INCOME INEQUALITY, HUMAN CAPITAL, AND ECONOMIC GROWTH: AN EMPIRICAL STUDY OF INDIAN STATES

This comprehensive study investigates the relationship between income inequality and economic growth. The main objectives of this research are to determine the extent to which income inequality affects economic growth, to identify potential mechanisms underlying this relationship, and to provide policy recommendations based on the findings. The study utilizes a broad range of economic indicators and employs a rigorous statistical analysis to assess these dynamics. The findings reveal a significant and negative correlation between income inequality and economic growth, highlighting the detrimental impact of high income inequality on overall economic development. The implications of these findings suggest that addressing income inequality is crucial for sustained and equitable economic growth, with policy recommendations focusing on strategies to reduce inequality and promote social cohesion. This research contributes to a better understanding of the complex relationship between income distribution and economic prosperity.