Macroeconomic policy and India's structural transformation
India follows the “fashion” in the design of macroeconomic policies elsewhere. This involves keeping the budget deficit under control and targeting inflation. Two sets of issues arise. The first is that, as a developing economy with a non-convertible currency, there is no mention of an external constraint (e.g., current account balance).
With a reversal in capital flows, we could be in for a bumpy ride. The second set of issues questions whether macroeconomic policy has a role in development. This includes structural transformation—moving labor from unproductive sectors to, for example, industry. Additionally, resources must be allocated for investment in health and education, which cannot be left solely to market mechanisms.
In this webinar, keynote speaker Partha Sen, along with Pasquale Lucio Scandizzo and Sergio Lugaresi, will discuss these challenges and their impact on structural transformation, labor productivity, and essential public investments.
