First of all I am not an economic expert like Nouriel Roubini , who predicted famous recession of 2008.
I am simply questioning the drastic change behind the reason of growing business 150 years back and now in 2011.
Some 150 years back things were getting invented at frantic pace after the invention of electricity. There was real need of light in night , speedy transportation of crops ,cereals and medicines.And many more genuine needs. Business growth came from genuine demand . Companies catered first developed market and then developing countries .
Now in 2011 things has shifted from catering needs of customer to maintaining the 10% YoY growth momentum of companies. (YoY: Year on Year)
If a company is not growing sales 10% YoY then investors think that company is dead.
I want to know why 2% , 4% or 5% YoY is not sufficient ?
Why all government try hard to boost GDP at 8%-9% per year?
Can't we provide food ,clean water , medicine for poor , shelter , education for them at 4% or 5% growth?
India was surviving at 5-6 % for 50 years . Unemployment problem is almost same.. as 40 years ago. Other things are slightly improved. No body in India is crying for unemployment that is altogether a different story, which I will cover in my next post. Indian government is focusing more to bring FII , FDI making infrastructure better FOR MNC and INDIAN COMPANIES . And Companies are focusing on their 10% YoY...
Who are thinking about improvement of the poor.
Basic food prices are increasing because , LPG , Petrol , Diesel are now consumed by Power houses to generate electricity for COMPANIES .. Still rural areas are struggling for electricity for irrigation.
Lands are used for SEZ or cash crops no body wants to grow wheat which sales for INR 900 /100 KG. Hence prices are increased . Onion and Wheat are being exported again not for the benefit of farmers , Export of these basic commodities benefit the big super rich farmers (supporters of politicians in rural area or politicians from rural area).
Basic commodities are listed like shares and used as investment instruments rather than as basic necessities , obviously prices will be increased . So Why not price of basic commodities will increase like anything??
Japan disaster is natures warning to stop and think that , Are all developing countries following the right path to development?
8% GDP growth and 10% YoY for 30% population of India is more important for government of India or ensuring basic amenities for 70% of population.
Government is working to bring down call rate at INR 10 paisa / minute were as still human being are deprive of FOOD the basic necessity. People are still dying in Orrissa , MP , Aasam , Rajasthan ,Karnataka and Maharshtra because of hunger and malnutrition.
What to talk of free QUALITY education ? and shelter , Social security is far away thing..
After 65 years of independence if people are dying of hunger then what did INDIA achieve .. ?
Is someone checking priorities of INDIA ???
Growth should be driven by demand of 70% people of India. But what we see is that growth is driven by balance sheet of companies and 30% of Indian population.
Government is taking decisions and allocate fund to satisfy the Infrastructure need of Companies . And it is not sustainable . Maoists are butcher and terrorist, but there so called reason,social injustice , for terrorist activities , is right.
Before every decision Indian government should ask itself what it will bring for 70% below poverty line population.
I am simply questioning the drastic change behind the reason of growing business 150 years back and now in 2011.
Some 150 years back things were getting invented at frantic pace after the invention of electricity. There was real need of light in night , speedy transportation of crops ,cereals and medicines.And many more genuine needs. Business growth came from genuine demand . Companies catered first developed market and then developing countries .
Now in 2011 things has shifted from catering needs of customer to maintaining the 10% YoY growth momentum of companies. (YoY: Year on Year)
If a company is not growing sales 10% YoY then investors think that company is dead.
I want to know why 2% , 4% or 5% YoY is not sufficient ?
Why all government try hard to boost GDP at 8%-9% per year?
Can't we provide food ,clean water , medicine for poor , shelter , education for them at 4% or 5% growth?
India was surviving at 5-6 % for 50 years . Unemployment problem is almost same.. as 40 years ago. Other things are slightly improved. No body in India is crying for unemployment that is altogether a different story, which I will cover in my next post. Indian government is focusing more to bring FII , FDI making infrastructure better FOR MNC and INDIAN COMPANIES . And Companies are focusing on their 10% YoY...
Who are thinking about improvement of the poor.
Basic food prices are increasing because , LPG , Petrol , Diesel are now consumed by Power houses to generate electricity for COMPANIES .. Still rural areas are struggling for electricity for irrigation.
Lands are used for SEZ or cash crops no body wants to grow wheat which sales for INR 900 /100 KG. Hence prices are increased . Onion and Wheat are being exported again not for the benefit of farmers , Export of these basic commodities benefit the big super rich farmers (supporters of politicians in rural area or politicians from rural area).
Basic commodities are listed like shares and used as investment instruments rather than as basic necessities , obviously prices will be increased . So Why not price of basic commodities will increase like anything??
Japan disaster is natures warning to stop and think that , Are all developing countries following the right path to development?
8% GDP growth and 10% YoY for 30% population of India is more important for government of India or ensuring basic amenities for 70% of population.
Government is working to bring down call rate at INR 10 paisa / minute were as still human being are deprive of FOOD the basic necessity. People are still dying in Orrissa , MP , Aasam , Rajasthan ,Karnataka and Maharshtra because of hunger and malnutrition.
What to talk of free QUALITY education ? and shelter , Social security is far away thing..
After 65 years of independence if people are dying of hunger then what did INDIA achieve .. ?
Is someone checking priorities of INDIA ???
Growth should be driven by demand of 70% people of India. But what we see is that growth is driven by balance sheet of companies and 30% of Indian population.
Government is taking decisions and allocate fund to satisfy the Infrastructure need of Companies . And it is not sustainable . Maoists are butcher and terrorist, but there so called reason,social injustice , for terrorist activities , is right.
Before every decision Indian government should ask itself what it will bring for 70% below poverty line population.