Coverage of the Great Recession -part2 (the mummy returns!)

to all who are concerned about the economies around the world in the trouble times...
Here we are giving a coverage of opinions from various economists about the great recession-2

here is the first one by Thomas Friedman, a three time Pulitzer prize winner, and journalist on economics. Very very sane one, i will say a must read if you have 5 minutes to spare

 click here to read

Globalization out of Hands

After the cold war, many in the West felt that it is the end of socialism as they knew and it is a 'new, efficient, powerful, and everlasting' daring world of capitalism and its horse globalization.

Yes, the globalization has pulled out millions from poverity and created a 'brave(?)' world order, where the 'either perform or perish' was the motto, which later clearly gave way to 'outperform and later perish'.

No one ever seriously took into consideration where the world set up is heading and what will happen if one day things go out of control. All were happy the cold war is over and USSR and allies perished. All the credits were taken with a self pat on back. Gave all importance to only Individuals and forgot the society. Now neither individuals nor the society knows for sure how to pull out of the soup created by them. here is a small news item from economic times...

click here to read

other voice of Paul Krugman (the politica/economics writer for Guardian which regularly appears in The Hindu, he blames the S&P's credibility alongside the extremist rightist capitalists
click here to read

And here is a view from none other than Warren Buffet (who counts among the top richie richs in the world!), it is quite interesting how a billionaire is supporting higher tax regimes...a very rare species in the current world order.
you can read the article by clicking HERE

And how our IT is having a sword hanging on head
read here

HOW IS IT GOING TO AFFECT THE INDIANS

here is a pretty good and simple article by a professor of IIM, Ahemadabad, which lists out the positive prospects for India out of the current recession, and tries to explain what went wrong and where is it going wrong...please take time to read it is a small article
CLICK HERE to read article in economic times

more to follow...

courtesy: Economic times

Some bizzare news on corruption

Anna Hazare "The Gandhian Icon of fight against corruption"

I found this in the Hindu...
it is about a poll conducted nationwide.
seems quite surprising (apologies i couldnt read it fully)

interested people can follow the link

it will be telecasted at 10.00 pm IST today in CNN-IBN

pls read the pdf article by clicking HERE

courtesy: The Hindu, CNN-IBN

I am also adding some interesting links related to Anna and any body interested in this honest person should go through them. Most of them are from media; many of us miss them.

* http://www.annahazare.org/

* http://www.newsbullet.in/video/india/14927-government-deceived-us-says-anna

* http://timesofindia.indiatimes.com/topic/Anna-Hazare

* http://www.ndtv.com/article/india/who-is-anna-hazare-96883

* http://khabar.ndtv.com/2011/07/09164137/Anna-new-statement.html

* http://www.google.co.in/url?sa=t&source=web&cd=1&ved=0CCUQtwIwAA&url=http%3A%2F%2Fwww.youtube.com%2Fwatch%3Fv%3DlRSMbAiq92g&ei=WcNBTqzIBcbQrQeOi_28Bw&usg=AFQjCNFU7NBvVa3ckTkbItn1vbGf1o9aBQ&sig2=n_gYdbHpX044Hh_OwJHXjw

* http://www.newsbullet.in/video/india/6762-exclusive-interview-with-anna-hazare

* http://business.in.com/interview/close-range/anna-hazare-i-asked-pm-whether-his-team-shares-his-values/23682/1

* http://www.bbc.co.uk/news/world-south-asia-13017897

The worst feared is here

Standards & Poors, the worlds leading credit rating agency has down graded the US credit as AA+ a few miles from the AAA rating i was holding till now. should wait and watch what will be the effect of the downgrading on already volatile global economy. Also our feild is going to get affected if US is in trouble.

will post details

you can read the news HERE

And we have an INDIAN CONNECTION too to the down grading, come on, when 1 out of 5 person in world is Indian, you wont be surprised, would you?..

The person who is heading the agency which has downgraded, Mr.Deven Sharma, is an American of Indian Origin. He did his schooling from Jharkhand, bachelors from BITS mesra. 

you can read about him in details HERE

courtesy: Economic times, The Hindu

Sometimes passion for science can be crazy, but this is extreme...

Operation Ivy Mike; A nuclear fusion experiment in the 50s

This guy I think has been one of the honest and benign scientist; his aim- to follow his passion and do what his heart says, his work yard- his own kitchen, but that is fine what is wrong with him.

Well, he wanted to emulate nuclear fission in his kitchen!. The poor 'scientist' was arrested for endangering citizens life and for illegal possession of nuclear material. All of this started when a nuclear

laboratory in Sweden received a phone call from an 'amateur' nuclear scientist enquiring whether he can make a nuclear reactor at home!. They inturn alerted the police who arrested him swiftly. The 'scientist' was found to be in possession of certain nuke material and chemicals. Apparently one of his efforts exploded as per his blog.

Now it is well known that society has not been too good to scienists...but the poor 'amateur nuclear scientist' must have not known it...cruel society, aint it?

you can read the 'poor mans' story HERE

courtesy: The Hindu      Photo courtesy: wikipedia

In troubled times even the Eagle has to tighten belt

Haliaeetus leucocephalus: American Bald Eagle-The national symbol of USA 

When it is hard times even the mighty has to come to earth. That sounded exactly literal for the USA (whose national symbol is an eagle), who has just weathered a bad recession (second only to the great depression of the 1930s), and was facing a very embarassing of defaulting

In simple means it might have meant not able to honour debt commitments, simply like many of our poor Indians unable to pay the EMIs. What was very conspicous this time was the petty politicization of an issue of utmost national importance not much differenct from our country's.

Now that it will leave many wondering whether the US has come down to the level of Indian politics. We have to see whether this will affect the credit ratings of the lone superpower of the world, and if it will what effect will be there on the struggling world economy. What is most important to us is at two levels, short term and long term.

In short term we may be affected, as along with the struggling Eurozone, the US is our major export destination. This might badly affect our softwares, merchandise etc. Also if there are ripples in global economoy our workforce in the middle east (who are mainly employed by the Americans) might come back.

And even worst is the case for our Indian science. The debt deal stuck today also envisages deep government spend cuts, and no prize for guessing which will come on top - obviously the research spending. The already competitive US research grants might become much more competitive and our PDF destinations may have to be recourse somewhere else. As per the whispers coming out of the Indian PDFs already signs of that are visible after recession. And this might tightent the situation of our Ph. Ds and PDFs already in huge numbers and unemployed.

In long term the economic policies followed world over might be altered, as they are all modeled based on the US model. Now that trust on such system is evaporating countries like India who blindly follows the West has to rethink on the mindless globalization and after effects.

A sigh of releif though, one of our archrival the PR China might be even more affected!

I read a good article by a Chartered Accountant which came in Rediff (yes once in a while Rediff publishes sane news too)...pls take time to read if you are interested at the link as follows, it is comparatively simple language with less jargon

http://www.rediff.com/business/slide-show/slide-show-1-mrv-column-what-the-us-debt-crisis-is-all-about/20110801.htm

PS: many guys feel this has become an economics blog, but at the core of every subject is an economics, which even the mother nature has performed at Big Bang by distributing the wealth of energy and matter unevenly...as a humble and inconspicous product i am just emulating her.

Courtesy: Rediff.com      Photo courtesy :wikipedia

If I were a king...

The coat of arms of erstwhile Travencore Kingdom which was adapted in the seal of Kerala State

Many a times we might have seeen the etiquttes of the who is whos in the world. Mukesh Ambani's Antilia, Brijesh Mallya's yacht, William-middleton dressmakers and marriage extravaganza are just the ones which come on the page 3 of tabloids. In a world where the dress makes the man I came across a rather bizzarre news in The Hindu. It was an interview with  (unofficial) HH Uthradom Thirunal Marthanda Varma, the current head of the ex-royal family of Thiruvithancore (or Travencore as many know it) which was in news for the 1lakh crore vault enumerated recently. What touched me is the simplicity of the man, who is revered still by many equivalent to the king (though what he is saying is still very conservative view of the Royals with a lot of mythical beleifs) In a world, which as per our contributer Kam1(Dr. Aravind singh) titles as the one run on 'bhay or dikhave pe chalnewala' (running on showoff and fear), where etiquetttes defines the person, it is off the main line . I hope many of us might have read the news, but unfortunately i couldnt put it earlier because of lack of time. I am doing it now you can read it here click here to read

Courtesy: The Hindu    Photo courtesy: Wikipedia

A Farsi story- may be a 'Persian Nights'

Iran's Capital Tehran's Skyline in Night

The entire thought came from THIS article about the economising of subsidies in Iran, which came in the newspaper ‘Daily News & Analysis’ or DNA.

* http://www.dnaindia.com/money/report_how-to-remove-subsidies-and-not-hurt-the-poor-iran-offers-lessons_1564439-all

I am sure many of us might have heard a recent news about our government planning to cut down the subsidy being given to LPG cooking gas.

For the uninformed, the concerned ministries are planning to cut down the number of cooking gas to 4 cylinders per year at the current subsidised cost of Rs.400  per cylinder (and that too only to the below poverty line or BPL families having the Aadhar UID card). For additional cylinders and for people above poverty line - the ridiculous LoC drawn by the government in 'poor rich' country- will have to pay Rs.800 per cylinder.

Now that might come as shock to many and for those of you wondering the wisdom of having to cook with a 14.8kg gas for a family of 6 (average size of family in India) for 3 months, you will pinch yourselves for that thought since at least 35% (by government count) goes to sleep having just one square meal per day (i am sure square is not the word, may be  a decimal point meal!). So not much to eat then what you cook, got it!.

Now the logic government is giving is that by subsidizing the gas at Rs.400 per cylinder government wastes a lot, since even Mr. Mukesh Ambani can also buy gas at Rs.400/cylinder and any number of cylinders at that price, if he cooks with gas from government (not sure the KG gas flows there too J), in his 10K crore worth mansion ‘Antilia’  facing the slums!. Pretty reasonable logic and one cannot find it silly for the government’s decision given that Govt is trying all the best to bring the fiscal deficit to under 5% this financial year. Even ministers and babus are asked to tighten the belt in the newly favourite word ‘austerity drive’ and are to cut down on foreign tours and conferences in 5star hotels. Come on when our leaders are cutting down why not our genuine citizens?

So this is one of the series of pricks (or may be better to call stabs for the effect they do) a common man has to take to contain deficit (which the mango man rarely understand what it is) and to avoid a Greece like situation where we go begging for money like our great neighbour.

Ok, logic is fine, but i am sceptical about the outcome. I don’t know whether the babus eat outside or travel in hired taxis, but we mango men often do (and as a ‘lazy’ bachelor, i do it religiously). Immediate effect of hike in fuel price is reflected in the dosas, or ‘thalis’ we eat. I somehow fail to understand the connection between the dosa and petrol!, but they go hand in hand. And not to mention the taxi fare, and room rentals. Of course we have given a very generous name to it as ‘inflation’, and which is projected as something we mango men do not understand other than while taking cash from the ATMs (for the lucky ones with money in it)

Agreed subsidies are not sustainable in a market economy, nor should the ambani’s have gas at mango mans cost. But why not increase tax on avoidable things such as liquor (forgive me drunkards, for you are the true souls who lay your lives to pay tax for government), cigarette, cars, SUVs, imported personal aircrafts, yachts etc.  If one is buying a car he/she should pay for it and for the fuel for others sake who takes in the pollution.

Now there is very interesting case of a country like ours, Iran, where similar issues were faced. Petrol was equivalent of Rs.4 (yes only one digit) and diesel was some 60 paise (do we have coins still?). The same issue of rich getting subsidised at poor’s cost were there. But Iran used a very nice strategy to cut down on subsidy and to improve the living standards without hurting anyone.

Obviously, it cannot be worked out in a country like ours (where scams are more popular than Rajani movies) and with a population 20 times of Iran. Iran with a mere 7 crore population (equivalent of Andhra Pradesh) and sitting on an oil gas rich area need only to be a welfare state doling out facilities to public. But what i liked is the effort from their side to transform their country (just 3 times our Per capita income, and in many aspects currently similar to ours, but better) in the middle of all these sanctions. I don’t know how much to trust the article, but if one goes by, i wish if we had such luxury in our own country. Pls do take the time to read...

Courtesy and article copy right: ©2011 Diligent Media Corporation Ltd.    Photo courtesy: wikipedia

http://www.dnaindia.com/money/report_how-to-remove-subsidies-and-not-hurt-the-poor-iran-offers-lessons_1564439-all

Too poor to afford a ferrari...

As gold as you see it...

This article i found to be quite interesting. It is about tthe recent unearthing of the treasures stored at the Sri Padmanabhaswami Temple at Thiruvanathapuram, the capital of 'Gods Own Country' Kerala. The treasures stored by the erstwhile kings of Thiruvithancore (or Travencore as many know it), now valued at more than 1 lakh crore Indian Rupees! (1000 Billion or $20 Billion), was evaluated on the direction of The honorable Supreme court of India. This makes the temple one of the richest in India. The total value is more than the external debt of the state of Kerala which is around 700 Billion. Now it will entice one to call Kerala the 'Golds own country'. one has to wait and see whether this all wealth makes any difference to the public other than the exclamatory value...


News Courtesy: Economic Times         Image courtesy: Wikipedia 

Once upon a time in India...

The 'Bulls and Bears' once stared us...

An excellent narrative by Mr. Sanjaya Baru (editor of the business newspaper 'The Business Standard'). It is about an incident/phase our country has passed through while having rope walkes with our face at stake. All set in the baby 90s with the world stage set with India poised to a potential loss of face, and with the main protagonists being the Late PM Mr. PV Narasimha Rao and the current PM, their decision, irriversible and bold,  (now seemingly unbelievable and melodramatic) has changed our country may be for ever. Today as we sit at a new world order, and while looking back one ponders whether all that happened has changed our lives for good or for bad....i guess only destiny will have a finite answer. But one thing is fore sure, even tacit failure of long held policies can have wide ramifications....

you can read the article here



Courtesy and article copyright:  Business standard      Photo courtesy: wikipedia

Education: The PhD factory - interesting news article from Nature.

Are we in an Industry???

The world is producing more PhDs than ever before. Is it time to stop?

One of our colleague forwarded this interesting article from Nature news. Many of our friends with same feathers might feel most of the views are absolutely true. And yes, our very own India is also in the news. Yes, our science is also being discussed!!! (unforutnately some of us are the subjects!)

Pls read the article, it i free from the site.

Nature 472, 276-279 (2011)

http://www.nature.com/news/2011/110420/full/472276a.html

article courtesy and copyright: © 2011 Macmillan Publishers Limited.   Acknoledgements: Mr. Brajesh Yadav ("the colleague")