| dc.description.abstract | The paper provides detailed estimates of the Gross State Domestic Product (GSDP)
at current market prices (m.p.) for Gujarat state for the period 1990-91 to 2000-01.
It considers the estimates of GSDP at current factor cost (f.c.) and the 6 components
of the indirect taxes and subsidies to derive the estimates of GSDP at m.p. These
components are: (1) State indirect taxes, (2) state level subsidies, (3) octroi, (4)
state's share in Central subsidies, (5) state's share in Central excise, and (6) state's
share in Central customs revenues. It is found that compared to the NSDP at f.c., the
GSDP at m.p. was 38% higher in 1990-91 but 44% higher in 2000-01 in Gujarat. On
the other hand, at the national level, this difference has declined from 24% to 23%
during the same period. For various uses of comparing fiscal performance of different
state economies, the right concept to use is GSDP at m.p. and not NSDP at f.c.,
which is apology but apology by credit-rating agencies, RBI, Finance Commissions,
etc. This leads to erroneous assessment of needs, biased perception of performance
and wrong conclusions on efficiency of different state economies. It is shown in the
paper that it is possible to prepare usable estimates of GSDP at m.p. with the help of
the existing statistical network in the country.] | |
