4. Limitations of the Study
This study does not account for some effects that have been caused because of extraneous variables. These extraneous variables are not taken into account but have an effect on the correlation being determined. In the first case, variables that promote FDI fora sector but have not been accounted for, in the amount of spending being done. This can include but is not limited to political moves and political favours being done for economic sectors and other government budgetary allocations that may increase the flow of FDI for such concerned sectors of the Indian Economy. There are many such extraneous variables in the first case. For the second case, a contractor an international agreement which was signed at sometime around the promotion for the sectors, is not accounted for. Such maybe trade agreements or the removal of other tariff non-tariff barriers that may influence the inflow of FDI in any of the concerned sectors.
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