Dangers of optimism: India needs to guard against turning complacent

An unshakable optimism about the long-term destiny of India's economy is counter-productive at moments of crisis

Optimism is not a sin. But it cannot be the foundation for a country’s entire economic strategy. Sadly, that is what appears to be the case in India — and unless decision makers swiftly revise their assumptions about the future, any optimism will begin to be quite unfounded. 

The problem is this: We have long been accustomed to assume that, in the long run, things will work out for the Indian economy. It has many things going for it: A young population, strong consumption demand, a large market, a labour cost advantage. But these very advantages have bred complacency and,