Saturday, December 14, 2013

Inflation, Central Government and State Governments

It is nothing but cleverly passing the buck. The major causes for high and persisting inflation is failure of the Government in initiating policy measures both on administrative and economic fronts. Further, some of the wrong economic policies have lead to  high Current account and Fiscal Deficits having a  direct bearing on inflation. Besides the taxation policies both direct and indirect  pursued so far have added to inflation both on demand and supply sides. The taxation policy has widened the gap between the haves and have nots which has resulted in heavy demand for the limited supply of goods. Indirect taxes such as Service tax have increased the costs of input everywhere leading to greedy pricing of products and services in the name of taxes levied. Further, the periodical fuel prices increases have an inflationary impact. Corruption black money and other mal practices pursued due to administrative lapses have also had its impact on inflation. The Central governments' failure both on leadership and  Governance naturally influence the State Governments and the public at large suffer.The generalized inflation now experienced by the economy due to direct and indirect taxes has no immediate  and workable solution. Entire taxation policy has to be revamped to start with.
Dr.T.V.Gopalakrishnan
(This comment is in response to the news report State Governments to be blamed for high inflation that appeared in ET dated 13/12/13)
It is nothing but cleverly passing the buck. The major causes for high and persisting inflation is failure of the Government in initiating policy measures both on administrative and economic fronts. Further, some of the wrong economic policies have lead to Current account and Fiscal Deficits high have a direct bearing on inflation. Besides the taxation policies both direct and indirect have added to inflation both on demand and supply sides. The taxation policy has widened the gap be ..
Read more at:
http://economictimes.indiatimes.com/articleshow/27231806.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
It is nothing but cleverly passing the buck. The major causes for high and persisting inflation is failure of the Government in initiating policy measures both on administrative and economic fronts. Further, some of the wrong economic policies have lead to Current account and Fiscal Deficits high have a direct bearing on inflation. Besides the taxation policies both direct and indirect have added to inflation both on demand and supply sides. The taxation policy has widened the gap between the haves and have nots which has resulted in heavy demand for the limited supply of goods. Indirect taxes such as Service tax have increased the costs of input everywhere leading to greedy pricing of products and services in the name of taxes levied. Further, the periodical fuel prices increases have an inflationary impact. Corruption black money and other mal practices pursued due to administrative lapses have also had its impact on inflation. The Central governments' failure both on leadership and  Governance naturally influence the State Governments and the public at large suffer.Time the FM realise this and introspect.
t is nothing but cleverly passing the buck. The major causes for high and persisting inflation is failure of the Government in initiating policy measures both on administrative and economic fronts. Further, some of the wrong economic policies have lead to Current account and Fiscal Deficits high have a direct bearing on inflation. Besides the taxation policies both direct and indirect have added to inflation both on demand and supply sides. The taxation policy has widened the gap bet ..
It is nothing but cleverly passing the buck. The major causes for high and persisting inflation is failure of the Government in initiating policy measures both on administrative and economic fronts. Further, some of the wrong economic policies have lead to Current account and Fiscal Deficits high have a direct bearing on inflation. Besides the taxation policies both direct and indirect have added to inflation  ..
Read more at:
http://economictimes.indiatimes.com/articleshow/27231806.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
It is nothing but cleverly passing the buck. The major causes for high and persisting inflation is failure of the Government in initiating policy measures both on administrative and economic fronts. Further, some of the wrong economic policies have lead to Current account and Fiscal Deficits high have a direct bearing on inflation. Besides the taxation policies both direct and indirect have added to inflation  ..
Read more at:
http://economictimes.indiatimes.com/articleshow/27231806.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
It is nothing but cleverly passing the buck. The major causes for high and persisting inflation is failure of the Government in initiating policy measures both on administrative and economic fronts. Further, some of the wrong economic policies have lead to Current account and Fiscal Deficits high have a direct bearing on inflation. Besides the taxation policies both direct and indirect have added to inflation  ..
It is nothing but cleverly passing the buck. The major causes for high and persisting inflation is failure of the Government in initiating policy measures both on administrative and economic fronts. Further, some of the wrong economic policies have lead to Current account and Fiscal Deficits high have a direct bearing on inflation. Besides the taxation policies both direct and indirect have added to inflation both on demand and supply sides. The taxation policy has widened the gap be ..

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