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Seminar by Ms. Rimon Saha: 23 Oct.2019

A seminar on ‘Patterns and Determinants of Expenditure on Human Priority Sectors: A Case of Indian States’ was held at the Joan Robinson Hall on 23 October, 2019. The seminar was presented by Rimon Saha, PhD Scholar, CDS. Dr Srikanta Kundu, Assistant Professor, CDS chaired the seminar.

Abstract:  Using a  panel  of  15  major  states  from  India,  this  paper  examines  patterns  and  changes  in  the expenditure  on  six  Human  Priority  Sectors  over  a  period  of  2001-2018. It  is  found  that Family Welfare and Water Sanitation are the two sectors which received only 2%of the Human priority sector  expenditure in  the study period. The  result  also  reveals the visible  disparities  in expenditure patterns across the states. For example, Bihar spends only 25% of Kerala in Human priority  sectors,  and  the  disparity  in  expenditure  is highest  in  Nutrition  sector. It  also  shows  a recent increase  in  disparities  in  family  welfare. Moreover, Bihar  along  with  lowest  spending in these sectors also has the lowest growth rate of expenditures especially for family welfare, Bihar has  negative  growth  rates.  She  is  also  not  in  keeping  with  its  population  growth  and under spending in  most  of  the  sectors. The  pattern  also  shows the  major  shifts  of  the  expenditure  in most  of  the  states  had  happened  after  2005  although  the  targets  of  Millennium  Development Goals were given by 2000.In addition, the study examines the determinants of the human priority sector  spending  and  found  that state  real  per  capita  income  significantly  enhances such expenditure but  the  MDG  announcement  had no  effect  on  the  states  expenditures.  Although states with large base of poor population is spending more on these sectors but the percentage of rural  population  is  not  being  considered  for  such  spending.  It  is  evident  from  the  results  that demographic features are not incorporated in the decision making process of public spending of such category