The Effect Of Inflation, Interest Rate, And Gross Domestic Product On The Economic Growth Of India

1532 Words7 Pages
In this paper I would like to examine the impact of inflation, interest rate, and the Gross Domestic Product on the economic growth of India. The ability of expanding the production of products and services will be reflected by the economic growth of the country. Economic growth can be defined by the growth in the GDP (Gross Domestic Product) of that country. Inflation factor will be typically balanced by the Nominal Gross Domestic Product (GDP) in order to reflect the real GDP. In macroeconomics interest rate is one of the growth factor. The up and down volatility of the interest rates is directly related with the inflation rates. This study is a contribution to the existing literature on the real growth applied to India’s economy; it will examine the impact of inflation, Interest rate, and Gross Domestic Product on the Economic growth rate (Saymeh & Orabhi, 2013). In this paper I would like to analyze: • The impact of Interest rate, Inflation rate, and Gross Domestic Product, on Economic Growth Rate • The relation between interest rate, inflation, and GDP. Introduction: Innovation/technology, Savings, Investment, and the consumption are the different activities going on in any economy for its improvement. Innovation stands as the answer for the average workers to the present day’s issues. Investment satisfies the consumption demand by utilizing the available technologies and it tries to obtain active return by directing funds to the productive resources, whereas
Open Document