Ranjitkumar Pattnaik

The finances of state governments in India have been facing a hard budget constraint as there is a legislative mandate to run the finances with a ceiling on fiscal deficit at 3% of gross state domestic product (GSDP) and the debt-to-GSDP ratio at 20%. In this paper, we have elucidated the limitations of fiscal deficit as the sole target, particular...

Late evening on 8th November 2016, the Government of India demonetized the high denomination bills of ₹ 500 and ₹ 1000 and sent shock waves across the nation. ₹ 14.5 trillion (i.e. 86% of currency), thus sucked out of the system, was to be deposited/expended within a specified time and eventually replaced by new ₹ 500 and ₹ 2000 denomination bills....

There has been an animated debate on the subject of public debt sustainability for more than seven decades, ever since the publication of Domar's classic stability condition. This has resulted in a plethora of erudite body of literature. These discussions, however, engaged in three interrelated subjects - stability, solvency and sustainability. Cou...

The Reserve Bank of India Annual Report 2010-11 reflects a strong academic input in the discussion of the short- and medium-term challenges, the foremost among them being inflation management. Policy options are listed, but they will have meaning only if the government and the central bank can together initiate action.

Worldwide there has been a long debate both in academic and policy circles with regard to the Foreign Institutional Investor (FII) flows, mainly due to their volatility and pro-cyclicality, and consequent adverse impact on the monetary and macro-economic management. Contemporaneous with the global debate, the issue has surfaced and resurfaced in In...

An assessment of the inflation record of India reveals that inflation increased from the 1970s onwards before moderating in the mid-1990s. Supply shocks, both due to a setback in agricultural production and international oil prices, and monetary expansion due to automatic monetisation of the fiscal deficit were the major contributory factors to hig...

Over the last decade, there has been sustained and concerted efforts towards simplification and rationalisation of import tariff structure. The policy stance has been to put in place a tariff structure comparable to international standards particularly to that of its immediate competitors. Against this backdrop, this study has examined the uniform...

The objective of this study is to present the Indian experience of exchange rate management against the backdrop of international developments both at the theoretical and empirical levels. No single exchange rate regime is most appropriate for all countries and the regime that is appropriate for a particular country may change over time. The stated...

The objective of this study is to present the Indian experience of exchange rate management against the backdrop of international developments both at the theoretical and empirical levels. No single exchange rate regime is most appropriate for all countries and the regime that is appropriate for a particular country may change over time. The stated...