ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

Articles by J D SethiSubscribe to J D Sethi

Why an Inflationary Recession-An Explanation

An Explanation J D Sethi To separate analytically the problems posed by an inflationary recession, such as we are faced with today, from more orthodox economic situations, its autonomous causes must be identified. These, the author suggests, are three: (1) cost inflation; (2) change in relative prices; and, (3) insufficient competition or administered prices.

Food Policy: Objectives and Instruments

The objectives of a national food policy ought to be, in order of priority:

(i) maximisation of the quantities of food grains brought by the producers for sale in the market;
(ii) acquisition by the state of such proportion of the total available supply as would be adequate to give the state a commanding position in the market to influence the price level of foodgrains;
(iii) equitable distribution of the foodgrains which the state procures; and,
(iv) maintaining a price structure for foodgrains which is free from violent fluctuations and is yet flexible over time.

To achieve these objectives, the approach has to be (i) from the side of the quantities of food-grains which the state purchases, holds in stock and distributes to consumers; and, (ii) from the side of the prices at which it purchases and distributes foodgrains.

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