 "election year challenge")
Lawmakers in the US narrowly avoided a federal government shutdown last week with a compromise legislation that will allow the government to function till November 17. While the US Congress now has more time to settle differences, the recurring risk of government shutdowns owing to one reason or the other doesn't bode well, either for the US economy or global financial markets. In the context of the US fiscal condition and its implications for financial markets, our lead editorial notes that it would be advisable for India to expand domestic savings and maintain a moderate current account deficit that can be financed by stable flows. Read here
In the context of Bihar’s caste survey, our second editorial notes that the real empowerment of backward classes will happen only when the state is able to provide quality education and create gainful employment. Caste surveys or higher reservations cannot be an end in themselves. Read here
In other views:
Economist Ajay Chhibber talks about why fiscal consolidation must take precedence in the upcoming Budget, even if it's an interim one. Read here
Harsh V Pant and Kalpit Mankikar argue that through technology, economic statecraft, and wolf warrior diplomats, China is determined to shape a narrative in India and elsewhere. Read here
