We show that the interest rate cannot both coordinate the savings plans of borrowers and lenders and equal the marginal product of capital.

This article explores the determinants of exports of services of India through an augmented-gravity model. It finds that (i) the dampening effect of distance on the exports of services declines over time, (ii) exports of services exhibit growth potential under favorable trading conditions, per...

This paper analyzes the effect of monetary policy shock on the aggregate as well as on the sectoral output of Indian economy using reduced form vector auto regression (VAR) model. We find that the impact of a monetary policy shock at the sectoral level is heterogeneous. Sectors such as, mining...