Whatever happens why do we always go down?

"Ministry of Statistics and Programme Implementation today said the national accounts data for the April-June quarter of the ongoing fiscal will be released on August 31." "India's GDP is likely to contract by 20 percent during the first quarter of the current fiscal on account of the Covid-19 pandemic-induced disruption, Care Ratings said." India has faced 3 economic shocks since the year 2000, wrote Niranjan Rajadhyaksha. The first was in 2008, due to the subprime crisis, the second crisis was in 2013, due to the announcement of cessation of quantitative easing by the US Federal Reserve, known as 'taper tantrum', and third one is at present, brought on by the coronavirus pandemic. However, the condition of the Indian economy was different leading up to each of these crises. Economic growth was 9.3% in 2007-08, a more anemic 5.46% in 2012-13 and a weak 4.2% in 2019-20. Inflation measured by the consumer price index (CPI) was 6.2% in August 2008, a shocking 9.63% in June 2013 and 6.58% in February 2020. The Reserve Bank (RBI) spent $50 billion to defend the rupee in 2008, but it fell from 43.79 to 49.69 against the dollar, it spent $16 billion in 2013 when the rupee fell from 53.94 to the dollar to 66.57, but this time the RBI has added $54 billion to its reserves since March 2020. "Between 27 March and 14 August this year, the foreign exchange reserves rose 12.6% to $535.25 billion," wrote Vivek Kaul. One reason is a much bigger fall in imports compared to exports. "Exports contracted 10.21% to $23.64 billion in July while imports fell 28.4% to $28.47 billion. Trade deficit was $4.83 billion compared to a $790 million surplus in June." The recent jump in the price of gold has resulted in the value of RBI's gold reserves increasing by 21.7% to $37.6 billion and foreign institutional investors (FIIs) have "net-invested Rs 77,779 crore (Rs 777.79 billion) in Indian stocks. Assuming one dollar to be worth Rs 75, this means that FIIs have brought in more than $10 billion this year into India and this has ended up with RBI as foreign-exchange reserves". In 2008, high fiscal deficit restricted government spending, and in 2013, high inflation and falling rupee meant that interest rates had to be increased. This time the RBI cut interest rate by 115 basis points this year, on top of cumulative cuts of 135 basis points last year, to 4% today, while retail inflation increased to 6.93% in July, and fiscal deficit in 2019-20 was 4.59% of gross domestic product (GDP), much higher than the government's revised target of 3.8%. Which means that the RBI has exhausted its arsenal in support of the government, as shown by the grumbling about transfer of Rs 57,128 crore (Rs 571.28) from its reserves, which apparently is only 44%, and the government has to borrow Rs 12 trillion just to meet expenses, so it has no money to increase capital spending. Circumstances maybe different, but the nation suffers anyway. And, it's all created by whichever party has grabbed power. We are mere spectators.