There are vast differences in per capita income and contribution to national GDP amongst Indian states. High income states like Maharashtra, Uttar Pradesh, and Andhra Pradesh contribute the most to India's national domestic product, with Maharashtra contributing 13.3%. Low income states like Jharkhand, Assam, and Chhattisgarh contribute much less, with Jharkhand contributing only 1.6%. Per capita incomes also vary greatly between states, with Goa having the highest at Rs. 1,05,582 and Bihar the lowest at Rs. 11,135. These inter-regional variations are due to factors like historical development, geography, location advantages, failures of economic planning, and political instability.

1. Inter Regional Variations in India
Kamal singh
Lecturer in Economics
GCCBA-42 ,Chandigarh
Email:kamalsingh84@gmail.com

2. National Income
• The total net value of all goods and services
produced within a nation over a specified
period of time, representing the sum of
wages, profits, rents, interest, and pension
payments to residents of the nation.

3. Trends for Interstate Variation in National
Income and GDP
There is vast variation amongst the Indian states w.r.t per capita
income and their contribution to national income.
4. CONTRIBUTION OF STATES IN INDIA’S NDP
High Income States % share
in NDP
MAHARASHTRA 13.3 %
UTTAR PRADESH 8.0 %
ANDHRA PRADESH 7.7 %
WEST BENGAL 7.2 %
GUJARAT 6.8 %

4. Low income states % share in NDP
JHARKHAND 1.6
ASSAM 1.7
CHATTISGARH 1.8
ORISSA 2.4
BIHAR 2.7
Per capita income of different states
High income states Per capita income
(Rs p.a)
Low income states Per capita income
(Rs p .a)
GOA 1,05,582 BIHAR 11,135
HARYANA 58,531 UTTAR PRADESH 16,060
MAHARASHTRA 47,051 MADHYA PRADESH 18,051
GUJARAT 45, 773 JHARKHAND 19,928
PUNJAB 44,923 ORISSA 23,403

5. Causes for Inter Regional variations
• Historical Factors
• Geographical factors
• Location Advantages
• Failure of economic planning
• Marginal effect of Green revolution
• Political instability