Can Indian Economy Avert Crash Landing in 2011?

[RiazHaq]

It seems that you want to argue for the sake of arguing.

First, Inflation is cyclic phenomenon, falling during recession and rising as the economy approaches the cyclic peak. Similarly, as William Phillips proved, there is an inverse relationship between the rate of unemployment and the rate of inflation. Both condition aptly apply to India, moreover sometime it beyond the control of the state to control inflation as in case of rising crude prices. India is growing economy that to at rates nearing 10%, so the business cycles and upheaval in employment rates are expected to be more frequent…..so no need worry.

I would worry if consumer has lost his confidence in the economy, growth rates are going down, industrial production is down, forex reserves are insufficient to cover short term capital flow, unemployment is huge, trade is stagnant, and India is not moving up the value chain in production.

Rest assured, India is soon to become one of the growth engines together with US, EU and China of the world economy

With all due respect, I don't think you really know what you are talking about.

Pay attention to the following:

High inflation is an indication of an overheating economy.

The only way to contain it is to slow growth by reducing credit.

That's what the Indian regulators are going to have to do sooner or later.

If they do it sooner, they can manage a soft landing 2011. If they don't act in a timely manner, there will be hard landing with negative long-term consequences.

 

[Vasily Zaytsev]

With all due respect, I don't think you really know what you are talking about.

Pay attention to the following:

High inflation is an indication of an overheating economy.

The only way to contain it is to slow growth by reducing credit.

That's what the Indian regulators are going to have to do sooner or later.

If they do it sooner, they can manage a soft landing 2011. If they don't act in a timely manner, there will be hard landing with negative long-term consequences.

I do know what you are talking about. You are talking about...wait a minute...uhmmm....................bull


Now you pay attention to the following..... I mean.....Listennnnnnnnn,

High inflation is an indication of an overheating economy.......not always......

What economy is heating in Pakistan which justifies the hyper inflation or for that matter in Zimbabwe.... Ring any bells.

The inflation in India is not due to growth but mis management of supply demand economics of commodities and essentials...

The regulators like RBI actions as far as inflation are concerned are limited to managing interest rates.

But in case of India, the so called "double digit infaltion" is mainly food inflation where role of RBI is nothing.

You know nothing about Indian economy.

Now stop bluffing, you have no points left to argue...you are only talking gasssssssssss....

Man you have no shame, everytime you get humiliated either you run way or talk gibberish.




Here is some Vasily's Musings for you......


"When your own house is in ruins, don't worry about the peeling plaster of your neighbours compound wall."

 

[Sinnerman108]

^^^

WoW A volatile vegetarian ..

 

[GORKHALI]

oh!pls pls keep aside those HAQ MUSHING PREDICATION ,I got some current,present news for him www.pkarticles.com/business/imf-issues-stern-financial-warning-to-pakistan/

 

[Ammyy]

oh!pls pls keep aside those HAQ MUSHING PREDICATION ,I got some current,present news for him IMF issues stern financial warning to Pakistan | PK ARTICLES

Is that matter for Indian economy that any of the tom dick make any prediction

Our growth rate is almost 9% and will be 11-12% in 2012-13 so dnt wary

We have MMS and party for all these matters.

 

[GORKHALI]

Here we go straight from horse mouth IMF.

India and the IMF -- Page 1 of 17

 

[GORKHALI]

here we go again for pakistan - look at it analysis ,observe it and get bck to work . Hope mods should close this thread.

Pakistan and the IMF -- Page 1 of 13

 

[Jade]

With all due respect, I don't think you really know what you are talking about.

Pay attention to the following:

High inflation is an indication of an overheating economy.

The only way to contain it is to slow growth by reducing credit.

That's what the Indian regulators are going to have to do sooner or later.

If they do it sooner, they can manage a soft landing 2011. If they don't act in a timely manner, there will be hard landing with negative long-term consequences.

No Mr. Haq, I know exactly what I mean and I can provide the technical matter if you require so

Yes high inflation could cause economy to overheat, but does that mean that economy is going to hard crash? I think not. As I explained inflation is cyclic factor. The higher price would reduce demand leading to lowering of price, hence a lowering of inflation. At best I would describe inflation as self-correcting variable.

There are many ways to contain inflation. Reducing credit is one way and not the only way.

You are talking of soft landing and hard landing of the Indian economy, and I am talking of booming Indian economy. Why don’t we call for a bet, I predict a growth of more than 8%. Why don’t we watch this space next year same time? Let is see who wins

 

[F-16_Falcon]

here we go again for pakistan - look at it analysis ,observe it and get bck to work . Hope mods should close this thread.

Pakistan and the IMF -- Page 1 of 13

So I was correct in my assessment that indian economy is on the verge of collapse. indian govt's anti-people policy is destroying their economy. so do not compare your economy with us. pakistan has a self-sufficient economy which is not dependent on other economies. we do not care about IMF.

 

[Ignited Mind]

So I was correct in my assessment that indian economy is on the verge of collapse. indian govt's anti-people policy is destroying their economy. so do not compare your economy with us. pakistan has a self-sufficient economy which is not dependent on other economies. we do not care about IMF.

:

Why the hell am I not allowed more than 8 emoticons in one post?

 

[Ammyy]

So I was correct in my assessment that indian economy is on the verge of collapse. indian govt's anti-people policy is destroying their economy. so do not compare your economy with us. pakistan has a self-sufficient economy which is not dependent on other economies. we do not care about IMF.

Just imagine what you want to

And we will continue our growth with more than 9 %

 

[darkhand08]

Guys why bang your heads over this......

Haq's Musings are well known for their speculative opinion of the Indian Economy.....

It is something said by a Pakistani and being pushed through this thread needlessly....

You should remember that we have someone sitting in the PM's chair and the Chairman of the Planning Commission who happens to know a thing or two about the Indian Economy and is a voice keenly listened to amongst World Economic Circles......

 

[I FLY HIGH]

@ thread starter,

at least read what the world bank, IMF, ADB projections are for India.

There are many reputed analysts from different reputed organisations whose monthly earning is probably more than what you can earn in your entire life, who have given their forecasts for Indian economy. Go and read and undestand what they are saying.

Just because Pakistan is doing badly, don't force feed your wishful thinking that India ought to do badly so that you can take solace.

Yaar, tumare Ghar main aag lagi hai to ..... doosare ke ghar jali mombatti dekh kar, dil main sukoon lana bewakoofi hai.

Itani bhi Jalan aachi nahi hai...

No dear , it is not like that , it has happened in Pakistan earlier , we had a growth of 7%average from 2002 to 2008. But inflation and trade deficit and ca imbalance forced us to increase the intrest rates which resulted in the slowdown of economy to little under 4%. It is a cycle dear ,dont misinterpret , I hope you dont get hit like that , however it is the mostlikelyhood. I hope we get over this cycle as soon as possible.

 

[jagjitnatt]

No dear , it is not like that , it has happened in Pakistan earlier , we had a growth of 7%average from 2002 to 2008. But inflation and trade deficit and ca imbalance forced us to increase the intrest rates which resulted in the slowdown of economy to little under 4%. It is a cycle dear ,dont misinterpret , I hope you dont get hit like that , however it is the mostlikelyhood. I hope we get over this cycle as soon as possible.

What you are talking about is a completely different scenario.

Inflation is India is basically due to 2 commodities. First is food, and the second is oil. The other inflation data is well within the 4-6% range. And that is the ideal inflation rate for a growing economy.

It is fine if the inflation rates go up for a little time. Economy is hurt more if there is no inflation. Our inflation rate went into negative a couple of years back, and govt had to take tough measure to make it increase again.

It is only due to the boom in economy again after the recession that is triggering an increase in inflation. Once food demand/supply problem is solved, which according to predictions should be solved by Mid 2011, we will start to see the overall inflation rate under 7%

 

[Storm Force]

There is nothing self sufficient about Pakistan. these days

Massive external debt around $50 billion or 35% of total GDP.

Reliance on grant aid and IMF loans and financial aid packages from good will arab friends.

YES YOUR RIGHT INDIAN ECONOMY IS ABOUT TO COLLAPSE WITH ITS $300 BILLION BANK ACCOUNT to disappear over nite and its $1.4 trillion GDP to shrink by next year.

Happy New Year all PDF members TROLLS included.