Has Government Investment Crowded Out Private Investment in India?
探讨印度政府投资与私人投资的关系，分析政府借贷融资是否通过推高利率减少私人投资，并评估其对经济增长的净效应。
Pritha Mitra In India, the relationship between government investment and private investment is a controversial issue. Economic theory suggests that government investment, financed by borrowing, reduces the loanable funds available for private investment, driving up interest rates, and reducing the level of private investment. If, as Keynesians argue, the positive impact of increased government investment outweighs the negative impact of reduced private investment then economic growth will increase. In the case of India, government investment would add to the momentum of India’s growth.