Services growth and convergence: Getting India’s states together

Shingal, Anirudh (2012). Services growth and convergence: Getting India’s states together (NCCR Trade Working Paper 2012/07). Bern, Switzerland: NCCR Trade Regulation

Services Growth and Convergence.pdf - Published Version
Available under License BORIS Standard License.

Download (376kB) | Preview

India’s success story in services is well documented at the national level, but similar literature does not exist for India’s states. In this paper, we bridge this gap in research by looking at India’s services growth at the sub-national level and in doing so, also challenge existing literature by arguing that this growth has positive implications for income distribution. The first interesting finding is that even as per capita income is not converging across India’s states, per capita services are and we provide evidence for this both in terms of traditional measures of sigma- and beta-convergence and more recent panel unit root tests. Secondly, not only is external demand an important determinant of services value added at the state level, but this demand also emanates from all over the country rather than being concentrated in the neighbouring or richer states. This suggests that the benefits from services growth are being distributed more widely than may be perceived.

Item Type:

Working Paper


02 Faculty of Law > Department of Economic Law > NCCR International Trade Regulation

UniBE Contributor:

Shingal, Anirudh


300 Social sciences, sociology & anthropology > 330 Economics


NCCR Trade Working Paper


NCCR Trade Regulation


[4] Swiss National Science Foundation




Pablo Rahul Das

Date Deposited:

02 Aug 2016 16:21

Last Modified:

20 Feb 2020 08:52

Related URLs:

JEL Classification:

C23, O11, O53, R11




Actions (login required)

Edit item Edit item
Provide Feedback