The U.S. should reduce its fiscal deficit. |
The world economy has proved tremendously resilient over the last few years. |
The worry is how long will this continue. |
There are times in the life of nations when they feel confident that they can take on the world, that they are capable of meeting any challenge. One reason such a mind-set is important is that it creates an intolerance for laziness, for shoddy products, for open corruption, and for the usual excuses. When people have a strong conviction that they can achieve the possibilities of the future, it makes them less tolerant of impediments in their way to it. |
These things are not infinite. At some point, they come to an end. |
They may have to work harder in order to keep [inflation expectations] anchored. |
We are getting more and more into supply-driven price increases which are going to be more constraining for growth going forward. We are at a point where further substantial increases will start mattering far more. |
We expect India to grow at around 7 to 7.5 % in calendar year 2006. |
We have commented earlier, in the last World Economic Outlook, on the somewhat muted investment all over the world, especially in emerging markets. |
We see a shifting of global growth away from the United States to other countries. Whether it's enough is still for the jury to decide. The jury is still out. |