Quote on Economic Survey from IIM Kozhikode


“The Economic Survey has laid strong emphasis on the quality of government spending by mounting a no holds barred attack on undeserved subsidies. It argues that those who can afford to pay should pay their fair share in wide ranging areas like income tax, fertilisers and power. At the same time the survey argues for greater social sector spending such as on maternal and child health care as for the nation these are investments for future growth. The report also bats for bringing improvement in agricultural productivity and greater reliance on the JAM number trinity for boosting economic growth. While showing optimism about the country’s macro numbers it flags the vulnerability to factors such as monsoon and the global economy which is a commentary on the economy’s continuing vulnerability. Finally it is indeed refreshing to see a government report refer to Schumpeter and Rajaji in highlighting what it calls the Chakravyuha challenge of the economy or the absence of exit options for firms which can be overcome by implementing the bankruptcy code.”

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