Friday, January 18, 2013

Kerala has also achieved it’s numbers through the Gujarat model of development says Columbia university professors!


In their new book – ‘India's Tryst with Destiny: Debunking Myths that Undermine Progress and Addressing New Challenges’, two renowned professors of Indian origin in Columbia university, Jagdish Bhagwati and Arvind Panagariya, hails, Gujarat model of development over Kerala models on various grounds.

They have picked these two states as "Kerala Model" represents redistribution and state driven development where-as "Gujarat Model” represents private-entrepreneurship driven development.

Books says that the kerala has good health and education indicators post independence, as Kerala has access most of it’s education and health through private sector. As the book review in Economic times mentions…… “In health, Kerala's per-capita private expenditures are nearly eight times its per capita public expenditures. In education, excluding two or three tiny northeastern states, at 53%, rural Kerala has by far the highest proportion of students between ages 7 and 16 in private schools. The nearest rival, rural Haryana, has 40% of these students in private schools.”

Contrary to the believe, the book says that Kerala has achieved low levels of poverty by virtue of growth (read Gujarat model) and not redistribution. In health, Kerala's per-capita private expenditures are nearly eight times its per capita public expenditures. Kerala has been a rapidly growing state in the post-Independence era, which is the reason it ranks fourth among the larger states, according to per-capita gross state domestic product and first according to per-capita expenditure.

Now all the states and the whole of country need to follow the path of growth lead reforms, entrepreneurship lead reforms and Gujarat is showing us the way…