CUET Economics 2022 PYQs19 July Shift 2. Free, no login required.

The causes of the Asian Financial Crisis are complicated and disputable. A major cause is considered to be the collapse of the hot money bubble. During the late 1980s and early 1990s, many Southeast Asian Countries, including Thailand, Singapore, Malaysia, Indonesia, and South Korea, achieved massive economic growth of an 8% to 12% increase in their Gross Domestic Product (GDP). The achievement was known as the "Asian Economic Miracle. However, a significant risk was embedded in the achievement.

The economic development in the Countries mentioned above were mainly boosted by export growth and foreign investment. Therefore, high-interest rates and fixed currency exchange rates (pegged to the U.S. dollar) were implemented to attract hot money. Also, the exchange rate was pegged at a rate favorable to exporters. However, both the capital market and corporates were left exposed to foreign exchange risk due to the fixed currency exchange rate policy.

In the mid-1990s, following the recovery of the US. from a recession, the Federal Reserve raised the interest rate against inflation. The higher interest rate attracted hot money to flow into the U.S. market. leading to an appreciation of the U.S. dollar.

The currencies pegged to the U.S. dollar also appreciated, and thus hurt export growth. with a shock in both export and foreign investment, asset prices, which were leveraged by large amounts of credits, began to collapse. The panicked foreign investors began to withdraw. This translated into increased demand for US dollars. Further, there was no perceptible increase in the supply of dollars as wary investors shied away from investing in these economies. With demand being greater than supply, the US dollar appreciated with the domestic currency depreciating. The depreciation of the local currencies fuelled more investments being pulled out of these economies thus resulting in a crisis.

Thus Thai Government first ran out of foreign currency to support its exchange rate, forcing it to float the baht. The value of the baht thus collapsed immediately afterward. The same also happened to the rest of the Asian Countries soon after.

The causes of the Asian Financial Crisis are complicated and disputable. A major cause is considered to be the collapse of the hot money bubble. During the late 1980s and early 1990s, many Southeast Asian Countries, including Thailand, Singapore, Malaysia, Indonesia, and South Korea, achieved massive economic growth of an 8% to 12% increase in their Gross Domestic Product (GDP). The achievement was known as the "Asian Economic Miracle. However, a significant risk was embedded in the achievement.

The economic development in the Countries mentioned above were mainly boosted by export growth and foreign investment. Therefore, high-interest rates and fixed currency exchange rates (pegged to the U.S. dollar) were implemented to attract hot money. Also, the exchange rate was pegged at a rate favorable to exporters. However, both the capital market and corporates were left exposed to foreign exchange risk due to the fixed currency exchange rate policy.

In the mid-1990s, following the recovery of the US. from a recession, the Federal Reserve raised the interest rate against inflation. The higher interest rate attracted hot money to flow into the U.S. market. leading to an appreciation of the U.S. dollar.

The currencies pegged to the U.S. dollar also appreciated, and thus hurt export growth. with a shock in both export and foreign investment, asset prices, which were leveraged by large amounts of credits, began to collapse. The panicked foreign investors began to withdraw. This translated into increased demand for US dollars. Further, there was no perceptible increase in the supply of dollars as wary investors shied away from investing in these economies. With demand being greater than supply, the US dollar appreciated with the domestic currency depreciating. The depreciation of the local currencies fuelled more investments being pulled out of these economies thus resulting in a crisis.

Thus Thai Government first ran out of foreign currency to support its exchange rate, forcing it to float the baht. The value of the baht thus collapsed immediately afterward. The same also happened to the rest of the Asian Countries soon after.

The causes of the Asian Financial Crisis are complicated and disputable. A major cause is considered to be the collapse of the hot money bubble. During the late 1980s and early 1990s, many Southeast Asian Countries, including Thailand, Singapore, Malaysia, Indonesia, and South Korea, achieved massive economic growth of an 8% to 12% increase in their Gross Domestic Product (GDP). The achievement was known as the "Asian Economic Miracle. However, a significant risk was embedded in the achievement.

The economic development in the Countries mentioned above were mainly boosted by export growth and foreign investment. Therefore, high-interest rates and fixed currency exchange rates (pegged to the U.S. dollar) were implemented to attract hot money. Also, the exchange rate was pegged at a rate favorable to exporters. However, both the capital market and corporates were left exposed to foreign exchange risk due to the fixed currency exchange rate policy.

In the mid-1990s, following the recovery of the US. from a recession, the Federal Reserve raised the interest rate against inflation. The higher interest rate attracted hot money to flow into the U.S. market. leading to an appreciation of the U.S. dollar.

The currencies pegged to the U.S. dollar also appreciated, and thus hurt export growth. with a shock in both export and foreign investment, asset prices, which were leveraged by large amounts of credits, began to collapse. The panicked foreign investors began to withdraw. This translated into increased demand for US dollars. Further, there was no perceptible increase in the supply of dollars as wary investors shied away from investing in these economies. With demand being greater than supply, the US dollar appreciated with the domestic currency depreciating. The depreciation of the local currencies fuelled more investments being pulled out of these economies thus resulting in a crisis.

Thus Thai Government first ran out of foreign currency to support its exchange rate, forcing it to float the baht. The value of the baht thus collapsed immediately afterward. The same also happened to the rest of the Asian Countries soon after.

The causes of the Asian Financial Crisis are complicated and disputable. A major cause is considered to be the collapse of the hot money bubble. During the late 1980s and early 1990s, many Southeast Asian Countries, including Thailand, Singapore, Malaysia, Indonesia, and South Korea, achieved massive economic growth of an 8% to 12% increase in their Gross Domestic Product (GDP). The achievement was known as the "Asian Economic Miracle. However, a significant risk was embedded in the achievement.

The economic development in the Countries mentioned above were mainly boosted by export growth and foreign investment. Therefore, high-interest rates and fixed currency exchange rates (pegged to the U.S. dollar) were implemented to attract hot money. Also, the exchange rate was pegged at a rate favorable to exporters. However, both the capital market and corporates were left exposed to foreign exchange risk due to the fixed currency exchange rate policy.

In the mid-1990s, following the recovery of the US. from a recession, the Federal Reserve raised the interest rate against inflation. The higher interest rate attracted hot money to flow into the U.S. market. leading to an appreciation of the U.S. dollar.

The currencies pegged to the U.S. dollar also appreciated, and thus hurt export growth. with a shock in both export and foreign investment, asset prices, which were leveraged by large amounts of credits, began to collapse. The panicked foreign investors began to withdraw. This translated into increased demand for US dollars. Further, there was no perceptible increase in the supply of dollars as wary investors shied away from investing in these economies. With demand being greater than supply, the US dollar appreciated with the domestic currency depreciating. The depreciation of the local currencies fuelled more investments being pulled out of these economies thus resulting in a crisis.

Thus Thai Government first ran out of foreign currency to support its exchange rate, forcing it to float the baht. The value of the baht thus collapsed immediately afterward. The same also happened to the rest of the Asian Countries soon after.

The causes of the Asian Financial Crisis are complicated and disputable. A major cause is considered to be the collapse of the hot money bubble. During the late 1980s and early 1990s, many Southeast Asian Countries, including Thailand, Singapore, Malaysia, Indonesia, and South Korea, achieved massive economic growth of an 8% to 12% increase in their Gross Domestic Product (GDP). The achievement was known as the "Asian Economic Miracle. However, a significant risk was embedded in the achievement.

The economic development in the Countries mentioned above were mainly boosted by export growth and foreign investment. Therefore, high-interest rates and fixed currency exchange rates (pegged to the U.S. dollar) were implemented to attract hot money. Also, the exchange rate was pegged at a rate favorable to exporters. However, both the capital market and corporates were left exposed to foreign exchange risk due to the fixed currency exchange rate policy.

In the mid-1990s, following the recovery of the US. from a recession, the Federal Reserve raised the interest rate against inflation. The higher interest rate attracted hot money to flow into the U.S. market. leading to an appreciation of the U.S. dollar.

The currencies pegged to the U.S. dollar also appreciated, and thus hurt export growth. with a shock in both export and foreign investment, asset prices, which were leveraged by large amounts of credits, began to collapse. The panicked foreign investors began to withdraw. This translated into increased demand for US dollars. Further, there was no perceptible increase in the supply of dollars as wary investors shied away from investing in these economies. With demand being greater than supply, the US dollar appreciated with the domestic currency depreciating. The depreciation of the local currencies fuelled more investments being pulled out of these economies thus resulting in a crisis.

Thus Thai Government first ran out of foreign currency to support its exchange rate, forcing it to float the baht. The value of the baht thus collapsed immediately afterward. The same also happened to the rest of the Asian Countries soon after.

PPPs will help in bridging treatment gap, enhance care delivery in India.

Dr. Shravan Subramanyam

05 Apr 2022,

The Government's focus on digitization over the past few years has enabled enhanced delivery of healthcare in India, increasing capacity and efficiency in the sector. There has been an 85% surge in teleconsultation, and digital platforms have eased accessibility to crucial healthcare solutions, supported by the National Digital Health Mission. This has evolved the way we look at healthcare challenges, and has presented India with an opportunity to address issues at the grassroots level. The Production-Linked Incentive (PLI) Scheme and the draft paper on Medical Devices Manufacturing Policy 2022 will further promote domestic manufacturing of medical devices that will help deepen access to quality and affordable healthcare solutions.

The Government has extended support for local manufacturing of medical equipment with an aim to increase healthcare expenditure to 2.5% of gross domestic product by 2025. The Atmanirbhar Bharat initiative provides further impetus to the industry to develop and enhance healthcare infrastructure with continued technological upgradation. Public-Private Partnerships (PPPs) will help increase access to healthcare and improve patient outcomes. PPPs bring together the expertise and finances of the private sector with the access and subsidies of the public sector. It can bring in resources the Government needs for its healthcare goals, as well as create a sustainable long-term model. The need for PPPs is further underlined considering the layout of medical infrastructure in India. According to a report by Niti Aayog, 60% of medical infrastructure is densely populated across metropolitan cities. Addressing this, private hospital chains are increasingly expanding beyond the metros to tier-2 and -3 cities. Private players are also seeking accreditation and developing new healthcare models at an increasing rate. PPPs will also help address the shortage of skilled workers by establishing programmes to up skill the health workforce with the ability to adapt to technological advancements......

PPPs will help in bridging treatment gap, enhance care delivery in India.

Dr. Shravan Subramanyam

05 Apr 2022,

The Government's focus on digitization over the past few years has enabled enhanced delivery of healthcare in India, increasing capacity and efficiency in the sector. There has been an 85% surge in teleconsultation, and digital platforms have eased accessibility to crucial healthcare solutions, supported by the National Digital Health Mission. This has evolved the way we look at healthcare challenges, and has presented India with an opportunity to address issues at the grassroots level. The Production-Linked Incentive (PLI) Scheme and the draft paper on Medical Devices Manufacturing Policy 2022 will further promote domestic manufacturing of medical devices that will help deepen access to quality and affordable healthcare solutions.

The Government has extended support for local manufacturing of medical equipment with an aim to increase healthcare expenditure to 2.5% of gross domestic product by 2025. The Atmanirbhar Bharat initiative provides further impetus to the industry to develop and enhance healthcare infrastructure with continued technological upgradation. Public-Private Partnerships (PPPs) will help increase access to healthcare and improve patient outcomes. PPPs bring together the expertise and finances of the private sector with the access and subsidies of the public sector. It can bring in resources the Government needs for its healthcare goals, as well as create a sustainable long-term model. The need for PPPs is further underlined considering the layout of medical infrastructure in India. According to a report by Niti Aayog, 60% of medical infrastructure is densely populated across metropolitan cities. Addressing this, private hospital chains are increasingly expanding beyond the metros to tier-2 and -3 cities. Private players are also seeking accreditation and developing new healthcare models at an increasing rate. PPPs will also help address the shortage of skilled workers by establishing programmes to up skill the health workforce with the ability to adapt to technological advancements......

PPPs will help in bridging treatment gap, enhance care delivery in India.

Dr. Shravan Subramanyam

05 Apr 2022,

The Government's focus on digitization over the past few years has enabled enhanced delivery of healthcare in India, increasing capacity and efficiency in the sector. There has been an 85% surge in teleconsultation, and digital platforms have eased accessibility to crucial healthcare solutions, supported by the National Digital Health Mission. This has evolved the way we look at healthcare challenges, and has presented India with an opportunity to address issues at the grassroots level. The Production-Linked Incentive (PLI) Scheme and the draft paper on Medical Devices Manufacturing Policy 2022 will further promote domestic manufacturing of medical devices that will help deepen access to quality and affordable healthcare solutions.

The Government has extended support for local manufacturing of medical equipment with an aim to increase healthcare expenditure to 2.5% of gross domestic product by 2025. The Atmanirbhar Bharat initiative provides further impetus to the industry to develop and enhance healthcare infrastructure with continued technological upgradation. Public-Private Partnerships (PPPs) will help increase access to healthcare and improve patient outcomes. PPPs bring together the expertise and finances of the private sector with the access and subsidies of the public sector. It can bring in resources the Government needs for its healthcare goals, as well as create a sustainable long-term model. The need for PPPs is further underlined considering the layout of medical infrastructure in India. According to a report by Niti Aayog, 60% of medical infrastructure is densely populated across metropolitan cities. Addressing this, private hospital chains are increasingly expanding beyond the metros to tier-2 and -3 cities. Private players are also seeking accreditation and developing new healthcare models at an increasing rate. PPPs will also help address the shortage of skilled workers by establishing programmes to up skill the health workforce with the ability to adapt to technological advancements......

PPPs will help in bridging treatment gap, enhance care delivery in India.

Dr. Shravan Subramanyam

05 Apr 2022,

The Government's focus on digitization over the past few years has enabled enhanced delivery of healthcare in India, increasing capacity and efficiency in the sector. There has been an 85% surge in teleconsultation, and digital platforms have eased accessibility to crucial healthcare solutions, supported by the National Digital Health Mission. This has evolved the way we look at healthcare challenges, and has presented India with an opportunity to address issues at the grassroots level. The Production-Linked Incentive (PLI) Scheme and the draft paper on Medical Devices Manufacturing Policy 2022 will further promote domestic manufacturing of medical devices that will help deepen access to quality and affordable healthcare solutions.

The Government has extended support for local manufacturing of medical equipment with an aim to increase healthcare expenditure to 2.5% of gross domestic product by 2025. The Atmanirbhar Bharat initiative provides further impetus to the industry to develop and enhance healthcare infrastructure with continued technological upgradation. Public-Private Partnerships (PPPs) will help increase access to healthcare and improve patient outcomes. PPPs bring together the expertise and finances of the private sector with the access and subsidies of the public sector. It can bring in resources the Government needs for its healthcare goals, as well as create a sustainable long-term model. The need for PPPs is further underlined considering the layout of medical infrastructure in India. According to a report by Niti Aayog, 60% of medical infrastructure is densely populated across metropolitan cities. Addressing this, private hospital chains are increasingly expanding beyond the metros to tier-2 and -3 cities. Private players are also seeking accreditation and developing new healthcare models at an increasing rate. PPPs will also help address the shortage of skilled workers by establishing programmes to up skill the health workforce with the ability to adapt to technological advancements......

PPPs will help in bridging treatment gap, enhance care delivery in India.

Dr. Shravan Subramanyam

05 Apr 2022,

The Government's focus on digitization over the past few years has enabled enhanced delivery of healthcare in India, increasing capacity and efficiency in the sector. There has been an 85% surge in teleconsultation, and digital platforms have eased accessibility to crucial healthcare solutions, supported by the National Digital Health Mission. This has evolved the way we look at healthcare challenges, and has presented India with an opportunity to address issues at the grassroots level. The Production-Linked Incentive (PLI) Scheme and the draft paper on Medical Devices Manufacturing Policy 2022 will further promote domestic manufacturing of medical devices that will help deepen access to quality and affordable healthcare solutions.

The Government has extended support for local manufacturing of medical equipment with an aim to increase healthcare expenditure to 2.5% of gross domestic product by 2025. The Atmanirbhar Bharat initiative provides further impetus to the industry to develop and enhance healthcare infrastructure with continued technological upgradation. Public-Private Partnerships (PPPs) will help increase access to healthcare and improve patient outcomes. PPPs bring together the expertise and finances of the private sector with the access and subsidies of the public sector. It can bring in resources the Government needs for its healthcare goals, as well as create a sustainable long-term model. The need for PPPs is further underlined considering the layout of medical infrastructure in India. According to a report by Niti Aayog, 60% of medical infrastructure is densely populated across metropolitan cities. Addressing this, private hospital chains are increasingly expanding beyond the metros to tier-2 and -3 cities. Private players are also seeking accreditation and developing new healthcare models at an increasing rate. PPPs will also help address the shortage of skilled workers by establishing programmes to up skill the health workforce with the ability to adapt to technological advancements......