Monday, August 3, 2009
INFLATION IN INDIA
As far as inflation is concerned it should be calculated by CPI basis ie CONSUMER PRICE INDEX.In India inflation is calculated by WPI basis ie WHOLESALE PRICE INDEX.This is the reason that in India the inflation is in negative zone and the prices of all basic needs of an individual is heading towards north along with CPI.If you watch the past 6 decades the cost of living is rising by 1000% every 2 decades,the proof is very simple in 1940's Rs10 was more than enough to meet out the expenses of a family of 5 members for a month,the same rised to Rs100 in 1960's and Rs1000 in 1980's Rs10000 in 2000's.And this rapid growth will lead the cost of living in 2020's to Rs100000 or above and in 2040's Rs1000000 or above.If this happens India will be the horrible country in the globe to live.........
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