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NEW DELHI: "The Budget has been formulated against the background of strong recovery in national income and agriculture, and an equally
impressive improvement in our balance of payments." That was how Pranab Mukherjee opened his speech the last time he presented a full Budget in 1984. When he starts his speech today, you can bet he won't say that.

The radically different situation he now finds himself in — an economy desperately trying to keep its growth momentum in the face of a global slump — will mean he has a more difficult balancing act to do than most finance ministers.

Any Budget calls for trade-offs between various desired goals given the finite money available, but Mukherjee has the unenviable job of finding larger than normal amounts of money to fund a stimulus package and various social welfare schemes at a time when a sluggish econ…