RE:Congrats
by Chander Malik on Apr 05, 2008 04:51 AM Permalink
Mr. Y. Singh, Inflation is not created by Harvard grad, PC. Its true his right time vision could tame it but with the growth india is growing, inflation is invited. Its us who are going buoyant with such liquidity in market. The companies know that people have got money and they are going to spend and on other side less supply of goods have increased its demand. and this a lower middle man is getting affected. RBI has continuously taking measures to check it but the kind of growth India has seen in last 4-5 years , it will take time to tame the reverse its adverse reaction i.e. inflation. Today people are keen to take loan doesnt matter on what rate. Even increasing the interest rate are not helping. We need to spend with caution in this time and save money so that spending goes less and demand and supply gets equal.
RE:Congrats
by Y Singh on Apr 05, 2008 01:16 PM Permalink
I do not argue on your points as you're absolutely right on about what you said. Nevertheless, did you notice that in the budget, there's a distribution profile of Rs 120K Crores? This money can not be offset without the printing press working overtime. Not only that, he has made further provisions of loans (which apparently will not be repaid). Who'll pay this money - will it come from the same dhoti or will it be an additional load on our taxpayers? Just get practical. The banks have to balance their books anyway. He wants to charge STT on the commodity markets and other probable derivatives (may be forex, treasuries, CFDs, warrants - whatever etc). The derivatives market doesn't have enough liquidity and if our ?Harvard guy wants to kill it at the budding stage itself with higher taxes (where he's hoping to generate huge revenue), what's the big idea behind it?
What you said is unarguably true. If the situation is like this, do you think we should resort to the measures that'll generate further kind of gyrating inflationary pressures?
RE:Congrats
by innocent on Apr 05, 2008 05:17 PM Permalink
ok, what is net result or bottom line say. only common man suffer irrespective of anything ?!?!
RE:Congrats
by G A on Apr 05, 2008 12:54 PM Permalink
Who has created this myth of inflation with growth ? Growth of what ? Goods , money supply, lies , what ? USA grows year after year with low inflation, why this theory applies to India only/
