ANALYSIS OF CAPITAL FORMATION AND DOMESTIC SAVING IN INDIAN ECONOMY: A COMPARATIVE STUDY DURING PRE AND POST-WTO

Abstract

Capital formation is a measure of additions to the (physical) capital stock of a country (or economic sector) in accounting interval, or, a measure of the number by that the entire physical capital stock accumulated throughout accounting period. Saving is financial gain not spent, or postponed consumption. Ways of saving embody golf shot cash aside in, as an example, a time deposit account, a programme, an investment fund, or as cash.Globalization means to decrease the trade barriers and free flow of capital as well as technique. It increases the competitiveness on the one hand, and grows the economy faster on the other. In fact, globalization accelerates the economic growth.The WTO represents the most influential of the multilateral institutions that are accountable for global economic management.The present study intends to analyze the gross and net domestic capital formation and gross domestic capital formation and gross domestic saving of India during pre and post-WTO and to examine the level of Net domestic capital formation and net domestic saving of India. The present study is based on secondary data collected from 1975 to 2015.