Citation:

Bijaya Gautam. "GDP and Per Capita Income Inequality of Provinces of Nepal" International Research Journal of Economics and Management Studies, Vol. 3, No. 4, pp. 333-341, 2024.

Abstract:

The economic growth of a nation is complexly connected to the growth and development of its provinces. This holds for the Federal Republic of Nepal as well, where the performance of its provinces significantly contributes to the economic progress of the nation. This study aims to explore the contribution of provincial Gross Domestic Product (GDP) to the National GDP to understand the extent of their interdependence. Additionally, the research delves into income inequality within the provinces. Employing a quantitative approach, this research utilizes secondary data obtained from the National Office of Statistics in Nepal. The examination of income inequality, as determined by the Gini index, demonstrates that income distribution falls within an acceptable range. The study highlights the importance of the contribution seven provinces have made to the overall national economy of Nepal. The study also depicts the state of income inequality, a key element of Nepal’s economic development. The results add to the corpus of information already available on regional economics and provide a basis for future policy deliberations and endeavors targeted at attaining equitable and sustainable economic development in Nepal.

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Keywords:

GDP, Gini index, Income Inequality, Regional Economic growth.