trade deficit Archives

June 12, 2026

“A Balance of Payments surplus does not necessarily indicate underlying external sector strength”. Evaluate the vulnerabilities that may persist despite a favourable BoP position.

Topic: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment Q5. “A Balance of Payments surplus does not necessarily indicate underlying external sector strength”. Evaluate the vulnerabilities that may persist despite a favourable BoP position. (10 M) Difficulty Level: Medium Reference: IE Why the question India’s recent Balance of Payments …

Continue reading ““A Balance of Payments surplus does not necessarily indicate underlying external sector strength”. Evaluate the vulnerabilities that may persist despite a favourable BoP position.”

December 16, 2025December 19, 2025

Trade deficit

Source: ANI Subject: Economics Context: India’s trade deficit fell sharply to $6.6 billion in November 2025, driven by a strong rise in merchandise exports and a decline in merchandise imports (notably lower gold imports). About Trade deficit: What it is? A trade deficit occurs when the value of a country’s imports exceeds the value of …

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November 3, 2025November 3, 2025

“Economic interdependence has failed to dilute strategic rivalry”. Examine the structural imbalance in India–China trade. Evaluate its impact on India’s economic security.

Topic: India – China Q3. “Economic interdependence has failed to dilute strategic rivalry”. Examine the structural imbalance in India–China trade. Evaluate its impact on India’s economic security. (10 M) Difficulty Level: Medium Reference: InsightsIAS Why the question: Amid rising India–China tensions where growing trade dependence coexists with geopolitical rivalry, testing India’s economic security and strategic …

Continue reading ““Economic interdependence has failed to dilute strategic rivalry”. Examine the structural imbalance in India–China trade. Evaluate its impact on India’s economic security.”

October 8, 2025October 8, 2025

“External shocks now shape India’s macroeconomic rhythm more than domestic demand cycles”. Examine the key channels through which global risks are transmitted. Analyse India’s current vulnerabilities and suggest frameworks for external resilience.

Topic: Effects of liberalization on the economy, changes in industrial policy and their effects on industrial growth. Q5. “External shocks now shape India’s macroeconomic rhythm more than domestic demand cycles”. Examine the key channels through which global risks are transmitted. Analyse India’s current vulnerabilities and suggest frameworks for external resilience. (15 M) Difficulty Level: Medium …

Continue reading ““External shocks now shape India’s macroeconomic rhythm more than domestic demand cycles”. Examine the key channels through which global risks are transmitted. Analyse India’s current vulnerabilities and suggest frameworks for external resilience.”

February 15, 2025

Reciprocal Tariffs

Source: TOI Context: US President Donald Trump announced “reciprocal tariffs” on all trading partners, including allies, signaling a shift away from WTO trade norms. About Reciprocal Tariff: What is a Reciprocal Tariff? A tax on imports that mirrors the tariff charged by a country on US exports. Objective: To create a “fair” trading system by …

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August 4, 2022August 4, 2022

Define trade deficit and current account deficit. What are the reasons for expanding trade and current account deficits of India? Examine its implications on the Indian economy.

Topic: Indian Economy and issues relating to planning, mobilization, of resources, growth, development and employment. 4. Define trade deficit and current account deficit. What are the reasons for expanding trade and current account deficits of India? Examine its implications on the Indian economy. (250 words) Difficulty level: Moderate Reference: The Hindu Why the question: July’s …

Continue reading “Define trade deficit and current account deficit. What are the reasons for expanding trade and current account deficits of India? Examine its implications on the Indian economy.”

Tag: trade deficit

“A Balance of Payments surplus does not necessarily indicate underlying external sector strength”. Evaluate the vulnerabilities that may persist despite a favourable BoP position.

Trade deficit

“Economic interdependence has failed to dilute strategic rivalry”. Examine the structural imbalance in India–China trade. Evaluate its impact on India’s economic security.

“External shocks now shape India’s macroeconomic rhythm more than domestic demand cycles”. Examine the key channels through which global risks are transmitted. Analyse India’s current vulnerabilities and suggest frameworks for external resilience.

Reciprocal Tariffs

Define trade deficit and current account deficit. What are the reasons for expanding trade and current account deficits of India? Examine its implications on the Indian economy.

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