Exploring the Interconnections of Gross Saving, Headline CPI & Household Debt in India
Exploring the Interconnections of Gross Saving, Headline CPI & Household Debt in India

Summary/Abstract: This study investigates the intricate relationships between Gross Savings, Headline CPI, and Household Debt within the Indian economic context. These indicators are crucial determinants of economic stability and growth, influencing investment patterns, inflation dynamics, and household financial health. Through a careful analysis employing a multiple linear regression model, we examine the individual and collective impacts of Headline CPI and Household Debt on Gross Savings. This paper provides valuable insights into the nuances of these relationships, highlighting their implications for India's economic trajectory. Results of the multiple linear regression indicated that there is a very strong collective significant effect between the Headline CPI, Household Debt, and Gross Savings, [F(2, 10) = 29.32, p < .001, R2 =0.85, R2adj = 0.83]. The individual predictors are examined further and indicated that Headline CPI (t = 6.099, p < 0.001) and Household Debt (t = -5.688, p < 0.001) were significant predictors in the model. By understanding the interplay among these variables, policymakers can formulate informed strategies to address economic challenges and promote sustainable growth. As India navigates through evolving economic landscapes, this research contributes to the broader discourse on savings behaviour, inflation management, and financial resilience within emerging market economies.

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