Central bank actions are designed to influence asset prices and yields, which in turn affect economic decisions. Following the reforms in the Indian financial sector, the Bank rate has emerged as an important indicator ...

This paper investigates the nature of the causal relationship between stock prices and macroeconomic aggregates in the foreign sector in India. By applying the techniques of unit–root tests, cointegration and the long–run ...

Consider a two-period situation. In the first period a consumer and a firm bargain over the price of a bond. The objective is a project which takes one period to come on stream. Both agents prefer production but the consumer ...

The paper assembles data on over 1,000 manufacturing and services firms in India for the entire post-reform period from 1992 through 2002 to examine the association between corporate governance and monetary policy. The ...

Consider a two-period situation. In the first period a consumer and a firm bargain over the price of a bond. The objective is a project which takes one period to come on stream. Both agents prefer production but the ...

In the last decade, many emerging capital markets have undergone drastic changes in terms of market microstructure changes, specifically in secondary markets. One of the policy concerns is the improvement of liquidity in ...

From the classical days, saving has been considered as one of the determinants of growth. In the Indian economy, the household sector contributes the lion’s share of the total savings. In the household sector, rural ...

Asset allocation, the decision of how much of a portfolio to allocate to different types of securities, is one of the fundamental issues in financial economics. The paper examines the portfolios created out of lump-sum ...

In this paper an attempt is made to test the hypothesis that diversification leads to an improvement in firm performance. A sample of 524 Indian private sector manufacturing firms is analysed for the post-liberalisation ...

The appropriate exchange rate regime, in the context of integration of currency markets with financial markets and of large international capital flows, continues to be a policy dilemma. The revealed preference for most ...