Impact of Pandemic on Economic Growth of Indian Economy: An Econometric Analysis
DOI:
https://doi.org/10.53983/ijmds.v14n9.009Keywords:
Economic Growth, GDP, FDI, Unemployment, Foreign TradeAbstract
The pandemic significantly disrupted the Indian economy, leading to a historic contraction in GDP growth in 2020 and exposing structural vulnerabilities in key sectors. This study, titled “Impact of Pandemic on Economic Growth of Indian Economy – An Econometric Analysis,” investigates the relationship between core macroeconomic indicators—Inflation, Exports, FDI inflows, Poverty, and Unemployment—and GDP growth during the period 2020–2024. Using multiple regression analysis, the results reveal that exports, FDI inflows, and inflation exhibited a strong association with GDP growth, while poverty and unemployment had weaker explanatory power. The model’s high R² value indicates that the chosen variables account for a significant proportion of economic fluctuations during the pandemic. The findings highlight that external sector performance and investment inflows were crucial in India’s recovery, but structural challenges in poverty alleviation and employment generation persist. The study provides valuable insights for policymakers to strengthen resilience and design inclusive strategies for post-pandemic growth.
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