Chacha Speaks - And I React

Prime minister Chacha Manmohan S Gandhi has spoken - to an audience in Malaysia - unveiling a six-point programme for a "new stage in India's development." An editorial in the Indian Express has faithfully reproduced these six points:

First: rapid growth, to create wealth and fund ambitious welfare programmes.

Second: regional and social balance.

Third: a focus on a modern, knowledge-based economy.

Fourth: environmental sustainability.

Fifth: cooperation with our neighbours to our mutual benefit.

And sixth: to retain the framework of our plural and secular democracy, a goal and a value in its own right.

I examine each of these in turn:

First - rapid growth, to create wealth and fund ambitious welfare programmes.

The two objectives are contradictory. If wealth is created - and then our The State taxes it away for "welfare," all is consumed, nothing is left for investment, and so the engine will come to a spluttering halt. Chacha has already derailed growth for the ambitions of welfarists - and the proof lies in our high inflation. Perhaps Chacha has not heard of what they are doing in Britain today.

What is needed for economic growth? Well, I recently answered that question in a post. I established the fact that The State has NO ROLE in the processes that cause economic growth. I concluded saying: "Liberty! Property! Contract! That is all it takes to make a country grow." I then added another post on the importance of roads. In this speech in Malaysia, Chacha lamented the sorry state of India's "infrastructure." But he himself is spending all our money on welfare - not roads.

Second - regional and social balance.

Dunno what these mean. All that must "balance" are the scales of Justice - and here in socialist India, where there is no Property, these do NOT balance. "Regional balance" is poppycock. All our regions are diversely gifted - not only by Nature, but also in terms of human capital. The old idea of "balanced regional development" espoused by our central planners has never worked. It is a goal as unattainable as "economic equality." As far as "social balance" is concerned, I repeat myself - all that is needed for "balance" in a vast society of numberless individuals is that the scales of Justice must balance, and that requires Property to be inviolable.

Third - a focus on a modern, knowledge-based economy.

There is no need for us as a nation to undervalue ancient and traditional knowledge - like the mahua that our tribals happily distil. In the developed nations of the West, a lot of traditional knowledge thrives - as in wine and cheese making. Our common people possess all kinds of old knowledge and skills - as in the case of carpenters. As far as "modern knowledge" is concerned, the best we can do for ourselves is to unilaterally free trade. Import the knowledge developed overseas and use it - as with our modern mobile phones and cars. No IIT could produce either. Incidentally, in this speech, Chacha quoted Keynes - and that puts a big question mark on his own knowledge.

Fourth - environmental sustainability.

Chacha is a great "climate change" alarmist - another phony "knowledge" he has espoused. Methinks it would be preferable if our The State would focus on the "sustainability" of their budget expenditures - their welfare programmes. It is these that are "consuming Capital" - and are totally "unsustainable."

Fifth - co-operation with our neighbours to our mutual benefit.

I agree with that - but then, why stop at our neighbours? Why not co-operate with all the nations of the world? There is much more we can buy from Europe than Bangladesh! Unilateral free trade - the only way.

Sixth - to retain the value of our plural and secular democracy.

Funny thing, ain't it - that Chacha has never won a Lok Sabha election himself. Is this a "plural" democracy when classical liberals and libertarians are not allowed to form political parties of their own? Is this a "secular" democracy when the likes of the BJP are given free rein? No, siree - this is a centralized, socialist, communalist sham democracy.

One word to describe Chacha's six-point programme: Mendacity.