Has the long rope turned into a noose?

"In response to the global economic slowdown as well as the generally subdued inflationary pressures, many Asian central banks (India, China, Indonesia, Malaysia, the Philippines, South Korea) have begun to ease monetary policy," wrote Prof RS Rajan. They feel comfortable doing so because the US Federal Reserve just cut its Funds rate by 25 basis points. "Let me be clear -- it's not the beginning of a long series of rate cuts," said Fed Chairman Jerome Powell. He also said, "I didn't say it's just one rate cut." Thus, thoroughly confusing markets, so that "The benchmark S&P 500 index closed down 1.1% for the day. Yields on 2-year notes, a proxy for Fed policy rates, rose to 1.87%." So, what about India? India is not part of the global supply chain and so has been affected little by the trade war between the US and China. Despite three rate cuts our real interest rate is still higher than our peers, rate cuts are not transmitted to lending rates by banks and our real effective exchange rate (REER) of the rupee is too high. The International Monetary Fund (IMF) has predicted a 7% growth rate for 2019, but we need at least 8% growth. Eight out of 16 economic indicators tracked by the Mint are in the red. "All four indicators of the consumer economy -- passenger vehicle sales, tractor sales, two-wheeler sales and domestic air passenger growth -- continue to be in the red for the fifth straight month, with the first three indicators showing a decline (negative growth) over the year ago period," wrote N Kwatra. Consumer confidence has dropped. "The present government has had a very long rope in terms of being able to deliver on the economy. The lack of any coordinated policy response to deal with the current, and perhaps worsening, economic slowdown is affecting future expectations adversely," wrote R Kishore. There is a lack of 'animal spirits' in the economy with "Eight high-frequency indicators compiled by Bloomberg News showed the economy lacked momentum, with the overall activity dot remaining unchanged from a month ago," wrote A Nag. Credit rating agency Crisil listed 5 reasons for the sluggish rate of growth, including rural distress. Economic slowdown has resulted in increased unemployment, wrote Prof Himanshu, with the total number of workers falling from 472.5 million in 2011-12 to 457 million in 2017-18. Jobs have been created in services and in construction, mining and utilities but manufacturing jobs declined by 3.5 million between the two years, wrote Prof S Mehrotra and J Parida. The share of manufacturing in GDP "has remained stuck at 16% since 1991, while the share of employment in manufacturing has stagnated at around 12.5%". Manufacturing cannot increase if people are not buying and people will not buy if there are no jobs. We are going round in a circle.