Performance of Capital Goods Sector in India, 1955-79- A Theoretical Analysis

in India, 1955-79 A Theoretical Analysis R Ramana This paper seeks to offer an explanatory hypothesis at an aggregative level for two aspects relating to the capital goods sector in India; first, the significant slowing down of the rate of growth of output of the capital goods sector after the mid-sixties; and second, the emergence of sizeable excess capacity in this sector during this period.