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Smart Reasoning:

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Qaagi - Book of Why

Causes

Effects

Financial profligacy iscausedthe deficits in India

the current account deficitscreateBOP deficits

gold 's import tariff valueGold import curbsleadingto smugglingCurrent account deficit in India

Rebound in remittance inflow failsto preventBoP from posting deficit

6 to 6.5 pcsetto rise in India deficit

that most of the qualified engineers leave the country in search of better jobscausinga deficit in India

Supervision of NRI accountsto preventBOP deficit

US curbs on Iran(passive) caused byIndia ’s oil deficit

factorscausingBOP deficit

reasons and major facotrsleadto increasing deficit in India

to worsen almost 10-fold this yearin what analysts say is another sign that the government is now realisingits policies have failed to arrest the free - fall in exports and contain atwo - year - old foreign currency crisisis setto worsen almost 10-fold this yearin what analysts say is another sign that the government is now realisingits policies have failed to arrest the free - fall in exports and contain atwo - year - old foreign currency crisis

to Reduced Foreign Investments Forex reserves Depletion External Borrowings Debt Trapleadsto Reduced Foreign Investments Forex reserves Depletion External Borrowings Debt Trap

currency weakeningcausescurrency weakening

to devaluation of currencyleadsto devaluation of currency

exchange rates to rise and shift both the BP and the IS schedules to the rightcausingexchange rates to rise and shift both the BP and the IS schedules to the right

mammoth challenge for FM P. Chidambaramcreatesmammoth challenge for FM P. Chidambaram

to currency devaluation , financial instability ... raise in interest rates , reduction in investment and GDPwill leadto currency devaluation , financial instability ... raise in interest rates , reduction in investment and GDP

from making speeches in AssamPresidentpreventedfrom making speeches in AssamPresident

a dollar overhang that is not the only strain bearing down on the world � s delicate money and credit structurehas createda dollar overhang that is not the only strain bearing down on the world � s delicate money and credit structure

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Smart Reasoning:

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