Surjit Bhalla sets up a few strawmen to knock them down while lending his thoughts and voice to the RBI Governor. Economists working for investment banks would, perhaps, be happier to see the stock market surging so that there are more equity listings, IB mandates, active secondary trading and broker commissions than to bet on a CARRY TRADE in Indian rupee which has underperformed other Asian currencies quite substantially. Many of us – for the record, I do not work for an investment bank and do not have any product to sell to clients – have been advocating rate hikes not just for India but also for Indonesia, China, South Korea, etc.
DISCLAIMER: This is an archived post from the Indian National Interest blogroll. Views expressed are those of the blogger's and do not represent The Takshashila Institution’s view.