Huge Population is the problem of India and Not Corruption.
I see here people saying Corruption is the problem of India. Corruption is just a small problem compared to ever increasing Huge population of India.
India needs to learn from China of how to control Population increase. Not only learn it has show the dedication to implement the Successful policies of China's Population control. I know this policy pains a lot but still India is in need of implementing it.
The time has come when intellectuals ,professionals and educated middle class should stop paying taxes till the SCAMS MONEY is RETURNED by the CORRUPT politicians etc and Inflation is checked , and the corrupt ministers are severely punished without delay !!
Re: HELLO !!!!!!!!!!!!!!!
by deepak singh on Apr 11, 2011 10:56 PM
yes off course this is the time for the the people, whose income is avg. or bellow the avg. to stop the paying taxes until the money which is kept in swiss bank or some where else is returned in our country------
Inflation is caused by too much money chasing too few goods, in the current case we have had lots of false money coming in and agricultural produce getting affected with the storage and supply chain of food items very badly managed, both combined to form a major spiralling of food prices and will continue.
False money is that which in reality does not have any value and whose only value is based on the perception of the end user of that money.
As of now IT industry is receiving payments in US dollars which are over priced against the rupee, so unfortunately the workers in IT industry get paid more than they deserve and the common man loses out because rupee is losing value every day when in reality it should be gaining value.
This is causing a huge loss to the nation and especially the aam aadmi whose income is not increasing with the pace of rupee fall.
So although the rupee may seem like its stable against dollar in effect it is losing out and this is simply because of mismanagement by our finance leaders.
Of course the rupee is also losing out due to the black money and hawala transactions but then thats another story.
Solution : Support agriculture and increase its produce. Let the rupee rise against the dollar (IT will have some impact) Stop corruption and bring back all black money.
Re: Causes of inflation and threat to economy from false money
by yogesh pande on Jan 26, 2011 11:52 AM
fully endorse the Walker statement,the cause of inflation you have highlighted it is true.But the tools you have discussed to curb this inflation,not going to accept by our so called BHAGYAVIDHTAS.
These idiots occupying high offices in RBI ,planning commission and likes are outdated and brainless confused persons.First they create problems and then sit with head between hands.That is what MM Singh is doing.he is biggest fraudulent expert ever in India.Glamor stuck and stooge of MNCs and capitalists his sole objective is to help loot.Just throw him out and see how prices start falling. Nothing is going to happen with 0.25% interest rate hike that too of RBI rates. Higher interest means cost of supply chain capital and prices will actually go up.These idiots are not seeing this fact in last 2 years.They are repeatedly failing why prices are rising: 1.Too Much easy money in market 2.High salaries of babus and executives after MM Singh came. 3.Brainless wastage of money and enjoyment by politicians and babus 4.Auto boom 5.reckless conversion of agriculture land for malls and computer centers. 6.No control on corrupt corporations who hike prices every 15 days.NO price commission in India. 7.Fraudulent property prices caused by MM SIngh government over inflating paper wealth in economy and making everything costlier. 8.Raising costs and demand before income.SIngh is a typical person with his foot pointing backwards.He has put cart before the horse creating expenditure economy and luxury blindly aping west 10.Costly imports and cheap exports 11.Free play to FIIs and MNCs to loot Indian economy. 12 Raising taxes heavily every month includuing property taxes
Re: Loot ,plunder,corruption and mismanagement is cause
by Abbas Rumani on Jan 26, 2011 11:57 AM
Mr. Rajenra Gupta Why are you sitting at Home.When you say every boody is brainless, than a person like you with full brain if not PM at least should be Indiia's Finance Ministory. The problem of India is not corrupt Politician, Babus and other, problem is people like us, who believe they know every thing and have solution for every problem, but don't do any thing except sit in their drawing rooms and debat & discuss
Re: Loot ,plunder,corruption and mismanagement is cause
by krb on Jan 26, 2011 11:45 AM
ur absolutely right sir...they r not smart to take right steps to overcome inflation but stealing others pockets to curb inflation which is meaningless and injustice...no action for unrecovered taxes, Amnesty for black money, no action on 2G scam thives, immediate rollbback for the halt of concession for VVIP....etc etc shows very poor to poor administration...eventhough loosing many elections they are not learing lessons...
good presentation, informative.thanks rediff.my humble submission in this regard is , when the economic policy is in the wrong track then the fiscal measures cannot solve the problem.the flaw is very much there in the model, balancing is simply impossible.the immediate measures are also unimaginative, the ground reality was not considered. major concern for the economy is rising inflation particularly the food inflation. some essential food items should be made available to the common public at subsidised rate through pds. revive state trading corporation it will help to contain the hoarders, otherwise the crisis will deepen. the essence of this article lies here ' tightening of rates cannot bring down rates as food inflation is a result of an inefficient food supply system and hoarding by unscrupulous traders.'thanks
Inflation is too much money chasing too few goods. So curtail availability of money and generate more goods so prices will fall.Interest rates are only one element of costs in the production of goods. The whole cycle of production has to be fine tuned to get at the optimum rates. But when the profits are high and transferred to tax havens instead of remaining within the country, these do not generate more goods at reasonable prices. Also wonder what is the role of counterfiet currency in all of this?
How come housing is still strong and going up and up and up. Is it Artificial? I think the Housing market will come down, after this hike. Its very difficult to understand this logic.
Re: Housing.... Is it Bubble?
by Souvik Jana on Jan 27, 2011 06:42 AM
every middle class person dreams to have his own home.. plus another property as an asset... plus NRIs can buy property in India and that too is keeping the housing sector strong... housing bubble is too strong in India... it wont come down... in fact it will become more strong in coming years...
Mr Subba Rao is out of his depth here. The cause of inflation is not too much of money in the system - demand side inflatio, but too few goods being produced - supply side inflation. A lot of money has been invested, but projects are either not taking off or being delayed or overshooting estimates. Raising bank rates till kingdom come will not really solve the problem ..i will just choke off the economy. Thecountry at this time needed an intellectual giant as RBI governer - a Ranganathan, or Jalan, or best of all a Reddy. Mr Subba Rao is basically a beauracrat ... he is unable to take on the finance minister or ministry
