This paper examines the effectiveness of monetary policy in changing financial environments fostered by financial innovations. Financial innovation can make monetary analysis more complex, and modify the monetary policy transmission mechanism. This makes the monetary policy effective only in the...

In any economy money and income are important macro-economic variables which play a significant role in influencing economic activities. Thus, this paper is an attempt to investigate the short-run and long-run dynamics of the relation between money and income in a developing country like India...

In last decades financial innovation and the rise of new classes of financial institutions, combined with a change in the trading behavior of traditional institutional investors, have been contributed largely to increased market liquidity. Financial innovation has been considered to lower cost...

Since the implementation of financial reform policy measures in early 1990s, the capital market in India has undergone a radical transformation. Thus, capital market of India presents a picture of better efficiency, liquidity, transparency and regulatory oversight which are instrumental to...

It is a stylised fact in the fields of economic growth theory and economic history that innovation is the engine of economic growth. Like the technological innovations, innovations in the financial sector are expected to change all aspects of economic activity, bringing about a greater...