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Essay

The Debate On Capital Account Convertibility In India

Essay specific features

 

Issue:

Miscellaneous

 

Written by:

Jennifer H

 

Date added:

April 30, 2016

 

Level:

University

 

Grade:

A

 

No of pages / words:

14 / 3856

 

Was viewed:

4042 times

 

Rating of current essay:

 
Essay content:

CAC, as defined by Tarapore committee is the freedom to convert local financial assets into foreign financial assets and vice versa at market determined rates of exchange. CAC is in line with the classical theory of economics where markets clear itself and attain equilibrium prices by creating demand for the given supply levels...
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This assumes the presence of an invisible hand enabling the market clearance. But patrons of the Keynesian economics believe that the markets are governed more by market sentiments than fundamentals in the short term. This short term perspective of the investors can destabilize the economy and create volatility in the market...
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General issues of this essay:
New account A Negative Current Account Ie A Cad, Is Bad For A Country But Investment There By Mnc Should'T Be Avoided account 325 Capital Account Convertibility In India Capital Account Convertibility Convertibility of Black Money: Indian case Is the U.S. Current Account Sustainable Vote On Account account glossary Capital Account Convertibility in India Creative Account Current Account cost account The Debate On Capital Account Convertibility In India US Current Account Analysis
 

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