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

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Inflation Targeting as Policy Option for India

Inflation targeting may have its benefits but the timing of India’s ongoing transition to IT – an adverse domestic and global macroeconomic context – poses signifi cant risks to a successful implementation. Moreover, the evidence of IT having a positive impact comes from the pre-financial crisis era; more recent studies of the emerging market economies over a longer period show the non-IT countries growing faster than those which have adopted IT.

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