DEALING WITH CONSEQUENCES OF FISCAL DEFICIT: MACROECONOMIC CHALLENGES Case Solution
The case basically explains the macroeconomic challenges that Indian economy dealt with post-recession in the United States and Europe in 2008-09. Which spread panic in the economy as numerous professionals thought that such loanings might increase the expense of capital for the personal gamers as many of the fund will be drawn out from the capital market by the federal government another cause of concern was the possibility of inflationary pressure being constructed in the economy because lodging of such big loaning will require the main bank (RBI) pump into the economy excess liquidity. Couple of macroeconomic onlookers, nevertheless, were not stressed about the last concern as they felt that inflationary pressure will reduce in the near future and a cautious costs on facilities, though outcome in high deficit in the brief run, however in the long run will assist the economy bring in a lot of unknown capital and sustain a high development rate.
This is just an excerpt. This case is about Business