Prashant : Nobody I know went bust after a pay raise!!! The next time your boss tells you about a 10% raise in your salary, tell him "IT IS THE PACE -- I REPEAT -- PACE -- AT WHICH MY SALARY APPRECIATES...DO YOU GET IT?"
On a serious note, RBI does need to be more transparent about exactly what the hell they are doing? What is their monetary policy? You are right Prashant in the sense that the RBI should not cause sudden distrubances in the exchange rate (If sudden changes are caused by the market itself, I dont have any problem with that). I would prefer that they announce that the rupee will free-float by a certain date and slowly allow the rupee to appreciate in this period. The aim of monetary policy should be to control inflation, not to debase your own currency!
