Analysis of

Fiscal (In) Discipline in India

Questions Asked from the Write-up

Submitted by Submitted to:

Group No. 10 Dr. Simrit Kaur

Group No 10 
S‐65Æ Santosh Kumar Singh, S‐68Æ Shwetank Kumar, S‐69Æ Siddharth Nim, S‐70Æ Sidharth Ghosh, S‐71Æ Sonia Tomar, S‐72Æ Sumit Arora 
Question-1

“Be sad, child - for government debt may be eating your future” is what is being
said by David Caploe PhD, Chief Political Economist, in one of his report titled
Indian Public Debt on Verge of Explosion?.In the light of above statement , find
out whether it still holds true for India, if yes, are the steps taken by the
government to overcome this state of debt explosion sufficient ? Comment.

Question-2

“The economic developments starting 2008-2009 undermined the credibility of

government’s commitment to fiscal discipline. The developments further suggests
that going forward revenue gains can not single-handedly carry fiscal adjustment
and the sustainability of India’s fiscal policy” was inferred by Alejandro Sergio
Simone and Petia Topalova in the International Monetary fund’s working paper
no. WP/09/175. With Indian Government taking so many initiatives like
Implementing Direct Tax Code, accepting recommendations of thirteenth Finance
Commission, Enacting FRBMA and planning for its successor, is it correct to
accept the inference of the authors that the steps taken by the government to curb
the fiscal indiscipline are not sufficient?. elaborate

Group No 10 
S‐65Æ Santosh Kumar Singh, S‐68Æ Shwetank Kumar, S‐69Æ Siddharth Nim, S‐70Æ Sidharth Ghosh, S‐71Æ Sonia Tomar, S‐72Æ Sumit Arora