Should India adopt Dubai Model to control inflation?
Should India adopt Dubai Model to control inflation? By: Vijay SARDANA Around the world, inflation is a major threat to political stability in democratic countries, but it is a more serious threat to the ruling families in countries where there is no democracy. UAE's ruling family is trying its best to control inflation. The UAE’s Ministry of Economy (MoE) has approved a new policy regarding the pricing mechanism for basic consumer goods in the country. Under this mechanism, these consumer goods are divided into two main groups. The first group consists of more than 11,000 commodities including fresh and dry milk, fresh chicken and eggs, bread, flour, sugar, salt, rice and legumes, cooking oil, mineral water and other items. Among items in this group, the supplier requires prior approval if they desire to raise its price due to the high import costs. The prior approval must be obtained via the Ministry of Economy website through a specifically designated system for t...