Indian Seductive Economy : Analysing downturn predicting future
Indian seductive Economy : Analysing downturn predicting future Taking forward Shankkar Aiyer 's article published here in Linkedin Seductive Economics: The Theory That 2017 is Like 2002 of 17th September, 2017, let's analyze the downturn predicting future along with measures of resiliency. Economic growth decelerated to a three-year low of 5.7% in the June quarter of 2017-18. The current account deficit hit a four-year high in the same quarter at 2.4% of GDP despite benign oil prices that have cushioned government finances. While investment demand was anyway weak when the NDA assumed office, private consumption has also started decelerating, impacted by the government’s demonetization drive as said to be. What went wrong? Economic slow down started way back in 2013. Wages started turning negative in real terms. NPAs started appearing. Global recession was visible.The biggest trigger was in August, 2014, when new Govt has taken charge, was th...