Impact of Monetary Policy on Indian Economy in the Post-Reform Period

The present study was an attempt to analyze systematically the techniques of monetary control measures with its relevance and changing importance and to find out their effectiveness in the Indian context especially to achieve the thriving objectives of price stability and economic growth.There is definite and remarkable economic impact of monetary policy on Indian economy in the post-reform period. The importance of monetary policy has been increasing year after year. Its role is very relevant in attaining monetary objectives, especially in managing price stability and achieving economic growth. Along that, the use and importance of monetary weapons like Bank rate, CRR, SLR, Repo rate and Reverse Rate have increased over the years. Repo and Reverse Repo rates are the most frequently used monetary techniques in recent years. The rates are varied mainly for curtailing inflation and absorb the excess liquidity and hence to maintain price stability in the economy. Thus, this short-time objective of price stability is more successful on Indian economy rather than other long-term objectives of development.Monetary policy rules can be active or passive. The passive rule is to keep the money supply constant, which is reminiscent of Milton Friedman’s money growth rule. The second, called a price stabilization rule, is to change the money supply in response to changes in aggregate supply or demand to keep the price level constant. The idea of an active rule is to keep the price level and hence inflation in check. In India, this rule dominates our monetary policy. A stable growth is healthy growth.

Assessment of trophic change and its probable impact on tropical estuarine environment (the Kodungallur-Azhikode estuary, India)

The cumulative effects of global change, including climate change, increased population density and domestic waste disposal, effluent discharges from industrial processes, agriculture and aquaculture will likely continue and increases the process of eutrophication in estuarine environments. Eutrophication is one of the leading causes of degraded water quality, water column hypoxia/anoxia, harmful algal bloom (HAB) and loss of habitat and species diversity in the estuarine environment. The present study attempts to characterize the trophic condition of coastal estuary using a simple tool; trophic index (TRIX) based on a linear combination of the log of four state variables with supplementary index Efficiency Coefficient (Eff. Coeff.) as a discriminating tool. Numerically, the index TRIX is scaled from 0 to10, covering a wide range of trophic conditions from oligotrophic to eutrophic. Study area Kodungallur-Azhikode Estuary (KAE) was comparatively shallow in nature with average depth of 3.6±0.2 m. Dissolve oxygen regime in the water column was ranged from 4.7±1.3 mgL−1 in Station I to 5.9±1.4 mgL−1 in Station IV. The average nitrate-nitrogen (NO3-N) of KAE water was 470 mg m−3; values ranged from Av. 364.4 mg m−3 at Station II to Av. 626.6 mg m−3at Station VII. The mean ammonium-nitrogen (NH4 +-N) varied from 54.1 mg m−3 at Station VII to 101 mg m−3 at Station III. The average Chl-a for the seven stations of KAE was 6.42±3.91 mg m−3. Comparisons over different spatial and temporal scales in the KAE and study observed that, estuary experiencing high productivity by the influence of high degree of eutrophication; an annual average of 6.91 TRIX was noticed in the KAE and seasonal highest was observed during pre monsoon period (7.15) and lowest during post monsoon period (6.51). In the spatial scale station V showed high value 7.37 and comparatively low values in the station VI (6.93) and station VII (6.96) and which indicates eutrophication was predominant in land cover area with comparatively high water residence time. Eff. Coeff. values in the KAE ranges from −2.74 during monsoon period to the lowest of −1.98 in pre monsoon period. Present study revealed that trophic state of the estuary under severe stress and the restriction of autochthonous and allochthonous nutrient loading should be keystone in mitigate from eutrophication process