Paper Title
Impossible Trinity and India

Abstract
A basic result of the traditional open–economy Mundell-Flemming model is existence of the impossibility trinity whereby no country can simultaneously attain / practice fixed exchange rate flexibility, independent monetary policy and free capital flows. However, faced with such tensions, many of the emerging market economies, over the years, choose to operate at non-corner points, somewhat sacrificing the corner objectives of the Impossible Trinity. Indian economy is a case of such policy configuration. This paper is going to cover the narrative of India’s efforts to balance the pushes and pulls of impossible trinity whereby the Reserve Bank of India's (RBI) intervention and limited capital controls interplayed with market forces and Central Bank’s monetary policy actions to determine exchange rate of the Indian rupee. Index Terms - India, Exchange Rate, Impossible Trinity, Central Bank Intervention