Nowadays, office lunch tables rock with discussion on low inflation rate and falling oil prices. Some firmly believe that good days promised by Mr. Modi have already come. By any chance, if you are not the fan of Mr. Prime Minister and try to counter his/her argument then you will be slammed for making some sense and providing some economic facts. I have no doubt that “Perception Management” is the one of the most successful theory in the human history after all it has conceptualized by US military.
I have nothing against Prime-Servant but it’s beyond my understanding, how he is responsible for whatever good happening around the globe and not a single bad one in India. The oil prices are falling because of geopolitical reasons, low demand and relatively more supply because of US shale gas boom and Mr. Modi has nothing to do with any of these.Read More Some believe that America has become the world’s largest oil producer because of Modi’s Madison Square exceptional performance.
Low inflation simply means increase in the purchasing power per unit of money or gain of real value in the medium of exchange and this happens with long term policy impact and central bank initiatives. We may give credit to our rock star banker Raghuram Rajan who just clarifies ‘Make in India’ is largely about ‘Make for India’.
Good days are about to come may be by 2019 so don’t be impulsive it takes hell a lot of time to change perception.