tag:blogger.com,1999:blog-33693245.post3628053902342116179..comments2024-03-04T23:40:58.133+05:30Comments on The Big Picture: Forthcoming budget: pause on fiscal consolidation must continueThe Big Picturehttp://www.blogger.com/profile/06018983225756352176noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-33693245.post-71708042651071805572016-02-25T10:12:26.457+05:302016-02-25T10:12:26.457+05:30Hello Deepak, Yes we need to revisit capital gains...Hello Deepak, Yes we need to revisit capital gains. The argument against levying a long-term capital gains tax has been that it doesn't bring in substantial revenues, so why tinker with investor sentiment. But not having such a tax has implications for inequality- you are not, in some way, taxing the wealth of the rich.<br /><br />About budgets, you are right- not just lay persons but economists would like to think that politicians should not have a decisive say in these.<br /><br />-TTRT T Ram Mohanhttps://www.blogger.com/profile/06925858642839337950noreply@blogger.comtag:blogger.com,1999:blog-33693245.post-70009754302533242112016-02-24T11:22:37.245+05:302016-02-24T11:22:37.245+05:30Hi Prof,
Thanks for the thoughts ! ... Bringing i...Hi Prof,<br /><br />Thanks for the thoughts ! ... Bringing in budget transparency in explaining allocation would go a long way in helping allay some of the fears of Investors. somehow there is a need to push up the savings rate as well. I donot also understand why we donot have the a robust captial gains tax structure in india as well especially long term capital gains. It will also reduce the incentive to trade in a speculative manner.<br /><br />on a side note ... I also viewed your participation on the show "Macros with Mythili".. was surprised even seasoned journalists actually tend to oversimplify things like "Budget is being political in nature" ... as if it should be something else.<br /><br />- DeepakAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-33693245.post-18288299466093319652016-02-23T10:52:17.932+05:302016-02-23T10:52:17.932+05:30Higher public investment in infrastructure carries...Higher public investment in infrastructure carries the promise of crowding in private investment in various areas. We don't know that the rate of return will be higher than on private investment. But the point today is that private investment is simply not forthcoming for a number of reasons.So if want to prevent a further slide in the growth rate, we need public investment to rise.<br /><br />-TTRT T Ram Mohanhttps://www.blogger.com/profile/06925858642839337950noreply@blogger.comtag:blogger.com,1999:blog-33693245.post-18357391787499923802016-02-22T22:17:53.538+05:302016-02-22T22:17:53.538+05:30
Public sector investment can provide an opportun...<br /><br />Public sector investment can provide an opportunity to increase spending on basic physical infrastructure and also drive financial inclusion. Assuming these investments are financed by debt, what are the possibilities that these investments will have positive impact on private sector productivity, and offer a higher rate of return than those of private capital in the long run?<br /> Anonymousnoreply@blogger.com