Intia In the Grip of Deep Economic Crisis : Causes and Quests for Solution
Did you think India will ‘shine’ again if somehow – say by wooing FDI, cutting subsidies and further opening up of the economy – the yesteryears’ high GDP growth could be brought back? And that will make us a happier people?
Think again. And get the basic facts right.
The current crisis notwithstanding, our country is considered an IT superpower with one of the world’s highest rates of growth in the number of dollar millionaires and billionaires, and Indian corporates spreading their wings in global skies. Affluent India revels in conspicuous consumption and unbridled accumulation. But the massive foundation that produces all the wealth remains mired in the dark depths of deprivation. Such cruel contrast, it is necessary to note, is a direct result of our highly skewed development strategy. As the Global Hunger Index 2012 Report says, “Between 1990 and 1996, GHI score [a lower score indicates lower incidence of hunger, and vice versa – A Sen] was falling commensurate with economic growth. After 1996, however, the disparity between economic development and progress in the fight against hunger widened… In two other South Asian countries – Bangladesh and Sri Lanka – GHI scores were also higher than expected but decreased almost proportionally with GNI per capita growth. … …
Well, such are the consequences of two decades of economic reform carried out by successive governments at central and state levels. So nothing short of a total rollback of the neoliberal policies imposed on us in the name of reform and development will lift India out of the morass. That, of course, should not mean a return to the bad old days, a new opening is always possible. An inclusive, egalitarian, gender-just, environment-friendly policy framework must replace the current devastating policy regime, which pushed the advanced capitalist countries into a severe crisis a few years ago (the recession and other problems are far from over) and is now doing the same to India.
Obviously, such a fundamental change can only be achieved through a hard, protracted struggle. Let us rise to the occasion, let us join this urgent battle.
