Self-fed inflation.

doctordidi: It may appear odd. Interest rate in India is very high. SB 4% F.D.10% as compared to negligible rate of interest in advanced countries. Salary for government employees, private sector employees, pension etc. is rising every month and that also cause inflation. Hereafter government should have talks with unions for reduction of salary as they do in USA. The situation is who is to bell the cat. Money circulation is high.

No..its a bit different from that..inflation is about too much money chasing too few goods. Food inflation is because of overall increase in demand. As the previous US government pointed out more Indians are able to afford better food, and consequently demand and supply gap is now more evident. We've gone to extraordinary lengths to industrialize our country and in the process compromised on food security. Food is the primary requirement, and we should've done enough to be self-sufficient in it. But there have hardly been much initiatives to ensure such self sufficiency. Monies have been spent on Asiads and what nots. But not on building dams and hydel projects, and linking rivers to prevent draught and floods. In any event, we are a small nation in terms of area. So unless we get serious about bringing down population which incidentally affects not only inflation in our food items but that of the rest of the world as well as we are big importers, we will soon become a hub for all sorts of nutritional and other immuno deficiency related diseases. Levy of taxes should vary as per the number of heads the family produces. That should bring down the numbers even in lower classes as they deliberately increase numbers as it makes more financial sense with child labor so rampant and unhindered. We are also forced to make more concrete structures to house the increasing population. This means less water is getting into the land that is inhabitable. Our land will also become a desert in the process, ugly it has already become. Food procurement is just treating the symptoms, and not the main issue I think

I am not very updated with the situation in India, and I have to say that I don't know too much about India neither, but it seems that India is not an exception from the other countries. I can see that every country has serious economical problems and the governments are unable to solve them. But I am confident that with proper communication and understanding between governments and citizens these difficult times will be over in a 1-2 years and everything will be back at normal. The problem is that in the majority of the countries the people don't understand that we live in difficult times and they prefer to riot, which makes more harm than good to the country and the economy.

I don't understand much about government's policy. I only know that price is increasing day by day and money is decreased value. Life is harder. What can we do?

To reduce the rate of inflation maybe it will lead to the increasing of unemployment, that's positive. But the government should find the balance between this two thing. It's not an easy thing.