Ni Hao @Chinese-Dragon
Indian economy was much less vulnerable to external shocks than countries like China, due to India's focus on their "domestic economy
The plain truth is " it is Not". In isolated economies (like we had back in pre 90s era), perhaps it was true but not without implications.
What do you think happened to turn the tables like this?
If i may say so, its not for the first time that we have felt jitters of rising oil prices except for this time India is caught in cross fire between Washington and Beijing trade war. We faced a much worse crisis in 91, when Gulf War led to Forex shock and we almost defaulted an international loan. We had to put almost 50 tons of Gold as collateral against a bailout loan. I consider this as perhaps darkest chapter of country's economy.
Post Liberalization, country has made tremendous progress but given our dependence on imported oil and shrinking oil market to choose from (after US going after many oil producing countries), these cyclic shocks will remain a harsh reality till we substantially reduce crude oil imports (i mentioned what government is doing in one of my previous post on this thread).
To summarize we are part of global economic structure and would have to bear hiccups in same manner we enjoy global economy booms.
Why has India now become so vulnerable to external shocks such as those that come out of Donald Trump's mouth every other day?
As i said, there is nothing new in external shocks, i'm sure other countries which depend on energy imports feel similar shocks.
On question of President Trump. Well he is an Enigma isn't he. & to be honest he is more like a Chinese Fortune Cookie, you never know what you are going to get.
We thought there will be a hot show down between North Korea and US anytime (sending global markets in turmoil), the next thing we know is that only Hot thing is the Lunch he had with Kim Jong.
Turkey, an eternal ally with US, ends up having its premier cursing US for betrayal. The stories could go on...
This may look good for people having lot of time to read newspapers and discuss with chums over coffee but am sure US administration must be having a real hard time dealing with these policy acrobatics. While you don't expect countries to have constant policies in economy and foreign relations, but you do expect consistency over long periods of time. Trump has kicked this expectation out of his office and therefore the kind of uncertainty this type of Governance brings is perhaps what makes everybody nervous every time POTUS calls tweety bird
or holds a press conference.
I honestly don't know what he holds in heart but certainly if his idea of ruling the most powerful country in the world is spooking rest of the world, he is succeeding.
You tell how you feel about current US administration's policies, would love to hear.