Indian Government Flunks Management 101
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  • Brett

    That’s what happens when you take a giant bureaucracy dependent on the local elites to maintain order, and then slap the disastrous regulations, autarkism, and socialism that characterized India’s “license raj” for decades. I suppose we should be grateful that the country held together at all as a democracy (or simply held together instead of fragmenting further).

  • Brett

    To add-

    India, like several other countries in Latin America and Africa, had poor timing when it chose a central economic policy following its independence. India went socialist and autarkist because the Soviet Union and several other communist countries appeared to be growing rapidly in the 1950s (and in the Soviet Union’s case, they were coming off of a brutal but successful period of industrialization). Several Latin American countries did a lighter version of this with Import-Substitution Industrialization and state-owned companies.

    I wonder if it might have been different if India had become independent earlier on. Possibly not, since the failure of communism as an economic strategy didn’t really become apparent until after the 1950s.

  • Kris

    “The failure of India’s growth to include more opportunities for low skilled, less educated workers reinforces public suspicion of globalization and of foreign investment. ”

    Oh, were we talking about India?

  • Hubbub

    “…it’s likely that faster, more effective and less dishonest government would significantly enhance Indian growth and employment prospects.”

    Might the same be said as well of the United States? Surely our government is becoming slower, less effective, less efficient, and more dishonest with each passing administration.

  • Jacksonian Libertarian

    I disagree with your analysis of India’s progress against corruption.

    It takes years for politicians to build up their systems of patronage and corruption, because they have to be cautious doing all that illegal stuff. The foremost benefit of Democracy is that the systems of patronage and corruption can be disrupted by firing the political leadership, and installing new leadership which knows the same thing will happen to them if they don’t serve the public better. Democracy is the only way that the all important “Feedback of Competition” can at least minimally affect the Government Monopoly.

    We have seen very little change in India’s political leadership since Independence from Great Britain. Without the disrupting affects of a change in leadership, the systems of patronage and corruption keep growing. Compared to the US where the Republicans and Democrats are constantly fighting for supremacy, India’s politics have been stagnant.
    With the political competition now heating up in India, numerous scams are coming to light as ambitious politicians reveal them to damage their political opponents and gain power for themselves. The level of corruption in India is falling, and as long as the scams are being revealed faster than new ones can be created, the overall level of corruption will continue to decline.

  • gavin

    remember mumbia(Bombay) attacks?man shooting in station with machine pistol.police equipped with rifle could have dropped pac man at 100yds easy,why not as police have rifles.
    not really sure where this goes ,but Hassan was shot by policewoman within a NY minute .

  • carvaka

    @Jacksonian Libertarian

    most of the corruption cases in india are not exposed due to political rivalries (though there are some such cases).

    mostly these have been brought into notice by government institutions like CAG (comptroller and auditor general).

    politics also in my opinion has not stagnated. you need to look into election results – state and national to see the dynamics.

    what actually happened is there is a decay in political parties – mainly the national parties . so much that regional parties have become relatively strong. which makes the government fractured , inefficient and stagnant.

    there is no way out unless the big parties get the right diagnosis and reform themselves. so far there is no such indication.

  • Ian

    I love the headline of this post. Perfect title and made me laugh out loud!

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