Technology and GDP Growth: A Time Series Analysis

Abstract In the age of digital transformation and globalization, the interplay between technological advancement and economic growth has become a focal point for empirical research, especially in emerging economies like India. This study investigates the impact of three major technological indicators—Gross Domestic Expenditure on R&D, Internet usage, and ICT service exports—on India’s GDP growth over the period 2000 to 2024. Using time-series data and employing econometric techniques such as multiple linear regression, correlation analysis, and stationarity tests, the study finds a strong and statistically significant positive relationship between technological progress and economic growth. Descriptive statistics indicate rising trends in internet penetration and ICT exports, while regression results show all variables to be significant predictors of GDP growth at the 5% level, with an adjusted R² of 0.71. These findings reinforce the role of technology as a catalyst for productivity, innovation, and structural transformation in India’s economy. The study recommends increased R&D investment and deeper digital inclusion to sustain long-term growth. The insights offer policy relevance in shaping future economic strategies aimed at leveraging technology for inclusive development