A negative output gap  2  BIS central bankers’ speeches  implies a slack in the economy and hence a downward pressure on inflation. So, India’s current low growth-high inflation dynamics has been in contrast to this conventional economic theory. Real GDP growth has moderated significantly below its potential. Yet inflation did not cool off.
Today’s hearing is intended to serve as a venue to: discuss whether or not the 2002 revisions to Regulation C provided useful and accurate information about the mortgage market; gather information that will help assess the need for additional data elements or improvements; and identify emerging issues in the mortgage market that may require  BIS Review 96/2010  1  additional research.