Macro-Economic Policy Outcomes and Agriculture Relation between Fiscal Deficits and Investment in Agriculture

In an earlier paper (Alagh, Munish, 2011) it was shown that macro economics matters in agriculture. The relevance of understanding the impact of macro-economic policy on agriculture was outlined. A forecasting exercise detailed the structure and response of supply to prices in the non foodgrain sector of the economy. The market and more generally macroeconomic policy impacts on agriculture needed to be understood. This is reviewed in this paper and it proceeds onwards from there to show that within macroeconomic policy specific policies such as an appropriate fiscal-monetary policy mix is relevant for the economy, and that fiscal policy should be seen as a process. [W.P. No. 2011-10-05]. URL:[http://www.iimahd.ernet.in/assets/snippets/workingpaperpdf/11950072452011-10-05.pdf].