EMPIRICAL ANALYSIS OF THE IMPACT OF OIL IMPORTS AND NOMINAL EXCHANGE RATE ON THE GROSS DOMESTIC PRODUCT GROWTH RATE

This paper attempts to identify the relationship between the growth of real GDP, nominal exchange rate and oil imports in India from 1995 to 2010 . The study uses Correlation and Regression Analysis in SPSS. The main findings of this paper are that the oil imports gives a positive impact on economic growth .The increase or appreciation of the nominal exchange rate leads to a decrease in the economic growth.