The analysis employs data on federal Government-owned public enterprises (PSEs) since the 1980s that encompasses the partial privatization program to examine the likelihood of privatization. The results indicate that employment-intensive, high-paying but less profitable firms are more likely to...

Using data on a large sample of public companies in India for 1987-2005, the findings indicate that increases in firm size are likely to be associated with increase in R&D up to a threshold. The evidence is also supportive of the fact that both the intensity of R&D as well as innovation activity...

Using state-industry data for 1981-98, the paper examines the Rajan-Zingales (1998) hypothesis at the country level. In particular, we examine whether industrial characteristics influence state-level industrial growth. The findings suggest that industries with higher fixed capital and bigger...

The study investigates the effects of activities of financial institutions (FIs). In particular, an econometric study has been undertaken to examine the ‘supply-leading’ and ‘demand-following’ characteristics of FI activities. The investigation is conducted by employing time series data...

The paper examines the impact of credit rating on capital adequacy ratios of Indian state-owned banks using quarterly data for the period 1997:1 to 2002:4. To this end, a multinomial logit model with multi credit rating indicators as dependent variable is estimated. The variables that can...

Employing data on Indian banks for 1997-2006, we test the behavior of capital buffers over the business cycle. The evidence indicates that capital buffers exhibit pro-cyclical behavior, although the implied effects are small.

The paper discusses the theory of how banks' respond to risk-based capital standards and conducts an empirical estimation to ascertain the response of banks to capital requirements in the Indian context

Historically, central banks have had the dual objective of safeguarding monetary and financial stability. Increasingly, over the last two decades or so, concerns about financial stability have gained prominence, reflecting the growing number, breadth and severity of bouts of financial distress....

The paper reviews the sources of market failure in financial institutions and markets and what can be done to alleviate them. It examines game-theoretic explanations for financial instability, in particular the role of asymmetric information in generating destabilizing behavior. In the area of...

The paper assembles data on over 1,000 manufacturing and services firms in India for the entire post-reform period from 1992 through 2002 to examine the association between corporate governance and monetary policy. The findings suggests that (a) public firms are relatively more responsive to a...