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India’s per capita income to cross $5000 by 2031

Why in News ? Relevance Key Data & Projections Indicator 2023 2031 (Projected) Per Capita Income (USD) 2,729 5,242 Share of Upper-Middle Income Households 11% (2010) 24% (2035) Non-essential Spending Share 1950s: <20% Now: ~60% Premium Product Growth 2–3× faster than mass market   Top 20% Households Hold ~85% of savings, drive consumption   Relevant Keywords Structural […]

Municipal bonds now eligible for repo, reverse repo deals

Why in News ? Relevance Concept Basics: What are Municipal Bonds Significance of Allowing Repo Eligibility Liquidity and Depth Broader Investor Base Infrastructure Financing Fiscal Decentralization Inclusion in Money Market Ecosystem Challenges & Constraints Challenge Explanation Low Credit Quality of ULBs Most municipalities have weak balance sheets, limited revenue sources (property tax collection <0.2% of […]

Restoring fiscal space for the States

 Why is it in the News? Relevance GST and Fiscal Policy GST Introduction: Centre-State Fiscal Relations: Revenue Sharing History: Overview Impact of GST Compensation Cess Merger Erosion of Fiscal Autonomy Structural Issues in State Finances Proposed Solutions for Greater Fiscal Autonomy Comparative Perspective Takeaway

Mokyr, Aghion and Howitt win Nobel economics prize

The Nobel Economics Prize 2025 Relevance Laureates’ Contributions 1.          Joel Mokyr 2.          Philippe Aghion & Peter Howitt Key Concepts Innovation-Driven Growth Creative Destruction Historical Economic Stagnation Implications of the Research Historical Context of the Prize Key Takeaways

The grain of ethanol production

Why in News Relevance   Basic Overview Trends in Ethanol Production Reasons for Grain Dominance Economic & Policy Implications Wider Implications A. Energy & Environment B. Agricultural C. Economic D. Policy Challenges

MGNREGA Norms Tweaked for Water Projects

Why in News Relevance What is MGNREGA? What Changed in the Norms? Classification of Blocks Financial Implications Rationale Behind the Move Strategic and Policy Implications

The India-EU Strategic Agenda

Background and Context Relevance : Economy & Trade Global Connectivity Emerging Technologies Security & Defence People-to-People Ties Strategic Takeaways

The Problem with Low Inflation

Context Relevance: Overview Low Inflation: Implications Nominal GDP Growth and Budget Arithmetic Historical Perspective & Base Effect Causes of Low Inflation Consequences for Fiscal Policy Broader Economic Implications