ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846
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Growing Services in India

This study is an explorative, inter-sectoral analysis of state domestic product data to understand the determinants of services sector growth in India during recent years. It is a demand side analysis where the services sector output of a specific state is not only a function of the outputs of a state's own agriculture and industry but also the output of the commodity-producing sector of the rest of the Indian economy. The findings suggest that while a state's own industry turns out to be the most important determinant of services sector growth, the commodity-producing sector of the country outside the state does play a significant role as well in determining services sector performance under certain conditions that basically relate to the supply side.

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