The Indian Economy: Dealing with Inflation

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

Case Details:


Case Code : ECON020 For delivery in electronic format: Rs. 200;
For delivery through courier (within India): Rs. 200 + Rs. 25 for Shipping & Handling Charges


Case Length : 12 Pages
Period : 2006-2007
Pub Date : 2007
Teaching Note : Not Available
Organization : -
Industry : -
Countries : India


The case provides insights into the inflationary situation witnessed in 2006-07 in India.

It examines the reasons behind the phenomenon of inflation and describes the various measures taken by the Indian government and the nation's central bank to control it.

It also discusses some of the criticisms against the steps taken by the Indian government.


Understand the concept of inflation and its causes.

Critically analyze the various initiatives taken by the Indian government and the RBI to address inflation.

Analyze the significance of Government and Central Bank in controlling inflation and the possible effect of their initiatives on the economy.


  Page No.
Introduction 1
What is Causing Inflation? 2
Measures Taken 4
Some Perspectives 5
Outlook 7
Exhibits 8


Indian economy, Inflationary trends, Effect of High Growth on Inflation, Wholesale or Consumer Price Index, Foreign Exchange rate, Bank Rate, Cash Reserve Ratio, Monetary policy, Reserve Bank of India.

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