Karan Thapar interviews Montek Singh Ahluwalia, former deputy chairman of the Planning Commission, about demonetisation, GST and the overall state of the Indian economy.
On the first anniversary of demonetisation, economist Prabhat Patnaik speaks about why its stated objectives were not achieved, the role of GST and more.
While government is of the view that the nature of the tax reform required it to be a shock, implementing it in a phased manner could have helped avoid much of the disruptions being experienced.
In an interview with Karan Thapar for The Wire, Sitaram Yechury, general secretary of the Communist Party of India (Marxist), criticises demonetisation and argues that it failed to achieve all the objectives that were promised by the government.
The move, which is aimed at providing relief to consumers and businesses, will cost in a loss of Rs 20,000 crore in revenue.
Analysis using Milton Friedman’s theory shows India’s GDP growth is likely to crawl back to its long-run level. However, we cannot deny the loss in interim GDP because of demonetisation.
Demonetisation crippled an economy that ran on cash; it destroyed the livelihoods of millions of farmers, workers, traders, women and the elderly; and it violated the dignity and liberty of law-abiding citizens.
Speaking to The Wire, Kumar also defends the Modi government’s handling of GST, and its record on employment and GDP growth.
All the gains that documents like the Economic Survey point to cannot hide the ugly reality about India’s social infrastructure, employment and human development.
From Janardhan Poojary to Crony Capitalism: India’s Bank Recap Must Be Accompanied by Further Reform
While there are several domestic and international examples of recapitalisation bonds having worked, none of them have prevented further NPAs from piling up.
A recent hike in house rent allowances for government employees, coupled with staggered price hikes by firms adjusting to GST, may have contributed to price rises.
In order to put the economy on a trajectory of sustained growth, what we need is a large fiscal stimulus package.
The 5.7% figure, based largely on data from the corporate sector, does not capture the almost one-third of the economy hit by demonetisation and GST.
Worries that the government might boost spending and widen its fiscal deficit target saw foreign investors sell, as the rupee slumped by 2.2% this month.
Arfa Khanum Sherwani discusses the slowdown of Indian economy and its impact on small traders and the working class with Pawan Kumar from the BMS and Amarjeet Kaur from the All India Trade Union Congress AITUC.
Fiscal policy is a potent instrument that must be used to alleviate the unemployment crisis, but first, supply-side constraints need to be systematically united.
The July forecasts had pegged the 2017 growth at 7.4% and 2018 growth at 7.6%.
The rupee was at 65.3275 to the dollar after falling to 65.3550, its lowest since March 24.
With the ripples of demonetisation and a poorly-designed GST spreading economic distress, voters will assess the promise of Narendra Modi’s ‘New India’ in due course.
Vinod Dua discusses if the bullet train project really is ‘free’ as Prime Minister Narendra Modi claims and also delves into the current state of the Indian economy.
More than a fifth of large companies did not earn enough to pay interest on their loans and the pace of new loans fell to the lowest in more than six decades.
Ministers were shuttled in and out, supposedly on the basis of performance. But who will take responsibility for the structural slowing down of India’s economy, poor employment generation and agriculture distress?
Inflation was 1.46% in June – the slowest pace since India started releasing retail inflation data in January 2012 based on combined data for rural and urban consumers.
If deregulation of hiring and firing is desirable, then greater regulation of working conditions is also necessary.
In India’s Big Government: The Intrusive State and How It’s Hurting Us, Vivek Kaul paints a grim picture of the economy and focuses on areas from banks to education in which the government plays a decisive, and all too often negative, role.
SEBI should put its own house in order before embarking on measures aimed towards greater financial-isation of the commodities derivatives market.
Despite the strong mandate, Modi still faces a struggle to implement reforms to boost growth and jobs.
The 60-page report looks at the impact of the note ban on growth, inflation and a wide range of organised sectors.
The government must announce fiscal measures to stimulate demand if it wishes to repair some of the damage it has willfully wreaked upon the economy via demonetisation.
Siddharth Varadarajan and M.K. Venu, founding editors of The Wire, discuss the politics and economics of demonetisation in a Facebook live chat.
Low interest rates are demanded in the name of helping small and medium-sized enterprises, but in reality, it is the over-leveraged corporates that will most likely benefit from it.
Subbarao talks about the challenges he faced as governor of the RBI, his book “Who moved my interest rate”, and more.
With the world’s economies growing ever more interconnected and the current recession-like conditions in many key economies, India needs to build a robust firewall in the event of a global crisis.
Will the government be able to boost public spending while maintaining strict fiscal consolidation? Will there be a hike in service and excise tax rates? Join us as we give you live updates and analysis
The hard numbers don’t warrant optimism, but there is an inbuilt bias to continue looking for “green shoots” rather than face the facts