Tuesday, January 24, 2012

Subbarao’s hint: Don’t expect the moon when govt is messing up

.... While in the short run, moderating inflation will provide some space for monetary policy to address growth concerns, in the absence of structural measures to address supply bottlenecks, this will be, at best, a temporary respite. In addition, the expansionary fiscal stance has emerged as an upside risk to inflation.”...........

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