Abstract
Natural resources are considered vital for economic growth, laying the foundations for various industries. Therefore, the present study aims to examine the importance of natural resources, globalization, financial development, and digitalization in India's economic performance from 1970 to 2020. The study utilizes the Auto-regressive distributed lag (ARDL) techniques with structural breaks and the Granger causality test to detect the direction of causality. Further, Fully Modified Ordinary Least Square (FMOLS) and Dynamic Ordinary Least Square (DOLS) were used to check the robustness of the long-run coefficients. The finding supports the “Resource curse hypothesis” in India. Globalization and financial development drive the long-run growth performance. In the short run, digitalization and globalization enhance growth performance. The Granger causality result unfolds a bidirectional causal relationship between economic growth and digitalization and unidirectional causation from financial development and globalization to economic growth. The study's outcomes have notable policy implications that emphasize the need to induce financial development, integrate digital technology into core sectors of the economy, and encourage market openness and efficient utilization and management of natural resources for sustainable economic growth.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
