Archive for the ‘Economy’

  • Indian Economy Shows signs of progress>
    Indian Economy Shows signs of progress
    Indian economy is finally rejoicing and happy days are again, as the inflation has moderated its pace in past ten months in November, to a low of 7.24%. Inflation had become a night mare for the government and the overall sentiments portrayed a very dismal picture few months back. The government has utilized all its resources to get the FDI bill passed in the Lok Sabha and Rajya Sabha, making a way for all FDI investments, which were held up for a long time. The Reserve Bank expects the inflation to come down further in the coming months and that may lead to a cut in the interest rates. The government is try to make all the right moves to strengthen the growth of the economy, and India’s economy could be influenced by the developments in the us and other European nations as our economy depends  [...]
    at December 27th, 2012 at 12:12 am
  • Repercussions of the Impending Elections On the Indian Economy>
    Repercussions of the Impending Elections On the Indian Economy
    Indian economy today makes a gloomy picture, and is unlikely to witness a quick turnaround in the coming days and the economic growth is not robust or gives a feel of positivity. The negative factors are overtaking the economic situation with inflation is expected to rise further after the recent price hike in diesel, electricity, coal prices. With the fuel prices already touching sky high in India, the common man finds it even difficult to keep his kitchen fires burning with the increase in the price of domestic gas cylinders. The weak auto sales has already impacted the market ,as people prefer to spend money on day to day living, rather than buy cars when the prices of the fuel are rising every passing day. With the failure of monsoons all over India, the prices of the grains and other  [...]
    at November 22nd, 2012 at 12:11 am
  • Price Rise and Indian Economy>
    Price Rise and Indian Economy
    There is a feeling that the growth prospects for the India economy have declined sharply. The Indian economy is battling price rise which is hurting the common man, recession, inflation, hike in fuel prices, job cuts, pay cuts, political instability, down grading by the credit rating agencies. The picture seems to be grave and the economy is paralyzed with FDI investors shying away from making any new investments in India due to the bureaucratic hassles. The government is also not sending positive signals to the investors to pump more money as all projects under pipe line are at a standstill as no ministry is willing to clear projects fearing that they might be investigated by the judiciary if there is a smell scent of corruption in the project. It is a slowdown in the industrial production  [...]
    at October 11th, 2012 at 06:10 am
  • Prices Of Oil Impact The Economy>
    Prices Of Oil Impact The Economy
    While falling oil prices are good for the growth of the Indian economy, the drop in the coal prices may not help the power producers. Lower energy costs are always welcomed by the growing economies and the international oil and coal prices have come down quite significantly in the last few months. The price of the barrel of oil in the international market has gone down from about 120$ per barrel to almost 100$ per barrel. Global oil consumption is declining since the end of 2011, and on the other hand the world has been producing more oil than it is consuming, and the number of new oil fields discovered has multiplied. The Indian economy will be the biggest beneficiary of the drop in fuel costs as diesel, the biggest petroleum fuel sold in India is already being sold below the commercial price,  [...]
    at October 6th, 2012 at 03:10 am
  • What a Selective Default Means for Treasury Bonds>
    What a Selective Default Means for Treasury Bonds
    The case of a selective default by the United States Government has been much pondered upon in the recent times. The exact nature of the happenings cannot be predicted by anyone. One thing is for sure, it does not imply that people would not receive their payments, but just that they will be a bit late. How long this wait will be, and who will get paid late can be guessed by anyone. Even if US administration prioritizes its debt payments, a default, however small, has the possibility of a lowered US credit rating. That’s bad news in many ways, and good news in a few. This states to the world that the United States is not credit worthy as it has always been. It also could imply that the value of the dollar could reduce with respect to currencies of other countries. The decidedly shaky environment  [...]
    at August 8th, 2011 at 04:08 am
  • Which corporate citizens shall you choose for investing?>
    Which corporate citizens shall you choose for investing?
    The companies nowadays are in the dual trouble as they are faxed with the aim of gaining high returns in their business while keeping their social responsibility at its place. The consumers today are aware enough about the environment ad they bank on the companies who embraces the corporate social responsibility. This has made companies today (willingly or unwillingly) have become corporate citizens. After all the business has to be made while keeping the consumers satisfied. And when the consumers are well informed, then business becomes a challenge. That’s why I believe that corporate citizenship is a type of business challenge for the present day entrepreneurs. Recently in an edition of Corporate Responsibility magazine 100 best corporate citizens were named and different elements of corporate  [...]
    at April 20th, 2011 at 05:04 am
  • India – Left Leaning Congress Ups Social Spending by 17 per cent>
    India – Left Leaning Congress Ups Social Spending by 17 per cent
    Pranab Mukherjee, Finance Minister of India unveiled the Union Budget for the financial year 2011-2012 yesterday, 28th February. The new financial year starts from 1st April. The budget focused on a good number of reforms aimed at the poor or the “aam aadmi” (the common man). The budget promised several populist measures such an as increase in social expenditure 17 % and decrease in inflation, especially food inflation. Social spending means the money earmarked for the various welfare schemes by the government to eradicate illiteracy, unemployment and other social evils. Spending was increased for the benefit of education, rural employment, food programs, and agriculture. The poor and rural masses form the large percentage of the country’s population, and are also the core support group  [...]
    at March 2nd, 2011 at 05:03 am
  • Cities are Where the Money Is – Mayors Vs Obama>
    Cities are Where the Money Is – Mayors Vs Obama
    Just a week after the President of the United States Barack Obama and the United States Congress have put forth a suggestion to slash federal aid and grants provided to cities a study reported that cities are the actual economic drivers of the country. In 47 out of 50 states, cities are responsible for the lion’s share in the total economic output of the states. The study was released by the Brookings Institution think tank. The suggestion of cutting grants to cities is part of the ongoing attempt to reduce the federal deficit of the United States which has been projected to go above $ 1.6 Trillion in 2011. The House of Representatives passed a funding bill, the substance of which amounted to a reduction of grants to cities by $ 1.5 billion. This amount makes up 62.5 per cent of what federal  [...]
    at March 1st, 2011 at 12:03 am
  • US public debt needs the stimulus, but questions about austerity linger>
    US public debt needs the stimulus, but questions about austerity linger
    It is incredible when you think about it. The United States has not yet been taken to task for the sheer size of US public debt by the more vigilant among us. Indeed, stimulus policies seem here to stay for the time being. Many prominent economic minds of our generation, such as Nouriel Roubini and Paul Krugman, support these financial stimulus moves, at least in the short haul. This is in some ways a good thing for nations with as huge a debt burden as the USA, since pulling out of offering these stimulus measures might end up being the catalyst for a downward deflationary spiral and that word investors and the public at large has come to fear, a double-dip recession. The only thing anyone likes double-dipped is their ice cream, of this I’m sure. However, to look at the stimulus and  [...]
    at November 10th, 2010 at 12:11 am
  • American economy a bit zombie-like>
    American economy a bit zombie-like
    By all accounts, the American economy is a bit unhealthy as of now. Pick an economic indicator, any indicator. Third quarter GDP is at 2%, this figure released just before Halloween and causing quite a fright. Unemployment and personal consumption figures aren’t exactly stellar either, and any gains effected by the GDP were set off by net imports and sharply outdone by the increase in inventories. Consumption figures have been alright, but nowhere near what it should be and the savings rate too has fallen, presenting a picture that is not rosy at all. In a sense, the American economy is a bit like a zombie right now; it’s the walking dead, ambling along in a mindless haze. In a normal, well-balanced economy, consumption and GDP is locked in a sweet, sweet tango while savings is  [...]
    at November 3rd, 2010 at 05:11 am