Skip to main navigation menu Skip to main content Skip to site footer

Vol. 8 No. 1 (2020)
Space and Culture, India

Editorials

Covid-19: Macroeconomic Impacts and Policy Issues in India

https://doi.org/10.20896/saci.v8i1.916

Published 2020-06-27

  • Hiranya Nath

Hiranya Nath
Department of Economics and International Business, Sam Houston State University, Houston

Abstract

This editorial discusses the potential short, and long-run macroeconomic impacts of Covid-19 in India, presents early evidence of some of these effects and examines policy issues that would be important in the coming days. Since the Indian economy was experiencing sluggish growth on the eve of the Covid-19 outbreak, the economic downturn could be severe, and the policy intervention would require a careful weighing of options and priorities. Given that policy space and resources are limited, policies that help manage the short-run crisis and yield significant long-run benefits should receive serious consideration.

Keywords

COVID-19, Macroeconomic Impacts, Aggregate Demand, Aggregate Supply, Fiscal Policy, Monetary Policy, India, Coronavirus

pdf

References

  1. Bhaskar, U. (2020, 22 April ). Domestic cooking gas demand spikes in April during lockdown. livemint. (https://www.livemint.com/industry/energy/india-s-domestic-cooking-gas-demand-spikes-in-april-during-lockdown-11587483472044.html, accessed on 21 June 2020)
  2. Chakravarty, P. (2019, 27 August). Viewpoint: How serious is India’s economic slowdown? BBC News. (https://www.bbc.com/news/world-asia-india-49470466, accessed on 21 June 2020)
  3. Chishti, Seema (2020, 22 May). “New Research: How lockdown has impacted Indian farmers, their yields”. The Indian Express. (https://indianexpress.com/article/explained/how-coronavirus-lockdown-has-impacted-indian-farmers-their-yields-6421569/, accessed on 21 June 2020)
  4. Dev, S. M. and Sengupta, R. (2020). Covid-19: Impact on the Indian Economy Working Paper WP-2020-013. Mumbai (India): Indira Gandhi Institute of Development Research, Mumbai.
  5. MOSPI (2020). National Accounts Data, Ministry of Statistics and Programme Implementation Website. (http://www.mospi.gov.in/data, accessed on 19 June 2020)
  6. Pandey, G. (2020, 22 April ) Coronavirus in India: Desperate migrant workers trapped in lockdown. BBC News. (https://www.bbc.com/news/world-asia-india-52360757, accessed on 21 June 2020)
  7. Ramey, V.A. (2016). Macroeconomic Shocks and Their Propagation. In Taylor, J. B. and Uhlig, H. (eds.) Handbook of Macroeconomics, Vol. 2, Ch. 2, 71-162. New York: Elsevier.
  8. RBI (2020). Monetary Policy Report, April 2020. Mumbai: Reserve Bank of India. (https://rbidocs.rbi.org.in/rdocs/Publications/PDFs/MPRAPRIL2020E3D4AD8245734F27B6C5688F22B4FA2F.PDF, accessed on 21 June 2020)
  9. Sharma, S.N. (2019, 1 December). Severe slowdown: When will the Indian economy recover and how? The Economic Times. (https://economictimes.indiatimes.com/news/economy/indicators/severe-slowdown-when-will-the-indian-economy-recover-and-how/printarticle/72310684.cms, accessed on 21 June 2020)
  10. Slater, J. (2020, 11 April) In India, life under coronavirus brings blue skies and clean air. The Washington Post.
  11. (https://www.washingtonpost.com/world/asia_pacific/india-coronavirus-delhi-clean-air-pollution/2020/04/10/ac23dd1e-783e-11ea-a311-adb1344719a9_story.html, accessed on 21 June 2020)
  12. Subramanian, A. and Felman, J. (2019). India’s Great Slowdown: What Happened? What’s the Way Out? CID Faculty Working Paper No. 370. Cambridge, MA: The Center for International Development at Harvard University.
  13. Wallen, J. (2020, 1 May). Overall fatalities in India drop despite coronavirus outbreak. The Telegraph. (https://www.telegraph.co.uk/news/2020/05/01/overall-fatalities-india-drop-despite-coronavirus-outbreak/, accessed on 21 June 2020)

Downloads

Download data is not yet available.