……Inflation has started easing. If RBI starts relaxing prematurely, and inflation goes up again, it will be much more difficult to correct, as inflationary expectations will move up. It takes a lot of time to drive the expectations down, but these can revive into an inflationary mode very easily. You have to wait until you are pretty much sure that you completely wiped out all inflationary expectations. We are not there yet; we are not even close........
Read..................
No comments:
Post a Comment