For 8 years, GDP averaged 8.5% and 2011-12 will be no different. CPI inflation is less than half its Jan 2010 peak, less than 8 % and coming down further. Globally the signs aren’t that great. RBI’s hiking of rates is bereft of logic.
Blurb: The BJP estimate of fresh black money flows in India, amounting to 7.5 % of GDP, are evocative but sadly out of touch with reality and involve an overstatement of at least five times the actual amount.
Black money – how much is it? Over the last few months, starting with the Global Financial Integrity (GFI) report on India, rumors have been rife that black economy in India is close to 50 percent of the economy. And that three-fourths of this money has flown out of India – capital flight – and found a safe-haven in tax shelters abroad. The final draft of this seemingly authoritative report came out in November 2010 and was timed perfectly with the scam storm prevailing in India at that time. Recall that the story of the CAG report, and the Radia tapes, also broke in mid November 2010. The cumulative effect of these events was to set the Indian government, politicians and civil society on fire. And not to be left behind, in response to a PIL, the Supreme Court has asked the government to release the names of the tax evaders with stashes abroad.
Blurb: The BJP estimate of fresh black money flows in India, amounting to 7.5 % of GDP, are evocative but sadly out of touch with reality and involve an overstatement of at least five times the actual amount.
Black money – how much is it? Over the last few months, starting with the Global Financial Integrity (GFI) report on India, rumors have been rife that black economy in India is close to 50 percent of the economy. And that three-fourths of this money has flown out of India – capital flight – and found a safe-haven in tax shelters abroad. The final draft of this seemingly authoritative report came out in November 2010 and was timed perfectly with the scam storm prevailing in India at that time. Recall that the story of the CAG report, and the Radia tapes, also broke in mid November 2010. The cumulative effect of these events was to set the Indian government, politicians and civil society on fire. And not to be left behind, in response to a PIL, the Supreme Court has asked the government to release the names of the tax evaders with stashes abroad.
Blurb: In the Great Indian Poverty Debate, a variety of estimates are thrown around to confuse everyone. Mr Sibal seems to have taken a leaf out of this book when he decided to say Raja’s scam cost nothing
The 2G scam story is going the poverty way. Or going the way of the Chinese yuan. Let me explain the connection. For quite some time now, the policy among the povertywallahs is to obfuscate the issue. Throw in as many numbers of poverty as possible so even the authors will be confused, never mind the public. At last count, there are three official estimates of poverty in India ranging from a low of 21 to a high of 37 percent for 2004/5. In addition, there are two estimates from the sanctorum of the National Advisory Council headed by Ms. Sonia Gandhi - these estimates have political authority but not economic sense. These two high priest estimates suggest that absolute poverty in India ranges from 50 to 78 percent of the population. Are you sufficiently confused about what the state of poverty in India? Yes, and that is precisely the effect desired.
Blurb: In the Great Indian Poverty Debate, a variety of estimates are thrown around to confuse everyone. Mr Sibal seems to have taken a leaf out of this book when he decided to say Raja’s scam cost nothing
The 2G scam story is going the poverty way. Or going the way of the Chinese yuan. Let me explain the connection. For quite some time now, the policy among the povertywallahs is to obfuscate the issue. Throw in as many numbers of poverty as possible so even the authors will be confused, never mind the public. At last count, there are three official estimates of poverty in India ranging from a low of 21 to a high of 37 percent for 2004/5. In addition, there are two estimates from the sanctorum of the National Advisory Council headed by Ms. Sonia Gandhi - these estimates have political authority but not economic sense. These two high priest estimates suggest that absolute poverty in India ranges from 50 to 78 percent of the population. Are you sufficiently confused about what the state of poverty in India? Yes, and that is precisely the effect desired.
Blurb: The second big task for India is to rewrite the Constitution. If we had an individual rights oriented Constitution, then Mr Binayak Sen wouldn’t have been arrested, nor Ms Radia’s phones tapped.
The much awaited Telangana report was released on Jan. 6th. While we debate the merits of whether the state of Andhra Pradesh needs to be bifurcated, we should take time-out and reconsider the larger issues raised by the report. Two issues dominate – first, that there is a crying need for a States Reorganization Commission, mach II and second, that it is time we considered the writing of a new constitution.
Blurb: The second big task for India is to rewrite the Constitution. If we had an individual rights oriented Constitution, then Mr Binayak Sen wouldn’t have been arrested, nor Ms Radia’s phones tapped.
The much awaited Telangana report was released on Jan. 6th. While we debate the merits of whether the state of Andhra Pradesh needs to be bifurcated, we should take time-out and reconsider the larger issues raised by the report. Two issues dominate – first, that there is a crying need for a States Reorganization Commission, mach II and second, that it is time we considered the writing of a new constitution.
Blurb: As India marches towards its destiny, we must reject the temptation, or the excuse, that we are unique.
The Jalan report on ownership of stock exchanges is flawed on so many counts that it is hard to imagine that anything more could have been added to the report to ensure that it should and/or will be rejected in toto. It is reasonable to speculate that this was perhaps the intention of the eminent committee. Why that might have been so will perhaps be debated over the ensuing months.
Blurb: As India marches towards its destiny, we must reject the temptation, or the excuse, that we are unique.
The Jalan report on ownership of stock exchanges is flawed on so many counts that it is hard to imagine that anything more could have been added to the report to ensure that it should and/or will be rejected in toto. It is reasonable to speculate that this was perhaps the intention of the eminent committee. Why that might have been so will perhaps be debated over the ensuing months.
Blurb: There is lots to cheer about the Indian pattern of growth and poverty alleviation. But the glitterati, political and otherwise, still is blind to reality.
In this winter of gloom, doom and corruption, the government can obtain some warmth from data collected by its statistical agencies. Alas, these agencies have yet to hire some basic data processing capabilities from minor computer firms, let alone agencies like Infosys. Perhaps Nandan Nilenkani can loan some programmers from the UID project. So what is the issue, and what is the evidence?
Blurb: There is lots to cheer about the Indian pattern of growth and poverty alleviation. But the glitterati, political and otherwise, still is blind to reality.
In this winter of gloom, doom and corruption, the government can obtain some warmth from data collected by its statistical agencies. Alas, these agencies have yet to hire some basic data processing capabilities from minor computer firms, let alone agencies like Infosys. Perhaps Nandan Nilenkani can loan some programmers from the UID project. So what is the issue, and what is the evidence?
Blurb: There is no better guarantor of freedom and individual rights and efficiency than a system which allows the regulator to be checkmated when it indulges in malpractices.
While the expose of the Radia tapes is the best thing that has happened in India for governance – ever – the windfall raises some fundamental issues about government regulation and diktat: who is there to check on the regulator. What if she, or it, displays inconsistent or irrational behavior – who is there to say that this is not how it should be, this is not how it was meant to be.
Blurb: There is no better guarantor of freedom and individual rights and efficiency than a system which allows the regulator to be checkmated when it indulges in malpractices.
While the expose of the Radia tapes is the best thing that has happened in India for governance – ever – the windfall raises some fundamental issues about government regulation and diktat: who is there to check on the regulator. What if she, or it, displays inconsistent or irrational behavior – who is there to say that this is not how it should be, this is not how it was meant to be.
Blurb: Contrast Jalan on stock exchanges with RBI on banks. RBI gives pros and cons, and hesitates to reach a conclusion. Jalan report only reaches conclusions
The government of India has officially proclaimed a target of 10 percent GDP growth for India. If this is to be achieved, successful financial intermediation is a critical necessity. Recognizing this, we at Oxus Investments have embarked on major work program related to India’s financial market. The hope is that via intensive research on both our own and international capital markets, one can arrive at a set of guidelines and policies for India to achieve its goal and destiny.
Blurb: Contrast Jalan on stock exchanges with RBI on banks. RBI gives pros and cons, and hesitates to reach a conclusion. Jalan report only reaches conclusions
The government of India has officially proclaimed a target of 10 percent GDP growth for India. If this is to be achieved, successful financial intermediation is a critical necessity. Recognizing this, we at Oxus Investments have embarked on major work program related to India’s financial market. The hope is that via intensive research on both our own and international capital markets, one can arrive at a set of guidelines and policies for India to achieve its goal and destiny.
