THE HINDU Editorial Vocabulary-December 3, 2016- Topic 1
Prime Minister Narendra Modi’s decision to abruptly withdraw legal tender status for Rs.1,000 and Rs.500 notes to
save the country from “the grip of corruption and black money” has had one
predictable side effect: a dampening of economic activity. With cash availability
significantly impaired as a result of the sudden withdrawal of the high-value
banknotes that constituted more than
86 per cent of the currency in circulation as of March 31, a palpable impact
has been felt across the entire economy. A snapshot of manufacturing from the
Nikkei India Manufacturing Purchasing Managers’ Index released on December 1
revealed that demonetisation had slowed buying activity and production across
the board, and led to the weakest expansion in orders in four months. The survey
indicated that producers of consumer goods are among the worst hit, a signal
that a key engine of India’s world-leading pace of economic growth — private
consumption demand — appears to be sputtering on account of the cash shortage.
That the impact is likely to extend beyond the current quarter appears certain,
according to the downward revisions of growth projections announced by
brokerages and credit rating agencies. The median reduction in GDP growth
estimate for the year by the 13 forecasters indicates that the pace of growth
will be slower by at least 50 basis points, with two of them dialling back the
number by one percentage point or more.
Data released by the
government on November 30 put GDP growth in the July-September period at 7.3
per cent, as the agriculture sector’s performance was buoyed by an almost
normal south-west monsoon. That this came after two successive years of drought
helped boost the area sown. Still, a moot question relates to gauging the
impact the cash shortage is likely to have had in rural areas both from a
consumption perspective and in terms of the potential disruption caused to
farming operations. Given the less-than-adequate penetration of formal banking
channels, economic activity in small towns and villages is largely cash-based,
and it remains to be seen how the agrarian economy will recover in the short to
medium term from this disruption. While the biggest contributor to gross value
added, the services sector, is expected to sustain a hit, small and micro
enterprises that conduct a sizeable part of their business through cash
transactions are also bound to be impacted. And with the external environment
yet to revive, the RBI and the government have their task cut out to ensure
that the economy doesn’t slide into a protracted slowdown.
Vocabulary
Abruptly: quickly and unexpectedly.
Example: The ambassador died suddenly
Synonyms: immediately, instantaneously, instantly, straightaway, all
of a sudden
Tender: an offer to carry out work, supply goods, or buy land, shares, or another
asset at a stated fixed price.
Example: The tenders were evaluated on price, experience of the tenderer,
methodology, quality and technical merit.
Synonyms: bid, offer, quotation, quote, estimate, price, proposal, submission, pitch
Predictable: able to be predicted.
Example: The market is volatile and never predictable
Synonyms: foreseeable,
anticipated, foreseen, unsurprising
Dampening: make less strong or intense.
Example: Nothing could dampen her enthusiasm
Synonyms: lessen, decrease, diminish, reduce, moderate, damp
Revealed: Make (previously unknown or secret information) known to others.
Example: Brenda was forced to reveal Robbie's whereabouts
Synonyms: divulge, disclose, tell, let
slip, let drop, give away, give out
Sputtering: make a series of soft explosive sounds, typically when being heated or as a
symptom of a fault.
Example: The engine sputtered and stopped
Buoyed: keep (someone or something) afloat.
Example: I let the water buoy up my weight
Moot: subject to debate, dispute, or uncertainty, and typically not admitting of
a final decision.
Example: Whether the temperature rise was mainly due to the greenhouse effect was a
moot point
Synonyms: debatable, open
to discussion/question, arguable, questionable
Perspective: a particular attitude toward or way of regarding something; a point of
view.
Example: Most guidebook history is written from the editor's perspective
Synonyms: outlook, view, viewpoint, point
of view, POV, standpoint
Disruption: disturbance or problems that interrupt an event, activity, or process.
Example: The schedule was planned to minimize disruption
Penetration: the action or process of making a way through or into something.
Example: The plant grows in clear, still waters where there is strong sunlight
penetration
Synonyms: perforation, piercing, puncturing, puncture, stabbing, pricking
Protracted: lasting for a long time or longer than expected or usual.
Example: A protracted and bitter dispute
Synonyms: prolonged, long-lasting, extended, long-drawn-out, spun
out, dragged out