What can macro policy do?

Long-term structural reforms are required, such as a uniform GST and direct tax rates

We are in a business cycle downturn and in a decline of trend growth. The tools of macro policy can address the business cycle, but their ability to address the overall problem is limited. We have to be cautious about fiscal expansion, given that the initial condition is one of chronic fiscal weakness. The useful path lies in harnessing the situation to push for the required long-term structural reforms in tax policy and tax administration, instead of thinking in terms of discretionary fiscal policy.
 
There was a great phase of high trend growth in India from about 1991 to