GROWTH AND CO-MOVEMENTS: A STUDY OF SOME MACROECONOMIC VARIABLES IN INDEPENDENT INDIA

Dominant mainstream economic thought, in a particular time period, has been very active in shaping economic policies for different countries through different multi-country institutions or through admirable experts in that particular time period. However, some concrete facts about the economy pave the way to unseat the dominance of a particular thought and thus bring another thought into prominence. So, facts are important for understanding the effectiveness of a particular policy. Gross domestic product of a country is thus very important in understanding the efficacy of policy. So are the constituents of GDP. In this paper an effort has been made to understand the behaviour of Indian economy using some macroeconomic variables. The variables used here are GDP, private final consumption expenditure, gross fixed capital formation and government final consumption expenditure. The period of study has been broadly 1952-53 to 2013-14.