Explaining the collapse in India's retail inflation | Number Theory

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Retail and wholesale inflation numbers for the month of September were released on Monday and Tuesday. While retail inflation, as measured by Consumer Price Index (CPI) stood at 1.5%, wholesale inflation, as seen in the Wholesale Price Index (WPI), collapsed to just 0.1%. What explains this unusually benign inflation environment? What are its larger economic implications? Here are four charts which answer these questions.

Representational image. (Bloomberg)

Explaining the collapse in India's retail inflation

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