ABSTRACT
This chapter examines the nature of the relationship between economic growth and the lives of the majority of the population in the states of India. It presents some arguments pertaining to the relationship between growth and welfare improvements. The key to economic growth lies in the accumulation of capital. An emphasis on basic needs may enhance the future rate of economic development because a healthy, educated population becomes a skilled, adaptable labor force. State governments often proclaim the necessity and desirability of economic growth and eradication of poverty. Economic development is in great demand in developing countries. The chapter shows the hypothesis that there is a positive correlation between economic growth and an increase in welfare. Human welfare is a topic wrought with dispute and normative thinking, hence a discussion of it must commence with definitions. A government's capacity to improve the collective welfare is largely dependent upon revenues which can be tapped for social services.
