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In The Media
Carnegie India

The Emergence of a Different Order?

State-capital relations include direct, firm-specific interactions between the state and investors/firms, and indirect influences that shape the general conditions for raising and deployment of capital.

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By Suyash Rai
Published on Oct 31, 2020
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Political Economy

This program studies contemporary developments in India’s political economy, with a view towards understanding and informing India’s developmental choices. Scholars in the program analyze economic and regulatory policies, design and working of public institutions, interfaces between politics and the economy, and performance of key sectors of the economy such as finance and land.

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Source: Seminar

State-capital relations can be defined as the ways in which state action affects the cost of capital and the return on capital employed, which in turn determine the levels of private investment and entrepreneurship. State-capital relations, therefore, include direct, firm-specific interactions between the state and investors/firms, and indirect influences that shape the general conditions for raising and deployment of capital.

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This article was originally published by Seminar Magazine.

About the Author

Suyash Rai

Former Fellow, Carnegie India

Suyash Rai was a fellow at Carnegie India. His research focuses on the political economy of economic reforms, and the performance of public institutions in India.

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Suyash Rai
Former Fellow, Carnegie India
Suyash Rai
EconomySouth AsiaIndia

Carnegie does not take institutional positions on public policy issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of Carnegie, its staff, or its trustees.

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