Exchange Rate, Tariff and Trade Flows: Alternative Policy Scenarios for India
AbstractThe paper presents a moderately disaggregative model of India's trade flows covering the period 1971-91. It incorporates distinct demand -supply factors, takes into account the effect of relative prices, import tariffs, export subsidies, and levels of economic activity and allows for adjustments in domestic prices in response to exchange rate adjustments. The model is solved forward to assess the impact on trade flows and possible policy implications under the following scenarios: (a) accelerated domestic growth, (b) depreciation of nominal exchange rate, (c) reduction in tariffs and subsidies, and (d) sustained higher world economic growth.
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Bibliographic InfoArticle provided by Department of Economics, Delhi School of Economics in its journal Indian Economic Review.
Volume (Year): 31 (1996)
Issue (Month): 1 (January)
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- F31 - International Economics - - International Finance - - - Foreign Exchange
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"Effects of Public Investment in Infrastructure on Growth and Poverty in India,"
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- K. N. Murty & A. Soumya, 2006. "Effects of public investment in infrastructure on growth and poverty in India," Indira Gandhi Institute of Development Research, Mumbai Working Papers 2006-006, Indira Gandhi Institute of Development Research, Mumbai, India.
- V. Pandit, 2008. "Sustainable Economic Growth for India," Working Papers id:1546, eSocialSciences.
- V. Pandit, 2010. "Sustainable Economic Growth for India: An Exercise in Macroeconomic Scenario Building," Working Papers id:2924, eSocialSciences.
- Mallick, Sushanta K., 2005. "Tight credit policy versus currency depreciation: Simulations from a trade and inflation model of India," Journal of Policy Modeling, Elsevier, vol. 27(5), pages 611-627, July.
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