A Study On the Efforts of GST on Price Stability in Indian Economy with Special Reference to Coimbatore City

Authors: Mr. Lingesh S, Ms. Avanthika R T, Dr. N. Rajendran

Abstract: The implementation of the Goods and Services Tax (GST) has been a landmark reform in the Indian economy, aimed at creating a unified tax structure and ensuring price stability. This study examines how GST influences price stability by eliminating the cascading effect of taxes and streamlining the supply chain. By analyzing various sectors in the industrial hub of Coimbatore, the research highlights how tax rationalization shapes market prices and consumer purchasing power. Findings indicate that while GST has improved long-term price stability in manufacturing and textiles, certain sectors like automobiles in Coimbatore have experienced initial price volatility. The study also discusses the challenges faced by small-scale industries in the region regarding compliance and input tax credits.

DOI: http://doi.org/10.5281/zenodo.20614123