Savings and Economic Growth in India: The Long-Run Nexus
In this paper, the causal nexus between savings and economic growth in India is investigated within the framework of causality, co-integration and error correction in the presence of a structural break, using annual data from 1950-1951 to 1998-1999. Identifying the structural breaks in both savings and economic growth in different time period, this study finds support for the long-run equilibrium between savings and economic growth. Further, the study reveals that there is a unidirectional causality from economic growth to savings, thereby repudiating the classical view that savings has been the engine of economic growth.
|Date of creation:||2000|
|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:77. 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.