Dynamics of Sectoral Growth and Terms of Trade in India

The paper analyses the growth patterns of different sectors of the economy, such as agriculture, the industries, and the services, and their sub-sectors. It examines the inter-sectoral and inter-temporal growth differentials. The analysis of inter-sectoral terms of trade provides a separate treatment for the service sector. Section I presents a birds eye-view of the growth and structural changes while Section II provides an in-depth and micro analysis of the growth patterns of agriculture and industrial sectors. Section III analyses the inter-sectoral terms of trade. In view of the changes in the policy regime, the sectoral growth performance during the 1990s is treated separately in Section IV. The last Section sums up the conclusions emanating from the study.