IDEAS home Printed from https://ideas.repec.org/p/ind/igiwpp/2025-003.html
   My bibliography  Save this paper

Macroeconomic outlook and medium-term growth prospect after the budget

Author

Listed:
  • Ashima Goyal

    (Indira Gandhi Institute of Development Research)

Abstract

The slowdown and its reversal that followed government capital expenditure confirm that the quality of government expenditure creates stimulus even with overall fiscal consolidation. The latter as well as focus on improving vegetable supply chains in the budget enables monetary accommodation, which adds to the stimulus. So do mechanisms to multiply the impact of public funds and use more resources available in a growing economy to create incentives to bring states and private enterprise on board. But an eye needs to be kept on global volatility and compensatory domestic measures taken. Post-pandemic policy demonstrated this capacity. Given the many areas where states have to deliver, formal coordination frameworks may be necessary.

Suggested Citation

  • Ashima Goyal, 2025. "Macroeconomic outlook and medium-term growth prospect after the budget," Indira Gandhi Institute of Development Research, Mumbai Working Papers 2025-003, Indira Gandhi Institute of Development Research, Mumbai, India.
    • Handle: RePEc:ind:igiwpp:2025-003
    as

    Download full text from publisher

    File URL: http://www.igidr.ac.in/pdf/publication/WP-2025-003.pdf
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    Consolidation; stimuli; supply-side action; states; PPP; coordination; global volatility;
    All these keywords.

    JEL classification:

    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy; Modern Monetary Theory
    • H2 - Public Economics - - Taxation, Subsidies, and Revenue
    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ind:igiwpp:2025-003. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Shamprasad M. Pujar (email available below). General contact details of provider: https://edirc.repec.org/data/igidrin.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.