Understanding Inflation Control Measures

1. Inflation control measures are policies implemented to stabilize prices and maintain economic balance.
2. They are broadly categorized into Monetary Policies and Fiscal Policies.

Monetary Policy Measures

1. Monetary policy is administered by the central bank (e.g., the Reserve Bank of India) to regulate money supply and interest rates.
2. Controlling money supply: Reducing the availability of money in the economy to lower

Inflation refers to the sustained increase in the general price level of goods and services in an economy over a period of time.

1. Inflation measurement involves tracking the change in price levels of goods and services over a specific period.
2. Common indicators for measuring inflation include the Wholesale Price Index (WPI), Consumer Price Index (CPI), and GDP Deflator.

Wholesale Price Index (WPI)

1. WPI measures the average change in the price of goods at the wholesale level.
2. It is focused on bulk transactions and excludes retail prices.
3. The WPI includes prices of

1. Inflation refers to the sustained increase in the general level of prices for goods and services over time.
2. It leads to a decline in the purchasing power of money.
3. There are two main types of inflation: Demand-pull inflation and Cost-push inflation.

Demand-pull Inflation

1. Demand-pull inflation occurs when the aggregate demand in an economy exceeds its aggregate supply.
2. This type of inflation is often described as "too much money chasing too few goods."

1. Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), launched in 2005, aims to enhance livelihood security by guaranteeing at least 100 days of wage employment in a financial year to rural households.
2. MGNREGA is demand-driven, ensuring work for those who seek employment under the scheme.
3. The scheme focuses on creating durable assets such as water conservation structures, rural roads, and irrigation facilities.
4. It provides a safety net for rural households and contributes to

1. Unemployment is defined as the condition where individuals are willing to work at the prevailing wage rate but cannot find jobs.
2. The measurement of unemployment in India is conducted by organizations like the National Sample Survey Office (NSSO) and the Periodic Labour Force Survey (PLFS).
3. The unemployment rate is the percentage of the labor force that is unemployed.
4. Labor force participation rate (LFPR) indicates the proportion of the working-age population that is either emplo

1. Unemployment refers to the situation where individuals are willing to work at the prevailing wage rate but cannot find jobs.
2. Structural Unemployment: Occurs due to a mismatch between skills available in the labor market and the skills demanded by employers.
3. Structural unemployment is often caused by technological changes, industrial shifts, or lack of education and training.
4. Cyclical Unemployment: Results from the fluctuations in the economy, typically during a recession or econ

1. Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA): Guarantees 100 days of wage employment to rural households.
2. MGNREGA aims to create sustainable assets like roads, canals, and ponds in rural areas.
3. Pradhan Mantri Awas Yojana (PMAY): Provides affordable housing for the urban and rural poor.
4. Under PMAY, beneficiaries receive financial assistance for building or improving their homes.
5. National Food Security Act (NFSA): Ensures access to subsidized food grains for two-thirds

1. Poverty Line is a benchmark used to measure the level of poverty in a country.
2. It is based on the minimum income required to meet basic needs like food, clothing, and shelter.
3. In India, the Planning Commission traditionally estimated poverty using the poverty line concept.
4. Poverty estimation is conducted by organizations like the NITI Aayog and the Ministry of Statistics and Programme Implementation.
5. The Tendulkar Committee was formed in 2005 to review and update the pov

Introduction

1. Poverty refers to the inability to meet basic needs such as food, shelter, and clothing.
2. In India, poverty is a significant socio-economic challenge, affecting millions of people.
3. The concept of poverty is often categorized into two types: Absolute Poverty and Relative Poverty.

Absolute Poverty

1. Absolute Poverty is defined as a condition where individuals lack the minimum resources necessary for survival.
2. This type of poverty is measu