Can the Govt. India control and curb inflation?

Question

Can the Govt. India control and curb inflation?

Answer 1

Yes yes yes

Answer 2

No. No. No. The Govterments in general are paper tigers in the face of inflation. They can stoke inflation but they cannot ride and tame the tiger of inflation. Had they been so powerful, they would not have allowed inflation to become hyper-inflation to begin with. Inflation is the result of uncontrollable supply shocks and/ or the continued livnmg beyond means by the govt. together with creating botlenecks to growth of production and supplies through such legislation and economic policies that avoild the innovation and vibrancy of free enterprise. The govt will never allow large scale commercial farming to boost gricultural productivity and production in the name of protecting small farmers livlihood (totally false). Govts will be extravagant will never reduce its unproductive expenditure. For getting support of export lobbies it will never allow foreign exchange market function freely. They will not weed out corruption. The amount of black money cannot be controlled by the Reserve Bank of India to effectively reduce money supply.

Inflation will come down on its own not because of the Govt or the RBI but on the impact of natural forces of demand snd supply. When it comes down the rESERVE bANK AND THE Government will take credit for lowering inflation/