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I R S H A D's avatar

yes indeed.

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Sambaran Mitra's avatar

Can you please show the back-of-the-envelop step-by-step calculation of 2Trillion (2 lakh crore) that government will be left with, starting from

- GDP

- 6.5% revenue growth and

- fiscal deficit of 4.5%

Even if the number is inaccurate, I will learn a lot from the steps of your calculation.

You also calculated 1-lakh-crore extra in hands of people due to the tax rebate. This, I guess, is 0.3% of GDP (assuming 322.87 lakh crore 2024 GDP).

So 0.3% of GDP will be spent and invested by citizens, rather than the government. General wisdom is that people-spending is of better 'quality' than babu-spending. Will that create any significant good effect? Or is it all a wash since we are talking about only 0.3% of GDP?

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