Praxeology: My Reflexions on India

Since long world government institutions like the IMF (International Monetary Fund) and the central bankers are pushing for an idea of a cashless economy ( Agarwal et al., 2015 ). Harvard university Keynesian school economist like Kenneth Rogoff wrote a book on the subject The Curse of Cash ! India’s popular prime minister Narendra Modi went as far as to implement this idea on 1.4 billion Indians when he banned the use of 500 and 1000 rupees notes in 2016 under his plan of demonetization. One of the goals of that plan was to make India a cashless economy. Although that plan hasn’t materialized in that most of the cash that he took out of circulation was back in the economy after two years. But global authorities and the Indian government have not given up their goal of a cashless economy. Now under the disguise of the Covid-19 pandemic, they are again pushing for a cashless economy. Their argument for banning or discouraging the use of cash now is that, currency notes are a...

The next batch of reform accompanying recent farm bills by the Modi government has arrived in the form of   Swamitva Yojana    for the rural people. Why did I say ‘reform accompanying recent farm bills’? Because combined with those bills and looking at the intentions of this scheme, it looks like the Modi government is readying the corporate takeover of the India’s rural sector. In the launching ceremony of this scheme prime minister Narendra Modi   said , Despite owning houses, people were facing multiple problems while borrowing from banks. These people can now borrow very easily from banks after showing property cards issued under ownership scheme. Now, is pledging one’s home and farm as a collateral while borrowing money from the banks the only use of one’s property? That seems to be government’s point of view because that is the prime benefit (sic) highlighted by the prime minister in his speech. Looking at this, there are ample reasons to doubt the intention an...

  India’s BJP government recently introduced two farm bills that has generated lot of controversy of late: 1)   The Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Ordinance, 2020   and 2)   The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Ordinance, 2020 . Opposition parties are alleging that Modi is selling out Indian farmers to big businesses and the prime minister is claiming that this bill will help farmers by removing the often hated middlemen from the agriculture sector. He   said , Mr. Modi said Indian farmers had been bound by several constraints and bullied by middlemen for years. One of the cabinet ministers of the BJP government even   resigned   protesting against these bills. In this article I want to discuss some of the implications of these bills. Before I do that I want to first quickly dispel the myth about the supposed villainy of middlemen. Some groups of people in our societie...