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Sunday 3 July 2011

BIGGEST PROBLEM

                                RISING PRICES


P rice rise is a world wide phenomenon. But in India, it has assumed alarming proportions. Cost of living is RISING. 
Post and pocket fail to keep pace with the prices. The salaried middle class people find it very hard to make both ends meet. It has become very difficult for them to maintain their standard of living and to live a comfortable life.
A number of factors have contributed to this abnormal cost of living. Black marketing is one of the major factor responsible for this. 
BLACK MARKETING CREATES ARTIFICIAL SCARCITY.


Excessive circulation of money is again one of the most important causes of this problem. Deficit financing is one of the important causes of rises in prices. When government  meets its deficit budget by resorting to the policy of deficit financing it leads to increase in the monetary income of the people.


Even increasing population and natural calamities like floods and droughts have also resulted in steep rises in prices. The problem calls for immediate attention as it is ceaselessly eating up the roots of our country......

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