It is the average value of a set of observation. Suppose, a set of observation is 1, 2, 3, …, n, then mean or average value of the series ‘X’ is (1+2+3+…+n)/n. It is mostly accepted measure of central tendency in statistics as it fulfills maximum number of acceptability properties. The mean value of C-D ratio for a given year across the states is calculated by the summation of values of the C-D ratios across the 16 states and then divided it by the number, 16.
Published in Chapter:
Analysis of fluctuations in Credit-Deposit Ratio of Indian States: From Pre-Globalization to Post-Financial Crisis Phase
Copyright: © 2019
|Pages: 17
DOI: 10.4018/978-1-5225-7180-3.ch013
Abstract
Under the backdrop of the liberalization and globalization policies undertaken by the Indian government and the outbreak of the global financial crisis, the present chapter tries to study the trends, fluctuations, and ranking of the credit-deposit ratio of the Indian states for the period 1972-2015 comprising pre-globalization to post-financial crisis phase. Applying descriptive statistics, product moment and rank correlation coefficients, and student's “t” test and “F” tests, the results show that there are significant increases in the credit-deposit ratios of most of the states during the phase of financial as well as post-financial crisis phase compared to pre-globalization and post-globalization periods, but there were significant fluctuations in credit-deposit ratio in the financial crisis and post-financial crisis phases. Further, the rank correlation results show that the states maintained almost similar ranks in their credit-deposit ratios for the phases of pre-globalization, post-globalization, pre-financial crisis, and post-financial crisis. The study, thus, suggests that the Indian banking sector has not been affected adversely.