A study on cointegration between inflation and economic growth in India

The most important economic controversies among monetary authorities, policy makers and economists is “The relationship between inflation and economic growth”. The empirical and theoretical evidences provide three types of relationship between inflation and economic growth - negative, positive and none. Although the relationship between inflation and economic growth has been widely examined and investigated over the years, still this is a burning issue which hinders the economic growth of a country. In this paper, it is proposed to investigate the relationship between Economic growth and Inflation in India during the period 1980-2016 using various cointegration techniques and correlation.