Downing interest rate\, at what cost?

The recent developments that have brought down the 10-year government securities (G-Sec) yield to 5.9% is a story of what should be done to influence the market forces that yield these numbers. In India, it is an accepted rule that when it comes to interest rates, they should always come down. The rules of economics, which talk of true cost of capital that encapsulates risk, scarcity and market conditions, are not major considerations. With this