A quantitative framework of firm dynamics is developed where the size of the informal sector is determined by financial constraints and the burden of taxation. Improving access to credit for formal sector firms increases aggregate TFP and output while reducing the size of the informal sector....

A brief look at the prime macroeconomic variables affecting economic growth in the country confirms the key role of the Gross Domestic Savings in the process. This paper is an attempt to study the causal relationship between domestic saving and economic growth and the overall trend in gross...

Indian and Chinese economies are growing rapidly among the Asian countries due to economic reforms. The prime objective of this study was to compare and analyze the economic status (in terms of economic growth, FDI inflows, export and import, remittance, labor force, tax and tariff) of both the...

Economic leakage occurs when money leaves or “leaks” away from the local economy sooner than expected and sooner than is optimal. From an ideal economic perspective, money should circulate in the local economy where it was received or earned five to seven times before leaving that community....