Studentnomics

Studying and applying economic concepts is an art and science

Science is in understanding the concepts while applying and interpreting it is an art. As beauty is in the eye of the beholder so is the impact of economic events in the mind of the specific entity based on their specific situation

Her are some of the anecdotes that will make you think , debate and appreciate this paradox

1A. If the interest rate goes up : “How the poor could afford a house, car for themselves?”.

1B. If the interest rate comes down : “How will elders earn interest from the bank?”

2A. If foreigners invest in our country : “They are taking away our wealth as profits/dividends”

2B. If domestic Co. invest outside : “Our wealth shifts for the development of outsiders”

3A. If tax rates are increased : “The Govt is robbing people”

3B. If tax rates are lowered: “The Govt is trying to help the rich”

4A. If GDP grows : “The Govt is working primarily for the big corporates”

4B. If GDP contracts : “There is no job creation”

5A. If currency strengthens : “Our exports get impacted”

5B. If currency weakens : “Our import bill has gone up”

6A. If Food prices go up: “Masses are suffering”

6B. If Food prices come down : “Farmers are suffering”

7A. If the stock market comes down : “The economy is in a mess”

7B. If the stock market goes up : “It’s not a true measure of economy; only corporates are being supported”

8A. If Corporate tax rates are increased : “Govt is penalizing private enterprise”

8B. If Corporate tax rates are cut : “The Govt is only trying to boost the profitability of corporates”

So,
Heads, I win,
Tails, you lose..