Dr Manmohan Singh, a prime minister by accident is one of the greatest visionaries that our nation witnessed after Independence. He led the country on the twin paths of liberalization and market economy. He helped our economy to restore back on some freedom that we lost after our Independence in 1950. The industrial and banking sector reforms, under his guidance gave momentum to the economy to move on its own by reducing policy centric rigidities. Step towards globalization was to help the country to become competitive in the world market and give equal right to all to maximize their shares and dues. What remains as a real achievement was the backtrack on the inefficient license raj system, which is held responsible for the past predicament and present laboriousness of our country.
A major issue with policy making is that the models that are prescribed and followed are based on so many assumptions and are mostly case sensitive. India was subjected to the decisions of those who thought we resembled the Soviet Union and ignored the political, social and cultural dissemblance. The Mahalanobis Strategy failed not because it was unplanned and mis implemented but because of the fact that it was not suited to our economy. Heavy industrialization was surely not the way to curb the growing dependence on other nations and to reduce the excess burden of employment on agriculture sector.
After the second five year plan, India was forced to industrialize on certain set parameters that our policy makers thought were suited to our economy as they were to other successful countries. Most of us today hold the industrial sector responsible for lower average living standards due to high level of unemployment in the unorganized sector. Had there been a proper industrial incentive system in sixties, labour intensive industrial growth could have absorbed the surplus labour arising out of the oppressed agriculture sector. During seventies and eighties, we continued with the same policies and thus the pool of disguised employment and unskilled labor force was build over time. In the Indian context it was not a demand side problem, the supply side economics failed because of the inappropriate policy measures that were carved out based on certain benchmarks.
I believe that the word freedom holds good in every sense. Planning and administration gave rise to the concept of power and thus came exploitation. I support the free economy framework that was given by Adam Smith, where the individuals act according to their own interests and in the process, society's interests are maximized.
Welfare encompasses all of us, so leave it on the individual discretion. This was the philosophy that tutored the economic reforms in 1991. The efforts put in by Dr Manmohan Singh and his crew need to be appreciated in larger context where our workers, entrepreneurs, industrial and commercial units gained the independence to act according to market forces. Restrictions will never solve any problems, rather will only exacerbate the existing gap between the developing and developed world. Set the individuals, economies and countries free .... and then see the change !!
I believe that the word freedom holds good in every sense. Planning and administration gave rise to the concept of power and thus came exploitation. I support the free economy framework that was given by Adam Smith, where the individuals act according to their own interests and in the process, society's interests are maximized.
Welfare encompasses all of us, so leave it on the individual discretion. This was the philosophy that tutored the economic reforms in 1991. The efforts put in by Dr Manmohan Singh and his crew need to be appreciated in larger context where our workers, entrepreneurs, industrial and commercial units gained the independence to act according to market forces. Restrictions will never solve any problems, rather will only exacerbate the existing gap between the developing and developed world. Set the individuals, economies and countries free .... and then see the change !!
