The need to make people
independent by providing skills and jobs is overrided by policies to make
people dependent and increase scope as vote banks...
NYAY has targeted only the employed and promised
to support their income... Atleast no one has put that unemployed would get
Rs 12, 000/month...
|
Probably NYAY has
nothing to do with unemployment; it is an income support for the working group
earning less than Rs 12, 000... Are unemployed going to get complete 12,
000...?
How NYAY is going to
help unemployed... (?), when the problem has been unemployment.
NYAY has overestimated
the cost of living... Rs 9, 000 could be appropriate for a family or a
household given the existing subsidies... But, it has not targeted the
unemployed... There is still scope for unemployment benefits and dbt for education
and skills...
There is still need for unemployment benefits
transfer b’coz NYAY has only targeted the poor employed by its income support
scheme...
Unemployment benefits are an important part of the Social
Security...
The government should
promote self education and self certification after graduation...
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Modi's 10% reservation
to economic weaker, people earning less than 8 lakh, is a bigger game changer,
it covers a larger population, including the middle class too, besides poor...
Recently Raghuram Rajan
raised doubts about the employment and growth data. But, Rajan himself never
valued unemployment data while deciding the monetary policy during his stint
when price stability and unemployment, both, are important from policy point of
view... He never pointed that unemployment data are too much cumbersome...
Government's commitment
to low fiscal deficit and better supply side management, especially the food,
and lower debt and inflation have been slowly recognised by the RBI... But, had
not translated to lower inflation expectations, by RBI, and lower interest
rate...
After demo the RBI had
to cut rates to increase falling growth expectations... which hit the already
bottoming out economy and slowed the economy further... which was further hit
by oil prices and depreciation and two successive rate hikes...
The RBI had not been
helpful for more production and employment... lower borrowing cost could also
increase competitiveness and demand/supply and growth....
Higher interest rate
would be bad for, both INDIA and the US... A strong dollar could further
increase depreciation and increase oil prices and CAD and outflows... and
higher interest rates in INDIA... A US recession would help INDIA in terms of
lower commodity and oil prices and inflows...
Lower inflation and
inflation expectations might not increase the nominal exchange rate
transmission... means lower inflation and expectations premium...
Today the RBI in its
monetary policy review delivered a 25 basis points rate cut even when household
inflation expectations has remained benign while maintaining a neutral stance
which points that further rate cuts might be possible going ahead…
The RBI must have avoided
interest rate cut expectations since it could delay demand worsening growth...
It had better provided a 50 basis cut while maintaining a neutral stance
dependent on the incoming data given higher real interest rate compared to peer
countries...
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