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State, Markets and
Inequalities: Human Development in Rural India
It is true that the economy has grown about 6 per cent since 1980, making it the fifth fastest growing major economy over a 25-year period. India’s population growth has also begun to slow. Literacy figures too have shown upward trend. But poverty, described by Gandhiji as "the worst form of violence" is still persisting. Though the overall decline in poverty is substantial, high incidents of poverty are worrying. The much-talked about accelerated economic growth has not resulted in a commensurate decline in poverty. On the Human Poverty Index, India is still ranked at 58 among 103 developing countries. What is even more worrying is the realisation that the country may be off track for the Millennium Development Goal targets. The book under review makes a critical assessment of growth with equity and social justice in rural India. Experts in the field have come together to work on a range of social and economic development issues using the NCAER-HDI data for rural India. What is the extent of deprivation across states among social groups? What explains such deprivation—wrong policy priorities, inadequate allocation of resources, poor identification of beneficiaries, poor delivery etc.? It also addresses the criticality of education, gender disparity and a whole range of issues to the success of a host of programmes and schemes. The book also takes a critical look at the much-vaunted Kerala model saying, it "seems to be sustained only through expatriate remittances from the Middle East." It is true that even with low income, Kerala has achieved higher life expectancy, lower fertility and high literacy. Many scholars including Amartya Sen have maintained that Kerala has an impressive record of overcoming poverty even with not so impressive economic growth. However, Maithreyi Krishnaraj and Abusaleh Shariff, editors of this volume, and other contributors have questioned the Kerala model saying "without employment that guarantees a decent income to the majority, how will people use their capabilities?" The high unemployment rate in the state also doesn’t shore up the Kerala model. The shift from centralised planning to decentralisation and from state’s responsibilities to governance is welcome, but decentralisation will work only when there is an effective and accountable government. Panchayati raj institutions can deliver the good only when "funds, functions and functionaries are transferred to the local government and sufficient autonomy given to them". Most of the policy interventions intended to alleviate poverty are aimed at providing particular goods or services or sources of income. The policy interventions in education have also been instituted without thinking through their efficacy in achieving their intended purposes. Revelations about income and poverty differentials among social groups are along expected lines. As the study reveals, the Scheduled Castes households have the lowest average incomes in every type of economic activity they are engaged in. Again, the proportion of households below the poverty line is relatively higher among them as also among the tribes and Muslims. Azra Razzack and Anil Gumber in their chapter "A Case of Empowerment of Muslims", have demolished many a myths about Muslims. While assessing the socio-economic differentials among various social groups, particularly between Hindus and Muslims, they point out that perceptions about rampant polygamy, high fertility and special privileges by way of the Muslim personal law are not borne out by statistics. In fact, the authors come out with startling data on polygamy. The incidence of polygamy among tribals is 15.25 per cent, 7.97 per cent among Buddhists, 6.72 per cent among Jains, 5.8 per cent among Hindus and only 5.7 per cent among Muslims. Poor human development among Muslims explains higher rates of unemployment and poverty. The book is a valuable addition to the existing literature. Policy planners, social sector planners in particular, researchers and those interested in human development will find it extremely useful. It is strong both on data and analysis. As the editors say, it is a collection of commissioned and invited papers and the authors have used the NCAER-HDI data as the base evidence for their research. What the book lacks is a good summary and a concluding chapter. All the same, the strengths of the book far outweigh its weaknesses.
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The
proponents of economic liberalisation and neo-liberal gurus are never
tired of chanting the market mantra, saying globalisation and market
economy will lift all boats. The neo-liberals have sought to project
India as the poster boy of economic success. Featuring India on its
cover with the poser "Can India Fly?" The Economist
wrote last year that " the question is no longer whether India can
fly, but how high`85" Time also recently yet again lauded
India’s growth saying "India is being remade, as it is
increasingly becoming integrated with the global economy`85" But
this reality is only one side of the story. The other side of the story
is distressing. Whether India becomes a shining star or a passing comet
will depend on what it does to its two-thirds population, who remain
largely untouched by the so-called economic success.