Modelling India's External Sector: Review and Some Empirics. (November 2014)

• Record Type: Journal Article
• Authors: Bhanumurthy, N.R.; Bose, Sukanya; Panda, Swayamsiddha
• Other Names: Bhide Shashanka guest-editor.; Parida Purna Chand guest-editor.
• Is Part Of: Margin. Volume 8:Number 4(2014:Nov.)
• Page Start: 457
• Page End: 493
• Publication Date: 2014-11
• Subjects: Macro-models -- Trade -- Capital Flows -- Exchange Rate -- International Oil Price -- Pass-through -- Economic Growth -- Balance of Payments; Economics -- Periodicals; Economics -- India -- Periodicals; Economics -- Asia -- Periodicals; Economic policy -- Periodicals; Economic development -- Periodicals; Economic development -- India -- Periodicals; Economic development -- Asia -- Periodicals; India -- Economic policy -- Periodicals; Asia -- Economic policy -- Periodicals; 338.9
• DOI: 10.1177/0973801014545276
• Languages: English
• ISSNs: 0973-8010

Abstract

In the aftermath of the global food and fuel price spikes, and the recent global financial crisis, understanding of external sector behaviour has become crucial. The transmission mechanism of external sector shocks to domestic macroeconomic variables is essential for undertaking relevant policies to mitigate the adverse impact of such shocks. Here an attempt has been made to review the theoretical and empirical issues relating to India's external sector behaviour and to present a suitable analytical framework for macro modelling. JEL Classification: F4, C3