‘Where do Budget cuts figure in Defence modernisation?’

[T90TankGuy]

The govt is liability on the people of India. It is neccessary libaility like if we live in a rented home, we got to pay for it. The govt is like a service provider for which you pay money for every month(in this case a year). The total revenue of the govt is nothing but the amount paid by the people of India to union govt for its services. If the govt takes in more money , less ,money is available with the people. For example, if you live in a rented home and pay Rs 2000 rent per month and rent goes down to Rs 1000 your economy will improve. The country as a whole do not have unlimited credit, so the credit allocated to govt is the credit denied to the productive sectors of the economy. Govt does not have any instrinic money wealth, if it has to give wealth to somebody, it has to take it from somebody else. So if the govt costs less to the people it will improve the economy by becoming a less burden and also by allocation of credit to productive sector, since it is the profit making companies that pays taxes. So less tax payed by them will result in more money available for expanding their business or by starting a new business which in turn creates employment and results in people becoming less dependent on the govt. Hope this explains.

Ok then who provide the basic needs of the people . who builds the infrastructure? for that matter, the formula you are suggesting , has it been implemented in any country in the world?

 

[satish]

It is like asking how you deliver food to the poor people, they go out and work and they get it. The purpose of existence of govt is not provide basic needs, the purpose of existence of govt is to provide national defense, conduct the foreign policy as representative of people of India, enforce law of the land(i.e, the constitution(judicial system)). The important function in enforcing the law of the land includes defending freedom of speech, right to life, right to pursue happiness, and right to the property that people own. The govt is not supposed to be in the business of providing goods and services to the people.
Remember the Thomas Jefferson saying "The best place to get goods and services are market place, becuase they available at the minimum possible price".

Ron Paul Interview 1988 - YouTube

There is some good video on this


"If you have been voting for politicians who promise to give you goodies at someone else's expense, then you have no right to complain when they take your money and give it to someone else, including themselves"

No matter how disastrously some policy has turned out, anyone who criticizes it can expect to hear: "But what would you replace it with?" When you put out a fire, what do you replace it with? – Thomas Sowell

There are people who think that plunder loses all its immorality as soon as it becomes legal. Personally, I cannot imagine a more alarming situation. – Frédéric Bastiat

Socialism, like the ancient ideas from which it springs, confuses the distinction between government and society. As a result of this, every time we object to a thing being done by government, the socialists conclude that we object to its being done at all. – Frederic Bastiat

Switzerland and hongkong lately has been a good example.US of A untill 1913 was a good example.

The opposite of ideas posted has been tried in soviet union.

Ok then who provide the basic needs of the people . who builds the infrastructure? for that matter, the formula you are suggesting , has it been implemented in any country in the world?

 

[anyrandom]

What are BPJ ?

 

[sancho]

Wanna cut, cancel VVIP deal. No need to buy any VVIP hello.

Yeah, next time a president or PM visits India we pick him up from the airport old school like and TOTALLY INDIGENOUSLY, thanks to DRDOs help :

As long as we can't develop things like a medium class helicopter on our own and in the required quality and capability, such things needs to be imported.
On the other side, the deal that we can cancel and wouldn't regret would be the Apache deal, because it's costly, is operationally not necessary (with Rudra and LCH) and we could end the beef between IAF and IA about them.

What are BPJ ?

Bullet Proof Jacket

 

[Jayanta]

The answer is nowhere...

 

[kurup]

http://www.defence.pk/forums/indian-defence/237664-india-hikes-defence-spending.html

Close the thread .

 

[satish]

If you adjust the budget to inflation, the defense budget has actually contracted rather than increased although it appears increased in monetary terms. The current inflation is around 7%(not sure about this number but definetely more than 5%) and the increase in budget is 5%. So there is 2% contraction in defense spending.

http://www.defence.pk/forums/indian-defence/237664-india-hikes-defence-spending.html

Close the thread .

 

[Koovie]

If you adjust the budget to inflation, the defense budget has actually contracted rather than increased although it appears increased in monetary terms. The current inflation is around 7%(not sure about this number but definetely more than 5%) and the increase in budget is 5%. So there is 2% contraction in defense spending.

Nope, its still more than 5-6 % in real terms, its not as easy as you think. I will later post a better explanation.

 

[satish]

The purchasing power of rupee has gone down by more than 5% in the last fiscal year and the increase in defense budget is only 5% so the defense budget interms of purchasing power of rupee has gone down.

Nope, its still more than 5-6 % in real terms, its not as easy as you think. I will later post a better explanation.

 

[Abingdonboy]

The purchasing power of rupee has gone down by more than 5% in the last fiscal year and the increase in defense budget is only 5% so the defense budget interms of purchasing power of rupee has gone down.

The increase is close to 16% but in real terms the increase (accounting for inflation and exchange rates) is ~6-8% increase. The defence budget hasn't increased-that is pure BS.

 

[satish]

The the defense budget for fiscal year 2012-2013 was Rs. 1,93,407 crore and the defense budget for fiscal year 2013-2014 is Rs.2,03,672 crore. So there is an increase of 5.3%. The decline in purchasing power of rupee is more than 5.3% during the last fiscal. So indeed the this fiscal's defense budget has less purchasing power than the previous fiscal year's budget. Hope this explains.

The increase is close to 16% but in real terms the increase (accounting for inflation and exchange rates) is ~6-8% increase. The defence budget hasn't increased-that is pure BS.