The Chief Economic Advisor to Government, Kaushik Basu, has stated that the increasing wages is the reason for the inflation. Wonderful!
The wages are increased mainly to catch up with the cost of living indexes caused due to increase in prices. Even then, only a portion of the increased prices are given by the government through increase in D.A. The Chief Economic Advisor is not against the high hikes of the top level management or corporates. He is pointing to the wages of the workers.
This statement is part of the strategy to attack the rights of the workers to increase their wages. It is such anti-people, anti-worker policies which has created anger amongst the people and resulted in agitations all over the world.