IIPM Mumbai Campus
Miles to go before i sleep...
Just before World Bank President Robert B Zoellick landed in India for his four day trip, a statement by theWorld Bank caught enough attention — "High level of growth in India is helping the international economy recover from the crippling impact of recent financial turmoil." It is undoubtedly a big statement to recognise India as a rising economic power and it is certainly a milestone for India. However, for any nation, economic prosperity is never synonymous to social welfare.
The high GDP growth has created enough news in the international arena; but is it ensuring a proportionate rise in social welfare that Nehru had envisioned?
It can be understood from the very first argument of inequality in India among individuals and regions. One of the primary objectives of setting up the Planning Commission in 1950 was to reduce inequality of wealth and income. India has not achieved much on this. Inequality has only widened with time from 25.8 per cent in 1999 to 36.8 in 2004. Regional differences too have increased significantly over the years. The ratio of per capita State Domestic Product between richest (Punjab) and poorest states (Bihar) has increased from 2.2 times in 1980 to 4.8 times in 2004. More interestingly, with crony capitalism, India has succeeded to increase the number of billionaires in the Forbes billionaire list but it has grossly failed to get more and more money out of them for the social welfare when judged by their philanthropic track record. There are a few big names including Azim Premji who pledged $2 billion to fund rural education or Shiv Nadar, who promised to donate $130 million. While the top 100 richest Indians control 25 per cent of India's GDP, all individuals and companies across the nation make 10 percent of the total charity funding in India, which is very less when compared to the 75 per cent in America. Although it takes 50 to 100 years to built a culture of philanthropy for any nation, it's high time India looks into the issue more seriously.
The suicide rate is rising across the nation among students, farmers and rural population. It is a matter of grave concern that in every 32 minutes, one farmer committed suicide between the year 1997 and 2005. In spite of being the third largest Asian economy, 127,151 people committed suicide in India in 2009 only, according to National Crime Records Bureau. The reality shows that the success story of economic development in the last two decades has fuelled Ambanis and likes to multiply their wealth but an ordinary Indian didn't have a success story to share. Many still don't have access to education, health or sanitation. Housing is gradually becoming a grave concern for professionals migrating to metros.
Capitalism's contribution is bountiful but it lacks proper management which can increase inequality and economic instability. It is not for nothing that Robert Zoellick mentions India while talking about the world, "Its status as a rising economic power is closely connected with how the country manages the next phase of growth."
For More IIPM Info, Visit below mentioned IIPM articles.
IIPM ranks No 1 in International Exposure in the 'Third Mail Today B-School Survey'
Management Guru Arindam Chaudhuri Dean Business School IIPM
IIPM Excom Prof Rajita Chaudhuri
Kapil Sibal’s voters want Jan Lokpal, not Government-proposed Lokpal Bill
IIPM: What is E-PAT?
"Thorns to Competition" amongst the top 10 best sellers of the week.
IIPM RANKED NO.1 in MAIL TODAY B-SCHOOL RANKINGS
'Thorns to Competition' - You can order your copy online from here
Miles to go before i sleep...
Just before World Bank President Robert B Zoellick landed in India for his four day trip, a statement by theWorld Bank caught enough attention — "High level of growth in India is helping the international economy recover from the crippling impact of recent financial turmoil." It is undoubtedly a big statement to recognise India as a rising economic power and it is certainly a milestone for India. However, for any nation, economic prosperity is never synonymous to social welfare.
The high GDP growth has created enough news in the international arena; but is it ensuring a proportionate rise in social welfare that Nehru had envisioned?
It can be understood from the very first argument of inequality in India among individuals and regions. One of the primary objectives of setting up the Planning Commission in 1950 was to reduce inequality of wealth and income. India has not achieved much on this. Inequality has only widened with time from 25.8 per cent in 1999 to 36.8 in 2004. Regional differences too have increased significantly over the years. The ratio of per capita State Domestic Product between richest (Punjab) and poorest states (Bihar) has increased from 2.2 times in 1980 to 4.8 times in 2004. More interestingly, with crony capitalism, India has succeeded to increase the number of billionaires in the Forbes billionaire list but it has grossly failed to get more and more money out of them for the social welfare when judged by their philanthropic track record. There are a few big names including Azim Premji who pledged $2 billion to fund rural education or Shiv Nadar, who promised to donate $130 million. While the top 100 richest Indians control 25 per cent of India's GDP, all individuals and companies across the nation make 10 percent of the total charity funding in India, which is very less when compared to the 75 per cent in America. Although it takes 50 to 100 years to built a culture of philanthropy for any nation, it's high time India looks into the issue more seriously.
The suicide rate is rising across the nation among students, farmers and rural population. It is a matter of grave concern that in every 32 minutes, one farmer committed suicide between the year 1997 and 2005. In spite of being the third largest Asian economy, 127,151 people committed suicide in India in 2009 only, according to National Crime Records Bureau. The reality shows that the success story of economic development in the last two decades has fuelled Ambanis and likes to multiply their wealth but an ordinary Indian didn't have a success story to share. Many still don't have access to education, health or sanitation. Housing is gradually becoming a grave concern for professionals migrating to metros.
Capitalism's contribution is bountiful but it lacks proper management which can increase inequality and economic instability. It is not for nothing that Robert Zoellick mentions India while talking about the world, "Its status as a rising economic power is closely connected with how the country manages the next phase of growth."
For More IIPM Info, Visit below mentioned IIPM articles.
IIPM ranks No 1 in International Exposure in the 'Third Mail Today B-School Survey'
Management Guru Arindam Chaudhuri Dean Business School IIPM
IIPM Excom Prof Rajita Chaudhuri
Kapil Sibal’s voters want Jan Lokpal, not Government-proposed Lokpal Bill
IIPM: What is E-PAT?
"Thorns to Competition" amongst the top 10 best sellers of the week.
IIPM RANKED NO.1 in MAIL TODAY B-SCHOOL RANKINGS
'Thorns to Competition' - You can order your copy online from here
No comments:
Post a Comment