The council’s mandateConsider for example the model suggested by the FRBM Review Committee. As per that, the fiscal council’s mandate will include, but not be restricted to, making multi-year fiscal projections, preparing fiscal sustainability analysis, providing an independent assessment of the Central government’s fiscal performance and compliance with fiscal rules, recommending suitable changes to fiscal strategy to ensure consistency of the annual financial statement and taking steps to improve quality of fiscal data, producing an annual fiscal strategy report which will be released publicly. … [Read more...] about Do we need a fiscal council?
Sunk cost effect example
By Puneet NarangThe June 2020 World Bank Global Economic Outlook predicts that 90 per cent of the countries in the world will go into recession in the coming months. The Indian economy was facing headwinds much before covid-19 and is currently looking at its fourth recession since independence, although the reasons are very different from the earlier ones.The tough question our policy makers and industry leaders are faced with is: how do we get back on the recovery path? There may be a silver lining.The decision to go into lockdown and shutdown for most production activity was a conscious one taken by the government as a precautionary move to slow down the spread of the virus. There wasn’t a structural or fundamental fault in the economy that has caused this deep and sudden decline.The most damaging and lingering effects of the covid-19 crisis will be the psychological impact, and, most importantly, the loss of human lives. There are already a few green shoots like power demand … [Read more...] about Reviving Indian economy: Does infrastructure hold the key
INDORE: Hit hard by Covid-19 slump, around 30 per cent co-working spaces in Indore, an emerging hub for startups and IT companies, have shut down shops while the rest have witnessed a sharp decline in customers forcing many to explore new survival plans and switching to virtual assistance.As social distancing became a mandate for everyone to combat the spread of virus, co-working spaces and incubators saw a sharp decline in customers as people confined themselves to houses and work from home platforms were created to keep the businesses running in lockdown.Unable to keep the wheels running, around 30 per cent of co-working spaces have failed to resume businesses while the rest have offered discounts on rents and services to woo customers.Sawan Laddha, owner of multiple co-working spaces in Indore said, “There has been a big impact on business in lockdown. Many terminated the agreement, defaulted on rents and did not come back. The jolt was much bigger for small firms and startups … [Read more...] about Indore: Co-working spaces find few takers in Covid-19 times
Some of the stronger companies may see a faster growth trajectory compared to even pre-Covid levels, says Chandresh Kumar Nigam, MD & CEO, Axis AMC. What is your perspective on the kind of rally that we are seeing? We are now seeing broader participation. Some key trends are emerging from the recovery over the March lows. We are clearly heading into a new phase altogether.We have recovered quite smartly from the March lows. The sentiment which was extremely fearful has given a way to some kind of cautious optimism. People have figured out that it is probably not going to be as bad in the medium term as there is likely to be some effective cure of a vaccine and in that sense, in the medium term, may be 12 months from now, businesses can go back to normal or at least not be affected by the current lockdown situation. So there has been some pragmatic reassessment of the risk which has happened over the last couple of months and that has led to a differentiation in terms of … [Read more...] about Three kinds of stocks to avoid in post-Covid market: Axis AMC
Developed by the Robotics Club of the VSSUT in Burla in Sambalpur district, the ultraviolet disinfector can be useful in maintaining hygiene, Prakash Chandra Swain, professor-in-charge, public relations of the university told PTI. … [Read more...] about Odisha University innovates ultraviolet device for sanitisation