Because of the high concentration of the economy as well as the shortage of skilled employees, “insiders” – meaning price and wage setters – are in a position to mark prices and wages in line with their expectations.
I’m sure you will be able to revive some of your old connections here. For those of you who do not know Mr Notheis yet, I encourage you to get in touch with him. I am convinced that you, Mr Notheis, will once again do an excellent job of representing the Bundesbank here in India.