Binge spending by the State as urged by some economists could impose big economic costs later on It is extraordinary how big crises make Keynesians out of all of us.
From the Left to the Right, the chorus we hear today is spend, lend and bend every piece of economic wisdom received from the past to get us out of the covid-19 mess.
When there is mass hysteria and economic fear, the line between good politics and good economics blurs to the point of irrelevance.
At any other time, a ₹1.7 trillion fiscal package to help the needy (0.8% of India’s gross domestic product, or GDP) and monetary easing measures to the tune of another 3.2% of GDP would be seen as substantial responses to deal with the covid-19 pandemic and a short-term economic