Economic Development and Poverty alleviation of India

Bc. Shahrookh Khan, B.E.

Diplomová práce

Abstract:

This thesis analyzes the relationship between economic growth, government welfare schemes, and poverty reduction in India during the period 2015–2024. The study focuses on poverty depth rather than simple poverty incidence and applies the Foster–Greer–Thorbecke (FGT) poverty gap index (P₁) to measure the intensity of poverty. A quantitative time-series approach is employed, and a single-equation econometric model is estimated using Ordinary Least Squares (OLS). The explanatory variables include GDP (PPP, constant 2021 international dollars), changes in the employment-to-population ratio, a Scheme Index representing beneficiary coverage of major government programs, and government spending as a percentage of GDP. The empirical findings indicate that economic growth is the only statistically significant determinant of poverty depth during the study period. While government schemes, employment dynamics, and fiscal spending exhibit negative relationships with poverty, their independent macroeconomic effects are not statistically significant within the model. The results suggest that poverty reduction in India during 2015–2024 was primarily growth-driven, with institutional interventions playing a complementary but statistically indistinguishable role at the aggregate level. The study contributes to the literature by integrating a depth-sensitive poverty measure with macroeconomic and policy variables in a unified analytical framework and emphasizes the importance of sustained economic growth for long-term poverty alleviation.

Keywords

poverty alleviation, unemployment, India Poverty, Economic growth, Human Development, Indian Government Policies

Jazyk práce: angličtina

Datum vytvoření / odevzdání či podání práce: 2. 4. 2026

Obhajoba závěrečné práce

• Obhajoba proběhla 2. 6. 2026
• Vedoucí: doc. Ing. Karel Malec, Ph.D.
• Oponent: Robert Koželský, externi

Česká zemědělská univerzita v Praze

Provozně ekonomická fakulta

Magisterský studijní program:
Economics and Management