Consider the following statements regarding economic survey 2022-23:
1. In Wholesale Price Inflation (WPI), the weightage of primary articles is more than manufactured articles.
2. As per RBI, 1% inflation increase in the international market can bring more than 10% inflation in the domestic market of India.
3. A part of WPI inflation is imported inflation.
Which of the statements given above is/are not correct?
A part of WPI inflation is imported inflation. The high import dependence on edible oils has meant that the transitory effect of rising international prices of these products is also reflected in domestic prices. Hence, statement 3 is correct. An RBI’s report (Monetary Policy Report, September 2022) indicates that 1% increase in prices across all the countries. Hence, statement 2 is not correct. Hence sentence 1 is not correct.
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