Say’s Law works: Supply does create its own demand

News: Supply-based interventions can help in increasing demand and thereby have a positive impact on the economy. That is why they are a popular public-policy choice. What is “Says law”? It says supply creates its own demand. However, John M. Keynes has refuted “Say’s Law”. According to Keynes, say’s law was the only major tenet… Continue reading Say’s Law works: Supply does create its own demand

Amazon’s legal entanglement in India offers a cautionary tale

News: Amazon’s legal dispute throws light on uncertainties, quality of legal and regulatory protection that investors face in India. What is Amazon’s legal dispute? Recently, Amazon was fined by the Indian competition watchdog. Its capital infusion in Future Coupons during 2019 was put in suspension. The Competition Commission said it was denied an opportunity to… Continue reading Amazon’s legal entanglement in India offers a cautionary tale

Countering China: India’s long game with China and challenges posed by a ‘soft’ state

News: Chinese economy is more than five times of Indian size. Its defence capabilities are more than that of India. China is also eyeing global leadership in the field of IT, robotics, Artificial Intelligence etc. All these, place India at a great disadvantage. It is time that India should now act proactively for countering China. On… Continue reading Countering China: India’s long game with China and challenges posed by a ‘soft’ state

Envisioning Governance 4.0 for a world that must not fail its kids

News: India requires governance 4.0 in the second half of the 20th century to enable income growth and social peace. In 2022, new challenges, for instance, climate action failure and erosion of social inter-relatedness are present before the government to deal with. But the issue is that today many people have lost faith in their… Continue reading Envisioning Governance 4.0 for a world that must not fail its kids

Reforms in the multilateral institutions: A gathering storm over multilateral institutions

News: Indian Prime Minister, while addressing the World Economic Forum annual conference, talks about required reforms in the multilateral institutions to deal with the new world order. Chinese President also talks about the need for reforms to uphold true multilateralism, fairness and justice. Why are the reforms in the multilateral institutions are necessary? 1) Dysfunctional system… Continue reading Reforms in the multilateral institutions: A gathering storm over multilateral institutions

Farm reforms need not be a lost cause in India

News: Recently, a lawsuit against the Patiala Central Cooperative Bank was heard by India’s Supreme Court. This case drew attention to an attitudinal problem in the farm sector. What is the issue between farmers and Patiala Central Cooperative Bank? The bank sought to pay less compensation than what was ordered by a High Court. The… Continue reading Farm reforms need not be a lost cause in India

Assure basic scientific research its due supply of oxygen

News: Investment in basic science has helped the USA. Similarly, National Research Foundation (NRF) can help India in basic scientific research. How investment in science helped the USA? In 1941, US President Franklin D. Roosevelt established the Office of Scientific Research and Development (OSRD). It was given unlimited access to funds with a broad mandate… Continue reading Assure basic scientific research its due supply of oxygen

Deepening debt crisis in SL strokes crisis over Chinese lending

News: Sri Lanka struggling financially to pay for its imports. This raised questions about Chinese lending to the South Asian nations as part of its Belt and Road initiative programme. Why Sri Lanka is struggling financially? Sri Lanka’s key foreign exchange earners, tourists and remittances from abroad were hit hard by the pandemic. So, it… Continue reading Deepening debt crisis in SL strokes crisis over Chinese lending

Think, give-and-take to expand trade relations

News  India in 2020 declined to join the Chinese led RCEP.  This fueled the concerns of trade isolation and to overcome this India has been trying to forge some bilateral free trade agreements (FTAs).    What are the initiatives taken by India in this direction?  India has been generally following a ‘Look West’ approach and has initiated FTA… Continue reading Think, give-and-take to expand trade relations

It’s time for the world to reform capitalism from within

News: Pandemic has highlighted the need to reform capitalism to make it work for everyone and to make the world a better place to live in. Why there is a need for reforms in capitalism? Though Capitalism had helped in incentivizing science to develop and produce vaccines in record time, it also disincentivized allocation and… Continue reading It’s time for the world to reform capitalism from within