India ranks 9th in crony-capitalism index: The Economist

India ranks 9th in crony-capitalism index: The Economist
India is ranked at ninth position in crony-capitalism with crony sector wealth accounting for 3.4 per cent of the gross domestic product (GDP), according to a new study by The Economist.
In India, the non-crony sector wealth amounts to 8.3 per cent of the GDP, as per the latest crony-capitalism index.
In 2014 ranking also, India stood at the ninth place.
Using data from a list of the world’s billionaires and their worth published by Forbes, each individual is labelled as crony or not based on the source of their wealth.Germany is cleanest, where just a sliver of the country’s billionaires derives their wealth from crony sectors.
Russia fares worst in the index, wealth from the country’s crony sectors amounts to 18 per cent of its GDP, it said.
Russia tops the list followed by Malaysia, the Philippines and Singapore.
“Thanks to tumbling energy and commodity prices politically connected tycoons have been feeling the squeeze in recent years,” the study said.
Among the 22 economies in the index, crony wealth has fallen by USD 116 billion since 2014.
“But as things stand, if commodity prices rebound, crony capitalists wealth is sure to rise again,” it added.
The past 20 years have been a golden age for crony capitalists/tycoons active in industries where chumminess with government is part of the game.
Their combined fortunes have dropped 16 per cent since 2014, according to The Economist updated crony-capitalism index.
“One reason is the commodity crash. Another is a backlash from the middle class,” it said.
Worldwide, the worth of billionaires in crony industries soared by 385 per cent between 2004 and 2014 to USD 2 trillion, it added.
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‪#‎Cronycapitalism‬ is a term describing an economy in which success in business depends on close relationships between business people and government officials. It may be exhibited by favoritism in the distribution of legal permits, government grants, special tax breaks, or other forms of state interventionism.
What is 'Crony Capitalism'
Crony capitalism is a description of capitalist society as being based on the close relationships between businessmen and the state. Instead of success being determined by a free market and the rule of law, the success of a business is dependent on the favoritism that is shown to it by the ruling government in the form of tax breaks, government grants and other incentives.
BREAKING DOWN 'Crony Capitalism'
Both socialists and capitalists have been at odds with each other over assigning blame to the opposite group for the rise of crony capitalism. Socialists believe that crony capitalism is the inevitable result of pure capitalism. This belief is supported by their claims that people in power, whether business or government, look to stay in power and the only way to do this is to create networks between government and business that support each other.
On the other hand, capitalists believe that crony capitalism arises from the need of socialist governments to control the state. This requires businesses to operate closely with the government to achieve the greatest success.

Inequality in India is far worse than believed

Inequality in India is far worse than believed
It’s of Latin American rather than East Asian proportions. That is a problem
In his landmark budget speech in 1992, Manmohan Singh had said that the eventual aim of economic reforms was to encourage the growth of industries that use labour intensively, create jobs in the productive sectors of the economy and reduce income inequalities. He was clearly inspired by the success that many Asian countries had in the previous decades in pushing up average incomes without making inequality worse.
New data released in recent weeks shows that inequality in India is of Latin American rather than East Asian proportions. In its Asian regional economic outlook released last week, the International Monetary Fund (IMF) has put out new data that shows how the two most successful Asian economies after 1990—China and India—have seen inequality rise in tandem with economic growth. This is in sharp contrast to what happened in countries such as South Korea or Taiwan in earlier decades. The multilateral lender has based its analysis on the Gini coefficient, a standard measure used by economists to measure inequality.
The IMF estimates that the Gini coefficient for India has gone up from 45 in 1990 to 51 in 2013. China has done even worse. Its Gini coefficient has climbed from 33 to 53 in the same period. The IMF inequality estimates are very similar to the results from a new global study by the LIS Data Centre in Luxembourg, which has recently said that India has a Gini coefficient of 50. These numbers are far higher than the official estimates of inequality that are mistakenly based on consumption rather than income.
The inequality problem has to be understood properly if it has to be dealt with successfully. Too much of the Indian debate is dominated by either angry ideological battles or vacuous moralizing. There are several possible explanations for growing income inequality—from the nature of technological progress to the lack of opportunities due to the caste system, to ineffective government spending programmes and lack of infrastructure that connects people in the interiors to markets.
One important ingredient in this debate goes back to a link Singh made in his 1992 budget speech—the need for greater job creation in the modern sectors of the economy. This has been one of the few distinct failures amid the overall success of the economic reforms. The failure to create enough factory and office jobs has stymied the overdue shift of people from low productivity to high productivity work.
Inequality in India has two extra facets that deserve attention. First, there is difference in productivity growth between the urban and rural areas. Second, there is the income gap within the cities between those who have been able to connect to the global economy and those who have not. One practical illustration of this is the millions of farmers who remain trapped in a stagnant agricultural sector. Those who have managed to escape tend to eke out a living in tiny enterprises that have no access to formal credit, growing markets, technology or modern management, as the new Economic Census released by the government last month so starkly highlighted.
The countries of East Asia managed to evade this trap through labour-intensive industrialization that moved millions of poor people from farms to modern factories. The troublesome question is whether India can replicate this Lewisian transition at a time when robotics is changing the nature of industrial work.
The global picture is more pleasing to the eye. Global inequality has actually decreased since millions of Indians and Chinese began joining the global middle class from 1990 onwards. Lower global inequality is paradoxically a result of higher inequality in India and China.
Very high levels of inequality are bad in themselves. Harvard University economist Dani Rodrik has also argued that widening inequality can weaken public support for economic reforms, and thus encourage governments to choose populist policies. That is precisely what we saw with Manmohan Singh Ver 2.0—the prime minister of the two United Progressive Alliance governments rather than the finance minister of the P.V. Narasimha Rao government.
This is a lesson that the economic strategists around Narendra Modi should be sensitive to.
What policies should the government focus on to reduce inequality?

proud of uttarakhand :Narendra bhandari

Tina Dabi is the Topper of the Union Public Service Commission Civil Services Examination 2015.

हरियाणा में महिला सशक्तीकरण के लिए काम करना चाहती हूं: UPSC टॉपर टीना
लोक सेवा परीक्षा में सर्वोच्च स्थान हासिल करने वाली टीना डाबी ने कहा है कि वह हरियाणा में लिंगानुपात को बहेतर बनाने और महिला सशक्तीकरण के लिए काम करना चाहती हैं।
उन्होंने कहा, मैं हमेशा से चुनौतीपूर्ण राज्य में काम करना चाहती थी। इसलिए मैंने हरियाणा को चुना। हम जानते हैं कि वहां लड़के और लड़कियों का अनुपात काफी कम है इसलिए मैं वहां महिला सशक्तीकरण के लिए अपना योगदान देना चाहती हूं।

सिविल सर्विसेज का रिजल्ट जारी, टॉपर टीना डाबी बोलीं, मेरे लिए गर्व का पल
दिल्ली के लेडी श्रीराम कॉलेज से स्नातक करने वाली 22 वर्षीय टीना ने साल 2015 की लोक सेवा परीक्षा में सर्वोच्च स्थान हासिल किया है। यह उनका पहला प्रयास था।
टीना ने कहा, मेरी मां मेरी आदर्श है। वह चाहती थी कि मैं राजनीतिक शास्त्र की पढ़ाई करूं। मैंने इसका चुनाव किया और परीक्षा पास की। यह मेरा मुख्य विषय था।
उनकी मां हिमाली भारतीय इंजीनियरिंग सेवा (ईईएस) की अधिकारी थीं और स्वैच्छिक सेवानिवृत्ति ले ली थी। टीना के पिता जसवंत आईईएस अधिकारी हैं। उन्होंने कहा, यह मेरे जीवन का सर्वश्रेष्ठ दिन है।

 #‎PROUDOFINDIA‬ ‪#‎PROUDFORGIRLS‬
Tina Dabi is the Topper of the Union Public Service Commission Civil Services Examination 2015. The UPSC has declared the UPSC Final Result 2015 on their official website today online. You can have a look at the UPSC Final Result 2015 here. We from our team would like to congratulate Tina Dabi IAS Topper. We will provide you more information regarding this remarkable talent from our country.
Tina Dabi Details

Rank in CSE - 1
Roll No. - 0256747
Age - 22
Attempts - 1
Optional Subject - Poltical Science
Schooling Medium - English, Convent of Jesus and Mary School
College medium - English, Lady Shri Ram College
Medium chosen for Mains answers - English
Medium chosen for Interview - English
Home town/city - Delhi, born in Bhopal
Work-experience if any - 0 years
Details of other competitive exams, including success/failures - Nil
Details of coaching, mock tests, postal material for any competitive exam (if used) - Enrolled at Delhi coaching for one year. joined mock test series as well.
Service preferences (Top-5) - IAS>IPS>IFS>IRS(IT)>IRS(CE)
State cadre preference - Haryayana
*Tina Dabi’s Educational Background*
% in class 10th - 90.2%
% in class 12th - 91.4%
Graduation course and % - Political Science (Eco majors) - 81.5%
Name of college, city, passing out year - Lady Shri Ram College, Delhi University
Post-graduation No
Any other professional courses - NA
Hobbies & Extracurricular achievements Hobbies:
Painting (Madhubani art), travelling, playing, singing, basketball, playing guitar, photography and reading novels of Jane Austen.
Extracurricular achievements:
University gold medal-political science
University topper-academic year
Best all round student award

 "कद्र करो माँ बाप की,
दुआओं में उनकी ताकत है।"

 

 सफलता को कभी अपने सिर पर न चढ़ने दें। और असफलता को कभी दिल में न उतरने दें।”
 

पूर्व सैनिक की बेटी ने सेल्फ स्टडी कर गाड़ा IAS में झंडा:#proudofuttarakhand

पूर्व सैनिक की बेटी ने सेल्फ स्टडी कर गाड़ा IAS में झंडा
उत्तराखंड के पूर्व सैनिक की बेटी बंदना पोखरियाल ने सिविल सेवा परीक्षा में 83वीं रैंक हासिल करके प्रदेश में मान बढ़ाया है। 26 वर्षीय बंदना इन दिनों गुजरात में सेंट्रल एक्साइज इंस्पेक्टर के पद पर तैनात हैं। बंदना ने यह सफलता ढाई साल की सेल्फ स्टडी से हासिल की है।
मूलरूप से पौड़ी के बीरोंखाल निवासी सेना से रिटायर्ड जूनियर कमीशन ऑफिसर चंद्र शशि पोखरियाल और मंजू पोखरियाल की बेटी बंदना इन दिनों गुजरात के वापी में सेंट्रल एक्साइज इंस्पेक्टर पद पर तैनात हैं। फोन पर हुई बातचीत में बताया कि दूसरी बार में उन्हें यह कामयाबी हासिल हुई।

पिता के सेना में होने की वजह से उनकी पढ़ाई कई राज्यों में हुई। उन्होंने आर्मी स्कूल, रानीखेत से 11वीं और 12वीं की पढ़ाई की है। बंदना ने बताया कि तीन भाई-बहनों में वह सबसे बड़ी हैं। उनसे छोटे एक भाई और एक बहन हैं।

 

Proud of uttarakhand !!!! in ‪#‎upsc‬ 2015 final result

Proud of uttarakhand !!!! in ‪#‎upsc‬ 2015 final result
News Highlights
रुड़की की गजल भारद्वाज ने हासिल की 40वीं रैंक
बीरोंखाल की बंदना पोखरियाल को मिली 83वीं रैंक
उत्तरकाशी के नरेंद्र भंडारी को हासिल हुई 228वीं रैंक
देहरादून के गौतम थपलियाल ने पाया 378वां स्थान

संघ लोक सेवा आयोग की सिविल सेवा परीक्षाओं में आबादी के लिहाज से बेहद छोटे उत्तराखंड प्रदेश से बड़ी संख्या में होनहारों ने कामयाबी हासिल की है। रुड़की की गजल भारद्वाज 40वीं रैंक के साथ प्रदेश में टॉप किया है।
वहीं, पौड़ी के बीरोंखाल निवासी बंदना पोखरियाल ने 83वीं रैंक हासिल कर दूसरा स्थान हासिल किया। उत्तरकाशी के नरेंद्र भंडारी को ऑल इंडिया स्तर पर 228वीं मिली है, जबकि देहरादून के गौतम थपलियाल सहित कई और युवाओं को इस परीक्षा में शानदार सफलता हासिल हुई है।
मंगलवार को यूपीएससी का सिविल सेवा परिणाम प्रदेश के कई होनहारों के लिए मंगलकारी साबित हुआ। रुड़की के प्रीत विहार कालोनी की रहने वाली गजल भारद्वाज ने 40वीं रैंक हासिल की है।

A job for every Indian

A job for every Indian
The Labour Bureau has compiled statistics for job creation in labour-intensive sectors in the country each quarter since the 2008 global financial crisis. The latest figures show that 1.35 lakh jobs were created in 2015, the lowest figure by far of any year since then — lower than the 4.9 lakh new jobs in 2014 and 12.5 lakh in 2009. In fact, the last quarter of 2015 recorded job losses. Private surveys suggest that the services sector will hire more than manufacturing this year, but there is little to suggest that this will be sharp enough to gainfully employ the one crore Indians who enter the workforce annually. The latest job creation figures come as a sobering reality check for the NDA government, as increasing employment opportunities has been at the heart of Prime Minister Narendra Modi’s economic plan. In the 2014 Lok Sabha campaign, he had repeatedly attacked the UPA government for failing to create enough jobs during its decade in office. In fact, the spectre of ‘jobless growth’ had been put in sharp relief since 2011, when official employment data (captured every five years) showed a deceleration in new salaried jobs, a dip in self-employment and a surge in casual work between 2004-05 and 2009-10. These were the boom years for the Indian economy. Annual economic growth has dipped somewhat since then, but the challenge for the country remains as stark: how to better its job creation for every percentage point of GDP growth, a ratio on which it significantly lags behind most other emerging economies.
A report outlining the NDA’s vision, Transforming India, released by the Department of Administrative Reforms last month, says 175 million new jobs could be created by 2032 if the economy grows by 10 per cent annually; the figure is 115 million if it grows by 7 per cent. To create jobs on such a scale, it proposes tax incentives and interest subsidies for firms creating jobs and some blue-sky interventions to invigorate sectors. For instance, negotiate free trade pacts with major markets such as the European Union and the U.S. to boost textiles, improve regional air connectivity for tourism, and so on. This year’s Budget offers to pay 8.33 per cent of the salary (as contribution for a pension scheme) for new employees getting formal sector jobs. But according to the Economic Survey, high statutory dues deducted from salaries in formal jobs force employers and employees to enter into informal contracts. Tinkering will not do; neither will piecemeal interventions in the form of incremental reforms in labour laws. The median age in the country is well short of 30, and along with the young entrants to the workforce there will be those seeking a shift from low-paying farm jobs. We need a holistic action plan that covers every base — one that includes a skilling and re-skilling programme to increase employability and productivity, incentives for smaller enterprises that absorb a greater number of workers, and the embedding of job generation in the massive infrastructure upgrade that India requires. Jobs must be the pivot for social and economic policy.