The Economic Survey 2007-08 has suggested a number of far-reaching policy measures including overhauling the countryís foreign investment regime, allowing longer working hours and divesting governmentís stakes in public sector companies.
Economics, they say, is the painful elaboration of the obvious. Any housewife, pensioner, middle income salaried person and student in India would have told us of the pinch they are facing in making ends meet, with prices of many household items having gone up much faster than their incomes.
Sustaining 9% growth rate will be a challenge for India because of inflationary pressures and infrastructure constraints. Pushing it beyond that will be even more difficult, the Economic Survey said. Besides, deceleration in the agriculture sector and troubles in the US economy may compound the problem.