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Why is inflation missing? Blame it on Patanjali and robotification .

In economics, inflation is a sustained increase in the general price level of goods and services in
an economy over a period of time.

When the price level rises, each unit of currency buys fewer goods and services; consequently, inflation
reflects a reduction in the purchasing power per unit of money a loss of real value in the medium of
exchange and unit of account within the economy.

Inflation India 2017 (CPI) - The inflation rate in India is based upon the consumer price index (CPI).

Inflation Yearly basis = June 2017 - June 2016 1.08 %

Amazon as a leading e-commerce giant has made the internet accessible to the broader public and
presaged the internet takeover of so many facets of the economy. The AI, robotics and analytics at
Amazon, innovations they inspired have combined to hold down inflation by putting pressure on wages,
increasing productivity, and encouraging competition.

Link for Patanjalis success: http://www.thehindubusinessline.com/catalyst/the-secret-behind-patanjalis-


rise-and-rise/article9300591.ece

Question which can be framed based on this article are:

1. Has the effects of no inflation resulted in sudden increase of cost of fruits and vegetables and loss
of jobs due to automation including digitization? Is the dominance of privatization, the major
cause for no inflation in India?
2. Is the demonetization, increasing cashless transactions, absence of political intervention and
above all BJP dominance the case for inflation free market behavior?
3. Should the Central bank consider services and Real estate inflation in Inflation calculations?
Which have an impact on businesses and household
4. Will the change in workforce lead to stable or targeted inflation?
5. Is the VUCA world with disruptive technology and newer business ideas, such as patanjali &
amazon are causing low/no inflation that will lower costs for the broader population?
6. Are our statisticians and government adopting the right methods for the inflation calculation? I
personally feel the prices of the goods are still very high.
7. Is the tech-based economy, where transparency relentlessly pressures prices for millennial (i.e.
lower prices) show the economy is working well, rather than dampen consumption?