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Vibhore Gupta

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Inflation in India is monetary or structural? Can we really distinguish between the two?

When RBI increases the money supply in the market inflation is bound to increase but , on the other hand, if the government does not reduce it's expenditure and reduces its income (by providing various subsidies) monetary flow is bound to increase.
What does it mean, inflation is monetary due to structural issues??

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    Jul 12 2013: all inflation has the same cause: the issuer of the money issued more and more of it over time. all else is just white noise. or more like whitewashing.
  • Jul 12 2013: Wait isn't this the old question that we always ask?