Thread by @SandipGhose

Right now DR @APanagariya speaking at @BenCham1833 Leadership Series on the impact of the pandemic #ArvindPanagariya #BengalChamber

2/n Dr #ArvindPanagariya endorses the government's decision not to front-end the "demand stimulus" - because with labour not being there and enterprises shut - Supply Curve being vertical - it wouldn't have worked. #COVID19India #BengalChamber

3/n Dr #ArvindPanagariya thinks it was the right decision to focus first on food security and controlling infection spread. Next, the interventions by RBI on liquidity and credit lines was the logical second step #COVID19India #BengalChamber

4/n Dr #ArvindPanagariya With workers returning (refers to reports of trains returning full) time for demand stimulus. But, key priority is to controlling infections. We need to factor #Covid19 is an uncertain virus and the pandemic can take an unpredictable turn #BengalChamber

5/n Dr #ArvindPanagariya turns to the #China questions. Talks of tiny economic units - both farm (agriculture) and industry/services - leading to under-employment (productivity and output low) - which is a bigger problem than unemployment #economy #IndianEconomy #BengalChamber

6/n In India only 9% of workforce engaged in enterprises with more than 20 people and 44% in agriculture (where the farm unit are also uneconomical). 84% of industrial and service workers in small firms - with pathetic productivity. The 'ecosystem' needs change. #BengalChamber

7/n Excellent presentation by Dr #AravindPanagariya extremely lucid. It also clear that - contrary to popular perception - @narendramodi government has been guided by experts. Problem being, the Left economists are feeling left out. #economy #indianeconomy #Covid19 #BengalChamber

8/n Dr #ArvindPanagariya made a somewhat controversial point about primary #education. He said there is great scope of cutting on wastage and low teacher productivity. Instead, government can look at a more efficient model (eg DBT thru vouchers). #economy #reforms #BengalChamber

9/n Dr #ArvindPanagariya at #BengalChamber mentioned about lack of “sunset” provisions for welfare schemes that continue to bleed the economy indefinitely. (#Modi has done a lot to plug leakages). If curtailed can create resources for public health etc. #indianeconomy #COVID19

10/n Dr #ArvindPanagariya’s view overall contraction of the #IndianEconomy (at 85%) not unexpected. Can easily be restored to 90% + quickly with right interventions. Solution to unemployment can come only by reducing underemployment through reforms 10/10 #Covid19 #BengalChamber