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@@prohind he is one of the smartest people in India. You need to know his story and you'll realize he's almost as great as the great Kalam sir. He's just a excessively humble man in a wrong party.
@varun prasad actually not really. India today is way more globalised than 2008 , so any I'll effect on global trade(trade war) will automatically drag down the Indian market. And the current credit NPA problem, it's root can be traced back to the 2009-2012 era . It's a backlog this government is trying to fix, but the blunder called demonization destroyed all such plans and was the straw that broke the camel's back. But still looking at the global scenario, India is well placed.
@The Engineer Guy i agree to an extent,Chinese SASAC is biggest economic entity & is fully state owned, Chinese state is too much powerfull to enforce it's writ compared to Indian state Unlike ours Chinese labour laws is good, hopefully this govt.reforms labour laws
@The Engineer Guy i don't think anything will happen with land reforms, that will be left to states On disinvestment who will buy BSNL or airindia,they have negative ROE BTW in India reforms have always happened out of necessity,so news is of some PSU disinvestment like BPCL,CONCOR & BHEL & thereis also news that govt will reduce it's stake below 51% in some PSUs like IOC Forget defence PSU disinvestment,workers of OFB r even opposing corporatisation of OFB Unions r giving threat of strikes at BPCL refineries Unlike China,India is not single party state
Print has one superstar who ability to analysis is next level : shakher Gupta This is eye opening and listening I feel how wrong I was .thank you sir for sharing your great perception with us
The right wing in India has nothing I repeat NOTHING to do with capitalism The left and right in India is just revolving around whether you are culturally hindu or not (culturally doesn't mean religiously)
Abhijit Banerjee got Nobel by not applying his work in Europe or US. He applied his work in Africa and India. So to say his theory is 'leftist' and good for Scandinavia is stupidity.Some things can not just be simplified. When you oversimplify something that needs to be understood with all complexity you become banal. This is the problem with Shekhar Gupta. He constantly makes excuses for Modi , makes soft cushions for his policies. And his constant aim is to create a milder and softer echo is what Modi's baffoons are parroting in social media or TV. Its astonishing how skillfully he cushions the nonsense of RSS BJP and makes it more palatable. Ideal pet of Modi and co.
Mr.Gupta again very balanced view on Economics. Mr. banerjee's idea probably could work on more developed capitalist country, country like us where we have very young workforce should focus on creation and utilization of workforce instead of distribution. For example, his NYAY scheme would cost 3,60,000 crores, if i have to use that money then i would rather use to bank roll 3,60,000 start ups giving 1 crore each or some thing similar (not that failed scheme by modi where all that startup money went to chacha-bhatija of bankers, but better implemented one ). Although sheers statistics suggest that 90% of them will fail, but lets say 36000 startup works and out of that even if only 100 become above billion dollar corporations (over the years ) or anything near, doing this every year. Like planting trees and nurturing them, within 10-15 years we can nice ecosystem and solution for unemployment. Once we have working setup than we can think about taxing higher to riches and distributing to people left behind. As i always keeps saying that problem is not Left or Right ideologies but human greed and corruption. When there is corruption in left based socialist or marxism based government whole population suffers, but in capitalist set up problem is always manageable. And that is the reason capitalist model is more successful. Having said that our country has adopted both but worse aspects of each at that, because at the end of the day vote is all that matters to them.
But remember nyay is not abhijiths .... He had contributed to it as in answers but not the schemes or structured it. We are being overtly judgemental about his work just cos he answered some questions for the Congress just as he did for modi when he was chief minister of Gujarat.
I'm an investment Adviser and an equity investor. Since 2012 economists have been predicting a recession. It's 2019 and now we have a slowdown, still no recession. I hardly listen to economists as it is very very subjective. One needs to know economics, but you don't need to listen to economists. Every economics theory is based on 'assumptions' and these assumptions are hardly true in real life.
Well sir I really found this episode quite informative and interesting, but sir only one question ,In Abhijits latest interviews ,whether with Karan Thapar in " The Wire" or with Akash Banerjee in "Desh Bhakt" , he suggested that India's present Aim should be to raise demand in all sectors ,so that there is more investment and more business, and obviously that implies corporate tax reduction ,and Abhijit says he is in favour of that , so it doesn't match with your view of his ideology which says tax rich people and distribute it to poor, I partly agree to your view as he said money needs to be distributed more to poor like farmers , but he also said overall demand has to be raised . Besides that I agree with all your views , writing a thesis in Economics doesn't have any negative consequences, but implementation of one in Economic policy of government can bring across lot of criticism , which government need to consider, which even Abhijit agreed with to in " Desh Bhakt", he said that we do suggest ,but we ourselves don't know what it will lead to until it's implemented. Economics is definitely a complex subject as it's where maths and sociology come together ,where nothing works on simple formulas of physics ,hence it's interesting too
Nobel prize winner also has the view that reservation should end in India 👈koi leftist ye batayega, nahi batayega Coz that doesn't suit there agenda 😂😂
We can flip the table and say why are rightists who are bad mouthing him suddenly backing his views on reservation ? According to your logic, right wingers shouldn't support him here too isn't it ? Thing is people support what they agree and ignore what they disagree. Ofcourse there are strange creatures called bhakts of politicians who will shamelessly nod to anything their "gods" says.
All the info was there with me but you made sense of it all. Thanks. Loads of love from a CTC addict.... I literally become uneasy and moody on days you dont post CTC 💉 I need my CTC fix everyday!
I think this is the best episode of Cut the clutter till now. Our sense of right and left in India is so much dependent upon Hindutva and Secular aspect and least dependent upon economic policies. Modi and Banerjee,Sen would be on the same page of economics barring demonetization.
Your body language is enough sir. None of ur cut the clutters are boring even a minute. Your knowledge on the issue, your important points, your examples are enough to show that you're really a pro!!
Sorry, middle class also has only some patience...hope this government does something...there is no guarantee of job, nothing from government, just keep paying tax....
I feel there is a slight colouring of abhijit in the beginning here... We are missing on the fact that he collaborated with modi when he was the chief minister of Gujarat. abhijit definitely is a professional who is loyal to his work rather than ideology.
Sir , you have missed a critical point that Abhijit Banerjee and the trio got the Nobel prize of economics for the simple reason of bringing scientific evidence based research of doing field trials into the economics just like Medicin clinical field trials before clearing and allowing the Medicin in question for sales. That brings to the table a shifting of equations of economics predictions from mere theoretical to practical testing with tangible results.That simply means what ever your ideological leanings are you have to change the same if the results are different in the field trials. That means your political leanings are out of equation.What a simple and brilliant idea on part of the trio!
Stupid level of generalisation by Shekhar Gupta. JPal has done most of its research in India. He in fact states that the corporate tax cuts will not necessarily spur investment because most of the corporates are sitting on cash. They are not investing because the issue is decline in demand. Worst part, he and his have completely mistaken the point made by Mr. Banerjee. When asked about steps to be taken to revive the economy, he said that give money in the hands of poor because they don't save they spend, instead of the middle class and the rich. Complete misrepresentation of facts.
I used to think, Shekhar Gupta was left leaning journalist who is driven by ideology. After watching Cut the Clutter, I find him very reasonable, sensible and learning a lot for him.
I partially agree with Mr. Gupta. As he says in Modinomics poor were given freebies, subsidies, Direct Income, but one aspect of this theory is if it so why is there Farm distress, And when you see the bottom of the Pyramid you'll find most of the poor people are dependent on agriculture, So if he is appeasing the poors , why there is farm distress. As per my think Modinomics is only trying to appease middle class ,who can be polarised easily as it has max voter base and for the rest of segment they can't get the balance, And the main reason is even after economic collapses why modi government is still in power, coz of their reach and controlling the inflation (so that middle class doesn't get affected) This Economic Policy is regressive in nature. They're shifting the burden from one segment to other and in the end will collapse further.
Very intellectually decluttered..tnx :) u may have taken economics for hostel room and bunked classes but ur heart was still in economics i'm sure..u sud have pursued it higher..then maybe this decluttering wud have been on ur work insted or along from abhijeet ;)
Am doing the same, dnt have money to survive in city for job preparation, so just to buy some time, applied for some program to live cheaply on campus in the middle of the city.
Just want to correct you. Ideologies often creep into biology, the most famous example would be Eugenics and what happened in Germany, many scientists validated the theory which helped the regime move ahead with the the Holocaust.
Just spoke my words. Nazism used social Darwinism to prove the Aryans ( which for them was Germans) are evolved beings. And not only that. Use of genetics, archaeology etc was also involved
Very good analysis .. a lot of it is plane logic but as they say..simple things are the most complex
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“The liberal idea has started eating itself". "Millions of people live their lives, and those who propagate those ideas are separate from them.”.. Vladimir Putin. "The global economy is in a synchronized slowdown".. IMF Chief Kristalina Georgieva . Yet, India is likely to achieve best GDP growth as per IMF world Economic Outlook : Projected GDP growth in percentage Country 2018 2019 2020 United States 2.3 1.7 1.7 Germany 1.5 0.5 1.2 France 1.7 1.2 1.3 UK 1.4 1.2 1.4 China 6.6 6.1 5.8 India 6.8 6.1 7.0 Japan 0.8 0.9 0.5 blogs.imf.org/2019/10/15/the-world-economy-synchronized-slowdown-precarious-outlook/ Successful politicians know that Economy is not just "Economics" but is more of an political art. Economic science is “Study of Choices” made by the economists but the impact & application of those “Choices” on the people & the country is political science (art) determined by politicians. Good politicians know how to prioritize & sequentially implement economic reforms balancing financial & political constraints.
The current corporate tax cut will cause 1.45 lakh crore tax shortfall without creating any surge in demand. Corporations and banks(800,000 crore in sbi alone) are sitting on huge capital in dearth of supply without any demand . The low inflationary policy of current government( not increasing msp for food crops , nrega wages, etc) has kept demands low in rural sector.
Surprised to see you saying economics a ‘science’. You can not compare it with physics or biology because it has an element of human behavior. You don’t get degree b. Sc in economics , u get B.A . Thus economics is bound to be argumentative.
The problem with all of the Liberal fraternities is that whenever they compare modi to left, the forget that Indian politics and economics is and always been largely socialistic and welfare state based. So Economically Any government is on Leftist side, but the political view is different.
Could you also talk about the wealth inequality in Indian societies. It currently seems to be at a staggering amount of the top 1% holding 73% of the country's wealth. Why aren't high taxes a good idea for redistribution of weatlh
@A k 1990s was the era of liberalization, where life was given to the private sector. It had something to do with lowering tax rates for imports and businesses, but saying that lower tax rates were the soul of liberalization would be misleading. Yes, I am seriously asking this question. India's growth has been traditionally fueled by the consumption of its increasing middle class, not the top 1%. The more people you pull out of poverty and put them into the middle class, the higher your GDP growth. And I don't see how Modi's policies are different from Indira's policies. He has the same set of social welfare schemes fueled with high taxes. Due to some unknown causes, be it GST or demon, the rural communities have taken a bad hit. Putting money, education, and health in their hands is the only solution if you want to sustain the growth rates.
@Chirag Patel You don't have to give it to the rest of the 99% duh. It needs to be given to the people who are living under the poverty line, that's like the bottom 20% of the population. You don't need to make them millionaires by redistributing the wealth. Just taking care of their basic needs, health, education and nutrition would be more than enough in the long run. India's GDP growth is from the increasing middle class, not the lavish 1% who send remittances out of India.
@@nikethreddy7113 if you take money from rich and distribute to the poor, you are simply elevating the stratum. For example, a poor in America has access to toilet paper and hand sanitizer but a poor in India doesn't. But that doesn't mean american poor is "more rich" or america doesn't have poor per se. By redistribution, you count from level 10 instead of level 0. Number of people at the lowest level still remain the same.
a clean tax economy was need of the hour since 2010, now talk about who was banking on votes? modi or Ghandhi family? strict law & implementations was always seen as reverse impacting government votes, can't you praise modi for giving people a more cleaner tax system.
When people can label a fan of Modi as Bhakta,a fan of BJP as Hindutvawadi, a Communist as Leftist, why not Banerjee is called Left Right when he is Left Right. He advocate NYAY Scheme for which money should be raised by imposing higher tax on Corporate,Rich & Middle class is nothing but Rob Peter to pay Paul or Left Right theory . Sam Pitroda clearly said Middle class should sacrifice for implementation of NYAY. Is it not? It deterred Middle class in 2019 Election not to vote Congress as they feared NYAY will bring higher Tax.
If tax cuts improves investment then Govt must, but media must be Vigilant how big corporates Avoids Tax in collusion with Govt and small corporates evades taxes due to faulty system.
Abhijit Banerjee is honest enough to admit he is not a macroeconomist , but why does he comment so much about macroeconomic situation in India ? He should be honest about that as well and comment more on the welfare schemes of the Modi government that are more in line with his welfare theories that recommend dole outs and freebies..to the poor and taxing of the hardworking entrepreneurs and wealth creators..
Sir I have found an appropriate man to put forth some of my queries since arose after seeing your long conversation and question and answer session with Abhijit sir. The very first question crept in was, who deserve the nobel in economics most, is it Abhijit sir who at best earn a living for himself or Mukesh sir who not only earns for himself but for a numerous people working under him and also heard to be paid quite handsomely? I heard daily income of his (Mukesh sir) more or less 300 crores per day. Is it not Mukesh sir understand more economics (both micro and macro)? Secondly I wonder does Mukesh sir proportionately increasing business with new and new enterprises/companies by employing /creating new and new jobs for different categories of workmanship/manpowering or simply accumulating huge and huge lakhs of crores of rupees and keep becoming more and more rich since his daily consumption in whatever form it remains the same. So is also the case of Adani sir, who to my assessment is bigger economist than Abhijit sir as well as Mukesh sir since jumped from ninth to straight second position in these days where crores of people are loosing jobs. I heard a huge numbers of built and live in condition houses are left to be sold, assessment of around 4-5 years consumption/requirements resultantly very marginal sale or no sale of corresponding products viz. Bricks, cement, sand, furnitures and fittings etc. I am asking just out of curiosity as to who actually deserve economics nobel prize.
The Prize in Economics is not one of the Nobel Prizes which were endowed by Alfred Nobel in his will. It's an imitation prize given by a Bank. Given the recent quality of the traditional Nobel prize winners, the Nobel brand image itself isn't that strong . India should institute a prize in a similar fashion to focus on Indian priorities.
Shekhar, you never mentioned the global slowdown and US-China trade war. With companies leaving China, all Modi did was to provide the same incentives for FDI as Vietnam and others. Next Modi needs to dismantle Congress-era red-tapism!
Modi is a dynamic leader and adapts to the ground situation faster than the leftists Nobel prize winners can think. Modi is the one who has won the Nobel prize for India's poor and not Sen and Abhjit who are as confused as they can be.
Your argument doesn’t hold that only few people comes under the category of rich people . You forgot the fact that first 1% of top has the wealth of 73%. Government loses 1.46 billion rs of tax by just lowering corporate taxes .
Sir, well explained. Any Pandit hardly do anything for his/her well planned planning. Because implementation of economic plan is too hard because implementation needs lots of quick decision .
Modi has already cut the personal taxes . He needs to cut taxes on manufactured products so as they can be competitive and loss of revenue may be balanced by increased sales. India should make all effort to replace supply of manufactured goods made in China.
I suppose Shekar Gupta wanted to say that Economics is a 'Less Exact' science...but said that Economics is a "Less inexact" science. Sorry to be nitpicking but we are talking about 'exactness' -)
Sir, the proper gereric term for subjects like Socialogy, Economic, or Anthropology is Normative Science, as opposed to Positive Science, which applies only to exact sciences like Physics, Chemistry, Biology, and Mathematics. I do not understand how Abhijith Banarjee'c economics is different from that of John Meynard Kyenes who said that during times of economic distress "government should pay wages to dig the earth and also pay wages to fill up the earth". The Doles have been practiced for a millennia. Daana is an Indian concept of dole. During medieval period the Church gave doles to the poor. Louis XIV and other enlightened despots ruthlessly recovered taxes, but also gave doles to the poor. Loan melas started by Janardhana Pujari in early 1970s lead to lending which was never intended to be recovered. This is also a kind of dole. UPA excelled everyone by introducing MNREGA. But, have these measures brought permanent relief? History clearly shows that doles don't work though they provide sucor.
If you listen to his excellent and detailed interview with Karan Thapar carefully, Dr Banerjee clearly says he isn't against the 15% tax of the new companies. All he's saying is that he thinks the current problem lies elsewhere (i.e., in demand, and particularly demand from the poor, since that's where he thinks the demand problem has arisen from), so corporate tax cuts won't help, since they are already sitting on cash that they aren't investing in the current climate. He also says it getting money to the poor to tackle the demand problem would only be a first of a series of steps that need to be taken to revive the economy. As you pointed out in an earlier vlog, Dr Singh said something very similar as well (except he didn't specify the very poor to nudge demand). So I think you're being a tad unfair here. I do agree that he does say that he's skeptical about tax cuts to the very rich since he hasn't seen convincing data on that.
Young entrepreneurs come from small towns. And the youth of small towns don’t want to live in India. And I don’t blame them. India is becoming a matter of life and death. The pollution, the senseless traffic, crap infrastructure, garbage crisis, failing banks, caste system, stupid family restrictions... Why would anyone with ambition want to live here?
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Bang on, this analysis is SPOT ON. While the bjp govt criticizes Abhijit Banerjee as a leftist economist, they themselves are totally leftist in their economic policies. It's hilarious.. And along with that, they (bjp) are also clueless and ignorant.
This is a good discussion and is thought provoking. However, as is commonly known, academics are not involved in or good at managing businesses or countries. The current factors for the contraction of economies of countries are external. Almost all countries are going through economic slowdown. India is no exception. Australian economy is forecast at 1.3 growth .....a reduction from 2.8. India has diverse and complex factors that need to be taken into account. The key ones during these difficult times are minimising the adverse effects on the poor, maintaining internal and external security......and managing for growth. There is always a tension between ideology and reality. Running a country is more complex than economic modelling. For every one economist in favour of a theory, there are ten who hold contrary viewpoint.
Shekhar, there is a major difference between philosophy and science. Science is different than the philosophy, since you need to have empirical evidences. Whereas, philosophy works on only hypothesis and assumption. That's why science cannot be coloured like other streams based on economics.
Modi would have got the Nobel Prize, if he was a economist but we have seen the practical implementation of his economy and we don't want to see the Abhijeet's banerjee's economy for the purpose of practical implementation. In the end they all say :- That was not the real socialism.
Banergee says "mantra" for eradication of poverty is give more & more money to poor. Govt is already spending huge money through subsidized ration(Rs 1 for 1 KG Rice),MNREGA, Minimum guaranteed Price for crop,subsidized farm loans,Farmers Loan waivers,subsidized Fertilizers to Farmers,Govt Health Centers, educational scholarships etc. Where is money to give more & more money in the hands of Poor? Does Govt of India has Akshaya Pathra? Banerjee says impose more tax on Corporate houses,Rich People & Middle class to give more & more money to Poor. His NYAY Scheme given to Congress based on this concept of imposing more tax on Corporate houses,Rich & Middle class. According to Banerjee that taxing high rate to upper class won't affect growth of economy. Banerjee was not happy on reduction of Income Tax on Corporate houses & Rich.. It is ROB PETER TO PAY PAUL. If it is done so,will Middle class vote for that Party which implement NYAY Scheme of Banerjee? His american idea won't work in Vote Banking Politics.
BANERJEE says Micro financing to buy to buy two cows will not help in removing Poverty. Banerjee says give two cows free,let him grow for next two years & than finance him to buy more cows. Is it feasible in India ? Who will monitor donated cows & persons who received free cows? who will monitor from Kanyakumari to Delhi? Scam is assured when anything free is given.
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brillaint point. economists never face the consequence of their theories. politicans do.
If the economist is also the political leader, they do,-eg Dr Manmohon Singh.
Manmohan Singh whether economist or politician remains as dumb as Pappu.
Nastik Banda no it was putting a brain surgeon as a barber just because they both work on heads Manmohan was a great economist I
@@prohind he is one of the smartest people in India. You need to know his story and you'll realize he's almost as great as the great Kalam sir. He's just a excessively humble man in a wrong party.
@varun prasad actually not really. India today is way more globalised than 2008 , so any I'll effect on global trade(trade war) will automatically drag down the Indian market. And the current credit NPA problem, it's root can be traced back to the 2009-2012 era . It's a backlog this government is trying to fix, but the blunder called demonization destroyed all such plans and was the straw that broke the camel's back. But still looking at the global scenario, India is well placed.
SG: physics cannot be tainted by ideology.
Climate change deniers: hold my beer.
Modi jee does not believe in Climate Change
@@danish1981able Sabse zyada jo climate change par bolta hai aur karta hai wohi believe nahi karta hai, waah bhai waah itni nafrat
Climate change is not a physics related field.
I'd say climate change is very chemistry related more so than physics
@@sakshambhardwaj4528 Sapna over to meteorology and geology too
China donnot have nobel winning economists,yet it's percapita income is 5 times more than India
In India har daal pe socialist baitha hain
@The Engineer Guy i agree to an extent,Chinese SASAC is biggest economic entity & is fully state owned, Chinese state is too much powerfull to enforce it's writ compared to Indian state
Unlike ours Chinese labour laws is good, hopefully this govt.reforms labour laws
@The Engineer Guy i don't think anything will happen with land reforms, that will be left to states
On disinvestment who will buy BSNL or airindia,they have negative ROE
BTW in India reforms have always happened out of necessity,so news is of some PSU disinvestment like BPCL,CONCOR & BHEL & thereis also news that govt will reduce it's stake below 51% in some PSUs like IOC
Forget defence PSU disinvestment,workers of OFB r even opposing corporatisation of OFB
Unions r giving threat of strikes at BPCL refineries
Unlike China,India is not single party state
Agreed there are too many.
You complain about how nuances of socialism is detrimental for India but then talk about socialist china. Hilarious
@@zaynzahir China is as much as socialist as indian communist r atheist
Print has one superstar who ability to analysis is next level : shakher Gupta
This is eye opening and listening I feel how wrong I was .thank you sir for sharing your great perception with us
The right wing in India has nothing
I repeat NOTHING to do with capitalism
The left and right in India is just revolving around whether you are culturally hindu or not
(culturally doesn't mean religiously)
And alot of Hindus are turning right wing coz of Muslims appeasement.
Brilliant short piece you wrote
Abhijit Banerjee got Nobel by not applying his work in Europe or US. He applied his work in Africa and India. So to say his theory is 'leftist' and good for Scandinavia is stupidity.Some things can not just be simplified. When you oversimplify something that needs to be understood with all complexity you become banal. This is the problem with Shekhar Gupta. He constantly makes excuses for Modi , makes soft cushions for his policies. And his constant aim is to create a milder and softer echo is what Modi's baffoons are parroting in social media or TV. Its astonishing how skillfully he cushions the nonsense of RSS BJP and makes it more palatable. Ideal pet of Modi and co.
Create a separate channel for cut the clutter (for centre wingers)
Mr.Gupta again very balanced view on Economics. Mr. banerjee's idea probably could work on more developed capitalist country, country like us where we have very young workforce should focus on creation and utilization of workforce instead of distribution.
For example, his NYAY scheme would cost 3,60,000 crores, if i have to use that money then i would rather use to bank roll 3,60,000 start ups giving 1 crore each or some thing similar (not that failed scheme by modi where all that startup money went to chacha-bhatija of bankers, but better implemented one ). Although sheers statistics suggest that 90% of them will fail, but lets say 36000 startup works and out of that even if only 100 become above billion dollar corporations (over the years ) or anything near, doing this every year. Like planting trees and nurturing them, within 10-15 years we can nice ecosystem and solution for unemployment. Once we have working setup than we can think about taxing higher to riches and distributing to people left behind.
As i always keeps saying that problem is not Left or Right ideologies but human greed and corruption. When there is corruption in left based socialist or marxism based government whole population suffers, but in capitalist set up problem is always manageable. And that is the reason capitalist model is more successful.
Having said that our country has adopted both but worse aspects of each at that, because at the end of the day vote is all that matters to them.
But remember nyay is not abhijiths .... He had contributed to it as in answers but not the schemes or structured it. We are being overtly judgemental about his work just cos he answered some questions for the Congress just as he did for modi when he was chief minister of Gujarat.
BJP and Congress both are socially right and economically left.
I'm an investment Adviser and an equity investor. Since 2012 economists have been predicting a recession. It's 2019 and now we have a slowdown, still no recession. I hardly listen to economists as it is very very subjective. One needs to know economics, but you don't need to listen to economists. Every economics theory is based on 'assumptions' and these assumptions are hardly true in real life.
Well sir I really found this episode quite informative and interesting, but sir only one question ,In Abhijits latest interviews ,whether with Karan Thapar in " The Wire" or with Akash Banerjee in "Desh Bhakt" , he suggested that India's present Aim should be to raise demand in all sectors ,so that there is more investment and more business, and obviously that implies corporate tax reduction ,and Abhijit says he is in favour of that , so it doesn't match with your view of his ideology which says tax rich people and distribute it to poor, I partly agree to your view as he said money needs to be distributed more to poor like farmers , but he also said overall demand has to be raised . Besides that I agree with all your views , writing a thesis in Economics doesn't have any negative consequences, but implementation of one in Economic policy of government can bring across lot of criticism , which government need to consider, which even Abhijit agreed with to in " Desh Bhakt", he said that we do suggest ,but we ourselves don't know what it will lead to until it's implemented. Economics is definitely a complex subject as it's where maths and sociology come together ,where nothing works on simple formulas of physics ,hence it's interesting too
Nobel prize winner also has the view that reservation should end in India 👈koi leftist ye batayega, nahi batayega Coz that doesn't suit there agenda 😂😂
Point
We can flip the table and say why are rightists who are bad mouthing him suddenly backing his views on reservation ? According to your logic, right wingers shouldn't support him here too isn't it ? Thing is people support what they agree and ignore what they disagree. Ofcourse there are strange creatures called bhakts of politicians who will shamelessly nod to anything their "gods" says.
This has been a treat. Keep doing more.
I would argue that economics is more a philosophy and not a 'science'.
Nicely explained. It's logical not to punish rich just for the sake of it. It will hurt poor only.
Finally someone is speaking without ' ism ' ideological baggages on economics.
There is always something good to learn in this channel. Very well oriented explanation.
i like this guys analysis dont agree with all of it but i always learn
😁😁😁😂
RIP Jetli ji
All the info was there with me but you made sense of it all. Thanks. Loads of love from a CTC addict.... I literally become uneasy and moody on days you dont post CTC 💉 I need my CTC fix everyday!
Ha ha ha.. indeed “cut the clutter” is addictive.. but I didn’t have withdrawal symptoms yet
Sir, CTC (Cut The Clutter) is best enjoyed with a cup of CTC (Crush Tear Curl) Tea... Cheers! 👍🏼😊
Shit I can’t begin to count the number of things shekhar has cleared up for me, I feel enlightened
I think this is the best episode of Cut the clutter till now. Our sense of right and left in India is so much dependent upon Hindutva and Secular aspect and least dependent upon economic policies. Modi and Banerjee,Sen would be on the same page of economics barring demonetization.
Cut the Clutter in true sense🙏🙏🙏
Your body language is enough sir. None of ur cut the clutters are boring even a minute. Your knowledge on the issue, your important points, your examples are enough to show that you're really a pro!!
Sorry, middle class also has only some patience...hope this government does something...there is no guarantee of job, nothing from government, just keep paying tax....
Public sector cannot create jobs, hoping that in next budget income taxes too will be slashed
I feel there is a slight colouring of abhijit in the beginning here... We are missing on the fact that he collaborated with modi when he was the chief minister of Gujarat. abhijit definitely is a professional who is loyal to his work rather than ideology.
Sir , you have missed a critical point that Abhijit Banerjee and the trio got the Nobel prize of economics for the simple reason of bringing scientific evidence based research of doing field trials into the economics just like Medicin clinical field trials before clearing and allowing the Medicin in question for sales. That brings to the table a shifting of equations of economics predictions from mere theoretical to practical testing with tangible results.That simply means what ever your ideological leanings are you have to change the same if the results are different in the field trials. That means your political leanings are out of equation.What a simple and brilliant idea on part of the trio!
Fantastic analysis. I am ur biggest fan
Stupid level of generalisation by Shekhar Gupta. JPal has done most of its research in India. He in fact states that the corporate tax cuts will not necessarily spur investment because most of the corporates are sitting on cash. They are not investing because the issue is decline in demand. Worst part, he and his have completely mistaken the point made by Mr. Banerjee. When asked about steps to be taken to revive the economy, he said that give money in the hands of poor because they don't save they spend, instead of the middle class and the rich. Complete misrepresentation of facts.
See of Akash Banerjee and Abhijit Banerjee interview
দেখো গিয়ে এই কিছু অ্যান্টি বাঙালী রা হারামী
That's why people don't wanna stay here and those who are talented take citizenship of some random European or American country.
I have wanted to move back but no opportunity I have produced world class tennis players but Indians preference white guys
Best analysis i have ever seen . Ab mujhe samajh ni aaraha hai me itna galat kaise ho sakta hu.
I used to think, Shekhar Gupta was left leaning journalist who is driven by ideology. After watching Cut the Clutter, I find him very reasonable, sensible and learning a lot for him.
I partially agree with Mr. Gupta.
As he says in Modinomics poor were given freebies, subsidies, Direct Income, but one aspect of this theory is if it so why is there Farm distress,
And when you see the bottom of the Pyramid you'll find most of the poor people are dependent on agriculture,
So if he is appeasing the poors , why there is farm distress.
As per my think Modinomics is only trying to appease middle class ,who can be polarised easily as it has max voter base and for the rest of segment they can't get the balance,
And the main reason is even after economic collapses why modi government is still in power, coz of their reach and controlling the inflation (so that middle class doesn't get affected)
This Economic Policy is regressive in nature.
They're shifting the burden from one segment to other and in the end will collapse further.
Create a separate channel for cut the clutter, I love your show but don’t wanna subscribe to print and get countless notifications
I have confidence in the people of Bengal because the land that produces such gems won't let themselves be ruined by the ruling of illiterates
Very intellectually decluttered..tnx :) u may have taken economics for hostel room and bunked classes but ur heart was still in economics i'm sure..u sud have pursued it higher..then maybe this decluttering wud have been on ur work insted or along from abhijeet ;)
I love the when you say "Over simplify"
one of my favourite videos of comprehensive economics pursued by various goverments.
Am doing the same, dnt have money to survive in city for job preparation, so just to buy some time, applied for some program to live cheaply on campus in the middle of the city.
That's absolutely fine unless you get used to it. :-)
Well, lost some state jobs with very less edge, but nw i hv joined a private job nd have an eye on govt jobs too
@@mdfarhanahmed4829 Bhai, I don't know which field is it that you work in, but geerally speaking, the future is in private sector.
I think Imran Khan should hire Abhijit Banerjee as his economic advisor
At least he should think about it once.😂😂
Actually it might work. The wealth inequality in Pakistan is crazy. That's why it may just work.
Laffer Curve demonstrates it beautifully.
Beautiful! Thanks for suggesting that book!
You are the Pandit of Pandits Shekhar Ji! Each episode enriches my knowledge
Great...
Cut the clutter is the best and the only good program on The Print. Other programs on The Print are useless.
Shekhar Gupta for prime minister
10"45 Arvind Virmani has been recommending Direct Tax Cuts(& simplification) for Individuals for quiet sometime.
I am impressed !
Just want to correct you. Ideologies often creep into biology, the most famous example would be Eugenics and what happened in Germany, many scientists validated the theory which helped the regime move ahead with the the Holocaust.
Just spoke my words. Nazism used social Darwinism to prove the Aryans ( which for them was Germans) are evolved beings. And not only that. Use of genetics, archaeology etc was also involved
They use biology to prove there agenda not come on biology theory by using there agenda
@@kaushalendramanav3881 what are you saying?
Very well explained...thnkzz sir... Lv ur all videos..
As a concerned citizen of India what do you feel the gov is doing the right thing to promote mejotorien politics is good for india??
Quite a balanced perspectives. Eye opening for me.
He is an economist, why create a background with physics equations ?
Very good analysis
.. a lot of it is plane logic but as they say..simple things are the most complex
“The liberal idea has started eating itself". "Millions of people live their lives, and those who propagate those ideas are separate from them.”.. Vladimir Putin. "The global economy is in a synchronized slowdown".. IMF Chief Kristalina Georgieva . Yet, India is likely to achieve best GDP growth as per IMF world Economic Outlook
:
Projected GDP growth
in percentage
Country 2018 2019 2020
United States 2.3 1.7 1.7
Germany 1.5 0.5 1.2
France 1.7 1.2 1.3
UK 1.4 1.2 1.4
China 6.6 6.1 5.8
India 6.8 6.1 7.0
Japan 0.8 0.9 0.5
blogs.imf.org/2019/10/15/the-world-economy-synchronized-slowdown-precarious-outlook/
Successful politicians know that Economy is not just "Economics" but is more of an political art. Economic science is “Study of Choices” made by the economists but the impact & application of those “Choices” on the people & the country is political science (art) determined by politicians. Good politicians know how to prioritize & sequentially implement economic reforms balancing financial & political constraints.
Will the tax relief to corporates enhance growth? I doubt. The main question is whether we should go for supply side or demand side management.
Brilliant explanation. Higher middle start feeling bad. I earn very good. I dont have left anything in my hand after paying my monthly bills.
The current corporate tax cut will cause 1.45 lakh crore tax shortfall without creating any surge in demand. Corporations and banks(800,000 crore in sbi alone) are sitting on huge capital in dearth of supply without any demand . The low inflationary policy of current government( not increasing msp for food crops , nrega wages, etc) has kept demands low in rural sector.
I hate "the print"...but i like this men.
Surprised to see you saying economics a ‘science’. You can not compare it with physics or biology because it has an element of human behavior. You don’t get degree b. Sc in economics , u get B.A . Thus economics is bound to be argumentative.
The problem with all of the Liberal fraternities is that whenever they compare modi to left, the forget that Indian politics and economics is and always been largely socialistic and welfare state based. So Economically Any government is on Leftist side, but the political view is different.
Could you also talk about the wealth inequality in Indian societies. It currently seems to be at a staggering amount of the top 1% holding 73% of the country's wealth. Why aren't high taxes a good idea for redistribution of weatlh
@A k 1990s was the era of liberalization, where life was given to the private sector. It had something to do with lowering tax rates for imports and businesses, but saying that lower tax rates were the soul of liberalization would be misleading. Yes, I am seriously asking this question. India's growth has been traditionally fueled by the consumption of its increasing middle class, not the top 1%. The more people you pull out of poverty and put them into the middle class, the higher your GDP growth. And I don't see how Modi's policies are different from Indira's policies. He has the same set of social welfare schemes fueled with high taxes. Due to some unknown causes, be it GST or demon, the rural communities have taken a bad hit. Putting money, education, and health in their hands is the only solution if you want to sustain the growth rates.
@Chirag Patel You don't have to give it to the rest of the 99% duh. It needs to be given to the people who are living under the poverty line, that's like the bottom 20% of the population. You don't need to make them millionaires by redistributing the wealth. Just taking care of their basic needs, health, education and nutrition would be more than enough in the long run. India's GDP growth is from the increasing middle class, not the lavish 1% who send remittances out of India.
@@nikethreddy7113 if you take money from rich and distribute to the poor, you are simply elevating the stratum. For example, a poor in America has access to toilet paper and hand sanitizer but a poor in India doesn't. But that doesn't mean american poor is "more rich" or america doesn't have poor per se. By redistribution, you count from level 10 instead of level 0. Number of people at the lowest level still remain the same.
AGREE WIT YOU!
Abhijitonomics follows Modinomics in a cycle of mutual exclusion.
Beautiful sir. What a video. Respect!
a clean tax economy was need of the hour since 2010, now talk about who was banking on votes? modi or Ghandhi family? strict law & implementations was always seen as reverse impacting government votes, can't you praise modi for giving people a more cleaner tax system.
This theory is good, but the flesh inside what the current govt. had done is else what. It’s just the skin that feels like Mr. Banerjee ‘s.
When people can label a fan of Modi as Bhakta,a fan of BJP as Hindutvawadi, a Communist as Leftist, why not Banerjee is called Left Right when he is Left Right. He advocate NYAY Scheme for which money should be raised by imposing higher tax on Corporate,Rich & Middle class is nothing but Rob Peter to pay Paul or Left Right theory . Sam Pitroda clearly said Middle class should sacrifice for implementation of NYAY. Is it not? It deterred Middle class in 2019 Election not to vote Congress as they feared NYAY will bring higher Tax.
If tax cuts improves investment then Govt must, but media must be Vigilant how big corporates Avoids Tax in collusion with Govt and small corporates evades taxes due to faulty system.
Abhijit Banerjee is honest enough to admit he is not a macroeconomist , but why does he comment so much about macroeconomic situation in India ? He should be honest about that as well and comment more on the welfare schemes of the Modi government that are more in line with his welfare theories that recommend dole outs and freebies..to the poor and taxing of the hardworking entrepreneurs and wealth creators..
Sir I have found an appropriate man to put forth some of my queries since arose after seeing your long conversation and question and answer session with Abhijit sir. The very first question crept in was, who deserve the nobel in economics most, is it Abhijit sir who at best earn a living for himself or Mukesh sir who not only earns for himself but for a numerous people working under him and also heard to be paid quite handsomely? I heard daily income of his (Mukesh sir) more or less 300 crores per day. Is it not Mukesh sir understand more economics (both micro and macro)? Secondly I wonder does Mukesh sir proportionately increasing business with new and new enterprises/companies by employing /creating new and new jobs for different categories of workmanship/manpowering or simply accumulating huge and huge lakhs of crores of rupees and keep becoming more and more rich since his daily consumption in whatever form it remains the same. So is also the case of Adani sir, who to my assessment is bigger economist than Abhijit sir as well as Mukesh sir since jumped from ninth to straight second position in these days where crores of people are loosing jobs. I heard a huge numbers of built and live in condition houses are left to be sold, assessment of around 4-5 years consumption/requirements resultantly very marginal sale or no sale of corresponding products viz. Bricks, cement, sand, furnitures and fittings etc. I am asking just out of curiosity as to who actually deserve economics nobel prize.
The Prize in Economics is not one of the Nobel Prizes which were endowed by Alfred Nobel in his will. It's an imitation prize given by a Bank. Given the recent quality of the traditional Nobel prize winners, the Nobel brand image itself isn't that strong .
India should institute a prize in a similar fashion to focus on Indian priorities.
I loved the of research superhero appearance at 11:17 from the middle.
Very perceptive analysis.
Shekhar, you never mentioned the global slowdown and US-China trade war. With companies leaving China, all Modi did was to provide the same incentives for FDI as Vietnam and others. Next Modi needs to dismantle Congress-era red-tapism!
Modi is a dynamic leader and adapts to the ground situation faster than the leftists Nobel prize winners can think. Modi is the one who has won the Nobel prize for India's poor and not Sen and Abhjit who are as confused as they can be.
I just beg you to make these into podcasts from the print.
I am just viewing the electrical calculations behind while delivering economical report. What is happening?
Your argument doesn’t hold that only few people comes under the category of rich people . You forgot the fact that first 1% of top has the wealth of 73%. Government loses 1.46 billion rs of tax by just lowering corporate taxes .
Beautifully enumerated and elucidated. Truly idiot-proof
Sir, well explained. Any Pandit hardly do anything for his/her well planned planning. Because implementation of economic plan is too hard because implementation needs lots of quick decision .
Modi has already cut the personal taxes . He needs to cut taxes on manufactured products so as they can be competitive and loss of revenue may be balanced by increased sales. India should make all effort to replace supply of manufactured goods made in China.
I suppose Shekar Gupta wanted to say that Economics is a 'Less Exact' science...but said that Economics is a "Less inexact" science. Sorry to be nitpicking but we are talking about 'exactness' -)
Sir, the proper gereric term for subjects like Socialogy, Economic, or Anthropology is Normative Science, as opposed to Positive Science, which applies only to exact sciences like Physics, Chemistry, Biology, and Mathematics. I do not understand how Abhijith Banarjee'c economics is different from that of John Meynard Kyenes who said that during times of economic distress "government should pay wages to dig the earth and also pay wages to fill up the earth". The Doles have been practiced for a millennia. Daana is an Indian concept of dole. During medieval period the Church gave doles to the poor. Louis XIV and other enlightened despots ruthlessly recovered taxes, but also gave doles to the poor. Loan melas started by Janardhana Pujari in early 1970s lead to lending which was never intended to be recovered. This is also a kind of dole. UPA excelled everyone by introducing MNREGA. But, have these measures brought permanent relief? History clearly shows that doles don't work though they provide sucor.
If you listen to his excellent and detailed interview with Karan Thapar carefully, Dr Banerjee clearly says he isn't against the 15% tax of the new companies. All he's saying is that he thinks the current problem lies elsewhere (i.e., in demand, and particularly demand from the poor, since that's where he thinks the demand problem has arisen from), so corporate tax cuts won't help, since they are already sitting on cash that they aren't investing in the current climate. He also says it getting money to the poor to tackle the demand problem would only be a first of a series of steps that need to be taken to revive the economy. As you pointed out in an earlier vlog, Dr Singh said something very similar as well (except he didn't specify the very poor to nudge demand). So I think you're being a tad unfair here.
I do agree that he does say that he's skeptical about tax cuts to the very rich since he hasn't seen convincing data on that.
Modinomics: Right wing Socialism, State Capitalism, other example:China,Japan, South Korea.
Young entrepreneurs come from small towns. And the youth of small towns don’t want to live in India. And I don’t blame them. India is becoming a matter of life and death. The pollution, the senseless traffic, crap infrastructure, garbage crisis, failing banks, caste system, stupid family restrictions... Why would anyone with ambition want to live here?
Bang on, this analysis is SPOT ON. While the bjp govt criticizes Abhijit Banerjee as a leftist economist, they themselves are totally leftist in their economic policies. It's hilarious.. And along with that, they (bjp) are also clueless and ignorant.
This is a good discussion and is thought provoking. However, as is commonly known, academics are not involved in or good at managing businesses or countries. The current factors for the contraction of economies of countries are external. Almost all countries are going through economic slowdown. India is no exception. Australian economy is forecast at 1.3 growth .....a reduction from 2.8. India has diverse and complex factors that need to be taken into account. The key ones during these difficult times are minimising the adverse effects on the poor, maintaining internal and external security......and managing for growth. There is always a tension between ideology and reality. Running a country is more complex than economic modelling. For every one economist in favour of a theory, there are ten who hold contrary viewpoint.
The govt also reduced subsidy bills in the previous course. That also wasn't left leaning. I think you're oversimplifying things.
Modinomics is not taxing the rich, it’s taxing the middle class.
Being an economics student,I feel that here theories have been over- simplified by Mr. Gupta.
Shekhar, there is a major difference between philosophy and science. Science is different than the philosophy, since you need to have empirical evidences. Whereas, philosophy works on only hypothesis and assumption. That's why science cannot be coloured like other streams based on economics.
Modi would have got the Nobel Prize, if he was a economist but we have seen the practical implementation of his economy and we don't want to see the Abhijeet's banerjee's economy for the purpose of practical implementation.
In the end they all say :-
That was not the real socialism.
Sir you are too good
Banergee says "mantra" for eradication of poverty is give more & more money to poor. Govt is already spending huge money through subsidized ration(Rs 1 for 1 KG Rice),MNREGA, Minimum guaranteed Price for crop,subsidized farm loans,Farmers Loan waivers,subsidized Fertilizers to Farmers,Govt Health Centers, educational scholarships etc. Where is money to give more & more money in the hands of Poor? Does Govt of India has Akshaya Pathra? Banerjee says impose more tax on Corporate houses,Rich People & Middle class to give more & more money to Poor. His NYAY Scheme given to Congress based on this concept of imposing more tax on Corporate houses,Rich & Middle class. According to Banerjee that taxing high rate to upper class won't affect growth of economy. Banerjee was not happy on reduction of Income Tax on Corporate houses & Rich.. It is ROB PETER TO PAY PAUL. If it is done so,will Middle class vote for that Party which implement NYAY Scheme of Banerjee? His american idea won't work in Vote Banking Politics.
My level of economics is how to avoid bankruptcy and save on taxes....rest is hifi stuff for me.
BANERJEE says Micro financing to buy to buy two cows will not help in removing Poverty. Banerjee says give two cows free,let him grow for next two years & than finance him to buy more cows. Is it feasible in India ? Who will monitor donated cows & persons who received free cows? who will monitor from Kanyakumari to Delhi? Scam is assured when anything free is given.
Fuel tax is not taxing the rich, everyone uses petrol/diesel!
What is striking about shekhar Gupta is his analytical approach to bullshitting.
Kaushik Sharma lol so true. To put it “simply”.