Is India experiencing health convergence? An empirical analysis

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Is India experiencing health convergence? An empirical analysis Sulekha Hembram1 · Sushil Kr. Haldar2 Received: 17 October 2019 / Accepted: 6 February 2020 © Springer Science+Business Media, LLC, part of Springer Nature 2020

Abstract A comprehensive study on health convergence based on beta (β), sigma (σ) and club convergence is attempted here across 26 Indian states over time using NFHS (1–4) data. We formulate an overall health index (OHI) from three sub-health dimensions like child, reproductive and general health based on selected health indicators. The results show that the states are improving in respect of OHI; there exist absolute β convergence in respect of OHI and its sub-dimensions; however, we find σ divergent in respect of OHI and its sub-health dimension indices except child heath index. The club convergence based on kernel density provides a clear picture about stratification, polarization and uni-modal distributions of states in respect of OHI; over time states are converging to a steady state at higher value of OHI, but in the long-run there exists ‘low level health trap’ among five major states like UP, MP, Rajasthan, Bihar and Assam. Except Rajasthan, all the four major states remain at the lower level in respect of sub-health dimensions too. These five major states roughly account for 50% of India’s population, and more than 50% of India’s future demographic dividend will emerge from these major states. Therefore, in order to reap the benefits of demographic return, a major investment in human capital is urgently needed. Such ‘low level health trap’ justifies the ‘big push’ theory to health. This analysis can be applied at the sub-state level for policy intervention. Keywords  Health inequality · Convergence · Kernel density · Markov process of probability transition · Panel data regression · India JEL Classification  C10 · C18 · C46 · 110 · I14

* Sushil Kr. Haldar [email protected] Sulekha Hembram [email protected] 1

Department of Economics, Muralidhar Girls’ College, Kolkata 700029, India

2

Centre for Advanced Studies, Department of Economics, Jadavpur University, Kolkata 700032, India



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Economic Change and Restructuring

1 Backdrop of the study India roughly accounts for 17% of the world’s population, but it contributes to one-fifth of the world’s share of diseases; a major health challenge posed by the specific phase of the demographic transition that India is going through is related to infant mortality, child malnutrition, mothers suffering from anemia and poor reproductive health of the mothers (The Lancet 2019; IHME 2018). The national level performance of millennium development goals (MDG) which was ended in 2015 for health indicators is not so disappointing, but the sub-national level performance is not so encouraging. Three out of eight goals (of MDGs) are related to health; these are (a) reduction in child mortality; (b) to improve maternal health and (c) to control HIV/AIDS, malaria and other communicable diseases. India at the national le