India's economy is trapped in the Hindu rate of growth

- The Conundrum of Economics - Dhawal Mehta

- India's economy is strong compared to other developing countries amid adverse factors

For nearly forty years from 1951 to 1990, India's economy was stuck in an average economic growth rate of about 3.5 percent. Due to this economy, the government imposed strict restrictions on private enterprises, public enterprises were incurring huge losses, and there was rationing of food grains. If you bought a radio, you had to pay an annual license fee. This socialist economics was called the license-permit-quota state. The famous economist of that time, Rajakrishna, in the 1970s called the Hindu growth rate. Caste system was very strict among Hindus and still is. Religion is also full of rituals. Now the caste system has been politicized. Since Hinduism is tolerant in many matters related to religion, you can criticize religion or rituals or customs. You can even say dearly to Rama, the worshiper of Hinduism, that my Rama, do not come to Sitaji's tole. But if you marry outside caste, your caste society will castigate you.

There have also been murders of bridegroom or more to marry outside the caste. Hinduism will be tolerant but not Hindu caste system. As such situation is strictly bound by strict caste system, Prof. It is possible that Rajakrishna called India's independent economic growth rate the Hindu rate of growth. In 1991, Narasimha Rao and Manmohan Singh's government did the work to break the vicious cycle of the Hindu growth rate. He freed Indian economics from the clutches of bureaucracy. Socialism or socialist style politics or economics failed in India.

Prof. Raghuram Rajan's response

Prof. According to Raghuram Rajan, in addition to the high rate of inflation everywhere in the world, the central banks of the countries of the world have increased the prime bank rate so much to curb inflation and the war between Russia and Ukraine has been prolonged so much that it will slow down the economy in India as well and it will again be trapped in the Hindu growth rate. Prof. such a fear. Raghuram Rajan has expressed. Also, the low-income countries of the world, except the countries of the western world, have gone bankrupt or are preparing to blow their debts. According to the World Bank and the IMF, 35 countries in the world are on the verge of default due to high debt.

Sri Lanka and Pakistan are striking examples of this. The developing countries of the world have created so much government debt by issuing their bonds that they do not have the money to pay the installments and interest on that debt. Assessing the above facts, it is possible that Raghuram Rajan warned the Government of India. Think about how serious the economic condition of the world will be when 35 countries of the world are preparing to blow their debts? However, India's economy is stronger than other developing countries.

Of course, India has showered subsidies on food-fuels and fertilizers and in addition has kept public enterprises running at a loss of crores of rupees.

Recall that due to Russia's invasion of Ukraine a year ago, Ukraine's 2022 economic growth rate has gone down to minus 34.96 percent. Russia's 2022 economic growth rate has also reached only 2.9 percent. Even if India's economic growth rate of 2022 is as high as seven percent, India has reached the limits of inequality in the distribution of national income and wealth.

Now the government should adopt the slogan of poverty. Not remove but reduce inequality ..........