Part 8: What India/World can do to avoid deep recession?

We mentioned about putting in to practice the counter cyclical measures to combat recession as is the normal practice. However timing is crucial. Infrastructure projects take time to get designed and approved but existing projects can be speeded up. (If govts are really trying to accelerate economic growth during recession, why not require govt departments to run higher inventory levels during such times as prelude to speeding up projects- a good way to quickly create demand in other sectors which obvioulsy comes at a cost)

However in this part we will mention another class of spending that could be useful as a counter-cyclical measure. Though no data is available as of now, there is a good possibility in India ( with corporate sector doing well) and perhaps some Western countries that "not for profit spending" or even "Green Spending" could be significant. If we club the activities taken by religious organizations this could be significant. So while normal investments are taken for profit motive and will increase in "good times", these philanthropic activities or activities bordering on this category which are not taken for " usual profit motive" can be increased during times of recession by govts taking a number of measures and providing incentives for the same. Obviously not all such activity can be postponed for such times but governments can declare 4-5 year incentive period on onset of recessions thereby clustering more of such activity during these bad times. Such activities could include construction of educational institutions, temples, ashrams, hospitals etc much of which could boost activity in other sectors