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The case let explains the trends in inflation in India and the impact of inflation on the economy as a whole. It explains the reasons

The case let explains the trends in inflation in India and the impact of inflation on the economy
as a whole. It explains the reasons for inflation and measures to be taken to control it. It even
highlights the role of RBI in helping government to manage inflation.
India is a fast growing economy and has the potential to compete with the other big economies of
the world. However, a growing population, increasing inflation, political instability, need for
infrastructure development, and many other issues are causes for concern for the Indian
economy.
In fact, these issues are preventing the growth of the Indian economy to a considerable extent.
Out of all these factors, it is the impact of inflation that is felt across all sections.
Issues:
Impact of inflation on the Indian economy.
Reasons for increasing inflation rates in India.
Measures taken by the Indian government (fiscal measures) to control inflation
Role of RBI (monetary measures) in managing inflation in India
Questions
1. Inflation has to be tackled efficiently to ensure the future growth of the Indian
economy. How do you find the inflation situation in India?
2. Give your opinion about the scope for trade into India and possibility of India trading
globally in this environment.

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