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This is a macroeconomic analysis of the Indian economy, spanning the period 1950-51 to 1992-93. The macroeconometric model used in the book integrates the monetary and real sectors of the economy. In order to provide theoretical underpinnings for the mode, the book traces the development of macroeconomic theory, including Keynesian, structuralist and supply-side economics. The model explains the public sector's current and capital expenditures, rather than treating them as exogenous variable. A sub-recursive system of prices is formulated in terms of unit cost based on the flow of factor income generated in the process of production, monetary variable and agriculture supply factors. The model analyzes and evaluates policy changes in India, particularly sincve 1984. It is used to derive the appropriate mix of fiscal, monetary and trade policies needed to generate significant economic growth in 1997-2000 in a non-inflationary environment.