The paper explores puzzles in Indian growth performance such as the prolonged period of below potential growth in the late nineties. Uneven behaviour of investment was a major explanation. Risk aversion and adverse expectations prevented investment from rising. Since sufficient domestic and...

A rise in CSR (corporate social responsibility) has accompanied rise in foreign direct investment (FDI) to developing countries in the 1990s. CSR may be serving a signalling function when the entering firm is of an unknown type. Although countries are now competing keenly to attract foreign...