Category: ECONOMY-2

Reasons and implications of Rising oil prices Context There has been a sharp hike in the prices of petrol and diesel, since the “dynamic” daily pricing model for these fuels was introduced in India. What has been the trend in fuel prices? In the year 2014, the Brent crude price was $ 108.6 per barrel,… Continue reading Reasons and implications of Rising oil prices

Context To achieve inclusive growth in India, there is a need to shift the workers from informal employment to formal employment. What is informal employment? The informal economy is the diversified set of economic activities, enterprises, jobs, and workers that are not regulated or protected by the state. Some of the characteristic features of informal… Continue reading Inclusive growth: Why is it indispensable for India?

Context: The Ministry of Corporate Affairs (MoCA) has identified 1.06 lakh directors of ‘shell companies’ for disqualification under the relevant provisions of the Companies Act, 2013. Why is it done? To break the network of ‘shell companies’ and the fight against black money/money laundering activities. The move is pursuant to the MoCA’s action of cancellation… Continue reading Crackdown on Shell Companies

Context: According to a research paper by renowned economists Thomas Piketty and Lucas Chancel, income inequality in India is at its highest level since 1922. What is income inequality? Income inequality is the unequal distribution of household or individual income across the different participants in the economy. What are the key findings of the paper?… Continue reading The Widening Gap between India’s Rich and Poor

Context: India GDP growth rate slowed to 5.7% in Q1 of 2017-18 on the back of destocking ahead of GST implementation and the lingering impact of demonetization. What is the current status of Indian economy? According to the latest report of World Bank’s ease of doing business index for the year 2017, India has been… Continue reading A troubling roadmap for Indian economy

Context India will be raising concerns regarding the slow pace of negotiations on services trade liberalization in the region at the forthcoming ministerial-level meeting on the proposed Free Trade Agreement (FTA) involving 16 Asia-Pacific nations. What is RCEP? The Regional Comprehensive Economic Partnership (RCEP) is a proposed mega-regional Free Trade Agreement (FTA) between 16 Asia-Pacific… Continue reading India to raise important concerns this RCEP meet

Context: Niti Aayog recently launched the Ease of doing business report based on an enterprise survey of 3,500 manufacturing firms across the nation. Introduction: The report, ‘Ease of Doing business — An enterprise survey of Indian states’,said starting a business in India took longer than that estimated by the World Bank. The report sharply delineates… Continue reading A troubling roadmap for Indian manufacturing sector

Context Need to re-imagine the country’s natural ecosystems as its ‘natural capital’ Natural capital, if managed suitably can maximize the benefits of economic growth and development for any Nation. What is natural capital? Natural capital is world’s stocks of natural assets which include geology, soil, air, water and all living things. Natural capital provide for… Continue reading Natural capital and sustainable development

Context: The Reserve Bank of India’s (RBI) Annual Report reveals that almost all demonetized notes have been returned to the central bank. Introduction: The RBI, in its annual report said that as on June 30, 2017, banks had received Rs 15.28 lakh crore, out of the total Rs 15.44 lakh crore worth of old Rs… Continue reading RBI’s Demonetization data report

Context: In an Ease of Business report NITI Aayog said that the government should reform labour laws and make them more flexible to make it easier to do business in the country. Introduction: The report was jointly prepared by NITI Aayog and IDFC Institute. The report was based on an enterprise survey of 3,276 manufacturing… Continue reading Labour reforms in India