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India’s growth gets a government lift, Bernstein flags hidden costs - The Economic Times
India's economic outcomes show distortions, not solely free-market forces at play. Company earnings and asset valuations are influenced by government interventions and incentives. Production Linked Incentive schemes support profitability in manufacturing sectors. Rural spending persists due to direct government transfers, not productivity gains. Policy interventions reshape outcomes, making growth seem stronger than it is.
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