Investigating regional inequalities in India: Are Indian districts converging?

The study examines the regional inequalities in India across 315 districts during 1999/2000–2010/2011. For examining convergence, parametric and non-parametric tests are employed. Findings reveal that absolute and conditional convergences hold for the entire time period. Analysis of intra-period convergence reveals an overall divergence during 1999–2005 and convergence during 2005–2011. Conditional variables included the number of bank branches, literacy rate and pupil–teacher ratio. Results for σ convergence reveal a higher level of dispersion during 1999–2005 and a sharp decline thereafter. These results are supported by Kernel density plots. The study reveals that Indian districts exhibited convergent behaviour only after 2005.