Capital Flows and The Macro Economy: The Indian Experience

Authors

  • A. K. Seth University of Delhi
  • Sumati Varma University of Delhi

DOI:

https://doi.org/10.3126/jnbs.v4i1.1030

Keywords:

Capital flows, transmission mechanism

Abstract

This paper examines the macro-economic impact of capital flows into India. The variables identified in the study have been drawn on the basis of the transmission mechanism – to see how capital flows are transmitted into the economic system. To examine the issue the paper uses simple regression and Granger’s Error Correction technique, which analyses long run and short run impact together. It has been found that out of the macro variables selected almost all are influenced by capital flows and represent the monetary environment of the economy. The Journal of Nepalese Business Studies Vol. IV, No. 1(2007) pp. 62-74

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Author Biographies

A. K. Seth, University of Delhi

Professor Department of Commerce, Delhi School of Economics, University of Delhi, Delhi.

Sumati Varma, University of Delhi

Reader Sri Aurobirdo College (Eve) University of Delhi, Delhi.

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Published

2008-05-13

How to Cite

Seth, A. K., & Varma, S. (2008). Capital Flows and The Macro Economy: The Indian Experience. Journal of Nepalese Business Studies, 4(1), 62–74. https://doi.org/10.3126/jnbs.v4i1.1030

Issue

Vol. 4 No. 1 (2007)

Section

Articles

License

This license allows reusers to distribute, remix, adapt, and build upon the material in any medium or format, so long as attribution is given to the creator. The license allows for commercial use.