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Twelve steps to shock-and-awe Pakistan’s economy
Prof R Vaidyanathan
Tuesday, December 09, 2008


Economic destabilisation of the Terror Central is imperative for rooting out terror.

I did not anticipate the huge response my inbox received for the article last week (December 2) slamming Pakistan. Many of those who wrote in have sought concrete steps to tackle the Terror Central. The terror attack on world citizens at Mumbai has created revulsion and outrage all over the world. It is imperative that India seize the opportunity provided to destabilise Pakistan.

A stable Pakistan is not in the interest of world peace, leave alone India. Army controls the country and owns its economy. A significant portion of its GDP is due to army-controlled entities (See Military Inc Inside Pakistan’s Military Economy by Ayesha Siddiqa; OUP; 2007). One can easily say that Pakistan Economy and its Army/ISI are synonymous.

Unless this elementary fact is internalised, we are not going anywhere. This implies we should stop talking of a stable Pakistan since a stable Pakistan means multiple attacks on many more cities of India by that rogue organisation ISI, which is the core of the Pakistan Army and the heart of Pakistan’s economy.

Let us not even assume that Zardari is in control. Poor man - he did not trust his own investigators to probe his wife’s assassination - he wanted Scotland Yard to do the job. Now he blabbers that if his investigators are satisfied, then he will initiate action against terrorists sitting inside Pakistan. Periodically, the Pakistan Army likes to present some useful idiots (as Lenin would have called them) as elected representatives and we swoon over such events.

India should take the following steps to destabilise the economy of Pakistan:
n Identify the major export items of Pakistan (like Basmati rice, carpets etc) and provide zero export tax or even subsidise them for export from India. Hurt Pakistan on the export front.


Identify the major countries providing arms to Pakistan and arm twist them. Tell Brazil and Germany (currently planning to supply massive defense items to Pakistan) that it will impact their ability to invest in India. Tell Germany that retail license to Metro will be off and other existing projects will be in jeopardy.

Incidentally, after the arrival of Coke and Pepsi in China, the human rights violations of China are not talked about much by US government organs. Think it is a coincidence? Unless we use our markets to arm-twist arms exporters to Pakistan, we will not achieve our objectives.

Tell American companies that for every 5% increase in FDI limit for them, their government needs to reduce equipping Pakistan by $5 billion. That is real politics, not whining. Let us remember that funds are in desperate search of emerging markets and not the other way about. Let us also remember that international economics is politics by another name.

Create assets to print/distribute their currency widely inside their country. To some extent, Telgi types can be used to outsource this activity. Or just drop their notes in remote areas.

Pressurise IMF to add additional conditionality to the loans given to them or at least do not vote for their loans.

Create assets within Pakistan to destabilise Karachi Stock market - it is already in shambles.

Cricket and Bollywood are the opium of the Indian middle classes. Both have been adequately manipulated/ controlled by the D-company since the eighties. Chase the D-company money in cricket/ Bollywood and punish by burning D-assets in India instead of trying to have them auctioned by the IT department when nobody comes to bid for it.
n Provide for capital punishment to those who fund terror and help in that. We have the division in the finance ministry to monitor money laundering, etc. It is important that terror financing is taken seriously and fully integrated into money laundering monitoring systems and this division is provided with much larger budget and human resources. And it should coordinate with RAW.

Encourage and allow scientists/ academicians/ elites of Pakistan to opt for Indian passport and widely publicise that fact since it will hurt their self-respect and dignity. There will be a long queue to get Indian passports — many will jump to get our passport — since they will not be stopped at international airports. It is rumoured that Adnan Sami wants one. Do not give passports to all — make it a prized possession. Let it hurt the army and ISI controlled country. This one step will destroy their identity and self-confidence.

Discourage companies from India from investing in Pakistan, particularly IT companies, till Pakistan stops exporting its own IT (international terrorism).

In all these, it is important that we do not bring in the domestic religious issues. The target is the terror central, namely Pakistan, and if there are elements helping them here then they also should be punished-irrespective of religious labels. If Pakistan is dismantled and the idea of Pakistan is gone, many of our domestic issues will also be sorted out.

Will the Indian elite go for the jugular or just light more candles and scream at the formless/ nameless political class before TV cameras? It is going to be a long haul and may be in a decade or so, we can find a solution to our existential crisis of being attacked by barbarians from the West. We need to combine strategy and patience and completely throw to the dustbin the ‘Gujral Doctrine’ by that mumbling Prime Minister about treating younger brothers with equanimity.

The doctrine essentially suggests that if we are slapped on both the cheeks we should feel bad that we do not have a third cheek to show. He, according to security experts, seems to have dismantled our human intelligent assets inside Pakistan, which has resulted in the gory death of thousands of Indian citizens in the last few years. Such is our strategic thinking in this complex world since our political class is not adequately briefed and the elite don’t think through issues. Better to be simple in our talks and vicious in our actions rather than the other way.

Hopefully, this November attack will create a new vibrant India capable of taking care of its own interests.

The writer is professor of finance and control, Indian Institute of Management - Bangalore,

QUOTE:
I feel helpless at the moment to comment on above theory especially when it is deliverd by not any ordinary, but by an honorable professor....:eek:, just thinking that such professors may the causes to boggle the minds and blowing the fires of hatterd by sowing the seed of negative approaches, in the minds of new generation...!!!:woot:
I am really surprised that he havnt think even for a while, for the aspects of the 'back fire' of such theories which may create big crunch for your own country, Big country - Big Problem !!!:azn::coffee:

Anyway, he must know "dreams never comes true" :smokin:
 
Its pleasure to quote comments deliverd by few indian friends, look like as "Ray of light" to hope for the best:enjoy:

Comments by Gopichand
Preposterous thinking — r u a terrorist?Your knowledge of international politics seems undisputable. But this is the most disgusting article I have ever read, including those in Pakistan's press. I am an Indian and a Hindu and "educated" as you are. And I still don't see how you concluded on punishing an entire nation for what a few organisations are pursuing. You have a responsible role of telling people the truth and this is least expected from you.

Articles like these show that there is extremism in India too and we are ready to promote it.

I know that we can't make friends with morons, but did you ever try to understand what made them morons? The education on history they get, the constant anti-India brainwashing they are receiving always (from their childhood, especially in villages).

Can't you write something that highlights the root causes of terrorism?

This theory of bringing down a nation economically only increases hatred and rivalry. And we have had enough of it. Shame on you.


Comments By Vipul Sharma
I am shocked by the lack of vision you have portrayed. You argue that the problem of terrorism can be solved by breaking the financial backbone of Pakistan though it has been proven that terrorist organisations intentionally target financially challenged societies for recruitment. It is hard to believe that Pakistan might be the major funding source for these organisations. In fact, these organisations seem to have been getting all sorts of support from Middle Eastern countries.

Draining Pakistan financially can in fact cause a counter-effect for India. Leakage of nuclear arsenal and technology is a key risk and it can get aggravated in the lack of proper resources. Lack of money will cause reduction of proper education, modernisation, and infrastructure, which will force the general population towards radicalism. A poor and hungry population will become easy targets for the evil agendas of terrorist organisations.

I agree that countries selling arms and logistics to Pakistan should hear some music from India and D Company and similar others should be brought to justice. You say Indian companies should be stopped from doing business in Pakistan. I don't agree with you; I would say generating enough employment in Pakistan will stop the youth from getting diverted towards fundamentalism.

I think major steps to stop terrorism in India have to start from within. We have to create a world-class intelligence agency and emergency management teams, modernise our security forces and overall make our own people, especially the minority, prosperous. We have to make sure we have excellent PR so that we can always have international support. We need to have a three-tier plan for combating terrorism, short term (within 1-2 years), mid term (5-10) and long term (25-30 years).

I completely support strong and decisive reaction from India in the wake of current events but not before giving our best effort at diplomacy. If nothing works then yes, military action is the only action.
 
How stupid can people get to write such non sense and how does it get published , beyond me !!
 
Fanatics are there on both sides of the border. Just ignore such people.
 
Twelve steps to shock-and-awe Pakistan’s economy
Prof R Vaidyanathan
Tuesday, December 09, 2008


Economic destabilisation of the Terror Central is imperative for rooting out terror.

Let us not even assume that Zardari is in control. Poor man - he did not trust his own investigators to probe his wife’s assassination - he wanted Scotland Yard to do the job. Now he blabbers that if his investigators are satisfied, then he will initiate action against terrorists sitting inside Pakistan. Periodically, the Pakistan Army likes to present some useful idiots (as Lenin would have called them) as elected representatives and we swoon over such events.
He wanted the UN, btw. And also it was just a ploy to keep the pressure on Musharraf.

India should take the following steps to destabilise the economy of Pakistan:
n Identify the major export items of Pakistan (like Basmati rice, carpets etc) and provide zero export tax or even subsidise them for export from India. Hurt Pakistan on the export front.
But Pakistani rice tastes better than Indian rice. Indian rice is like halva. fat and short. Pakistani Basmati competes with India's quality and price.

It will be a tough sell to buy off Pakistan's regular buyers.

Identify the major countries providing arms to Pakistan and arm twist them. Tell Brazil and Germany (currently planning to supply massive defense items to Pakistan) that it will impact their ability to invest in India. Tell Germany that retail license to Metro will be off and other existing projects will be in jeopardy.
Yeah right, India is still to decide upon its MRCA project. We want to buy NOW.

Incidentally, after the arrival of Coke and Pepsi in China, the human rights violations of China are not talked about much by US government organs. Think it is a coincidence? Unless we use our markets to arm-twist arms exporters to Pakistan, we will not achieve our objectives.
Maybe you can do it in the broader scope of things. I mean why do you think no one conducts a UN plebiscite in Kashmir. The west has condemned a whole race of people to tyranny for India's cash. You won't get specifics out of people.

Tell American companies that for every 5% increase in FDI limit for them, their government needs to reduce equipping Pakistan by $5 billion. That is real politics, not whining. Let us remember that funds are in desperate search of emerging markets and not the other way about. Let us also remember that international economics is politics by another name.
Americans wouldn't be giving us anything if we weren't giving them something back.

Create assets to print/distribute their currency widely inside their country. To some extent, Telgi types can be used to outsource this activity. Or just drop their notes in remote areas.
Haha, why should more people not be bombing you guys if you're going to play dirty to begin with.

Pressurise IMF to add additional conditionality to the loans given to them or at least do not vote for their loans.
The contracts are signed. IMF can't go about changing them without mutual agreement.

Create assets within Pakistan to destabilise Karachi Stock market - it is already in shambles.
Again, you guys are talking like you deserve to be bombed! If you're going to go after the common man in Pakistan then there should be no sympathy for the common man in India.

Cricket and Bollywood are the opium of the Indian middle classes. Both have been adequately manipulated/ controlled by the D-company since the eighties. Chase the D-company money in cricket/ Bollywood and punish by burning D-assets in India instead of trying to have them auctioned by the IT department when nobody comes to bid for it.
n Provide for capital punishment to those who fund terror and help in that. We have the division in the finance ministry to monitor money laundering, etc. It is important that terror financing is taken seriously and fully integrated into money laundering monitoring systems and this division is provided with much larger budget and human resources. And it should coordinate with RAW.
Do whatever you want in India.

Encourage and allow scientists/ academicians/ elites of Pakistan to opt for Indian passport and widely publicise that fact since it will hurt their self-respect and dignity. There will be a long queue to get Indian passports — many will jump to get our passport — since they will not be stopped at international airports. It is rumoured that Adnan Sami wants one. Do not give passports to all — make it a prized possession. Let it hurt the army and ISI controlled country. This one step will destroy their identity and self-confidence.
Lol, ok Adnan Sami really wanted one, but you guys kicked him out. You know what everyones sayin in Pakistan about him these days? "Acha hua!" :). Please offer Indian passports, I know some in the ISI who're dying to start some new levels of infiltration within India :P

Discourage companies from India from investing in Pakistan, particularly IT companies, till Pakistan stops exporting its own IT (international terrorism).
Good riddance. Indians are good for menial coding work. Can't run projects at all.

In all these, it is important that we do not bring in the domestic religious issues. The target is the terror central, namely Pakistan, and if there are elements helping them here then they also should be punished-irrespective of religious labels. If Pakistan is dismantled and the idea of Pakistan is gone, many of our domestic issues will also be sorted out.
Yeah Pakistan has caused the Naxillites to take over 200/600 districts in India right?

Will the Indian elite go for the jugular or just light more candles and scream at the formless/ nameless political class before TV cameras? It is going to be a long haul and may be in a decade or so, we can find a solution to our existential crisis of being attacked by barbarians from the West. We need to combine strategy and patience and completely throw to the dustbin the ‘Gujral Doctrine’ by that mumbling Prime Minister about treating younger brothers with equanimity.
Stick to lighting candles.
 
c'mon guys, he is professor..should take him seriously...wonder if these sort of people are educating the younger ones of both the countries..than God save subcontinent!!!!
 
c'mon guys, he is professor..should take him seriously...wonder if these sort of people are educating the younger ones of both the countries..than God save subcontinent!!!!

This crap is not entile the for word "educate" as it make positive sense......while he is boggling the minds of generation by blowing the fire of severe differences and extremism :guns:..... which is harmfull for India herself.
 
I'm seeing more and more Indians itching to take it out on the common Pakistani. The moral fibre of their society seems to be eroding with each such article.
 
I disagree with Prof R Vaidyanathan.

A stable Pakistan is what is the need of the hour.
 
Prof R Vaidyanathan

This "professor" is really crazy. How could it possibly stop terrorism to destabilize Pakistan? It's insane. Unstable, "failed states" are the best environments for terrorists. They want a lawless area to dominate and control. It is amazing that he is not embarrassed in front of his academic colleagues to propose such a preposterous theory. It is so crazy that it must be ISI "disinformation". :azn:
 
Its purely due to commercial reasons don't read too much into it.

Of course its for commercial reasons and its due to Pakistani product being a better value. What other reasons would we be reading from this development?
 
This "professor" is really crazy. How could it possibly stop terrorism to destabilize Pakistan? It's insane. Unstable, "failed states" are the best environments for terrorists. They want a lawless area to dominate and control. It is amazing that he is not embarrassed in front of his academic colleagues to propose such a preposterous theory. It is so crazy that it must be ISI "disinformation". :azn:

What's happening now is that the Mumbai attacks have become a free for all for any pseudo-intellect to earn money. Hence, a whole lot of garbage is being written.
 
I'm seeing more and more Indians itching to take it out on the common Pakistani. The moral fibre of their society seems to be eroding with each such article.

Before any taking any moral high ground ,u people should ask urself,what would have been pakistani response if it were some Hindu boys from India start firing upon u at ur railway stations,restaurants and hotels in the city of Karachi.

At this moment indian people expect whole hearted pakistani support for fighting terrorism that rises from pakistani soil and perpetrated on Indias parliament and in its cities,not same old disdainful act of dodging all responsibility or complete denial.
 
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