in Agricultural and Industrial Development: Punjab, Haryana and part of U. P. has recorded high rate of productivity due to its high proportion of irrigated area and higher level of fertilizer use. On the other hand, states like Assam. Bihar, Orissa and Uttar Pradesh have been lagging behind in respect of the pace of industrialization.

3. Intra - State imbalance: There is a growing tendency among most of the advanced states concentrate its development activities towards relatively more developed urban, and metropolitan of the states while allocating its industrial and infrastructural projects by neglecting the backward areas.

4. Spatial Distribution of Industries: Another Important Indicator of regional imbalance is the uneven distribution of industries. Though, the country as a whole has achieved industrial development at a fair rate since independence, but the spatial distribution of such industrial development between different states remained almost uneven.

5. Population below poverty line: Percentage of population living below the poverty line in dif- ferent states is an important indicator of regional Imbalance or disparities.

Table (1) State-wise Poverty Situation in 2011-12 (in per cent) in India:

Population below Poverty line

Rural Poverty Urban Poverty Total Poverty

Less than 10

Goa, Punjab, Himachal Pradesh, Kerala, Sikkim

Goa, Sikkim, Himachal Pradesh, J&K,

Mizoram, Kerala, Andhra Pradesh, Tamil Nadu, Meghalaya, Maharashtra, Punjab, Tripura Goa, Kerala, Himachal Pradesh, Sikkim, Punjab, Andhra Pradesh, 10 to 20 Andhra Pradesh, Haryana, Meghalaya, Rajasthan, J&k, Nagaland, Tripura, Tamil Nadu, Uttarakhand

Gujarat, Haryana, Uttarakhand, Rajasthan, West Bengal, Karnataka, Nagaland, Odisha J&k, Haryana, Uttarakhand, Tamil Nadu, Meghalaya, Tripura, Rajasthan, Gujarat, Maharashtra, Nagaland, West Bengal

20 to 30 Gujarat, West Bengal, Maharashtra, Karnataka Arunachal Pradesh, Assam, Madhya Pradesh, Chhattisgarh, Jharkhand , Uttar Pradesh Mizoram, Karnataka, Uttar Pradesh

SCHOLARLY RESEARCH JOURNAL FOR INTERDISCIPLINART STUDIES SJIF 2016 – 6.177 ISSN: 2349-4766 (P), 2278-8808 (E)