Indian Economy-News & Updates

[gpit]

It is proven time and time again that gov't control in a free market society is detramental. The gov't agency's do not have the speed or the innovative drive to reform, and there lies the bases of the problem. No matter how the American banks played there game, mainly greed, but I believe they should have suffered for there greed, and not to be bail out, simple. Because in a free market economy there always lies another entrepreneur waiting to take the old banks place.

It is also proven time and time again that free economy without regulation lead to a dead end – monopoly and revolution.

This is why in developed countries healthy regulations are always in place and being effectively executed. This financial crisis is precisely caused by lack of regulation and/or execution of the rules.

As most of major Chinese Banks are (at least partially) in public, it invites some external constraints. It can be good, but it can also be bad.

Improvement of banking system doesn’t necessarily to be taken over by outsiders; it can also be achieved through government interferences as the US is currently doing.

 

[maverick2009]

Munnir every country accross the Globe is suffering in what is the worst Recession since the great depression just before World 2 in 1938.

But in UK where i live UK gdp will drop by 3% this year nd by 1% the year after.

The USA & OTHER developed countriers will acheive virtually zero growth this year and between 0-1% the next year.

Despite this m,assive slump which has left the western world virtually bankrupt India will achieve over 6% annualy both next year and this year.

The reason being INDIA is not TOTALLY dependent on outside investment like china or Western EXPORT Markets.

India growth is 70% dependent on india,s massive Young population..and 300 million middle class indians consmer needs.

They are less exposed than the WEST & CHINA to recession.

But effected they are because india was until this year growing at 9%

 

[Cheetah786]

Munnir every country accross the Globe is suffering in what is the worst Recession since the great depression just before World 2 in 1938.

But in UK where i live UK gdp will drop by 3% this year nd by 1% the year after.

The USA & OTHER developed countriers will acheive virtually zero growth this year and between 0-1% the next year.

Despite this m,assive slump which has left the western world virtually bankrupt India will achieve over 6% annualy both next year and this year.

The reason being INDIA is not TOTALLY dependent on outside investment like china or Western EXPORT Markets.

India growth is 70% dependent on india,s massive Young population..and 300 million middle class indians consmer needs.

They are less exposed than the WEST & CHINA to recession.

But effected they are because india was until this year growing at 9%

dude are you for real chinese have no external debt period but they are net gainers of westren debt they just passed USA as the biggest car market in the world . chinese economy is been growing for years they have a bigger consumer base then europe put togather.hong kong is been cutting income taxes for last few years as the government there been taking in more money then they needed thats just one part of china.

i guess indian call centers and IT industry is totally dependent on locals +

Ramesh Kakadiya, proprietor of DNDiamonds and Jewellery, a leading wholesale dealer of loose diamonds and jewellery manufactured in India, said: “We have stopped diamond export to the US because of the market conditions. Several diamond export units in Santacruz Export Processing Zone (SEEPZ) and Maharastra Industrial Development Corporation in Mumbai that focused on the US market have been closed down recently because they are unable to get payments from their US clients. Due to bankruptcies and financial crises, the US clients are unable to honour their commitments.”

Many Indian diamond exporters that served jewellery chains and department stores across the US have fallen victim to the financial crisis

Buddy indian economys is heavily dependent on exports and major part of exports goes to west so chinese are in much better shape then any other nation .i am not saying they are not suffering but saying indian economy is doing better then chinese is absolute childish.

 

[jeypore]

Buddy indian economys is heavily dependent on exports and major part of exports goes to west so chinese are in much better shape then any other nation .i am not saying they are not suffering but saying indian economy is doing better then chinese is absolute childish.

Indian Economy is not export oriented, it is going to reach $200 billion end of 2009 compare that to $1 trillion+ GDP for 2009. That is roughly 20%, where is the other 80% coming from, hummmmmmmm.

India’s total exports of merchandise goods will touch US$ 200 billion in 2009, which means exports will clock an over 20 percent growth for all the five years of the policy (2004-09). This has been indicated in a CEO survey conducted by the Confederation of Indian Industry (CII) on the Foreign Trade Policy.

India’s exports to touch US$ 200 billion by 2009 : Asia Economy Watch

 

[Aeneas]

I think, you need to understand business before making statement of this sort. Loaning to 10 companies, where 5 compaines profit out weighs the rest is a ludacris idea, it is not a "Pareto effect." To loan money it is a risk that banks take, and the returns are based on the risk taken. Try to understand this first.

I know what is "Pareto effect" ,but the things China did in past years is different,I said it look stormy but it works.the government said to banks,be brave,forget about risks,we need speed up,government will back up if you failure.then the banks be brave enough to loan money to some corporations which they keep cautious before.there are many mistakes,but at last,China developed.yes you can say the banks can only get interest from successful corporations,it can't match the lose from unsuccesful corporations.but when China goverment said they will deal with astronomical figures bad debt in banks,they accomplish in short time,where did you think the power from?why China government has that strength to help banks?

"Pareto effect" is not omnipotent.

 

[jeypore]

I know what is "Pareto effect" ,but the things China did in past years is different,I said it look stormy but it works.the government said to banks,be brave,forget about risks,we need speed up,government will back up if you failure.then the banks be brave enough to loan money to some corporations which they keep cautious before.there are many mistakes,but at last,China developed.yes you can say the banks can only get interest from successful corporations,it can't match the lose from unsuccesful corporations.but when China goverment said they will deal with astronomical figures bad debt in banks,they accomplish in short time,where did you think the power from?why China government has that strength to help banks?

"Pareto effect" is not omnipotent.

I did not say that you did not know what pareto effect is, but you cannot aspect pareto effect from the banks. Nevertheless to answer your basic question of how your gov't is keeping afloat these banks? And the answer is money from exports. By focusing on export solely they have found a niche to fund these bankrupt banks, which is not a bad idea, but in a downturn economy things tend to creep up, you know what I mean.

 

[white_pawn]

dude are you for real chinese have no external debt period but they are net gainers of westren debt they just passed USA as the biggest car market in the world . chinese economy is been growing for years they have a bigger consumer base then europe put togather.hong kong is been cutting income taxes for last few years as the government there been taking in more money then they needed thats just one part of china.

China is know as manufacturing hub of the world, and passing USA as the biggest car market in the world is a great achievement . having 1billion + ppls so help in consumer demend case. As for as what Hong kong did its good as if that much money is not needed taxes can be reduced.

i guess indian call centers and IT industry is totally dependent on locals +

Buddy indian economys is heavily dependent on exports and major part of exports goes to west so chinese are in much better shape then any other nation .i am not saying they are not suffering but saying indian economy is doing better then chinese is absolute childish.

Ya till certain extent indian economy is dependent on outsourcing and it added to the middle class ppls. And many countries outsource as their work is done at Cheap rates and its similar to that of china mass producing ay material as they can do its at cheap rates.

Indian economy is not much dependent on exports nither its export oriented, find the details if any mistake let me know would be thankfull.

INDIA: -

Export: - $ 175 Billion
GDP: - $ 1.2 Trillion
Export % of GDP: - 15 %
That Is: - 1/6 of GDP

CHINA: -

Export: - $ 1.4 Trillion
GDP: - $ 4.2 Trillion
Export % of GDP: - 33 %
That Is: - 1/3 of GDP

Hear nither am i saying Indian economy is doing better than China, but are doing quite well compared to other countries

 

[wtf]

I did not say that you did not know what pareto effect is, but you cannot aspect pareto effect from the banks. Nevertheless to answer your basic question of how your gov't is keeping afloat these banks? And the answer is money from exports. By focusing on export solely they have found a niche to fund these bankrupt banks, which is not a bad idea, but in a downturn economy things tend to creep up, you know what I mean.

They are in a nice position that way, the Chinese govt. atleast.
If the banks fail, they just print more money. The currency is already pegged too low to promote exports and this will further screw up the valuations. That way banks get saved, exports increase and the social structure is maintained.

The real effect is of course that China is subsidizing the rest of the world by underpricing their goods and decreasing the local consumers buying power, but as long as it works for them, in my opinion ... more power to them.

And strangely enough if I were China and I was subsidizing the rest of the world, I'd at least subsidize the "strategic industries" where there was monopoly power. But the way they are going about it, they are subsidizing everything from cigarette lighters to computers.


It's one of the advantages of having a tightly controlled currency and a population which has been through the "cultural revolution".

 

[beckham]

Literacy Rates:

Rank State Literacy Rate (%)
1 Mizoram 91.1
2 Kerala 89.9
3 Goa 83.3
4 Himachal Pradesh 81.3
5 Tripura 80.2
6 Maharashtra 77.6
7 Sikkim 76.6
8 Manipur 76.5
9 Assam 76.3
10 Uttaranchal 75.7
11 Tamil Nadu 74.2
12 Punjab 74
13 Nagaland 72.5
14 Gujarat 72.1
14 Meghalaya 72.1
16 West Bengal 71.6
17 Haryana 71.4
18 Karnataka 69.3
19 Orissa 68.8
20 Whole INDIA 67.6
21 Jammu and Kashmir 66.7
22 Andhra Pradesh 63.7
23 Chattisgarh 63.6
24 Arunachal Pradesh 62.8
25 Uttar Pradesh 61.6
26 Madhya Pradesh 60.9
27 Jharkhand 58.6
28 Rajasthan 57.4
29 Bihar 54.1

mizoram has higher literacy rate than kerala ????

 

[godsavetheworld]

^^ Why isnt Delhi in the list? It has about 78% literacy rate.

 

[TopCat]

what is the definition of india's literacy??? Signing name?

 

[wtf]

what is the definition of india's literacy??? Signing name?

Indian census uses the following definition
"The total percentage of the population of an area at a particular time aged seven years or above who can read and write with understanding."

This is different from the National Literacy mission target, which also includes arithmetic.

I don't know how "India Today Magazine" calculates the same, but most likely they are using census data too. So no, signing name won't count.

 

[TopCat]

Indian census uses the following definition
"The total percentage of the population of an area at a particular time aged seven years or above who can read and write with understanding."

This is different from the National Literacy mission target, which also includes arithmetic.

I don't know how "India Today Magazine" calculates the same, but most likely they are using census data too. So no, signing name won't count.

Huh I knew it...
Do you have the statistics of 15 years above age group with basic literacy which includes reading/writing/comprehending/arithmatic/visual understanding like maps times and some IQ related visualiztion etc. That is the universal definition of literacy.

 

[Screaming Skull]

Huh I knew it...
Do you have the statistics of 15 years above age group with basic literacy which includes reading/writing/comprehending/arithmatic/visual understanding like maps times and some IQ related visualiztion etc. That is the universal definition of literacy.

Here are the statistics from UNESCO based on the international definition of literacy for India, Pakistan, Bangladesh, Sri Lanka and China for the year 2006.

India- UNESCO Institute for Statistics

Adult (15+) - 65.2% (Male-76.4%; Female-53.4%)

Youth (15-24) - 81.3% (Male-86.3%; Female-75.8%)

Bangladesh- UNESCO Institute for Statistics

Adult (15+) - 52.5% (Male-57.9%; Female-46.8%)

Youth (15-24) - 71% (Male-70.4%; Female-71.7%)

Pakistan- UNESCO Institute for Statistics

Adult (15+) - 54.2% (Male-67.7%; Female-39.6%)

Youth (15-24) - 69.2% (Male-79.1%; Female-58.4%)

Sri Lanka- UNESCO Institute for Statistics

Adult (15+) - 90.8% (Male-92.7%; Female-89.1%)

Youth (15-24) - 97.5% (Male-97%; Female-97.9%)

China- UNESCO Institute for Statistics

Adult (15+) - 93% (Male-96.3%; Female-89.5%)

Youth (15-24) - 99.2% (Male-99.4%; Female-99.1%)

 

[Screaming Skull]

^^ Some personal observations:

1. Both Sri Lanka and China are far far ahead of India, Pakistan and Bangladesh.

2. India is in a better position compared to both Pakistan and Bangladesh.

3. Gender inequality in education and literacy seems to be maximum in Pakistan. Even Bangladesh is slightly better off in this regard.

4. Growth of literacy in India and Bangladesh has been phenomenal during the period from 1990-2006.

5. A very high percentage of the youth in all the countries are literate. Just shows that the future of all these countries is very bright.