Shocks, Economic Growth and the Indian Economy

This paper analyses the impact of domestic and external shocks on the Indian economy. A macro-modelling framework is developed that evaluates the impact of two domestic shocks (rainfall shortfall and fiscal profligacy) and three external shocks (oil price hike, world trade shock and capital flow shock) that affect the economy through various channels. [Working paper No. 259]. URL: [http://www.iegindia.org/].economic growth, government expenditure, public investment, drought, rainfall, developing economies, India, global economy, monetary, global recession, Indian economy, domestic, external shocks, rainfall, fiscal profligacy, price hike, world trade, capital flow stock, inflation,