11 Apr 2020
Desalinating sea-water: A big bang reform for economic revival
3 Dec 2010
India, the next best thing on Earth?
So, how is this related to India? In a sense it is. There are no snow-storms, no natural variations to affect the work flow. On the contrary a nearly permanent tropical weather for most parts of the country presents a conducive environment for work at its appropriate pace. The stark lack of any dominating chieftains (as it used to be a couple of decades back, as reflected in the Hindi cinema of those times), the moral aspect of this aspect irrespective, has allowed the increase in working hours and employment of a working force which has now grown used to working abysmally long hours. With rich endowments from mother-earth in the form of natural resources, and a citizens dedicated to the cause of work more than work itself, the country has grown into a grove that is not just meant to be sustaining but in fact it looked upon as the harbinger of growth for both its western and eastern counterparts.
The impact of the progressive reins of Indian economy is so much so that today even the IMF is impressed with the deft approach of the Indian policy-makers (who only ensure to stay out of the way, lest turn into a stumbling stone in the path of growth of the self-driven Indian entrepreneurs), This the same IMF which enlisted India at the edge of bankruptcy not long back so as to be ebbed away from memory. Nonetheless we Indians take, just like all else, even this in our stride as we continue to march in our quest not just to be labelled as a developed nation but rather lead but example to all rest, as we were in the past a few centuries ago.
The newly independent India witnessed the migration of elite and talented to serve the western nations. Though they might have well been settled as of right abroad, the urge for them to be treated specially, be it as 'Persons of Indian Origin' or 'Overseas Citizen of India' etc., it reflective of the revived status of India that it is has turned "cool" for one to be associated with this proud-nation. The current Prime-Minister sees this trend as 'brain gain' whereas it is also to note that those seeking to rework the forgotten ties with this nation are not the unsuccessful ones looking to return but those who have made their name amongst the very best of the best. These distinguished persons are known internationally for their contribution to the global-village that this planet is and not just confined to the cause of a state or nation.
More importantly, what i personally like is the spirit of fighting-back. Be it massive floods (which have almost become a normal feature), tsunamis, earthquakes or even terrorist attacks, the country never stops. The productive activity never comes under a seize so as to turn dormant. Not just for earning livelihood, the people in this country also work for the sheer sense of joy that it brings to invent, invigorate, create, with the things around us. Though as a flip side of the all the industrialization activity no doubt the habitat has declined a bit compared to its pristine form, yet what matters is the fact, the bad manners notwithstanding, the we carry out with us an admirable capacity of owning up. A group pollutes, another tidies it up.
And, with all pun intended, just a reminder to other. The size of scams which we have are of such magnitude that few of them can equal the whole economic output of some nations. But then we turn a blind eye to these in our daily interaction, being assured that the scale will balance eventually and those responsible will be booked, the incident being just a bubble in a bath. ...
16 Apr 2008
To India My Native Land
A beautious halo circled round thy brow,
And worshipped as a deity thou wast.
And gorvelling in the lowly dust art thou;
Thy minstrel hath no wreath to weave for thee
Save the sad story of thy misery!
And bring from out the ages that have rolled
A few small fragments or those wrecks sublime,
Which human eyes may never more behold;
My fallen country! one kind wish from thee!
.
25 Jan 2008
India week at LSE and my poem
Perhaps the title of the poem explains its all; ...
Self-pride and nationalism,
Marred by bureaucracy and corruption,
Religious idiosyncrasies and bigoted fanaticism,
Still a land of growth, full of optimism.
A hot mix of culture and prejudices,
Bundles of contradictions within,
But a place of opportunities,
And self-realization forthcoming.
Carrying a indomitable past,
Feeding more than a billion mouths,
Up surging on a development path,
Huge work force and working hard,
Economic prosperity rising fast,
Makes me wonder,
When was
Be it economic reforms or WTO,
Making its presence felt all through,
Preparing itself for a worldly ride,
22 Jan 2008
India ranked 115 in the Index of Economic Freedom !!!
Covering “162 countries across 10 specific freedoms such as trade freedom, business freedom, investment freedom, and property rights”, the Index of Economic Freedom from the Heritage Foundation ranks
The ratings have been explained in the 422-page book titled similarly i.e. ‘2008 Index of Economic Freedom’ [click here to go to the downloading page for the full book] which seeks to not only illustrate the basis or rankings [for more, read the methodology adopted for the rankings] but also looks forward towards defining the future. Built in five plus one chapters namely; (1) Economic Fluidity: A Crucial Dimension of Economic Freedom; (2) Narrowing the Economic Gap in the 21st Century; (3) Globalization Is Making the World a Better Place; (4) Methodology: Measuring the 10 Economic Freedoms; (5) Economic Freedom in Five Regions; and (1) The Countries; the report in its last seeks to illustrate the views of its compilers in formulating the report and in the last accompanying chapter given an individually focused account of the reported countries. It is this last chapter that we are most interested in and particularly the view adopted in
In fact what struck me in sharp contrast to the optimism we breed in the country was the comment in the second paragraph itself was “
The report summarizes the position of relative freedoms in
While the ‘freedom from corruption’ is understandably low, the low depth to which ‘financial freedom’ has been rated is really something which I really look with skepticism for the reason that has been assigned for the same is that “banks must lend to priority borrowers” and that “foreign ownership of banks and insurance companies is restricted”. Instead of being major influencers of financial freedom, I find the two reasons assigned as more of a western looking-down upon the way in which
But digressions apart, I serious doubt the credibility of the rating especially in the light of more factors, few of them being our property rights, business freedom and trade freedom being assigned lower percentage points than labour freedom. Further, unlike the comment on the other countries, there is not a word of praise or appreciation of the country’s performance and all that is written is either negative or portrayed as being worst off in the world.
Nonetheless, as they say ‘when the sky falls, we shall catch lark’, similar is the rating which I would assign to this report. It is an exercise in retrospect and except for the other chapters of the book (some of which really look forward and relate the present to the future), I do not find any worthwhile use of the report either for potential investors or otherwise.
23 Dec 2007
EC on Gujarat Elections. Just as predicted

It wasn't long back when I wrote about how sledging wars were being carried out in the run down to the Gujarat Elections [click here for the last post]. I has also predicted that there would be no major action by the Election Commission and the results of the alleged notices issued would be out only after the elections are done with.
And then rediff reports exactly the same; "Poll Violation: EC warns Modi, lets off Sonia", as if warning is of much significance in the political arena. Plus the proceedings are given way to only when the elections are over and there result declaration is not very far.
It seems Election Commission has not remained the same vigilant watch-dog of Indian democracy.
Election Commission's role
Though it has been in vogue since the conception of the democracy in India with the Constitution specifically providing for one, it was not until the appointment of Mr. T.N. Sheshan that the Election Commission got a noticeable role in the state of Indian political diaspora and regime. Appointed in 1990 as the Chief Election Commission of India, Mr. Sheshan reigned during the most vociferous times of Indian polita and perhaps that made him venture strongly against the ruling alliances.
Prior to him, the Election Commission had merely remained as a political armour in the hands of the ruling party at the Centre to use this mechanism of 'electoral mischief' against its opposition, both at the Centre and State levels. There was no independent thinking and mindset on the part of the Commission and perhaps the high number of election petitions during those times signify only that, as the candidates fearing in-action on the part of th Commission instead approached the Courts for looking into the irregularities on that court. The electoral dispute between Late Mrs. Indira Gandhi and Mr. Raj Narain which went upto the Supreme Court is the classic illustration of this. It took a Constitutional Bench of the Supreme Court to decide upon the allegations, and rightly so, for it was clearly the job of the Election Commission where it was called upon to preform.
But then Mr. Sheshan was a man on a mission; mission to root corruption out of Indian politics. To quote wiki, "As the Chief Election Commissioner of India he made history by introducing innovative electoral reforms and making the Election Commission a powerful body. He may be rightfully termed as the most visible and controversial public figure who redefined the status and visibility of a CEC in India. His name became synonymous with transparency, efficiency and forward vision during his tenure as the CEC." [read full article here]
Since then there have been many who have been appointed to dawn the role of Chief Election Commissioner [click here to see the full list] but none has been so successful like Mr. Sheshan where bachha-bachha knew his name. To recall, there was even a song on his name "... Sheshan ki sarkaar, tha mast kalandar ... "
But these present times fail to inspire confidence in this institution. There was even a PIL filed against the roles of the various functionaries of this institution in the Supreme Court (and I watched the entire proceedings myself in Court 3 with legal experts on both sides), which was taken back after a political compromise. Nonetheless the reputation of the Election Commission as an independent arbiter and watch-dog ensuring fair-play in the Indian political arena has definitely take a back seat and is dwindling with the coming times.
18 Dec 2007
India's national website

But do check the national portal [click here]. It is a good reflection of the cultural and social backdrop, with a nice piece of design to being with.
16 Dec 2007
A dollar at 35 Rupees !!!

Of late there was much hype and euphoria when the Chinese Yuan was appreciated. However the situation was different there. No doubt the Yuan was becoming strong but the appreciation was on account of change in peg to basket of currencies rather than on account of the intrinsic worth of Yuan itself. I am pretty sure by now most of the readers without a background in monetary economics would be at bay with what I have written here. So its time for simplification.
Currencies the world over were initially valued in terms of their convertibility with gold, i.e. the 'Gold Standard'. This meant that the value of the currency was how much gold it could purchase with one unit of its currency. This also meant that the holder of the currency was entitled to get gold equivalent to the currency which he held, i.e. the 'Gold Convertibility' and the national governments or their central banks (like Federal Reserve for US, Bank of England for UK, Reserve Bank for India, etc.) were obliged to give equivalent amounts of gold to the currency that was presented to them for conversion. This however meant that the Banks could issue currency only equivalent to the amount of gold they carried.
This restriction on ability to issue currency severely impacted the roles national governments and their central banks could play in the regulation and management of their economies. Further, with the Great Depression proving a disaster for macro-economic management, countries the world over shifted to 'partial convertibility' i.e. gold would be given in exchange of the currency but not to the full extent of the value depicted on the currency but only partly. So for example when earlier for presenting $500 you would get gold worth $500, now for presenting $500 you could get gold worth only $50 and so on and so forth.
Then came the World Wars and the countries were in need of money more than ever. Simultaneously the IMF was also established. This led to the rejection of the gold standard altogether. Countries across the world agreed to covert their currencies now in only different variants and not in gold. So earlier when you could get gold worth $50 for submitting $500, now you could only get other dollar bills. So for 5 $100 notes you could get 100 $5 notes and so on. But the IMF held in more than this. It determined at that point the value of each currency on the basis of gold it could purchase and then calculated the value of each currency vis-a-vis each other, i.e. 'exchange rate'. The countries which came later on were given option to determine the value of their currency on the basis of an existing currency value or a mixture of them.
So India adopted a 'basket of currencies', currently 12 but unknown, where upon a formula developed by it the value of Indian rupee would be determined. China, prior to the appreciation I talked about above, was pegged to US dollar. So whatever the value of US dollar, the value of Chinese Yuan would be xUS$ where x was what China would decide.
Naturally Chinese products were always cheaper in US than US goods. And consequently the trade advantage China got allowed itself to occupy a huge market share (we all know how huge) not only in US but all over the globe. And so economically US was always constrained and this led it to raise a political agenda to get Yuan change from pegged to a basket, which China in fact did.
Now there is a concept of fixed, floating and dirty exchange rate as well. But I think this would get this post will get too heavy. Will write somewhere else. In any case, coming back to our originally discussion, since it has not been the influence of RBI or any external agency that Rupee has been appreciating, it is surely the outcome of economic growth and relative stability that India has been facing on the monetary front, which is good news indeed for the county as a whole but with the exception of exporters which have been having a good time with a weak rupee. Let us hope they can continue to make the best of their business by entrepreneurial initiative instead of looking for a fiscal relief from the Finance Minister.
12 Dec 2007
Arrest me if you have the guts, Modi tells PM !!!

For long now the Congress has been accused or having a puppet time in the Indian Government with the show being essentially run by just one (though I do not agree with it, especially as far as the financial and taxation sector is concerned) and no wonder majority of Modi's comments have come against that one person (no marks for guessing whom, ok ???) But this is probably the first time that he has spoken against the PM himself. Mostly soft-spoken but a genius, Dr. Singh has never been a political person throughout. He has been serving the country with the very best of himself and the best of his legions against all odds but then the thing is that politics is not all about efficiency (though I would seriously love that too be) and there is a bit of politics in politics (for the rest bit of it, I decline to recognize it for it is essentially the manifestation of corruption and vagaries of power). And therefore more needs to be done in order to take care of purely political issues, atleast I think, on Dr. PM's part.
I would surely not be surprised if there are no reactions or comments either from Dr. Singh or the PMO on this challenging remark by Mr. Modi but then surely there would be one from the Election Commission, which is poorly placed in between the centre and the state. Notices would be issued and proceedings initiated, the results would be withheld till the line-up for the elections is complete and new government comes to power. A typical Indian case. So much from the politically sensitive country. But as for Gujarat, the state is really progressive and that there is no second thoughts on that.
10 Dec 2007
India rising and beyond

Huge section of people still below poverty line, more people on less than 1 dollars are day than the entire population of many countries, large-scale illiteracy, massive income divide, little and practically no infrastructure to connect the rural with the urban and share the benefits, the same rudimentary and dogmatic vastness covering the mental psyche of the rural India (which deprives that section for sharing the same development rate, who do not understand what does an appreciating Rupee against dollar mean) and all.
But why am I saying this, is it a criticism of the structure and more like saying "things will not change ever" or "come on, you gotta be kidding" types. I am a hard-core supporter of the vision that Indians carry and India is striving for. And I am equally sure that we will be able to achieve those desired results. But my only concern is the timing. In my opinion not much emphasis is being given on these underlying issues, which are vicious circles really, and without tackle which successfully, the dream will continue to evade us and become a long realized one.
The policy makers should lend their eyes to that. To illustrate, take the case of Education Cess, which is charged as a surcharge (i.e. tax on tax) @ 3% now (earlier 2%). The collections on this count have been huge and are piling up as we speak and Indians spend. But where are they being used? This reply in Lok Sabha does not tell us much. The attitude of the Government did not change even an year later [click here to see]. Shouldn't there have been a professional approach towards handling this fund, which has been earmarked for a special and important purpose?
Same is the case with handling of foreign exchanges. No doubt the Reserve Bank is doing a wonderful job keep the Rupee stable and fighting inflation. But shouldn't we stop compiling dollars? I am sure, with the given rise in exports and (but for oil), matches with imports, there would be no foreign exchange crisis in the short and medium run. Then why not invest these reserves in infrastructure development. Mumbai and Delhi are like saturated in terms of the available space. Why not make smaller cities around these and other metros as hubs for investment to supply and cater to the needs of these metros, which are like economies in themselves.
India is rising because it is bulging with talent. But what is the point if the talent cannot be utilized? I would propose that incentive schemes be made such that non-office jobs be situated in sites which do not crumple space in cities. Like what about BPO, call-centres etc. being situated in outskirts of cities. This will not harm anyone and more space in the interiors of the city can be devoted to jobs which require more skills and add more value. Certainly I do not wish to demean the wonderful service these sectors provide but it is just that a proper city planning itself can do wonders.
Then we have such a huge IAS personnel, all full of talent and merit (come on, its really hard to pass through that UPSC exams and if you are through, you got to have something in you). Why not assign independent charges and pool ideas from amongst them. But always keep them making meaningful things out of what Ministers say. The country will grow more if independent charge is given to each IAS (sitting in North or South block) to take care of a particular sector/industry/area/city (or whatever wise criteria one can evolve) and then give them the resources and time with a regular stock-taking. I am sure they would come out with wonderful results. We just got to trust our brother-hood and be patient with the results.
These are just few suggestions which my brain can think of. Think the wonders that will be caused if the progress is seen as the target and more people start thinking in this novel and broad way. I would really love to see the country prosper and advance in more qualitative terms than just in terms of GDP.
Vande Materam ...
9 Dec 2007
Why IAEA is such a huge issue in India?

26 Nov 2007
Changing times with Reservation in India: Lessons from the past

On the other side of affairs, we also extended the form, nature and amplitude of benefits to these backwards classes (which also included, besides the SC/ST, 'other backwards classes'). We provided for reservation.
Indian legal and political history is replete with the violent reactions and bloodshed aftermath, coming from those who fell in the General Category. This was primarily due to the then Government (led by Mr. V.P. Singh of the Junta Party) with followed the decision to allocate quotas for the backward classes (or more specifically implementing the Mandal Commission recommendations). The most prominent example of this backlash was the suicide of Rajiv Goswami, who gave his life only because of the inequalities and inequities that were being introduced through this fractured and ill-thought policy decision. And this was in 1990.
Times have changed, but not much since then. Every now and then, there have been attempts to increase the scope of this reservation system in terms of both the magnitude and areas of application. The battle is now in courts and therefore being sub-judice, I would not comment on it. But there are few interesting observations to draw from it.
(1) The policy-led-decision of introducing reservation seems to be essentially in line with the 'divide and rule' policy of British in India. What reservation has done is to have made broadly two classes in India: those within the system and deriving benefits and those outside and considering themselves condemned. This has also led induced attempts of this inter-class influx both on the individual level and community level. For example, (at individual level) higher classes marrying with lower classes to derive the benefit of reservation and (at community level) entire community demanding to be declared as a backward class so that they could also be brought within the fore-fold of reservation.
(2) No doubt that it is being described as a political tool and measure of 'vote-bank-politics', but I believe things need to be seen differently. When we initially thought that we would digress ourselves from the push-up theory and instead adopt the pull-up theory but that objective has not fructified. We have provided for reservation in seats in colleges etc. but we have been unable to find the required number of candidates to fill up those seats and avail the benefit. Instead what we find is an ever increasing number of seats being reserved without this being translated into meaningful terms owing to the inability of the system to induce the backward classes to come forward and take the benefits of it.
(3) The social diaspora does not reflect in unequivocal terms the direction we need to adopt for future policy programmes. While there is intense demands for both; increasing the number of backward classes into the benefit availing segment, and diametrically on the other hand to end up with this system fully; the ins and outs of these are not sufficient to evolve a long-term objective to be pursued.
In these circumstances, the best answer according to me lies in 'Subsidiarity'. It just requires a re-designing of the system in a manner that the benefits of the system peculate to the lowest level, which cannot be done in a manner better than one wherein it starts from the lowest level itself. By making the lowest cadre competent to realize the benefits for moving up-stream and tread on the path to progress, one may as well find the existing system working and bringing out better results.
But then, again its a question of "political will" and "commitment" and cannot be achieved without determined outlook and valour.
22 Nov 2007
The Gloomy future of teaching profession in India

"The Indian academic profession has suffered from having been born under three unlucky stars. It was unable, because of the poverty of the country, an unfortunately chosen constitutional model and an uncongenial cultural tradition, to develop vitality as an intellectual community with a variety of overlapping, more specialised intellectual sub-communities.
Coming into existence in a society which was not a civil society, it could not develop a sense of affinity with the other sectors of the elites – alien and Indian –which ruled the Indian polity, economy and culture. And being more advanced in the scale on which it was carried on than the economic and social structure of the country, it could not function as an effective training stage for the central and lesser elites of the country.
These latter two misfortunes accentuated the first. The attrition of civility and superfluity in the performance of its function in the Indian economy has inhibited intellectual ardour and hampered the growth of academic intellectual traditions."
In my view, this analysis by Edward Shils is perhaps it is one of the very erudite summation of the reasons for the woeful position of the teaching profession in
Research has shown that "there is evidence of inefficient incentive structures for teachers, with teacher characteristics that produce improved student achievement commanding only weakly higher pay, while other teacher traits that have few discernible learning benefits for the pupils having strong salary payoffs for the teachers." Then there are other reasons as well. But whatever may be the reasons, the country as a whole is suffering. Those who are bright don't need a teacher and those who are not-interested cannot be helped by a teacher. But what about those who are average and really need a committed individual to inspire in them the zeal to dream, think and grow.
A teacher is very important for the growth and development of the pupil. The personality of students is sharpened highly by the teacher they have, especially in their formative years. They learn, know and understand the meaning of respect and millions of other things in life, which they cannot be expected to realize all at home or work. We all need a playground and an instructor to find out what are potentials really are and the field we are best in or belong to or should aspire to me. And that is what a teacher is for.
Here I do not mean to offend or show dis-respect to all those teachers who have shown the golden path of "knowledge is empowerment" to me and that "there is not success without hardwork" and those who continue to inspire the zeal in me to keep myself directed to the chosen goal, but what I am essentially trying to say is that the number of such self-motivated, inspiring and selfless beings is dwindling rapidly and the system needs to be reworked if the future for tomorrow is to be ensured as being a good one.