Tracking Indian Economy till general elections 2019

Screambowl

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Very very good initiative.
It's the skill which gives you employment.

BC degree waley or 98% waley bharey parhy hai .. kya ukhaad liya inhone? Noble prize toh aya nahi, ulta ma behen kar dety hai ulti seedhi policy bana kar



Why countries like Switzerland, Singapore, Sweden and Japan are focused on making more Indians employable
Last week, India andJapansigned a memorandum of understanding (MoU) to send 3 lakh Indian workers for on-jobtrainingto Japan. Not too far away, two World Bank-backed schemes of Rs 6,655 crore for skill development got the government nod.

Around the same time in Sweden, a delegation led by minister Suresh Prabhu, while soliciting investments, also made a pitch to Swedish honchos to partner in skilling Indian workers. And

last month, backed by the government, LinkedIn signed a pact with IL&FS Skills Development Corporation to roll out the first-ever platform to upskill blue-collar Indian workers and help them network and find jobs.

Earlier, National Skill Development Council (NSDC) had joined hands with Google to train Indian app developers. Then, Asian Development Bank is helping roll out skill programmes from Himachal Pradesh to Odisha.

Ties are being forged with academic institutions like Australia’s Deakin University and Harvard Business School, US, to monitor and aid NSDC’s skill development programmes. Talks are on with community colleges from the US and Canada to beef up India’s vocational training infrastructure.

India is staring at a job crisis. In a country with over 470 million workers, how to create jobs and make Indians employable is the government’s biggest worry. Efforts within the country are on to find some answers.

Equally, an overseas push too is intensifying. PM Narendra Modi’s tenure has been marked by warm diplomatic ties. This warmth has traditionally given a boost to bilateral trade, investment and defence ties. Skilling Indian workers and helping them find jobs just got added to that list.

MoUs and partnerships with countries and companies, universities and trade delegations, have surged. Collaborations with MNCs and their respective industry bodies (say, Business Sweden) are in the works. Avenues to open up global job markets for Indian workers are being explored; example: geriatric caregivers for Japan’s ageing population.

Sweden wants 50,000 fresh women IT graduates from India. Help is coming India’s way from multilateral and bilateral bodies like the World Bank, Japan International Cooperation Agency ( JICA) and the ADB. NRIs too are chipping in, with some wanting to set up skills universities. “Jobs and skilling workers is a tough problem to solve. It cannot be done overnight. But we will do everything we can to solve it,” says Manish Kumar, MD of NSDC.



Helping Hand
There are multiple reasons for countries, companies and multilateral bodies becoming willing partners in Kumar’s endeavours. “Today, one in every five young persons in the world is an Indian. Our role as a multilateral agency is to present India as the human resource capital,” says Shabnam Sinha, lead education specialist, World Bank. Adds Kenichi Yokoyama, country director, ADB: “India is our largest borrower, and also among the best performing.

Now we are focusing our attention on low-income states… skill development and capacity-building will be critical.” Japan has multiple reasons for its multi-level support to India’s skill development push. An ageing population, a shrinking home market and surging Japanese investments in India are nudging a culturally insular Japan to support India. “India has supported us in difficult times. Now it is our time to help,” says Takema Sakamoto, head of JICA India.

India could do with a helping hand. At present, a disparate set of factors — slowing growth, elusive investment, demonetisation and GST along with automation (like banking), global headwinds (in IT services) and structural shifts (in telecom and even agriculture) — has led to rising unemployment in a populous country that adds close to a million new workers every month.

High inflation or high unemployment or both can often decide electoral fortunes. The government is in its fourth year and the 2019 general elections are on the horizon. On the one hand, desperate efforts are on to revive investment and create jobs. On the other, the government is trying hard to equip millions of unskilled and uneducated workers for a tech-led world.

It is a tough problem to solve. At 287 million, India currently has the world’s largest illiterate adult population, says UNESCO. Over 45% of India’s workers are employed in low productivity agriculture. Worryingly, 31% of India’s youth (15-29 years) are NEETs or not in employment, education or training, as per an OECD survey. Dated and poor quality education has created a serious employability issue. Over 80% of engineers are unemployable, according to various studies. Compounding this is India’s growing demographic bulge. By 2027, India will have the world’s largest workforce (between 15 and 64 years) crossing a billion and outpacing China.

It was for this reason that the Congress-led UPA government set up NSDC in 2010. In 2015, the BJP-led NDA government went a step further, targeting to train 400 million workers by 2022 under PMKVY (the Pradhan Mantri Kaushal Vikas Yojana). It has failed miserably. Of the 30.67 lakh candidates trained under the programme (as of July 2017), just 2.9 lakh got jobs. Many issues have riddled the initiative. Multiple authorities, an ill-equipped NSDC, a poor job-creation climate, sub-par training institutes, data fudging and misaligned incentives are just a few. “I see it not as a failure but as a part of the learning curve. Other nations have taken decades to reach where we are today in such a short time,” says Narayanan Ramaswamy, partner, KPMG India. Since last year, as part of a course correction, a raft of measures, including a top deck reshuffle, has been rolled out.

It is in this context that new global partnerships must be viewed. “Combining scale with speed and being flexible as a government body — that’s the toughest part. How do you forge partnerships within those boundaries to deliver?” is what keeps NSDC’s Kumar awake at night. How to ensure that the electorate keeps the faith will also be giving the government some sleepless nights.

World Bank: Training of Thought


The mission:
A $250 million

Skill India
Mission Operation (SIMO) was approved early this year for Skill India programme

The journey: The World Bank is allocating $250 million to help the Indian government in its Skill India programme. SIMO will focus on four result areas — institutional strengthening to deliver high-quality training programme; improving workers’ quality and market relevance; enhancing access for women and disadvantaged groups and expanding skill training through PPP. SIMO is creating a Skills Fund with $38 million, or 50% of the fund, the other half coming from private-sector CSR money; the fund will be operated by NSDC. SIMO will tap into global experience to bring in financial incentives to deliver high-quality training packages at scale. To bring in some competitive spirit, states’ performance will be graded based on their scores. Good ones will be incentivised through state incentive grants.





In pic: Supported by World Bank, young workers train at IL&FS Institute of Skill at Okhla, Delhi
ADB: Into the Skilling Fields


The mission:
With $10 billion funds over the next five years, ADB is focusing on skills, besides infrastructure-building, to boost India’s growth

The journey: ADB's plans stand on two important strands — focus on poorer states like UP, Bihar, Jharkhand, Odisha and Chhattisgarh, and a special emphasis on employability and capacity building.

It aims to create well-paying jobs in India and upskill workers through skill development programmes. In Himachal Pradesh, it is lending $80 million (Rs 524 crore) for the $100 million programme for modernisation of the state’s technical and vocational education and training institutes that will impact 65,000 youth by 2022.

A similar tourism-focused programme is being rolled out in Uttarakhand. Another Rs 628 crore loan to develop tourism infrastructure in Himachal includes training local residents in tourism-related skills like adventure training and tourist guide activities.

A $102 million (Rs 568 crore) loan is in the works for the Odisha government’s $162 million project to train 2 lakh youngsters in the state by 2022. In Madhya Pradesh, the state government has launched a Rs 1,600 crore programme to beef up skill development infrastructure there, helping train 7.5 lakh youth. ADB will provide a Rs 1,005 crore loan for the project. ADB is also funding a skilling project in Meghalaya.





In pic: ADB has rolled out skill development and livelihood programmes in Meghalaya
Singapore Calling


The mission:
ITE Education Services started in 2012 with a World Class Skill Centre (WCSC) in Delhi. Has recently expanded to Assam and Jaipur

The journey: Led by ITE Education Services of Singapore, its Delhi centre runs two courses for retail and hospitality sectors. In 2015, it set up a training centre in Udaipur that offers six courses in tourism and hospitality. Eventually, the one-year programme envisages training 480 students annually. In 2016, it set up a northeast centre in Guwahati and is still vetting demand to zero in on courses to be run there. ITE Education will be the advisor in creating the programme, pedagogy, infrastructure development, training, monitoring and reviewing performance.





In pic: Supported by Singapore’s ITEES , the Delhi centre WCSC grooms young Indians for hospitality and retail sectors
Japan’s Magic Bullet


The mission:
Amid warm political ties, Japan is pouring money (over Rs 1.5 lakh crore of soft loan since 2007) to build India’s infrastructure. Training and upskilling of Indian workers is a major component

The journey: Earlier this week, India and Japan signed a memorandum of cooperation for a technical intern training programme under which three lakh technical interns will be sent to Japan for on-the-job training for three-to-five years. The two nations had earlier, under the manufacturing skill transfer promotion programme, agreed to set up Japan-India Institutes for Manufacturing (JIM) and Japanese Endowed Courses (JEC) in Indian engineering colleges. The programme will train workers in Japanese style of manufacturing. The first four JIMs have been set up by Suzuki, Toyota, Daikin and Yamaha.

For its Rs 1.1 lakh crore bullet train project, Japan is setting up a Rs 600 crore high-speed rail training centre in Gujarat. Equipped with simulators and training equipment, over 4,000 rail engineers are expected to be trained by 2020, with 300 of the first batch to be trained in Japan. Talks are underway for a skill development programme to train Indians on geriatric care and sensitise them to Japanese culture, which would help them get absorbed in Japan.

The Swiss Touch
The mission:
SkillSonics started in 2011 in Bengaluru. National Skill Development Corporation has a small stake in it; SkillSonics has a subsidiary in Zurich that helps coordinate between India and Switzerland

The journey: Has adapted Swiss vocational training in India, playing the role of a knowledge partner to Swiss companies and institutes here. Has developed courseware (three months to three years) based on Swiss standards for engineering technicians in sectors like automobiles, aerospace and defence, and across verticals like production, maintenance and service. Partners companies for training and rolling out programmes that upskill shopfloor workers for high-tech manufacturing.

Since 2013, it has conducted training programmes at over 28 locations for companies like ABB, training over 5,000 workers. Takes in 200 students for its two-year programme.





In pic: Sagaya Mary, 22, trains as a fitter at a Buhler India training centre in Bengaluru, supported by SkillSonics
The Swedish Way
The mission:
Recently initiated, the plan is still under discussion and being concretised

The journey: Alongside 180 firms already here, a new wave of Swedish firms are entering India, led by Ikea, defence major Saab (will make fighter jets in India in a JV with Adani Group) and H&M. Many of them are starting operations from scratch. Working with Business Sweden as country partner, NSDC is in discussions with over 10 Swedish firms, including Scania, ABB, SKF, Oriflame, Atlas Copco and Volvo Bus, to set up skill academies. Swedish firms will take the lead in identifying job roles, providing pedagogy and in supplying equipment and master trainers. Over 20 Indian private universities will run the programme on their campuses. Swedish skill training provider Kunskapsskolan will also sensitise workers in Swedish culture. The initiative will train workers for Swedish firms in India, some of whom could also be sent overseas. Stockholm Chamber of Commerce wants 50,000 fresh women IT graduates in Sweden. If all goes well, the project could be rolled out by the end of 2017-18.
Read more at:
//economictimes.indiatimes.com/articleshow/61166678.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
 

anoop_mig25

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You make an interesting point on a tax free society. There are several states in the US (Alaska, Florida, Nevada, South Dakota, Texas, Washington, Wyoming, New Hampshire, and Tennessee) that have no income tax. I think we should have a separate thread on how the system works.

@Razor, @Sakal Gharelu Ustad, et al..
IF there is no IT then how comes those states generate revenues assuming they are not taking loan ..

ISn`t IT is charged by federal gov... ???

OR USA has some different radicial structure
 

anoop_mig25

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European countries have a lot of socialist policies and the system somewhat works because of cultural homogeneity and high rate of education. Wait for the refugees to screw it up. Anyway, point being that the government controls the life of its citizens to a high extent.. Indian socialism is a failed experiment because of corruption and illiteracy.
My point is even after good progress plus technology + good population which can pays IT

Western/europen gov couldn`t remove either IT or GST/VAT implies both are required by this gov to run their socialist policies even after this gov begin capitalist in nature.

Socialism cannot solve problem of corruption/illitercay . Infact it increase . Best would be capitalism with mixed/welfare type of policy.

> IT is not enough to run whole gov system.

I propose burning down the system. It is full of corrupt politicians, if they take x amount of money from you, only a fraction (let's say 10-20%) will reach down to the common man.
You would burn down whole system just because its full of corrupt people

Your statement looks like that of Naxalities/communist who want to throw out current/prevailing system on pretext of corruption

And what guarantee that once you have burned down system.New system wont have corrupt people ..

To reduce corruption bring transparency..More transparent system less avenue for people to begin corrupt

> GST effect rich and poor the same.

Well, depends on how it is setup. For example - similarly to IT standard deduction, a certain amount could be free from GST per individual per year. This could be the typical spending of a family living below the poverty line.
Well still it would effect rich and poor same as they are going to pay same rate after tax beging applied on good and services

Max to max it may reduce little cost of product..
 

Moroboshi

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IF there is no IT then how comes those states generate revenues assuming they are not taking loan ..

ISn`t IT is charged by federal gov... ???

OR USA has some different radicial structure
Most states in US have state income tax as well in addition to the federal income tax everyone has to pay.
 

anoop_mig25

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Most states in US have state income tax as well in addition to the federal income tax everyone has to pay.

Ok off topic but then how does states mentioned by pmaitra generates revenue

IS revenue generated by means other then IT is good enough for this states (Alaska, Florida, Nevada, South Dakota, Texas, Washington, Wyoming, New Hampshire, and Tennessee) to run gov efficiently ???

How are this states financial health ???
 

Moroboshi

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Ok off topic but then how does states mentioned by pmaitra generates revenue

IS revenue generated by means other then IT is good enough for this states (Alaska, Florida, Nevada, South Dakota, Texas, Washington, Wyoming, New Hampshire, and Tennessee) to run gov efficiently ???

How are this states financial health ???
Texas for example gets a lot of its revenue from other taxes like sales tax and fuel, liquor or cigarette tax.
https://texaspolitics.utexas.edu/archive/html/pec/features/0401_01/slide1.html

Alaska gets a lot of its revenue from its petroleum industry and also has similar fuel and liquor taxes.

https://www.google.com/url?sa=t&source=web&rct=j&url=http://www.tax.alaska.gov/programs/documentviewer/viewer.aspx?1331r&ved=0ahUKEwilyKrZ4Y7XAhVL34MKHZJaC0kQFggpMAE&usg=AOvVaw0rjmTWV8FErM3AtjbJSeQX

I am not hearing any major problems being faced by these states compared to the states that have a state income tax. Probably not all states can go with this model.

So I guess similar to Indian states, we don't have state income tax either in India.
 

Project Dharma

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Ok off topic but then how does states mentioned by pmaitra generates revenue

IS revenue generated by means other then IT is good enough for this states (Alaska, Florida, Nevada, South Dakota, Texas, Washington, Wyoming, New Hampshire, and Tennessee) to run gov efficiently ???

How are this states financial health ???
Property tax and sales tax. Their finacial health is fine.
...................................................................
 

Project Dharma

meh
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You would burn down whole system just because its full of corrupt people

Your statement looks like that of Naxalities/communist who want to throw out current/prevailing system on pretext of corruption

And what guarantee that once you have burned down system.New system wont have corrupt people ..

To reduce corruption bring transparency..More transparent system less avenue for people to begin corrupt
You are assuming I am proposing a system to replace the system. I believe in individual empowerment and responsibility not babysitting by big government. Communists would be everything that I have disdain for.

Western/europen gov couldn`t remove either IT or GST/VAT implies both are required by this gov to run their socialist policies even after this gov begin capitalist in nature.
I'm afraid I don't understand the point. Please elaborate. What nature of capitalism did the governments adopt and what socialist policies were you expecting them to replace? European countries have some of the stricted labor protections, socialized healthcare, retirement etc. The money for that has to come from somewhere, so they will be forced to raise more and more taxes at the expense of personal freedom.

Well still it would effect rich and poor same as they are going to pay same rate after tax beging applied on good and services
How? If a poor family's average spending is exempt from GST then they would pay zero tax. Everybody after a certain level of income would pay a similar amount of tax. That is more fair than the current system which penalizes people who work hard.
 

anoop_mig25

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I'm afraid I don't understand the point. Please elaborate. What nature of capitalism did the governments adopt and what socialist policies were you expecting them to replace? European countries have some of the stricted labor protections, socialized healthcare, retirement etc. The money for that has to come from somewhere, so they will be forced to raise more and more taxes at the expense of personal freedom.
What i am say is USA/European countries have prmoted capalistic polices which have helped their inductires to florish and in retrun their gov had tried to implement some of socialist policy which you have listed

On other we have constitution where socialist has been mentioned and one cannot veered away from it.Every political party in india have to pledge towards socialist way of life

How? If a poor family's average spending is exempt from GST then they would pay zero tax. Everybody after a certain level of income would pay a similar amount of tax. That is more fair than the current system which penalizes people who work hard.
[/QUOTE]

How are going to design such system ????

who is going to check whats income of an individual and how he has to provide exemption from GST tax ???

If your bringing Income of individual into play then everybody would show there income its less and would want exemption from paying GST itself

Why bring income of individuzal into play...

And what are you saying,has it been tried in some state ???
 

Project Dharma

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What i am say is USA/European countries have prmoted capalistic polices which have helped their inductires to florish and in retrun their gov had tried to implement some of socialist policy which you have listed

On other we have constitution where socialist has been mentioned and one cannot veered away from it.Every political party in india have to pledge towards socialist way of life
European countries promoted welfare policies because of a fear of communist revolution.

As for the Indian constitution, @captscooby81 probably knows better but I believe the words "socialist" were added by Indira Gandhi. If the constitution could be edited then, it can be edited now.

How are going to design such system ????

who is going to check whats income of an individual and how he has to provide exemption from GST tax ???

If your bringing Income of individual into play then everybody would show there income its less and would want exemption from paying GST itself

Why bring income of individuzal into play...

And what are you saying,has it been tried in some state ???
You're misunderstanding what I'm saying sir. Everybody regardless of income gets X amount exempt from GST in the form of a credit. This X amount could be calculated every year and indexed to the average spending of a poor family. Now when somebody buys stuff they could choose to let's say use their Aadhar card to pay the GST from that credit.

There are a bunch of ways to do this, the discussion is best served in another thread.
 

sorcerer

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With PM as face of khadi, sales up 89% in first half of this fiscal

The sale of khadi products -which include garments and other items -shot up over 89% to Rs 814 crore during April-September 2017, compared to Rs 430 crore a year ago, drawing praise from PM Narendra Modi in his monthly radio broadcast `Mann ki Baat' for transforming the lives of weavers.


NEW DELHI: The sale ofkhadiproducts -which include garments and other items -shot up over 89% to Rs 814 crore during April-September 2017, compared to Rs 430 crore a year ago, drawing praise from PMNarendra Modiin his monthly radio broadcast `Mann ki Baat' for transforming the lives of weavers.

"I can imagine how many weaver families, poor families, and the families working on handlooms must have benefited from this. We talked of khadi fashion but with my recent experience, I can say that after khadi for nation and kha di for fashion now, it is becoming khadi for transformation.Khadi and handloom have transformed the lives of the poorest of the poor and are emerging as a powerful means of empowering them. It is playing a very important role for gramodaya," the PM said.



The sales boom was visible during Diwali too, when luxury brands, jewellers and auto companies were complaining about missing foot falls. On October 17, Dhanteras sales at khadi's flagship outlet in the Capital's Connaught Place hit a record of nearly Rs 1.2 crore, scaling last year's peak of Rs 1.11crore.


Modi has emerged as a brand ambassador of sorts, helping khadi record impressive sales growth over the last few years. Combined sales of khadi and village industries will top Rs 50,000 crore during the current financial year.New initiates such as the launch of gift coupons and tie-ups with large chains as well as institutional sales have also helped.


Gift coupon sales soared nearly seven times from a small base of Rs 86 lakh during the first half of last year to Rs 5.85 crore during 6 months ended September 2017.

https://timesofindia.indiatimes.com...-half-of-this-fiscal/articleshow/61329183.cms
 

sorcerer

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Big jump likely in ranking for India in ease of doing business

NEW DELHI: India expects a big jump in the World Bank’s ease of doing business ranking that will be released soon, thanks to multiple reforms initiated by the government beginning to show results. Ranked at 130 in the last reckoning, the government has set itself a target of breaking into the top 50.


“The successful implementation of the insolvency code and the goods and services tax (GST) has given a big boost to India’s business environment,” a top government official told ET.

The World Bank will release its 2018 edition of the ease of doing business report on October 31.

Two other sources confirmed the progress made by India. One of the them said he expects “substantial” improvement in India’s rank, possibly breaking into the top 100 or coming close to it. India had risen only one position in the 2017 ranking, disappointing the government that had been expecting a significant improvement.

The World Bank may not have considered some of the reforms as it counts an improvement only when the new policy is put into practice. The insolvency and bankruptcy law to facilitate a quick end to failed businesses was passed last year but its implementation only began this year with many big cases referred to the National Company Law Tribunal.

India had been ranked 136 on resolving insolvency, one of the 10 criteria used to measure overall ease of doing business. Officials sure, India’s rank had risen from 51to 26 in 2017.


The ‘starting a business’ rank is also expected to improve with many simplifications introduced by the ministry of corporate affairs kicking in.

India’s rank had dipped to 155 from 151 last year on this score. India’s highest rank is 13 on ‘protecting minority investors,’ highlighting the work done by the Securities and Exchange Board of India (Sebi) over the years in making Indian markets more investor-friendly. Despite financial inclusion issues, India ranks at 44 in ‘getting credit,’ indicating that organised business does not have many issues on this count. expect a marked improvement in this rank.




Similarly, on paying taxes, India is ranked 172, which should see a substantial improvement because of the goods and services tax (GST).

The new levy has replaced over 40 taxes and cesses. In its last edition, the World Bank had taken note of India’s reforms and targeted attempts to improve ease of doing business.

“The Indian government, for example, has committed to improving its… ranking by steadily implementing reforms across all indicators,” it had said.


https://economictimes.indiatimes.co...-in-ease-of-business/articleshow/61328326.cms
 

pmaitra

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IF there is no IT then how comes those states generate revenues assuming they are not taking loan ..

ISn`t IT is charged by federal gov... ???

OR USA has some different radicial structure
Oh, they do generate revenue. They have other types of taxes, just not income tax. Please give me some time. I will open a new thread.

Yes, income tax has to be paid to the IRS, which is the Federal Government.


Edited to add: Created thread: http://defenceforumindia.com/forum/threads/income-tax-free-regime.80162/
 
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indiatester

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I ofcourse would love it if the informal sector would actually turn against the corrupt babus and not oppose the direction in which the govt (and opposition for that matter) are steering the country towards.
One other thing that should be taken care of by the govt is that the entry barriers to do business should be taken down. These include
1) Reduce number of permissions required from multiple agencies
2) Entry barrier wrt high capital (reduced real estate prices)
3) Easier access to capital
4) Better labour

The focus should shift from taxes/GST to the actual heart of the problem which is to allow the business to thrive.
@square @Khagesh @YagamiLight
India jumped 30 points in WB's ease of doing business. Whats your take?
 

pmaitra

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I ofcourse would love it if the informal sector would actually turn against the corrupt babus and not oppose the direction in which the govt (and opposition for that matter) are steering the country towards.
One other thing that should be taken care of by the govt is that the entry barriers to do business should be taken down. These include
1) Reduce number of permissions required from multiple agencies
2) Entry barrier wrt high capital (reduced real estate prices)
3) Easier access to capital
4) Better labour

The focus should shift from taxes/GST to the actual heart of the problem which is to allow the business to thrive.
This is an age old topic of discussion. Every company likes less regulations from the government, and they call it red-tapism. However, when it comes to the internal functioning of their day to day work, they have red-tapism all over the place.

This is not necessarily a bad thing. There has to be checks and balances. If you look at some of the major data breaches that have happened, it did not happen because the perpetrator had any extraordinary power, but because of the failing of part of the company staff.

Every company therefore has its own bureaucratic machinery that tries to mitigate these pitfalls. Similarly, a government also has a duty not to loosen the reigns too much. For example, if the government does not enforce pollution control, ultimately, people will be spending more money on doctors and medicine. One example is the Flint water issue, where cost-cutting measures led to a massive problem.
 

mayfair

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I think the numbers are good but they do not tell the story. There are aspects where we have significantly improved, but there are aspects where we are woefully behind others and the leaders. To name a few
1. Starting a business
2. Construction permits
3. Resolving contract disputes
4. Property registration
5. Resolving insolvency

(Data from http://www.doingbusiness.org/rankings)

Now many of these are bureaucratic/judicial domains and at the state/local level and these are the real bottlenecks that we face. Unless babus and laardships are reformed, we'll continue to suffer..
 

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