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Saturday, April 14, 2012

Doesn't Anna's Movement against corruption (and the Occupy Wall Street movement too) miss the main point. | LinkedIn Answers | LinkedIn

Doesn't Anna's Movement against corruption (and the Occupy Wall Street movement too) miss the main point. | LinkedIn Answers | LinkedIn


Doesn't Anna's Movement against corruption (and the Occupy Wall Street movement too) miss the main point.

Removing corruption will just treat the symptoms.The real issue is the government itself with or without corruption.


About 60% of India's white GDP passes through Government's clumsy fingers in the form of taxes, borrowings and excess money printed every year. Common man including the starving BPL destitute funds this through inflation and devaluation.


For every extra rupee handled by the government the GDP gets held back from its potential by three rupees.


The much maligned Black money is the only reason Indian economy keeps humming and growing, because the government does not get to touch it.


Even in the US 95% of new jobs are created by startups. Big corporates do not create jobs and big government departments prevent everyone else from creating jobs.


If the government needs to own large sections of the economy (our constitution demands that India be socialist), then it must break up its departments into tiny units (think Panchayati Raj).


Asset ownership (central to the debate between capitalism and socialism) is not important, the misbehavior of the asset owners, whether government or private is. A large private company is still subject to some market control through competition, a large government department is implicitly backed by government guns and tanks and controls the markets it operates in.


That is why unsurprisingly all public services provided by government whether education, health, policing, property titles, legal redressal, are in shambles.


The only large department should be the Armed Forces because it has to fight outsiders. Size is required for that. Other functions should be totally decentralized. Lutyen's Delhi and state equivalents should be auctioned or all structures demolished and land used for growing forests.


Anna has decentralization on the menu, but starting with corruption is putting the cart miles before the horse.

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