Invariant features of spatial inequality in consumption: The case of India

Arnab Chatterjee, Anindya S. Chakrabarti, Asim Ghosh*, Anirban Chakraborti, Tushar K. Nandi

*Corresponding author for this work

Research output: Contribution to journalArticleScientificpeer-review

4 Citations (Scopus)

Abstract

We study the distributional features and inequality of consumption expenditure across India, for different states, castes, religion and urban-rural divide. We find that even though the aggregate measures of inequality are fairly diversified across states, the consumption distributions show near identical statistics, once properly normalized. This feature is seen to be robust with respect to variations in sociological and economic factors. We also show that state-wise inequality seems to be positively correlated with growth which is in accord with the traditional idea of Kuznets' curve. We present a brief model to account for the invariance found empirically and show that better but riskier technology draws can create a positive correlation between inequality and growth.

Original languageEnglish
Pages (from-to)169-181
Number of pages13
JournalPhysica A: Statistical Mechanics and its Applications
Volume442
DOIs
Publication statusPublished - 15 Jan 2016
MoE publication typeA1 Journal article-refereed

Keywords

  • Consumption expenditure
  • Spatial inequality

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