Despite of all education and skills asymmetry, like information asymmetry, the real problem also lies in asymmetry of employment opportunities and lack of initiative on the part of the job-seeker, too. Deregulation of banks and especially bank deposits (savings) would increase the availability of loan-able funds. The idea has appeal from the point of view of micro finance, too. Deregulation would increase rate of saving since it would induce the consumer to save, and, to save, even on the cost of consumption. And, most importantly education, skills, and, employment opportunity symmetry makes one independent, and, help you to avoid extremism. Moreover, it also fosters positive self-acceptance.
As far as micro-finance is concerned it constrains the amount the investors are seeking for investment. The borrower can borrow, but, with a limit, say 20,000. Micro-finance with it shortcomings is now available to be exploited by group rather than individual. For example, if individual can borrow 20,000, group of investors, say, five individuals, jointly, can borrow (5*20,000) 1, 00,000 or more. This increases the chances of doing business on a scale larger than the usual and the risk remains the same. Even if the borrower borrows less than the upper limit say 10, 000 they can share the risk on investment. Nevertheless, if 10 borrow 10, 000 each, the risk becomes shared and reduced, but, the amount remains the same (10*10,000) 1, 00, 000.
Besides drafting a manufacturing policy we need to create awareness for how to do business. This would release the risk associated with, both, the lender and the borrower. Providing assistance to do business is the other way around, meaning they can also employ graduates from B-schools and do business under their assistance. This would create employment manifold and will pave way to entrepreneurship in India.
Education and skills asymmetry is also responsible for extremism like terrorism because it is easier to learn how to do with a gun rather than with money and investment opportunities. Once entered in such a territory it is very difficult to walk away with your-self and it becomes a burden. Culture is important in shaping one’s mind and i’am proud to be an Indian and a follower of the Indian culture. India has embraced everybody with an open heart and mind with the challenge to transform their heart and soul to conquer the part of ego that is a not acceptable. We all have heard stories of dacoit who completely transformed themselves and became saints and have also created legends.
Be proud to be a good man of your country…
As far as micro-finance is concerned it constrains the amount the investors are seeking for investment. The borrower can borrow, but, with a limit, say 20,000. Micro-finance with it shortcomings is now available to be exploited by group rather than individual. For example, if individual can borrow 20,000, group of investors, say, five individuals, jointly, can borrow (5*20,000) 1, 00,000 or more. This increases the chances of doing business on a scale larger than the usual and the risk remains the same. Even if the borrower borrows less than the upper limit say 10, 000 they can share the risk on investment. Nevertheless, if 10 borrow 10, 000 each, the risk becomes shared and reduced, but, the amount remains the same (10*10,000) 1, 00, 000.
Besides drafting a manufacturing policy we need to create awareness for how to do business. This would release the risk associated with, both, the lender and the borrower. Providing assistance to do business is the other way around, meaning they can also employ graduates from B-schools and do business under their assistance. This would create employment manifold and will pave way to entrepreneurship in India.
Education and skills asymmetry is also responsible for extremism like terrorism because it is easier to learn how to do with a gun rather than with money and investment opportunities. Once entered in such a territory it is very difficult to walk away with your-self and it becomes a burden. Culture is important in shaping one’s mind and i’am proud to be an Indian and a follower of the Indian culture. India has embraced everybody with an open heart and mind with the challenge to transform their heart and soul to conquer the part of ego that is a not acceptable. We all have heard stories of dacoit who completely transformed themselves and became saints and have also created legends.
Be proud to be a good man of your country…
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