Measurement Of Inequality Through Social Accounting Matrix Framework: Construction And Estimation Of Multiplier At Sub-National Level For Karnataka

Measurement Of Inequality Through Social Accounting Matrix Framework: Construction And Estimation Of Multiplier At Sub-National Level For Karnataka- Apurva K.H & Achala S Yareseeme

Abstract:
Historical evidence shows that demand-constrained growth has devastating consequences, especially if the growth is capital-intensive and productivity-led with no increase in real wages. Income deflation due to rising inequality has negative multiplier effects. In the Indian context, it can be noted that the shift in the policy regime to a market-oriented structure has resulted in unequal income distribution effects, consequently having implications on demand. (Read Full Paper)