Historically the government used to control prices for many products but kept the forex on a tight lid...now for many reasons it may have to do vice-versa. Bring back pricing control. ithas attempted this with pharma, cement and sugar but has aimed at the wrong place..it need to include PROPERTY in the list of price control and watch inflation go poof and competitiveness of India being protected against a raging rupee..today the greatest inflation is in land prices..they need to be frozen or say 10 years to prevent speculators from making india inc uncompetitive - already it companies may defer purchases as margins are dented due to rupee and wage increases...property can be a counter balancing tool given that for most companies it is now the largestpart of capital... Strange that i should argue for price control in a capitalist era - but then if we have to win the international war then this is one way else we will go like the other east asian economies - sick due to growth and rising reserves (read inflows)..cut the speculation... control prices not just CEO salaries :-)
