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How US $700 Billion bailout package affects India and world economy

Posted By On 9:17 PM Under
1. It must be a jubiliant time for US financial institutions as $700 Bilion dollar package has been passed.

2. However one must not forget that alreadt $592 Billion package has been passed and financial institutions are benefitting from the tax payers money.

3. Now a point of concern is that US do not have the funds to finance the amount which totals to approximately 1.29 trillion dollars and thus it will have to raise the same through bonds from other countries.

4. Now if it is not able to raise money than Fed will print additional currency and in such scenario to bail out US economy dollar will have to be devalued. My query is that is US ready for devaluation of dollar.

5. Thus if dollar gets devalued Indian exporters and IT companies are in for trouble.

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