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

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Hostile Takeovers

The number of mergers and acquisitions has boomed in India since liberalisation, but few hostile takeovers have succeeded, primarily because of the concentration of promoter shareholding in companies and because takeover regulations favour promoters. Hostile takeovers would facilitate M&A growth, and the success of hostile takeovers is essential to facilitate corporate competence and foster capital market development. To be effective, the anti-takeover mechanisms in India should be practised as a protectionist measure and the takeover regulations must adopt a lenient approach towards hostile takeovers, as in the United States.

Garnering the Fiscal Stimulus

The share of resources distributed in the stimulus package to the farmers and labourers is very less as compared to other stakeholders of the economy. As public policy is influenced by bargaining power through intense lobbying, low distribution of resources towards farmers and labourers could be due to their low bargaining power. Collective action is required to bargain or lobby for resources. The farmers are adversely placed with regard to collective action because the transaction cost of organising collective action is higher but their ability to bear the cost is lower. The industry is placed in a much better position on both these counts. The inability of farmers to provide critical minimum resources for collective action may further weaken their bargaining position.

Reviving Industrial Growth

The Indian economy faces an uphill task of reviving industrial growth in the post-pandemic scenario. The early onset of domestic slowdown and global disruptions have affected the industrial sector, both in terms of demand and supply factors. What is required at this juncture is not a set of scattered short-term policies, but a coherent heavy lifting of the sector through demand injection and stimulation, because the slowdown started much earlier and is structural in nature.

Understanding the Indian Regulatory State

Regulation in India: Design, Capacity, Performance edited by Devesh Kapur and Madhav Khosla, New Delhi: Hart Publishing, 2019; pp 448, ₹ 602 (paperback).

COVID-19 Lockdown: Protecting the Poor Means Keeping the Indian Economy Afloat

Recognising the strong link between work and poverty, and the crucial role the working poor play in the functioning of the larger economy, it is imperative for the government to roll out adequate measures in order to mitigate the adverse impact of the unprecedented economic inactivity.

India’s Exclusionary Road to Inclusive Development

A historical look at India’s consumer expenditure survey reveals a rather sombre picture of development.

The Economy without RCEP

India’s moving out of the Regional Comprehensive Economic Partnership is less likely to heal its ailing economy.

Economic Revival or Dead Cat Bounce?

Although growing at rates that are globally enviable, the Indian economy has been unstable over the last several years. False dawns, shifting time series, and the selective use of data has provided fodder for scoring political brownie points. Citing near-term data, the Economic Survey 2017–18 argues that the Indian economy is on the path of recovery even as it raises some red flags. What does a comprehensive appraisal of the data show? Is this “recovery” sustainable or is this yet another case of a dead cat bounce?

Vulnerability of Emerging Market Economies to Exogenous Shocks

The transmission of global demand, oil supply and monetary policy shocks on the Indian economy are empirically examined using a parsimonious structural vector autoregression model for the period 1996 to 2016. Global demand shocks exert the most dominant effect causing fluctuations in various macroeconomic variables, whereas global monetary policy spillovers play an important role in affecting domestic short-term interest rates and financial asset prices. Global oil supply shocks, given its relative weightage as an intermediate input, have a greater impact on wholesale price index inflation than on consumer price index inflation. Given the rising trade and financial integration of the Indian economy, a quantitative impact analysis of these global shocks assumes importance for macroeconomic and monetary policy frameworks.

Demystifying Delusion and Unveiling the Crypt

The Indian Economy in Transition: Globalization, Capitalism and Development by Anjan Chakraborty, Anup Dhar and Byasdeb Dasgupta; New Delhi: Cambridge University Press, 2016; pp xx + 422, price not indicated.

Glimpses from the Past: Export Strategy for the Take-Off

This article written by Manmohan Singh, then a young economics scholar, was published in the Special issue of July 1963 of the Economic Weekly . Fifty years later, he occupies the position of the Prime Minister of India, yet the debate over India's export strategy remains as vexed as ever. EPW brings you this article from its rich achives to foster debate and discussion on issues that remain as relevant now as it was back then.

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