Is “Excessive Competition” a Problem?

The Finance Minister of India Mr. Arun Jaitley at the National Conference on Public Procurement & Competition Law recently said that, We wanted multiple players because they would ensure the largest consumer interest. But there can be several other impacts. Excessive competition, at times, can result in pricing of a nature that that sector of […]

Are the Prices of Petrol and Diesel Determined by the Market Forces In India?

The Indian government has supposedly deregulated the determination of prices of petroleum products like petrol and diesel in India. Every time prices of these two products go up, the government plays this card of deregulation to answer the critiques e.g., recently the Modi government reduced the excise duty on petrol and diesel by 1.5 rupees […]

Rafale Deal and Corruption

The Modi government is embroiled in an alleged corruption case of  Rafale Jet deal with the French government. Opposition parties are now gunning for the resignation of prime minster Narendra Modi. They have accused him of personally influencing and altering the deal, which was originally put in place by the former UPA government, to benefit […]

Who Is Responsible for the Bad Loans (Non-Performing Assets) Problem?

A mud-slinging exercise is going on between the former Congress and present BJP government about who is responsible for the mounting non-performing assets (bad loans) problem. Political parties, as usual, are blaming each other for this mess. Former RBI governor Dr. Raghuram Rajan implicated bankers themselves for this problem. In a note on bank non-performing […]

Should We Not Worry About the Falling Rupee?

The turmoil in the Forex market continues and with it the collapse of Indian currency rupee. The Indian currency rupee breached the level of 70 against US dollar for the first time in its entire history. And this fall isn’t finished yet. The chances of it falling further are high. In the aftermath of this […]

Breaking the Backbone of India

The Informal sector is what keeps India moving. That part of the market keeps on working and so you get your daily milk, vegetables and newspapers delivered to your doorsteps.  According to ILO, close to 81% of the Indian jobs are in this informal sector. Informal sector is the backbone India’s economy. Since coming to […]

The Laws of Economics are always in Action

Last year the government of India passed a bill extending maternity benefit leave from 12 weeks to 26 weeks for the pregnant women with lot of fan-fare. The objective of this law was to protect the employment of women during the time of pregnancy and entitles them to full paid absence from work to take […]

Rats are Leaving Modi’s Sinking Boat

Two Arvinds, Arvind Panagaria and Arvind Subramanian, have resigned from the top economic positions in the Modi government before their terms ended. Arvind Panagaria was the vice chairman of the NITI Aayog, the former economic planning commission, and Arvind Subramanian was the chief economic advisor. They both resigned and went back to their former teaching […]

Is Karnataka Election Crisis a Victory for Democracy?

The megastar Rajnikant recently said, according to the Constitution, majority should be proved in the assembly, the Congress-JD(S) is going to do it, and I see this as a victory for democracy. Is Rajnikant right? Is the Karnataka election drama a victory for democracy? A win of people who are allegedly to have all the […]