Aquaculture Productivity convergence in India: A Spatial Econometric Perspective

Abstract

This paper provides an illustration of evaluating productivity convergence using spatial econometric modelling framework for the aquaculture sector in India. Productivity has been measured using Total Factor Productivity (TFP). The ß- and s-convergence concepts that are used to test the convergence hypothesis have been extended to examine the possible presence of spatial autocorrelation and spatial heterogeneity. The results have confirmed the productivity convergence hypothesis, the presence of spillover effects on TFP growth and the presence of spatial regimes in the TFP convergence process which have policy implications. The paper concludes by providing recommendations for further research.