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Not only is India one of the world’s biggest and fastest growing market in the world, according to the recent IMF report India is set to grow at a rate second only to China. USA will also benefit from countering China’s growing dominance in Asia.
India reaps the obvious benefits of commodity trade and strong lobbying in its favour, recent example being the 123 Agreement...
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This outcome is beneficial not only for India but also for USA.
This has been explained in the pay-off matrix below:
| | INDIA |
|USA | |Severe ties with Iran |Maintain ties with Iran |
| |Talk to Iran |4,4 |6,10 |
| |Don’t talk to Iran |2,2 |4,8 |
P.S. - the numerical values in the matrix are arbitrarily taken depending on the benefits and losses accruing to a particular action...
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