Impacts of FDI and Trade on Economic Growth of India

Running head: RESEARCH PROPOSAL
Research Proposal
Name of the Student
Name of the University
Author Note

1RESEARCH PROPOSAL
Table of Contents
1. Introduction............................................................................................................................2
1.1 Research Questions..........................................................................................................3
2. Literature Review...................................................................................................................3
2.1 Foreign Direct Investment................................................................................................4
2.2 Pattern of FDI in India.....................................................................................................4
2.3 Determinants of FDI in India...........................................................................................6
2.4 Impacts of FDI and trade dynamics in India....................................................................6
2.5 Literature Gap..................................................................................................................7
3. Research Methodology...........................................................................................................8
3.1 Research Philosophy........................................................................................................8
3.2 Research Logic.................................................................................................................9
3.3 Research Method..............................................................................................................9
3.4 Data collection method..................................................................................................10
3.5 Data Analysis.................................................................................................................11
3.6 Anticipated Research Limitations..................................................................................11
3.7 Ethical Consideration.....................................................................................................12
4. Research Timetable..............................................................................................................13
References................................................................................................................................14

2RESEARCH PROPOSAL

3RESEARCH PROPOSAL
1. Introduction
The global economic scenario has experienced considerable dynamics over the years,
with new countries and economies into prominence with time. The international economic
scenario has become more integrated, inclusive and multi-dimensional, much of which can be
attributed to the global phenomena like Globalization as well as country specific phenomena
like trade expansion and industrial liberalizations of the major economies (Holland 2018).
In this context, one of the primary emerging economies in the contemporary global
scenario, is that of the economy of India. Being one of the primary mixed economies in the
global scenario, the country currently ranks sixth globally in terms of nominal GDP and is the
third largest economy in terms of purchasing power parity (Ahluwalia and Little 2012). The
country has developed considerably over the years and the economic growth of the country
received a huge upsurge post 1991, after the economic liberalization (1991) took place in the
country. Post Liberalization, the country experienced an impressive growth rate of average
GDP (6 to 7%), thereby surpassing the growth rates of many developed countries. India is
currently the fastest growing economy in the international scenario, surpassing the economic
growth of China (Tomlinson 2013).
There are various exogenous and endogenous factors influencing the economic
growth dynamics of India. The liberalisation of the economic sectors of the country, has
attracted considerably huge amounts of Foreign Direct Investments in the country as many
foreign companies, especially from the developed countries have been attracted to invest in
the rapidly expanding business sector of India, to reap the benefits of the huge supply of
cheap yet skilled labour as well as to capture the huge and growing markets of the country
(Cassen 2016). These FDIs are often considered as one of the major financial sources
contributing to the economic development of the country. On the other hand, liberalization