The Indian central bank RBI recently said that, Indian government consumption key to growth in economy amid pandemic. Indian government spending will support the economy during the pandemic, but private consumption will be needed to drive any economic recovery once the coronavirus threat eases. Is it so? Is government spending and consumption key to growth? […]
Tag Archives: Keynesian
28
Dec
Dec
Amidst the on-going severe recession in the Indian economy, the Indian central bank RBI is trying to do something impossible. Driven by its Keynesian logic of lack of aggregate demand as the root cause of the recession, RBI is trying to boost both consumption and investment at the same time. In its recently published bi-annual […]