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date: 09 aug 2012

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by the performance of both china and india in london olympic games, one is a lion, the other a mouse. but the mouse is keen on spending billions and trillions on weapons in order to obtain bribes and commissions for the corrupt indian politicians who are above the law. \\\\\\\\\\\\\\\\\\\\\\\\================================\\\\\\\\\\\\\\\\\\ china built its infrastructure during the communist period. it is vain to expect private companies, especially foreign private companies, to build india's public infrastructure. most of india's available resources are being diverted towards the buying of weapons ( incuuding the cost of bribes to our politicians) from the usa, for the latter's coming war against china, in which india and japan will be in the front line. we have bad relations with sri lanka, bangla desh, pakistan, and china largely because we have bloated heads and think ourselves as equal to china. the real relative strengths of india and china are perfectly illustrated by our respective performances in the london olympics. is fdi in retail the solution? the fdi part in retail will all go into building ware houses, cold storages, and department stores in india. the rich in india will then be able to buy goods in these department stores of which at least 70% will be goods manufactured in foreign countries, and therefore ultimately to be paid for in foreign exchange, as are the arms we are now buying abroad. the history of the banana republics shows us that that is the shortest way to foreign economic slavery. the only proper way out is making peace with our neighbours, particularly china, and drastic reduction in foreign purchases of arms. all the public expenditure on foreign arms thus saved must go into public spending on building infrastructure and most particularly on ensuring a solid basic education to all indians. it is only thus will we be able to match up to china ; not by preparing to go to war with it at the instigation of foreigners. let them fight their own wars. regards? jasmer singh jasmer singh tnn | aug 9, 2012, 10.23am ist \\\\\\\\\\\\\\\\\\\\\ mumbai: moody's has further lowered india's growth forecast for 2012 to 5.5% and for 2013 to below 6% blaming `instability created by a government that has badly lost its way'. \\\\\\\\\\\\\\\\ the lower growth outlook is an outcome of three factors; global economic slowdown and domestic policy missteps weighing on confidence and demand, struggling corporate sector and the absence of any developments to indicate that growth could pick up. \\\\\\\\\\\\\\\\\\\\ "there are two main reasons for the revisions. the first is the slowdown has been sharper and more broad-based than anticipated and is now deeply entrenched across all sectors of the economy. the second factor is the poor monsoon" glenn levine, senior economist, moody's analytics said in a report released today. \\\\\\\\\\\\\\\ the report titled india outlook: below potential, adds that there has been little policy response from either the reserve bank of india or the government and with global uncertainty dragging on, there is nothing on the horizon to lift the economy from its funk. for the first time the rating agency has directly indicted the upa government as being "the single biggest factor weighing on business confidence and the economic outlook". it points out that the wave of reforms through the 1990s that lifted gdp growth above 8% have stopped as corruption scandals, poor electoral results, an obstinate coalition partner, and an obstructive opposition have all but eliminated the congress-led government's mandate. "with two years left in office, prime minister manmohan singh must turn things around quickly or risk becoming a lame duck for the remainder of his term, leaving behind a legacy of missed opportunity" the report said. \\\\\\\\\\\\\\\\\\ the report however sees some hope for the economy with p chidambaram being appointed finance minister. "after setting a positive tone during his temporary stay as caretaker finance minister, singh has appointed palaniappan chidambaram, who was finance minister from 2004 to 2008, a period which yielded double-digit investment growth and gdp growth of 8%, and briefly from 1996 to 1997" the report said. \\\\\\\\\\\\\\\\\\\\\\ according to moodys the slowdown has been most pronounced in india's corporate sector. "confidence among indian firms has been crushed by weak demand, elevated interest rates, high inflation, and most significantly, the instability created by a weak central government that has badly lost its way" the report said. the report comes on the wake of a first quarter gdp growth being slowest in nine years, with frequency data suggesting that the second quarter will have been about the same, with no indication of an upturn until at least the december quarter and possibly later. \\\\\\\\\\\\\\\\\\\\\\ moody's has highlighted the recent blackout affecting more than 60 crore indians as the most graphic illustration of the infrastructure woes and regulatory headaches that indian firms contend with daily. "the direct economic impact should be small, as indian firms and households use generators to cope with power outages. it is generally reckoned that india's electricity limitations knock 1 percentage point off annual gdp growth anyway" moodys said. but the indirect effects could be larger, as the blackout highlights india's inadequate public infrastructure and the challenges firms face doing business there it said. =================================== 000000000

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