Department of Economics & Politics, Visva-Bharati University.
JEL classification: C22, O11, O47, O53.
This paper evaluates economic performance of 15 major states in India during 1960/61–2006/07, and examines whether initially disparate states display any tendency in real per capita income to converge to or diverge from a common steady state path during the pre- and post-reform periods. Although growth performance has improved substantially in the post-reform period relative to the pre-reform, there has been a wide variation in growth performance of the states.
Economic reforms, Growth, Convergence, Regional inequality, Unit root