Gold Monetisation Scheme – Another feather in the cap.. (Part I)

Imagine each gram of gold floating around in the market as one thousand rupee note and being exchanged as easily as the note. Since the note is easily available and easily tradeable, there is no incentive to build up an inventory for future needs or for fear of its price going up, unless the notes … Continue reading Gold Monetisation Scheme – Another feather in the cap.. (Part I)

CPI and WPI Inflation- Making sense of numbers..!

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Inflation…  Probably the most haunted word, for both, households and the policy makers is equally haunting for the readers/ students of economy and business..! Continue reading “CPI and WPI Inflation- Making sense of numbers..!”

Interest Subvention vs Interest Subsidy – A far reaching reform measure…

The Finance secretary Mr Ratan Watal’s statement on the issue again re-affirm the fact that the government is firing on all cylinders and in all directions..! The proposal simply means that instead of mandating banks to give loans at lower rates to certain categories such as farmers or textiles plants under different schemes, it will … Continue reading Interest Subvention vs Interest Subsidy – A far reaching reform measure…

RBI Policy – The Rationale…

The much anticipated rate cut did happen, apart from some other far reaching announcements. It may be worthwhile to understand the reasoning… Inflation has moved along the expected lines. While there are risks to the projection arising out of  unseasonal and uncertain rains, impact of 7th pay commission on demand and consequently on prices, there … Continue reading RBI Policy – The Rationale…