AbstractSocial reform and social justice are important in the context of a fair and inclusive sustainable development in a caste and class divided economy. Economic development can be described in terms of output and employment. Structural change almost always corresponds to a change in the sectoral shares. The process affects output and employment. The processes of changes are crucial for generating sufficient wealth to improve human well-being. The changes could also generate inequality. Government policies are essential to counteract upward pressure on inequality and spread the benefits of development wider, from dynamic, modern activities to other sectors of the economy. To echo Lewis, this means ‘trickle-along’ rather than trickle-down will be the fundamental perspective to justify the development with justice. Government of Bihar has introduced vigor in promoting social reforms and social justice in the economy. The growth process in Bihar is due to stepped-up development expenditure which was almost doubled. This growth is to garner resources for public investment either for service delivery or for economic transformation. The nature of structural transformation can be visualized by the movement of workers from lower-productivity to higher-productivity activities which has long been regarded as an essential feature of rapid and sustainable growth. It will shift towards integrated and inclusive governance and the emergence of functional, societal accountable public institutions at all levels. Mission-oriented science and innovation do not end at proposing the implementation of transformative action, but must be actively engaged in the tracking, analysing, understanding and course-correcting of changes set in motion, so that the dynamics of change can be nudged in overall desirable directions. The present study aims at analyzing the complex issues around implementing the policies of inclusive sustainable development with social justice and social reforms.