After the pro-rich neo liberalism emerged triumphant, people who are at the helm of affairs appear to be obsessed with only one thing - that is ‘ease of doing business’. Every year the World Bank releases the ease of doing business index in which it ranks countries on the basis of their business friendliness. If a country wants to prove that it is business friendly it has to listen to the World Bank, which is the custodian of the big businesses.
Now the question arises as to what exactly the big businesses want? Though they cite some cleverly worded performance indicators to compile the index, their true intention appears to be something else. They want land at throw away prices even if it is fertile agriculture land, they want licenses to
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It appears that the government’s efforts to improve the ease of doing business have paid off and India leapfrogged to 100th position in the index, which triggered a euphoria among the politicians, business tycoons and the press. Now, the government is gearing itself up to present it as one of its biggest achievements.
Well, they have the ‘ease of doing businesses’. Now the question is when will the poor and the downtrodden have the ‘ease of living index’? Their daily lives have become too laborious and stressful and they are leading agonizingly painful lives in squalid conditions. Their children don’t have enough food to eat. In the recently released Global Hunger Index (GHI) India featured at 100 th position among the 119 countries, lagging behind even the North Korea ruled by a despotic regime and the war torn Iraq.
In spite of all this grinding poverty, our governments have progressively been reducing the welfare spending in the name of maintaining fiscal prudence. They say that the credit rating agencies may downsize our sovereign credit rating if we don’t keep our fiscal deficit under control by controlling the expenditure. They, however, don’t think about the same fiscal prudence while announcing the so-called ‘measures to spur the growth’. As part of the measures they give bailouts to big businesses in the name of bank recapitalization, give hefty
The problems of the United States’s economy dictate many aspects of its success and relations, and debt within its declining economy attribute to two harmful cycles for the country to be in. The groups that can contribute to both the debt and the economical state are the welfare programs within the U. S. today. They both raise the debt by its overuse within the unemployed and poor within the country as well as take away from the economy by giving those on the welfare no incentive to go work and put currency back into the economy. This overuse of welfare programs is a steadily growing problem correlated with the rising U.S. debt, but it can be slowed down, or reversed by taking proper action of setting regulations and rules for those using these welfare programs, bettering the economy for both government and people.
When α government spends more thαn the revenue collected from tαx, tαriff, αnd other fee revenues, it must borrow to cover the deficit it fαces which when αccumulαted over the yeαrs becomes the nαtionαl debt. Internαl αnd externαl debts αre the two types of nαtionαl debt. Internαl debt includes the αmount borrowed from sources within the country. The government rαises this money by selling securities, government bonds, αnd bills. While externαl debt is the money borrowed from foreign sources. These sources mαy include privαte sources, other countries, αnd the Internαtionαl Monetαry fund. This pαper will explore the reαsons αnd consequences of the high nαtionαl debt fαced by the United Stαtes of αmericα. Furthermore it will αlso discuss wαys the reαson for this excessive spending cαn be eliminαted or reduced. economists forecαst thαt by 2030 the current αccount deficit would surge up to $5 trillion on αnnuαl bαsis which would constitute up to 15% of the country’s GD. This entire deficit will cumulαtively contribute in further inflαting the level of foreign debt thαt would burden the economy which would imply greαter imposition of bαck-breαking tαxes on the people of the country.
India and China are two examples of developing countries that have most of their population in poverty: 171 million households in India, 286 million households in China, but with the same access as everyone else, they can earn a decent living. Combine the annual income of the two, and it reaches over $1 trillion. It is up to the private sector to tap into this market. However, traditional methods will not work.
The World Bank 2013 Doing Business Report is a tenth edition of annual reports which investigates regulations that enhance business activity, including those that constrain it across 185 economies. These economies are assessed based on eleven different components in their evaluation. However, with advances in international business and technology, more of these economies are being given opportunity to expand their networking abilities.
The present buzzword for India’s development strategy is inclusive growth. The role of state and market has been crucial in achieving rapid and inclusive growth. “Inclusive growth” means an emphasis towards more equitable distribution of income and building capabilities in terms of attainment of better health and education. The general notion about the success of inclusive growth is little apprehensive. The argument is although the poor are getting richer, the rich are getting richer faster than the poor. This is problematic as it can lead to an uneven distribution of
In the past most research studies were conducted in academic settings. Due to the costs of such studies, pharmaceutical companies realized that it would be faster and less expensive to conduct trials in a more private setting. The outcomes for these studies are not for knowledge but for profit.
The ignored economy. To begin anything, the first step is to recognize the capital resources needed to start such a big task. Kaul (2013) reported that more than 65% of India consists of poor people that fall below the poverty line; additionally, the Press Trust of India (2013) released that India makes
Since the budget 2017-2018 will cause a deficit of $29.4 billion, which is decreased by $8.2 billion compares to the budget 2016-2017[1], the fiscal stance the government is adopting tends to be contractionary. To return to surplus within four years and create a surplus of $7.4 billion in 2020-2021, government adopts the contractionary policy to reduce the deficit and increase the surplus. And another reason for adopting contractionary policy is to raise the economic growth from 2.75% (2017-18) to 3.0% (2018-19). The federal government also starts to pay attention to globalization, small business owners and areas where technological change happens. The four main things this budget choose to focus on are: growing
With such a crippled economy, including a potential booming sector for energy production and tax-evading companies coupled with corrupt politicians allowing illegal activity, it is no wonder that the citizens are upset. Creditors have recently asked for the
There has been a slow growth trajectory noted all over the world since the latest crisis, and one of the key and largely overlooked reasons for this disappointing growth is the increasing global burden of debt. Although it is true that low government debt has its benefits and both private and government debt matter, the main focus should now be on reducing private debt as it is larger than public debt and has the larger and more direct impact on economic outcomes, and addressing the issues associated with private debt is necessary
We believe the single greatest risk of doing business in India is its bureaucracy. The Indian bureaucracy is often referred to as "babudom." An Indian bureaucrat is often referred to as a "babu." Today, babu may also mean "Sir" or "Mr." The babudom was formed after India gained independence from Britain. It employs many more people than necessary and it is highly unproductive. Each geographic region of the babudom requires specific government permissions and taxes. Making progress in the babudom with limited local support is a difficult task, especially for a small U.S. firm with limited capital.
This essay consists of three parts. At first, it will discuss some causes of the credit crunch of 2007. Then we focus on credit risk, which is one of the most important causes, by giving a definition of it and describing how it results in credit crunch. The third part will discuss the implications of credit crunch for policy.
Some theorists suggest that it is not the nature of the political framework of a country that determines its economic success, but the type of policies implemented and their astuteness. This essay will analyse what affect different ideologies and regimes have on business. In all circumstances, business and politics are heavily interdependent. The government is not only a large customer of the private sector and a tax collector but it also lays down the legal framework in which businesses operate, regulations, or lack thereof, can either impede business or allow it to flourish, creating jobs, wealth and opportunity for society. As a result, the regime of a country and the political party in power and what kind of views it holds in relation to specific regulations can have a massive impact on how successful business subsequently becomes. Some suggest that democracy is the most favourable environment for business to thrive; this is the main focus of the essay. Furthermore it examines certain governments which may be too involved in business as well as the opposing argument that it doesn’t have enough control over businesses and the idea that business is in fact too influential within politics.
Overall, the global economic and financial crisis has put pressure on governments around the world to cut spending, deficits and debts, and allocate scarce public resources more effectively and efficiently to achieve the goals of poverty reduction, economic growth and sustainable development.
Liberalization or the 1991 economic reforms marks 25 years this year. Debates continues on whether growth precede or followed liberalization. India has experienced unprecedented growth over the past three decades. However this growth has co-existed with increase in inequality, unemployment across the country as certain regions, sectors and social groups have disproportionately benefitted from the growth. At least 38 percent in India continue to live below the national poverty lines (Ruparelia et al 2010). It has not been able to generate employment growth, which is one of the most important cornerstones to translating economic growth into poverty reduction and promoting social equality. ‘India is and for some time will remain one of the