Question

Impact of falling rupee on indian economy group discussion

Answer 1

Explanation:

Impact of fa

lling rupee on Indian economy :- With this situation, we expect that imports will decrease a.

nd exports will

increase which boosts our economy. ... Along with that as imports are costlier, imported goods will become expensive. As a result of this entire process, inflation occurs.

Answer 2

Impact of falling rupee on Indian economy :-

Imports from other countries will become expensive & exporters will get more rupees for the goods they export.

This is increasing Trade deficit (Imports – Exports), which inturn increases Current Account Deficit (CAD).