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Causuality Between Finance and Growth: With Special Reference to Indian Economy

Causuality Between Finance and Growth: With Special Reference to Indian Economy

          
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About the Book

This book attempts to study causal relationships between several measures of financial sector growth and deepening and economic growth in the Indian context, using annual data from 195-51 to 28-9. The relationship between financial sector development and economic growth can be analyzed from three angles: financial deepening leading to economic growth, economic growth leading to financial deepening and a bi-directional relationship between the two. The book gives a detailed description of the data used in this study, book further describes the empirical methodology, the main tool of analysis are the method of Granger causality, Error correction Mechanism, Impulse Response Function (IRF) and Co-integration explained. The data used are annual data from Handbook of Statistics on the Indian Economy; Statistical Tables Relating To Banks in India, Banking Statistics, NSE News (Private Circulation), Fact Book of NSE, BSE annual reports, and Handbook of Statistics on The Indian Security Market by SEBI. All the variables were tested for unit roots using the Dickey-Fuller test (1979) which have been referred from the Enders (23) to find out stationarity and study considers critical values at 5 per cent significance level. Unit root test is performed by using the R software and difference operators have been indicated with the numerical value. This study applied Granger causality test to verify causality between various variables of financial deepening and Gross Domestic Product and Per Capita Income as indicators of economic growth. It is shown that for a wide range of financial variables, financial deepening does indeed cause economic growth. However, the causality is not unidirectional; in a feedback relationship, economic growth too causes financial sector deepening. The study supports the claims of all three schools.

About the Author

Dr. Deepak P. Sable currently is working as full time Associate Professor and Head of the Department of Economics at VPMs K.G. Joshi College of Arts and N.G. Bedekar College of Commerce, Thane, Maharashtra, India. He has been teaching Economics at UG and PG levels (M.A and M.Com) from last 19 years. He has been recognized as Ph.D Guide in the subject of Business Economics by University of Mumbai. He is coordinator of M.A. Business Economics. He has been recognized as Financial Literacy resource person. He is National Cadets Corps (NCC) Officer (Naval Unit) of 1 Maharashtra NCC Unit, Mumbai-B and has won best All Round Trophy at PRCN course held at Kochi, Kerala. He has presented and published many research papers at National and International conferences, journals and won best research paper award. He is member of Board of Studies in Business Economics (BoS), University of Mumbai.


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Product Details
  • ISBN-13: 9781545702925
  • Publisher: Ebooks2go Inc
  • Binding: Paperback
  • Language: English
  • Returnable: N
  • Width: 216 mm
  • ISBN-10: 1545702926
  • Publisher Date: 23 Jul 2017
  • Height: 279 mm
  • No of Pages: 380
  • Weight: 0 gr

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