Interaction Between Twin Deficits: Indian Experience In The Macroeconomic Reform Period
The study investigates the interaction between twin deficits in the context of India during the macroeconomic reform period from 1994: II to 2001: I. Using the vector autoregression (VAR) model, it shows that there exists one-way interaction between the two deficits. The increase in fiscal deficit reduces the current account deficit, which contradicts most of the studies carried out in the context of other countries. This indicates a need to reinvestigate the determinants which could explain such inverse relationship.
|Date of creation:||2003|
|Date of revision:|
|Contact details of provider:|| Postal: Nagarabhavi, Bangalore - 560072|
Web page: http://www.isec.ac.in/
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:sch:wpaper:135. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (B B Chand)
If references are entirely missing, you can add them using this form.