How lockdown affected India’s economy? After all a person who needed a chair in March would buy it in Jun. Am I missing something?

You are missing a lot of things. When a daily wage earner works he earns money that day & spends 80 to 90% of it on food & other things essential to survive ( like mobile recharge & electricity bill-some things which our CJI does not have knowledge about). This keeps him & his family of 2–4 alive. If he does not earn then he & his family starve. This is happening. It did not start with COVID-19 lockdown but had begun with the master-stroke policies of our beloved PM (domestic consumption, particularly of the poorest was decreasing.)

The 80–90 % he spends goes to the grocer, vegetable vendor & so on. These guys depend upon many such daily wage earners & others to run their business to support their families & employees.

In this way the chain of economic activity goes on till it reaches the government in the form of taxes collected from the goods & services sold.

When looked at an aggregate level, that is the total demand of goods & services in the country, it accounts for approximately 60% of India’s GDP. This 60% got severely affected by this surprise & stupid lockdown. I hope you are now understanding a little bit of the problem caused by this stupid action.

Please take comfort in one thing that what you do not understand is something which our beloved PM & FM also do not understand.

India’s tragedy is that your lack of understanding is not harming India but because of the incompetence of PM & FM the entire country is suffering.

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3 Comments

  1. I have written the solution on this website. Please search & read before raising meaningless questions. Here is the link:http://nofrillsacademy.com/covid-19-what-a-good-government-should-have-done.html

    • I have written the solution on this website. Please search & read before raising meaningless questions. Here is the link:http://nofrillsacademy.com/covid-19-what-a-good-government-should-have-done.html

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