Indian Economy: News and Discussion

[Haldilal]

Ya'll Nibbiars Instead of Building Vidhan Sabah new building should Concertate on the drains. What happened to the world class planning in the Hyderabads.

 

[Haldilal]

Ya'll Nibbiars Interesting that Himachal Pradesh providing land ownership to slum dwellers. Eligibility is that slum dwellers should be staying prior to 1974. Only 0.9% of Himachal population stays in slums. Hardly a vote bank. Who is the hidden hand then?. And soon we wil find that 10 percents of the population will opts for this and @Kumata Nibba you also opts for this showing your ghar as jhopadas.

 

[Chandragupt Maurya]

so, is India supposed to drastically reduce the population to at atleast 200 million immediately, to rise in per-capita related rankings?

Decreasing population doesn’t increase the GDP per capita it’s a myth

 

[Chandragupt Maurya]

What is your metric of comparison? Scoring 60% on boards might look good until you realize that more than 75% of the class has scored above 80%.

Almost 70% of the countries listed in the IMF rankings have a per capita income greater than India.
The vast majority of countries that are ranked below India happen to be Sub Saharan African countries, most of whom are either facing civil unrest or are near failed states.

So why do you think 7K Per capita (PPP) is good?

Check the quality of life of an average individual instead of gdp per capita
definition of gdp is different in different countries and gdp is always an estimate it’s never accurate richest countries may not necessarily have highest gdp per capita
Let me give you an example suppose if two individual work in a factory they both get paid the same amount of miney but one individual has his own farm he doesn’t need to buy food infact he even earns money by selling the food so on paper both of them have same income but in reality the one who owns the farm is much wealthier than the one who doesn’t
And the most important thing is cost of living a region with high per capita income will still be poor if the cost of living is high and a region with low per capita income but low inflation and hence the low cost of living will still be wealthier

 

[Anandhu Krishna]

Ya'll Nibbiars

View attachment 154247View attachment 154248

Most of them are highly educated. This govt is trying everything it can to make this outflow as smooth as possible.

 

[no smoking]

Above 6 percent growth is good given world economy is going down .

6% growth is good thing to any country which is in the more economically matured stage (i.e. China).
The problem is that India is still in her early taking off stage, she should grow at much higher rate for much longer time to enable herself to jump up to the higher level.
The history tells us: for any developing country, the fast developing window is always limited. During this period, she has everything she need to grow, cheap & young labor, rich & cheap resource, numerous opportunities. But all these will go very soon: people get old, pay rate is up, domestic resources become scarce, whatever you did successfully won't work any more. You need to change your strategy. That is why you need a long period of high growth. Only by that, you can accumulate enough money to invest for your future. If you look at those successful Asian countries from South Korea to Taiwan, they all had 20+ years with 7%+ growth average.
Consider the size of India, obviously she need much long time and much higher growth.

 

[gajapati]

6% growth is good thing to any country which is in the more economically matured stage (i.e. China).
The problem is that India is still in her early taking off stage, she should grow at much higher rate for much longer time to enable herself to jump up to the higher level.
The history tells us: for any developing country, the fast developing window is always limited. During this period, she has everything she need to grow, cheap & young labor, rich & cheap resource, numerous opportunities. But all these will go very soon: people get old, pay rate is up, domestic resources become scarce, whatever you did successfully won't work any more. You need to change your strategy. That is why you need a long period of high growth. Only by that, you can accumulate enough money to invest for your future. If you look at those successful Asian countries from South Korea to Taiwan, they all had 20+ years with 7%+ growth average.
Consider the size of India, obviously she need much long time and much higher growth.

Predicting beyond 2 years is like swinging stick in dark .. No point of predicting till 2029 or 30 years ahead .. And no point of discussing on that either ..

 

[Dark Sorrow]

 

[aystle]

Nice Video.

 

[Love Charger]

Nice Video.

Lole lag gaye

 

[Rxbanda]

India's $5-trillion economy dream: Not before FY29, says IMF

Top headlines: IMF on India's $5-trn economy aim, drop in MGNREGA demand

Here are the top headlines on Tuesday

www.business-standard.com

View attachment 154083

I don't know how much these long term or even medium term projections are reliable.
Many factors come into picture- trade agreements, how COVID turns out in the future, who makes the next government etc.

Any idea if IMF considers such factors, or are these projections based on today's scenario?

 

[Rxbanda]

if rebasing of base year for GDP calculation happens(as per the news report from the other day), timeline might change depending on whether adding new industries that came up in last decade are part of new GDP estimate calculation.

This is interesting. So, are not all industries considered in GDP?
Any examples of the industries which are not counted in GDP calculations as on today?

 

[Rxbanda]

And who said so? $7k+ in PPP is still good, we’re not even counting the parallel informal economy which as per RBI is 52% of our GDP. If we were to add that then our GDP per capita PPP would be around $10k+. If there’s so much income inequality then why is the average cost of smartphone sold in India $230 compared to the $99 of your Shonar Kangla neighbours to the east? And income distribution is skewed everywhere, top layer and bottom layer exists everywhere, and yes it would be much more in case of India, however fact is that more than half of the country was using 4G in 2020 and it’s 2022 now. Rising tax collection and electricity demand is one indicator showing economic prosperity.

Since the whole discussion started with comparing India and Bangladesh GDP, if we say that we have an informal economy, that is true for even Bangladesh.
Also 52% was 3+ years back. Some media reports quote an SBI report which says that the informal economy is about 20% of the formal. This rate of formalization is a little hard for me to believe, but it must be surely less than 52%

 

[thebakofbakchod]

Gujarat's export figures double in a year | Rajkot News - Times of India

Gujarat has broken its previous records in exports. The state clocked exports of Rs 8.37 lakh crore in the financial year 2021-22 till February, while

timesofindia.indiatimes.com

 

[HitmanBlood]

Nice Video.

Punya Prasun & Shekhar Gupta are typical darbaris. It is obvious that after Covid and now Ukraine War has effected many economies around the world. India is definitely no exception.

I am hearing about Indian economy will collapse from leftist outlets since 2016. First under demonetization, then after Bank scams, then under covid lockdowns and now after war.

Meanwhile these darbari journos praise money wasting schemes like MSP, Food Security, NYAY, MANREGA, and all sorts of freebies from parties like pAAP. These leftist clowns are always first to cry when Modi government initiates any sort of reforms or puts tough measures for economic recovery. And when things go south they jump in joy like, "hey we told you Modi doesn't know economics."

Why these leftist journos are crying? Because RBI is taking preventive measures? Had RBI not done anything these same clowns will cry that RBI isn't doing anything.

This Punya Prasun is repeatedly calling LIC IPO as, "Mudi ne LIC bech di". And this guy is giving economic advise with a straight face.

Another thing these leftist clowns are doing is showings rising import levels but they will not breakdown these numbers. Yes, India's import bill is rising but because energy is becoming more and more expensive after War. And since we have almost no oil under our soil this problem will persist. Modi gov is the only gov in Indian history that is seriously working on alternative energy to deal with this issue. Not a single leftist journo will mention this. On NPA, again these dishonest darbari journos will not mention role of Khangress gov before 2014.

 

[karn]

View attachment 154265

Gujarat's export figures double in a year | Rajkot News - Times of India

Gujarat has broken its previous records in exports. The state clocked exports of Rs 8.37 lakh crore in the financial year 2021-22 till February, while

timesofindia.indiatimes.com

Gujrat does export most of our petrochemicals ... Vasooli govt in maharashtra on the other hand stalled the Aramco refinery.
Edit: someone before had compared Kangladesh to gujrat to prove a point about following a model. Gujrat exports are 100Billion USD Asian tiger Bangladesh does less than 50 billion in total export.. merchandise + service.

 

[FalconSlayers]

Since the whole discussion started with comparing India and Bangladesh GDP, if we say that we have an informal economy, that is true for even Bangladesh.
Also 52% was 3+ years back. Some media reports quote an SBI report which says that the informal economy is about 20% of the formal. This rate of formalization is a little hard for me to believe, but it must be surely less than 52%

It’s 52% as long as GDP is not rebased, we still are using 2011-12 as base year.

 

[Kumata]

Ya'll Nibbiars Interesting that Himachal Pradesh providing land ownership to slum dwellers. Eligibility is that slum dwellers should be staying prior to 1974. Only 0.9% of Himachal population stays in slums. Hardly a vote bank. Who is the hidden hand then?. And soon we wil find that 10 percents of the population will opts for this and @Kumata Nibba you also opts for this showing your ghar as jhopadas.

View attachment 154249

 

[angryIndian]

What do you want to say? If you scored 60% today you can’t score an 80% tomorrow? Seriously you’re just the Bengali version of Abhijit Iyer Mitra.

I said nothing like that....My statement clearly states that at present we are well far below the global average.
That shows how much work has to be done.

How many of them are growing faster than India and increasing the gap? Only 5 countries

And India has to maintain the growth momentum for a very long time to see the results.The real challenge is whether India will be able to maintain this growth

So you want to say that India is a failed state
India’s informal economy is not even counted in such figures, and it’s just your racism to show African countries as failed states because of your confirmation bias, there are many African countries with GDP per capita higher than many eastern european countries.

The problem with collecting data related to the informal economy is not just unique to India but most developing countries, so let's stick to the openly available information.

And Never I have indicated that India is a failed state but most of the countries that rank below India are mostly politically unstable states, most of whom are in Sub Saharan Africa. This is a fact.

It’s still great for a country which has faced famines and droughts post-independence, brutal terrorism for decades in North East, unending terrorism in red corridor, terrorism in Punjab, terrorism in Kashmir valley, 1991 forex crisis and the worst of all, socialism and communists. Next year our GDP per capita PPP would be $10k and will keep on increasing, by the end of this decade in 8 years it will reach $20k+, as I said you’re just the Bengali version of Abhijit Iyer Mitra who thinks that just because you’re an under achiever today hence you’re fucked up and should give up trying.

IMF says India's per capita income will be 12k in 2027,so in just 3 years it will jump to 20k?

India's miserable performance so far is largely due to the fact that it's an unproductive economy where despite having the second-largest workforce we have very low levels of per capita productivity. This is bound to happen if your workforce is mostly unskilled and engaged in activities like manual labour and agriculture.

 

[angryIndian]

so, is India supposed to drastically reduce the population to at atleast 200 million immediately, to rise in per-capita related rankings?

I don't think that's a plausible solution. A better solution would be to upskill the workforce so as to boost productivity meet the needs of tomorrow