India is an open economy, and the dynamics of it can be witnessed from the inflation and deflation of the rupee value in the market. This comprehensive book on Indian Economy shows how it behaves, and how its parameters are weighed and analyzed vis-à-vis the macroeconomic theories. This book attempts to make a more complete and clearer presentation of the basic models of macroeconomics principles, and their effect on India’s current economic conditions.

International Monetary Fund (IMF) thrusted upon New Economic Policy in India, which aims at leaving the allocation of resources entirely to the market forces deriving its rationale from neoclassical macroeconomics. This neoclassical macroeconomics is dealt with in a proper perspective in the book. Part I presents the basic models of open economy macroeconomics, and Part II applies them to explain India’s recent macroeconomic performance.

The book also assesses India’s current fiscal policy, monetary policy and the policy of forcible land acquisition for promotion of modern industry.

The book is designed as a reference for the undergraduate and postgraduate students of Economics.

KEY FEATURES • Interspersed with solved numerical examples
• Chapters are contained with analytical problems with the hints provided for the most difficult ones
• Tables containing the data to support economic policies from the authentic sources.

Preface
Chapter 1 India’s New Economic Policy, Resource Allocation and Neoclassical Microeconomics: A Must Read for the Senior Students of Economics
Part I: OPEN ECONOMY MACROECONOMICS
Chapter 2 Balance of Payments
Chapter 3 Open Economy Macroeconomics under Perfect Capital Mobility
Chapter 4 Perfect Versus Imperfect Capital Mobility
Chapter 5 Determination of Output and Employment under Imperfect Capital Mobility
Chapter 6 Interest Rate Targeting, Growth and Inflation in an Open Economy
Part II: INDIAN ECONOMY
Chapter 7 Indian Economy Prior to the Adoption of the New Economic Policy
Chapter 8 India’s Current Macroeconomic Scenario
Chapter 9 External Shocks to Indian Economy and Fiscal Policy
Chapter 10 India’s Macroeconomic Performance and Monetary Policy
Chapter 11 Growth and Foreign Exchange Constraint in India
Chapter 12 India’s Growing Inequality, Forcible Acquisition of Land and Industrialisation
Index