Monday, 15 April 2019

3 Things We All Want But Can't Be Delivered In India

In every election, we expect our politicians to fulfil our wishes, to solve our problems. There are many things we want at an individual level and at society level. That's why we vote for that politician who we feel can fulfil our wishes. Some promises are delivered in their tenure, while some aren't. 

But there are 3 major changes that we want in New India, problem we youth want to be solved at the earliest, things that are now deeply engraved in our system, but sadly they can't be solved in India.

Let's have a look


1. Quota System:

Quota/Reservation System is one of the major issues we want to be resolved in India. It feels like ages since this topic has been in limelight. Over the years number of people under this criteria have increased. This has caused a bit economic imbalance in the country. Every now and then we hear in news that certain section of society has blocked some area, are performing strikes to demand Reservation. At that time we all have one question for our government, why can't they remove quota system? Why not just set it on income basis? But this change we want can't be delivered in India.

REASON WHY IT CAN'T BE IMPLEMENTED

a) First reason I would give is that this system is now deeply engraved in India. It will need a lot of time and fresh start to abolish it.

b) Fear among the parties. Even if they removed it, there will be a fear within the ruling party that other party will try to capitalise on it. This can be successful only if all parties decide to come together and collectively agree to not involve in "Reservation" based politics. 

c) These reserved categories are  political party's vote bank. If they abolished it then they won't be able to win in elections. 

d) If they removed already existing Reservations, there will be strikes in various parts of the country, which will only lead to economic loss in India.

e) The people who are involved in strikes mostly include the affected section of that category. They are smartly used by powerful people behind the conspiracy. It will require a lot of time and effort to actually make them understand the ill-effects of the already existing system and benefits of the INCOME BASED RESERVATION SYSTEM.

As working on it is a lengthy and time consuming process, that's why new reservation was launched which grants 10% reservation to "economically weaker" section of society. But still people are able to find loopholes in it. The success of it can't be debated now, but it has created another level in the reservation system, which has further pushed the Reservation percentage above 50.

2. Reduction in Minister's Convoy:

Whenever there's a VIP moment, traffic is stopped. Vehicles of common people aren't allowed in the area until the full convoy has passed. Common person face problem due to it, and a frequent question is asked. Why do these ministers carry such a big convoy with them? Are they bigger than US President or France Prime Minister? Question is also asked regarding number of people given the Z Plus Security in India. As common man we all want it to be reduced. We want only top officials like Prime Minister, Chief Minister and President to have this kind of convoy and security.



REASON WHY IT CAN'T BE IMPLEMENTED

Despite great public demand, minister's convoy can't be reduced. Simple reason for it is the employment this market has. Like Reservation, the culture of big convoy for ministers is deeply engraved in Indian system. It provides huge employment opportunity to individuals. If government reduces the number of people covered in this category, then it will add more force in the unemployed section of the society which will further have negative impact on the economy. Until government creates a different market for people employed in this field, this wish of reduction in minister's convoy can't be implemented in India. 

Another reason that can be attributed to it is the benefit it provides to automobile industry. It leads to more sale of vehicles which further boosts the economy and increases the GDP of the country. 


3. Payback World Bank Loan:


Dollar's rate is fluctuating at a frequent interval. We all want it to be settled asap. We all want India to be a faster growing nation in the world. There are questions on google and quora regarding the same. Why India isn't paying back the loan? What will be the exchange rate if India settles its loan now? Why not recover black money and payback the loan? What will happen if 1 INR = 1 Dollar ? There are many similar questions, wanting the government to do the same. It will have major implications due to which government can't do what is being asked them to do on this matter.


REASON WHY IT CAN'T BE DONE

Government can't settle loan like that. There are many factors that need to be looked upon.

a) Settling the whole loan at once or even a major part will lead to change in exchange rate. This means Indian Currency will become stronger than US Dollar. The foreign good will become cheaper, which will lead to an increase in imports and decrease in exports which will lead to Deficit in Budget.

b) It will impact savings of Indians working in US who have saved US dollars in hope of cashing it a good price when needed.

c) The government needs to payback in the currency it has borrowed. Paying back the loan will impact government's foreign exchange reserves which will further have negative impact on smooth working of economy. 

d) Though loan needs to be repaid in the same currency it was borrowed. But if foreign country or institution like World Bank and IMF, accept the repayment in domestic currency, then government can repay the loan by printing any number of new currency and that too without mortgaging gold with central bank. Even if , World Bank agrees to it, this won't benefit India, as INR is not a universal currency. World Bank is interested in only DOLLAR. So, it will sell the INR in market for Dollars. This will lead to an increase in demand for Dollar which will increase its price against INR, thus having a negative impact on Indian Currency.

So, despite the majority of Indians wanting these issues to be resolved at earliest, these sensitive issues can't be settled in a short period as it will have negative impact on country's economy. And no government in their tenure wants these negative impacts on economy as this will impact their public image and won't benefit them in next elections.   

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