Talking about schemes that are already in place in India, the economist said NREGS seems to be a rather solid success in the sphere of rural development.
In an interview with CNBC -TV18, Nobel laureate Abhijit Banerjee said the key takeaway from the work of the three Nobel Prize winners is that effective policies should be put in place but preceded by pilot runs to ensure those policies actually work.
Adding that the award was a recognition for their work over the past 20 years, Banerjee pointed out that slowing growth in the Indian economy is indeed a serious concern.
Talking about schemes that are already in place in India, the Indian American economist said NREGS seems to be a rather solid success in the sphere of rural development. Rural road programmes seem to have worked well too, he added.
He also expressed concern regarding the slump in the real estate sector which has a huge portion of unskilled jobs in the country. He added that slowing growth in construction brings the income growth of the chunk of the population employed in this sector to a halt.
Additionally, he pointed out that terms of trade have moved against agriculture quite significantly."While it is a sensible idea to move away from support prices and giving cash to the farmers, I think it has to be more cash," Banerjee replied to a question on the efficacy of cash support that the government had announced earlier this year.Get access to India's fastest growing financial subscriptions service Moneycontrol Pro for as little as Rs 599 for first year. Use the code "GETPRO". Moneycontrol Pro offers you all the information you need for wealth creation including actionable investment ideas, independent research and insights & analysis For more information, check out the Moneycontrol website or mobile app.