Business Case Studies, Macroeconomics Case Study, The Burgeoning Indian Economy: Signs of Overheating

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Case Title:

The Burgeoning Indian Economy: Signs of Overheating

Publication Year : 2010

Authors: Sai Manohar Panuganti, Saradhi Kumar Gonela

Industry: General Business

Region:India

Case Code: MEBE0010

Teaching Note:  Available

Structured Assignment:  Available

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Abstract:
The Indian economy, for most of its independent history, was under the strangles of the Licence Raj. But it opened up in 1991. Subsequently, its economic activity was integrated with the global economy, and record growth ensued. However, by mid-2000s, Indian economy is rattled as most economic variables – such as stock indices, interest rates and fiscal deficit – were displaying negative signs. Moreover its economic growth mostly rode on the success of liberalising several sectors, at the cost of others sectors. Policymakers would have a tough time tackling these economic imbalances.

Effects of economic reforms on various sectors and their effectiveness can be thoroughly discussed through this case. Economic impact of monetary and fiscal policies needn’t be neglected.

Pedagogical Objectives:

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    Speaks on Reverse Innovation
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