Showing papers by "Chetan Ghate published in 2012"
TL;DR: The authors analyzed a panel of output series for India, disaggregated by 15 states and 14 broad industry groups using principal components and found that a single common "V-factor" captures well the significant shift in the cross-sectional distribution of state-sectoral output growth rates since the 2nd half of the 1980s.
33 citations
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TL;DR: In this article, the authors study the sectoral allocation of public infrastructure investments in the agriculture and manufacturing sectors in India and find that the growth maximizing share of public capital going to agricultural is small with about 10%.
Abstract: We study the sectoral allocation of public infrastructure investments in the agriculture and manufacturing sectors in India In addition to the changing employment and output shares of these two sectors, the capital output ratio in agriculture in India has fallen, while it has risen in manufacturing To match these observations we construct a two sector OLG model with Cobb-Douglas technologies in both sectors The preferences are semi-linear We later extend the analysis to allow for a CES production function in the manufacturing sector We conduct several policy experiments on the sectoral allocation of infrastructure across agriculture and manufacturing We find: 1 The growth maximizing share of public capital going to agricultural is small with about 10 This fraction stays constant even in the face of the relative decline of the agricultural sector 2 The optimal funding level for public infrastructure is far bigger than the one suggested by one sector growth models 3 Growth rates are decreasing in manufacturing tax rates and increasing in agricultural tax rates
5 citations
01 Jan 2012
TL;DR: In this paper, the authors present a comprehensive set of stylized facts for business cycles in India from 1950 to 2010, and show that most macroeconomic variables are less volatile in the post reform period, even though the volatility of macroeconomic variable is still high and similar to other emerging market economies.
Abstract: a b s t r a c t This paper presents a comprehensive set of stylized facts for business cycles in India from 1950 to 2010. We show that most macroeconomic variables are less volatile in the post reform period, even though the volatility of macroeconomic variables is still high and similar to other emerging market economies. Consistent with other emerging market economies, relative consumption volatility has gone up in the post reform period. In terms of co- movement and persistence however, India looks similar to advanced economies, and less like other emerging market economies. We report evidence that these changes are driven primarily by structural changes caused by market oriented reforms, and not by "good luck."
2 citations
Posted Content•
TL;DR: This paper investigated whether there was any systematic relationship between participation in the turnaround and the characteristics of Indian states, using the robustness approach originally proposed by Sali-i-Martin (1997).
Abstract: In Ghate & Wright Journal of Development Economics, vol. 99 (2012) pp 58–67, we noted that there was considerable variation in the extent to which different Indian states participated in the Great Growth Turnaround. In this paper we investigate whether there was any systematic relationship between participation in the turnaround and the characteristics of Indian states, using the robustness approach originally proposed by Sali-i-Martin (1997). We supplement our robustness analysis by asking whether more recent (post-sample) experience is consistent with our results.
1 citations