Abstract:

This study examines the dynamics of fiscal imbalances and their implications for economic prosperity in India through a time-series analysis spanning from the post-liberalization period 1991 to 2022. It explores how fiscal deficits, revenue-expenditure gaps, and public debt trends have evolved in response to economic reforms and policy adjustments. Using macroeconomic indicators such as GDP growth, inflation, capital formation, and fiscal deficit-to-GDP ratios, the analysis reveals a complex relationship between fiscal prudence and developmental outcomes. The findings suggest that while fiscal consolidation measures have enhanced macroeconomic stability and investor confidence, persistent revenue shortfalls and rising expenditure pressures continue to challenge fiscal sustainability. The study underscores the need for balanced fiscal management, improved tax efficiency, and rationalized public spending to sustain long-term growth. Ultimately, it highlights that fiscal discipline, coupled with inclusive development policies, remains essential for achieving sustained economic prosperity in post-reform India.

Keywords:

Fiscal Imbalances, Post-Reform Economic Amelioration, Time-Series Analysis, Fiscal Sustainability, Macroeconomic Stability, Public Expenditure Management, Economic Growth Dynamics

Aim/Objectives

Methods