I G Patel on Indian economics

Given the periodic drought-fuelled food price-led inflation in India, IG’s policy prescription was forthright. “The only solution when it comes to controlling inflationary pressures which arise from periodic shortages of basic commodities is to eliminate these shortages — either by producing more on an average, or by importing more while the former is being attempted.” He felt “inflation ought to be controlled not just by control of demand but by stimulating supplies. Indeed in the long run, the latter is the only acceptable solution…”