Declining output volatility: What role for structural change and policy?

An important aspect of growth process of Indian economy in the recent years has been one of high growth and less volatility. Motivated by near-absence of studies on the volatility aspect of the growth process, this study has attempted to identify the possible factors that are responsible for such a phenomenon. This study has observed that monetary policy as well as fiscal policy stances have important implications for growth stability in combination with the evolving sectoral mix of GDP.