Adani Enterp. 2439.55↑5.90(0.24%)
Adani Ports 743.75↓-1.65(-0.22%)
Apollo Hospitals 5026.45↑86.35(1.75%)
Asian Paints 3224.80↑12.05(0.38%)
Axis Bank 976.75↑8.55(0.88%)
B P C L 368.10↑11.95(3.36%)
Bajaj Auto 4780.75↑54.50(1.15%)
Bajaj Finance 7079.95↓-34.00(-0.48%)
Bajaj Finserv 1480.90↑5.80(0.39%)
Bharti Airtel 844.25↑14.80(1.78%)
Britannia Inds. 4893.15↑187.75(3.99%)
Cipla 960.45↓-11.60(-1.19%)
Coal India 230.70↑2.90(1.27%)
Divi's Lab. 3542.10↑4.20(0.12%)
Dr Reddy's Labs 4673.75↑37.10(0.80%)
Eicher Motors 3727.40↑22.30(0.60%)
Grasim Inds 1769.05↑2.65(0.15%)
H D F C 2648.55↑13.20(0.50%)
HCL Technologies 1129.05↑0.45(0.04%)
HDFC Bank 1607.70↑8.30(0.52%)
HDFC Life Insur. 594.45↑14.75(2.54%)
Hero Motocorp 2958.00↑53.20(1.83%)
Hind. Unilever 2716.20↑25.05(0.93%)
Hindalco Inds. 422.60↑7.05(1.70%)
ICICI Bank 940.20↓-1.90(-0.20%)
IndusInd Bank 1311.20↑5.20(0.40%)
Infosys 1288.95↑9.95(0.78%)
ITC 443.95↑1.15(0.26%)
JSW Steel 729.75↑16.90(2.37%)
Kotak Mah. Bank 1939.40↓-19.65(-1.00%)
Larsen & Toubro 2315.50↑37.55(1.65%)
M & M 1406.40↓-4.80(-0.34%)
Maruti Suzuki 9707.50↓-28.70(-0.29%)
Nestle India 22367.75↑662.35(3.05%)
NTPC 177.35↑1.95(1.11%)
O N G C 153.85↑0.20(0.13%)
Power Grid Corpn 239.20↑3.90(1.66%)
Reliance Industr 2498.15↑18.80(0.76%)
SBI Life Insuran 1245.80↑22.80(1.86%)
St Bk of India 589.20↑3.85(0.66%)
Sun Pharma.Inds. 1014.60↑0.80(0.08%)
Tata Consumer 823.10↑31.00(3.91%)
Tata Motors 567.95↑12.20(2.20%)
Tata Steel 111.50↑2.50(2.29%)
TCS 3274.90↑42.60(1.32%)
Tech Mahindra 1095.70↑9.45(0.87%)
Titan Company 2906.95↑25.50(0.88%)
UltraTech Cem. 8157.60↑48.05(0.59%)
UPL 693.95↓-0.05(-0.01%)
Wipro 402.80↑2.85(0.71%)

Govt's move to protect industry ignores both economic theory and history

Those who wish to blindly ape the Donald Trump-era United States' trade policy clearly have never bothered to think hard about the economic consequences of their actions in India

Mihir S Sharma

Premium

illustration: Ajay Mohanty

Last Updated : Feb 26 2018 | 4:51 AM IST

When Narendra Modi won a historic landslide victory in 2014, many argued that he would take the process of economic reforms forward. Particularly excited were those exhausted by years of making the case for structural change in a political environment where multiple players appeared to possess veto powers on progress. It was considered likely that, given his mandate, Mr Modi would be able to take bigger and more influential steps than had hitherto been possible.

The sad twist is this: The occasions that Mr Modi has shifted policy clearly, the steps so taken have not been the sort that reformists hoped for or expected. Remember that the biggest policy innovation of his government has been demonetisation of the currency, a step that is — for good reason — not generally part of the economists’ arsenal, and therefore could hardly be sold as addressing the unfinished reform agenda.

We are now faced with another major shift, as the