GS Paper 3: Indian Economy

Q.3) “A more appropriate exchange rate would stimulate exports and dampen imports, just as it would help domestic manufacturing firms to be more competitive.” Upto what extent, this statement is correct from Indian Economy perspective.

Source: http://www.livemint.com/Opinion/Iwsgmu6mIxf1eo0AYABdmL/A-strong-rupee-hurts-the-economy.html