Abstract
In this issue, Anwar and Guha in an article, “A Study on dynamics of Food Inflation in India” examine the relationship between food prices and non-food prices using CPI (Consumer Price Index) and also explores the connection between food prices, both CPI and WPI (Wholesale Price Index), and rural wages (agricultural and non-agricultural). The analysis employs time series econometrics with data from January 2015 to March 2020. They did not find any significant long-term or short-term relationship between the variables.
Bhattacharjee et. al. investigates the determinants of foreign institutional investors (FIIs) in the Indian equity market from January 2011 to December 2019. The study employs the ARDL approach to examine these factors’ impact, considering their statistical properties. The study’s findings reveal that in the long term, there is a positive relationship between FII inflows in the Indian equity market and the Indian stock market index, an appreciating exchange rate, inflation rate, and the interest rate differential between India and the US. However, there is a negative relationship between FII inflows in India and the US stock index.
Banik et. al. in an analytical study found that to address challenges, India must reduce its reliance on imported APIs and medical equipment, requiring lower tariffs and fewer non-tariff measures (NTMs). High tariffs on medical items burden healthcare costs, especially for the poor, but reducing them can boost India’s pharma manufacturing competitiveness. Improving the pharmaceutical supply chain (PSC) is essential, involving better coordination, social advocacy for vaccination, and infrastructure enhancements. Reducing tariffs and NTMs can lower pharmaceutical input costs and shipping expenses.
In an Empirical Study, entitled, “Do sustainability disclosures lead to the opportunistic behavior? Empirical evidences from India”, Sharma et.al. examines the bi-directional relationship between sustainability disclosures and earnings quality under mandatory sustainability disclosures regime for India, a developing country. Using the Generalised Method of Moments (GMM) approach on listed companies from 2013 to 2019, the findings reveal a negative bi-directional relationship between the quality of sustainability disclosures and earnings quality.
Benedetto et. al. conducted a scoping review to investigate the costs associated with stroke in India. They aimed to evaluate the economic aspects of stroke care to determine whether interventions for stroke care are cost-effective. They identified and analyzed eight eligible studies published between 2011 and 2020 covering different regions of India. Their findings indicated that the mean total costs of stroke care per patient within the first six months post-admission varied significantly.
In an exploratory study by Singh, entitled “Decoding the Variations in the Female Labour Supply in Rural India: Empirical Evidences Based on Previous NSSO Datasets”. examines the persistent decline in the female labor force participation rate (LFPR) in India, which doesn’t follow the expected ‘U-shaped relationship’ with economic growth. Using data from the National Sample Survey Organization (NSSO) spanning from 1993–94 to 2009–10, the study explores the factors influencing female LFPR in rural areas, including household, social, economic, and personal factors. The paper also empirically tests Jacob Mincer’s theory, which suggests that the substitution effect dominates the income effect in female labor market entry decisions.
Arora and Kaur in their study “Core Infrastructure and Manufacturing Activity in the Indian States: Does the Income group matter?” investigates relationship between infrastructure and manufacturing value added at the overall as well as segregated level to study the spatial differences. Their findings indicate that the overall infrastructure index has a positive and significant impact on manufacturing performance, with an estimate of 0.20 for all states in India and 0.49 for high-income states. They also discovered that individual components of infrastructure have varying effects on manufacturing activity. Furthermore, the Dumitrescu and Hurlin causality test revealed bidirectional causality, indicating that there is a causal relationship between infrastructure and manufacturing output.
Mona Khare in a book review “FORKS IN THE ROADS - My Days at RBI and Beyond” notes that the book is a personal memoire of C Rangarajan, noted economist of India. The book provides a run through the economic developments between 1981 to 2014.