Update India KLEMS
The India KLEMS research team has published an article titled India's Post-reform Economic Growth: An Analysis based on India KLEMS Database, in the July 30, 2022, issue of India's prestigious Economic and Political Weekly (EPW). The EPW is a weekly peer-reviewed academic journal covering all social sciences, with a wide readership among Indian and foreign audiences interested in India's economic and political issues. The paper analyzes the sources of India's economic growth in terms of industry origins, input, and productivity during 1994-2018, comparing the pre- and post-global financial crisis periods.
The analysis, which uses the India KLEMS database, reveals that the market services sector remained the main contributor to aggregate real gross value added growth in both the pre- and post-GFC periods. However, the sector witnessed an erosion in TFP growth in the post-crisis period, whereas the manufacturing and agriculture sectors had TFP momentum. In particular, the results show that the manufacturing sector contributed substantially to aggregate TFP growth in the post-crisis period, even though its share in nominal GDP remained rather stagnant. The paper stresses the need for pro-active policies to support agriculture, manufacturing, and market services sectors, realizing their productivity and input potential and facilitating growth-enhancing resource reallocation across industries.
Krishna, K. L., B. N. Goldar, A. A. Erumban, P. C. Das, and S. C. Aggarwal (2022), Sources of India's Post-reform Economic Growth: An Analysis Based on India KLEMS Database, Economic and Political Weekly 57(31), 36-43. JSTOR link.
