Economic growth

Land management has a far-reaching effect on growth, distribution of incomes, and spatial spread of economic activities. The governments, therefore, play a crucial role in establishing and supporting an ecosystem for firms by enacting laws and making rules that establish and clarify property rights, reducing the cost of disputes resolution and increasing the predictability of economic transactions. This article attempts to carry out a diagnostic analysis of land laws and practices in Himachal Pradesh and identifies the problem areas for regulatory reforms and makes a case for taking up regulatory impact assessment.

A significant fluctuation in the growth rate of gross domestic product is observed, which comes along with the fluctuations of other demand components from 1951–52 to 2019–20. Applying autoregressive distributed lag to the co-integration model, and incorporating the structural changes in policies since 1991, it is found that in the long run, out of the five components that significantly influence the aggregate demand and hence the economic growth of India, the private final consumption expenditure plays the most significant role followed by private fixed investment—a 1% increase in the PFCE leads to an average 0.96% increase in the GDP. The result also reveals that the structural policy reforms implemented since 1991 have created the virtuous cycle of economic growth in the economy and should be a policy priority.

Bangladesh at 50: Development and Challenges edited by S Narayan and Sreeradha Datta, Hyderabad: Orient BlackSwan, 2020; pp 263, `995.

Foreign direct investment reveals the tendency to fl ow to the industrial agglomerates. Some scholars express the concern that the skewed distribution of FDI can worsen the regional disparity. This article reveals that FDI has limited and unexpectedly negative effects on the Indian gross domestic product. Hence, the fear that skewed FDI infl ow can worsen regional disparity stands rejected.

This study examines both the short- and long-run impact of public debt on the economic growth of Uttar Pradesh during the post-reform period of 30 years by employing the vector error correction model. The empirical analysis revealed that the increase in public debt-to-gross state domestic product ratio and interest payments burden would have an adverse impact on the long-run economic growth of UP, while having no significant impact on the short-run growth. It is also notable that the effective interest rate has negatively correlated with the gross capital formation in UP, and the latter has shown significant positive long-run association with the economic growth. In order to attract investments and economic growth, the state Government of UP should continue a countercyclical fiscal stance that would help in adhering to fiscal sustainability rules by smoothing out the repercussions of the COVID-19 pandemic.