Possible regression models for the municipal finances of the municipal corporations of various Indian states II ∗

A Sathyavathi; Lalit Mohan Upadhyaya; Sudhanshu Aggarwal

doi:10.48165/bpas.2023.42E.2.5

Authors

A Sathyavathi Department of Commerce, Government First Grade College, Jayanagar, Bangalore, Karnataka-560070, India.
Lalit Mohan Upadhyaya Department of Mathematics, Municipal Post Graduate College, Mussoorie, Dehradun, Uttarakhand -248179, India.
Sudhanshu Aggarwal Department of Mathematics, National Post Graduate College, Barhalganj, Gorakhpur, Uttar Pradesh-273402, India.

DOI:

https://doi.org/10.48165/bpas.2023.42E.2.5

Keywords:

Municipal finances, Urban Local Bodies, municipal corporations, revenue receipt, revenue expenditures, nonlinear regression, Rational Model, Exponential Asso ciation 2 model, Akaike Information Criterion, F-test

Abstract

In continuation of the ongoing long term research work of the first author on the detailed mathematical and statistical analysis of thebudgetoftheBangaloreMunicipalCorporation(see,A.Sathyavathihttps://ssrn.com/abstract=4403863,https:/ssrn.com/abstract=4461494, https://ssrn.com/abstract=4518454 and https://ssrn. com/abstract=4568499), we carry ahead our previous study (A. Sathyavathi and L. M. Upadhyaya, Possible regression models for the municipal finances of the municipal corpo rations of various Indian states, Bull. Pure Appl. Sci. Sect. E Math. Stat. 42E(1), 72–93 (2023))to propose some possible regression models to account for the observed trends of the revenue receipts and the revenue expenditures of the municipal corporations of the various Indian States including the Union Territory of Chandigarh for the 2018-19 Bud get Estimates, which pertains to the data of finances of municipal corporations of the various Indian States during the financial year 2018-2019. We also present the com parisons of our different models for each of the categories of our present explorations. The entire data used by us in this study is gratefully taken by us from the Report on Municipal Finances which was published by the Reserve Bank of India recently on 10 November, 2022 (see,https://m.rbi.org.in/scripts/AnnualPublications.aspxhead=Report%20on%20Municipal%20Finances,https://rbidocs.rbi.org.in/rdocs/Publications/ PDFs/RMF101120223A34C4F7023A4A9E99CB7F7FEF6881D0.PDF). We find that a Polyno mial Degree 4 model best describes the financial data and in addition we also give a Rational Model and an Exponential Association 2 model for describing the trend of fi nances for the municipal corporations of India during the year 2018-19 in the Budget Estimates category and we also present our computational results of the Polynomial De gree 4 Model and the Rational Model using MATLAB.

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