ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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Rural Employment and Poverty

This paper discusses the likely scenarios regarding employment and income growth in agriculture and non-agriculture in rural and urban areas under various assumptions about sectoral growth rates and employment elasticities. It is evident that India faces a problem in generating enough employment in the years ahead to keep pace with the growth in the labour force as also in raising wages and productivity of workers. Against this backdrop the authors consider possible strategies for increasing employment significantly reducing rural and urban poverty by 2020.

Impact of Public Expenditure on Poverty in Rural India

Using state-level data for 1970-93, a simultaneous equations model was developed to estimate the direct and indirect effects of different types of government expenditure on rural poverty and productivity growth in India. The results show that in order to reduce rural poverty, the Indian government should give highest priority to additional investments in rural roads, agricultural research and education. These types of investment not only have much larger poverty impacts per rupee spent than any other government investment, but also generate higher productivity growth. Other investments (including irrigation, soil and water conservation, health, and rural and community development) have only modest impacts on growth and poverty per additional rupee spent.

Should Developing Countries Invest More in Less-Favoured Areas?

Developing countries allocate scarce government funds to investments in rural areas to achieve the twin goals of agricultural growth and poverty alleviation. Choices have to be made between different types of investments, especially infrastructure, human capital and agricultural research, and between different types of agricultural regions, e g, irrigated and high- and low-potential rainfed areas. This paper develops an econometric approach and provides empirical evidence on the impact of government investments in rural India. While irrigated areas played a key role in agricultural growth during the green revolution era, our results show that it is now the rainfed areas, including many lessfavoured areas, that give the most growth for an additional unit of investment. Moreover, investments in rainfed areas have a much larger impact on poverty alleviation, making them a win-win strategy. These results have important policy implications, and challenge conventional thinking that public investments in rural areas should always be targeted to irrigated and other high potential areas.

Foodgrains Demand in India to 2020-A Preliminary Exercise

This paper attempts to project feed and food demand for India to 2020 under alternative income growth scenarios: " These alternatives are: continuation of current trend of 3.5 per cent growth in per capita income; acceleration of growth in per capita income to 5.5 per cent; raising the entire poor above the poverty line ('Non-poor India '); and ensuring that every one is well fed in terms of calories ('Well-fed India

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