Empirical Analysis of the Effect of foreign trade in Computer and communication services on Economic Growth in India

Abstract

The Information and Communication Technology industry as well as the Digital Market are significant economic drivers in India, accounting for nearly 13% of GDP. Computer, communication, and further services are essential elements of commercial services, and this research will focus on measuring its role in the country's development. The component of computer and communication lacks a focus in the research area despite its importance in pushing the nation further. This research is an effort to meet this research space. In the research, the export and import of computer communication and other services act as explanatory variables and GDP act as the explained variable. The impact of the control variable own controlled variable will be measured through linear regression analysis. After applying the required tools on the framed data set, the analysis can be interpreted that the independent variables are significantly impacting the dependent variable. Hence, it can be said that foreign trade in computer communication and other services influences the nation's growth prospects in a statistically significant manner. Further, if we look at the calculation of both endogenous variables individually, imports have a statistically substantial influence on the progress, whereas exports impact is not statistically significant.