Stagflation Current Affairs, GK & News

Stagflation

Stagflation refers to persistent high inflation coupled with high unemployment and stagnant demand /growth in economy. High Inflation + Low Economic Growth {or conditions of recession} + Low Employment Generation = Stagflation Stagflation generally occurs because recession reduces demand for goods. In the post 2008 crisis years, slowdown in growth and investment was accompanied by ..

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Twin Deficit Problem in India

Ministry of Finance recently released its ‘Monthly Economic Review’ report. In the report, Ministry has highlighted that, Fiscal Deficit and Current Account Deficit (CAD) are two key areas of concern for the Indian economy. Findings of the report Monthly Economic Review report noted that, Fiscal deficit has increased, possibly due to cuts in excise duties on ..

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Indian economy is facing stagflation: Moody’s

As per the Global financial services firm Moody’s Analytics: Indian economy is going through stagflation, with slow growth and high inflation. RBI can’t be too aggressive in slashing interest rates. WPI inflation rising up to 7.5% every year in May due to supply-side factors may impose further challenges for the RBI. Recent descend in the ..

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