April 1, 2008

When the penny pinches

"Now the biggest threat facing our Nation,"
Said the Minister, with slight hesitation,
Isn't border onslaughts,
Nor vile terror plots."
"Then what's it?" I asked, "It's inflation!"

Sify Business 31/03/08: Alarm bells are ringing loud for Reserve Bank of India (RBI). The inflation figures released last week have put the financial authority at the central bank in dilemma. For the week ending March 15, the inflation stood at 6.68%, a whooping 76 basis points increase over the previous week figure. Not only is the figure way above the target set by the RBI, but also at 13-month high. Read about it here


  1. Yeh Inflation inflation kya hai,
    Yeh Inflation inflation?
    Koi batayga iska definition?
    Why the left rises in agitation
    With Chidambaram confused with his calculation
    And me frowning at my compensation.

  2. Food prices world over have gone up, but why?

    When prices of everything go up, that of the foodgrain remained so for years together. Even people stopped cultivation--in Punjab people created marriage mandaps on their lands; elsewhere farmers committed suicides; lands allowed to remain uncultivated.

    So, it corrected itself. Govt. has banned the export of rice. But world over production of foodgrains has gone down. How long can this be artificially managed?

    When prices increase the middlemen and traders benefit. Is there any way to keep them under reins?