Question

comparison of rural and urban cottage industry in india survey

Answer 1

Answer:

the large scale consumption expenditure surveys collected by Indian  National Sample Survey Organization, we examine the urban-rural welfare gap in India in  1983, 1993-94, 2004-05, and 2011-12 across the entire distribution. Our main measure  of welfare is spatially adjusted per capita consumption expenditure. We find that the  urban-rural gap increased considerably between 1993-94 and 2004-05, and increase is  larger at the higher quantiles. Using the unconditional quantile regression decomposition,  we find that majority of the gap is explained by the urban advantage in endowments in  all four years. The contribution of the unexplained effect (differences in rewards) in urban  advantage was negative in 1983 and 1993-94 across the entire distribution. We find that  difference in educational distribution across urban and rural areas is the most important  driver of the observed gap. We find similar patterns using income data for 2004-05 and  2011-12 from India Human Development Surveys.