As world economy stumbles into 2019, eyes turn to China

Ten years after China helped stave off the threat of a global depression with a huge stimulus plan, investors are looking once again towards Beijing as the world economy heads for a slowdown, or worse, in 2019. Booming China has accounted for about a third of the growth in the global economy in recent years. So recent signs that it is losing momentum is unsettling when the U.S. boom, turbo-charged by President Donald Trump’s tax cuts of 2017, seems to have peaked and Europe’s heavyweights are stalling. China’s slowdown is…

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Loan waiver dole populism not a solution in Jaipur: Economists

The previous BJP government in Rajasthan had announced waiver up to ~50,000 loan for 30 lakh farmers costing the state exchequer ~8,000 crore(HT File) The Congress government’s plans for farm loan waiver and unemployment dole has not found favour with economists who say these are mere populist measures and the government needs to address the root cause of the problem. The government announced Rs 18,000 crore loan waiver for over 40 lakh farmers who have taken loans from cooperative, rural, nationalised and commercial banks. This is 9.1% of the state’s total…

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Indian-American Gita Gopinath joins IMF as its first female chief economist

Prominent Indian-American economist Gita Gopinath has joined as the chief economist of the International Monetary Fund, becoming the first woman to occupy the top post at the global lender. Gopinath, 47, joined last week at a time, when she believes the world is experiencing a retreat from globalisation, posing challenges to multilateral institutions. The John Zwaanstra professor of International Studies and Economics at Harvard University, Gopinath, a US citizen, succeeds Maurice (Maury) Obstfeld as Economic Counsellor and Director of the IMF’s Research Department. Obstfeld retired December 31. Announcing her appointment…

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India forecasts economic growth at 7.2 per cent in 2018-19

India’s GDP grew at 7.2% in 2018-19, according to the first advanced estimates released by the Central Statistical Office on Monday, the fastest rate of growth since 2016-17, marking a recovery in economic activity from the twin disruptions of demonetisation and Goods and Services Tax. To be sure, these figures are forecasts, as the first advanced estimate figures are based on about two quarters of actual economic data. While the 2018-19 growth is 55 basis points more than the 2017-18 figure, it is 20 basis points less than the RBI’s…

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India likely to surpass UK in the world’s largest economy rankings: Report

India is likely to surpass the United Kingdom in the world’s largest economy rankings in 2019, according to a report by global consultancy firm PwC. As per the report, while the UK and France have regularly switched places owing to similar levels of development and roughly equal populations, India’s climb up the rankings is likely to be permanent. PwC’s Global Economy Watch report projects real GDP growth of 1.6 per cent for the UK, 1.7 per cent for France and 7.6 per cent for India in 2019. “India and France…

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Modern economics needs to be based on Gandhian model of economics, says former vice-chancellor of Gujarat University at SPPU

Revisiting Mahatma Gandhi’s words which say that‘Economics is untrue which ignores or disregards moral values’, Prof Sudarshan Iyengar, former vice-chancellor of Gujarat University asserted that modern economics needs to be based on the Gandhian model of economics. He was speaking at a colloquium programme organised by the Savitribai Phule Pune University on Friday at the university campus. Iyengar said, “Modern economics teaches us to maximise the use with minimum resources. However, Mahatma Gandhi urged everyone to limit the wants. In modern economics, the biggest mistake that modern economic science has…

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Do Women Avoid Economics…Or Does Economics Avoid Women?

A recent New York Times piece highlighted the problems women continue to face in the economics profession. The article in question discusses the harassment experienced by female economists and touches on several related issues like the low number of women PhD economists (especially at senior ranks). This is hardly news to any of us in the dismal science. There have long been articles, both in the popular press and academia, about the underrepresentation of women and the challenges they face. Recently there was a particularly upsetting piece on the horrific language used by budding PhDs to describe their…

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Even a non-PhD economist can do well as RBI Guv: Ex-RBI Guv D Subbarao

Former Reserve Bank of India (RBI) Governor D Subbarao said even a non-PhD economist can do well as head of the central bank. In an interview to CNBC-TV18, Subbarao said the Centre should choose a candidate who can command respect from the market. His statement comes a day after RBI Governor Urjit Patel resigned from his post citing personal reasons. Subbarao said Patel was seemingly pushed beyond his level of comfort. Without speculating on who the next governor will be, Subbarao said, “The government will have the task of restoring…

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