Reforms and investment in India

Date

1996

Authors

Athukorala, Prema-Chandra
Sen, Kunal

Journal Title

Journal ISSN

Volume Title

Publisher

Abstract

This paper examines the determinants of private corporate investment in India with emphasis on the implications of the policy reforms initiated in 1991. The results suggest that the net impact of the reforms on corporate investment has been salutary. The adverse impact of the decline in public investment has been outweighed by the positive effects of the decline in the cost of capital and favourable changes in investor perception brought about by the reforms. While it is not possible to generalise from a single country case, our results cast doubt on the existing cross-country evidence of a negative impact of structural adjustment reforms on private investment.

Description

Keywords

private corporate investment, India, policy reforms, structural adjustment reforms

Citation

Source

Type

Working/Technical Paper

Book Title

Entity type

Access Statement

License Rights

DOI

Restricted until

Downloads

File
Description