Munich Personal RePEc Archive

The curious case of Indian agriculture

Banik, Nilanjan and Biswas, Basudeb (2012): The curious case of Indian agriculture. Forthcoming in:

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This paper examines association between the cyclical component of agricultural output and rainfall in India. When the cause of food inflation is because of supply shortage driven by inadequate rainfall and poor irrigation facilities, then a contractionary monetary policy may lead to stagflation. Considering agricultural output and rainfall data from four states in India we find evidence in favor of association.

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