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Causal Relationship Between the Performance of Manufacturing and Energy Sector: Current Scenario of Indian Economy

Journal of Rural and Industrial Development

Volume 1 Issue 1

Published: 2013
Author(s) Name: Shivani Jaswal, Keerti Singh, Japneet Kaur | Author(s) Affiliation: Assistant Professor(s), Amity School of Economics, Amity University, Noida, India
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Abstract

Economic development has often been associated with the performance of the manufacturing sector. Current slowdown of Indian manufacturing has been the centre of economic debate. This paper dwells into the complexities of the Indian manufacturing sector highlighting its relation with the power sector. The study emphasizes that sluggish performance of manufacturing is attributed to the retarded growth of Indian power. Due to the insufficient energy resources, growth of Indian manufacturing has faced tremendous challenges. The study recommends that higher productivity in the power sector through lowering transmission losses and increasing investment in renewable sources may act as a stimulus for both Indian power and manufacturing sector.

Keywords: Indian Manufacturing, Indian Power, Causal Relationship

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