ABSTRACT
We study the interactions between financial inclusion, mobile telephony, and economic growth in Indian States over 1991–2018. We establish whether there is temporal causality between these three variables. Our findings expose a network of short-run and long-run causal relationships between the variables, including long-run unidirectional causality from financial inclusion and economic growth to mobile telephony.
Acknowledgments
This research work is part of a research project entitled “Role of Mobile Telephony as a Toll to Financial Inclusion and Economic Growth”; and is supported by the Indian Council of Social Science Research (ICSSR), New Delhi, India.
Disclosure statement
No potential conflict of interest was reported by the authors.
Notes
1 It is constructed using principal component analysis; and is a weighted average of all four financial inclusion indicators.
2 They include Haryana, Punjab, Rajasthan, Bihar, Jharkhand, Odisha, West Bengal, Chhattisgarh, Madhya Pradesh, Uttar Pradesh, Uttarakhand, Gujarat, Maharashtra, Andhra Pradesh, Karnataka, Kerala, and Tamil Nadu.
3 They include Himachal Pradesh, Jammu and Kashmir, and Assam.