Deprecated (16384): The ArrayAccess methods will be removed in 4.0.0.Use getParam(), getData() and getQuery() instead. - /home/brlfuser/public_html/src/Controller/ArtileDetailController.php, line: 150
 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php. [CORE/src/Core/functions.php, line 311]
Code Context


        trigger_error($message, E_USER_DEPRECATED);

    }
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 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php.'
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deprecationWarning - CORE/src/Core/functions.php, line 311
Cake\Http\ServerRequest::offsetGet() - CORE/src/Http/ServerRequest.php, line 2421
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Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Http\Runner::run() - CORE/src/Http/Runner.php, line 51
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Deprecated (16384): The ArrayAccess methods will be removed in 4.0.0.Use getParam(), getData() and getQuery() instead. - /home/brlfuser/public_html/src/Controller/ArtileDetailController.php, line: 151
 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php. [CORE/src/Core/functions.php, line 311]
Code Context


        trigger_error($message, E_USER_DEPRECATED);

    }
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 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php.'
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deprecationWarning - CORE/src/Core/functions.php, line 311
Cake\Http\ServerRequest::offsetGet() - CORE/src/Http/ServerRequest.php, line 2421
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Cake\Controller\Controller::invokeAction() - CORE/src/Controller/Controller.php, line 610
Cake\Http\ActionDispatcher::_invoke() - CORE/src/Http/ActionDispatcher.php, line 120
Cake\Http\ActionDispatcher::dispatch() - CORE/src/Http/ActionDispatcher.php, line 94
Cake\Http\BaseApplication::__invoke() - CORE/src/Http/BaseApplication.php, line 235
Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
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Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Error\Middleware\ErrorHandlerMiddleware::__invoke() - CORE/src/Error/Middleware/ErrorHandlerMiddleware.php, line 96
Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Http\Runner::run() - CORE/src/Http/Runner.php, line 51
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Warning (512): Unable to emit headers. Headers sent in file=/home/brlfuser/public_html/vendor/cakephp/cakephp/src/Error/Debugger.php line=853 [CORE/src/Http/ResponseEmitter.php, line 48]
Code Context
            if (Configure::read('debug')) {

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        LATEST NEWS UPDATES | The DeMon&#039;s alternative -Venky Vembu    </title>
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-The Hindu Business Line

If the Centre had stuck to its &lsquo;minimum government&rsquo; promise, it may have met the note-ban goals &ndash; without the pain

In a New Year&rsquo;s Day interview to a news agency, Prime Minister Narendra Modi revisited his government&rsquo;s..."/>
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-The Hindu Business Line

If the Centre had stuck to its &lsquo;minimum government&rsquo; promise, it may have met the note-ban goals &ndash; without the pain

In a New Year&rsquo;s Day interview to a news agency, Prime Minister Narendra Modi revisited his government&rsquo;s..." />
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                            <div align="justify">-The Hindu Business Line<br /><br /><em>If the Centre had stuck to its &lsquo;minimum government&rsquo; promise, it may have met the note-ban goals &ndash; without the pain<br /></em><br />In a New Year&rsquo;s Day interview to a news agency, Prime Minister Narendra Modi revisited his government&rsquo;s demonetisation move of November 2016. Perhaps this was born of the realisation that the notebandi decision and its impact on the economy would likely define the NDA government&rsquo;s term in office &mdash; but not in the way that he and his advisers had envisaged.<br /><br />Specifically, Modi addressed the point that the overnight withdrawal from circulation of currency notes of Rs.1,000 and Rs.500 denomination, which cumulatively accounted for 86 per cent of the value of the notes in circulation, had precipitated a slowdown in the economy.<br /><br />Framing that fact against a broader context, he said: &ldquo;If any process is changed&hellip; take for example, the Railways: if a bogey changes tracks, there is a change in speed.&rdquo; And noting that when Manmohan Singh was Finance Minister &mdash; during the years of economic reforms from 1991 &mdash; GDP growth had fallen to less than 2 per cent, Modi suggested that such slowdowns were an inevitable eventuality when the tectonic plates of the economy were shifting.<br /><br />Such a characterisation of the demonetisation move is more than a little disingenuous. Modi&rsquo;s larger point &mdash; that structural reforms deliver a shock to the system in the short term, which translates into slower economic growth &mdash; has at least some validity. In that sense, his invocation of the 1991 parallel is not entirely incorrect. Illustratively, in 1991-92, when the PV Narasimha Rao-headed minority government unleashed &lsquo;big bang&rsquo; economic reforms, GDP growth did slide to a lowly 1.3 per cent. Indian corporates initially struggled to adapt to the heightened competition arising from a lowering of protectionist tariffs, and the demand contraction that accompanied the sudden and sharp devaluation of the Indian rupee.<br /><br />But with the unleashing of the &ldquo;animal spirits&rdquo; of the economy, growth bounced back &ndash; to 5.1 per cent next year, and further to 7.3 per cent in 1994-95.<br /><br />But it takes a wholesale suspension of sense and sensibility to believe that the demonetisation move &mdash; however well-intentioned it may have been in its avowed earnestness to wipe out the &lsquo;black economy&rsquo; &mdash; counts as a reform measure in the way that an unshackling of the economy does.<br /><br />Please <a href="https://www.thehindubusinessline.com/opinion/the-demons-alternative/article25942371.ece" title="https://www.thehindubusinessline.com/opinion/the-demons-alternative/article25942371.ece">click here</a> to read more. <br /></div>                                                           
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    <br><a href="https://www.thehindubusinessline.com/opinion/the-demons-alternative/article25942371.ece" class="re" target="_blank">The Hindu Business Line, 8 January, 2019, https://www.thehindubusinessline.com/opinion/the-demons-alternative/article25942371.ece</a><div class="clear"></div>
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If the Centre had stuck to its &lsquo;minimum government&rsquo; promise, it may have met the note-ban goals &ndash; without the pain

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                            <div align="justify">-The Hindu Business Line<br /><br /><em>If the Centre had stuck to its &lsquo;minimum government&rsquo; promise, it may have met the note-ban goals &ndash; without the pain<br /></em><br />In a New Year&rsquo;s Day interview to a news agency, Prime Minister Narendra Modi revisited his government&rsquo;s demonetisation move of November 2016. Perhaps this was born of the realisation that the notebandi decision and its impact on the economy would likely define the NDA government&rsquo;s term in office &mdash; but not in the way that he and his advisers had envisaged.<br /><br />Specifically, Modi addressed the point that the overnight withdrawal from circulation of currency notes of Rs.1,000 and Rs.500 denomination, which cumulatively accounted for 86 per cent of the value of the notes in circulation, had precipitated a slowdown in the economy.<br /><br />Framing that fact against a broader context, he said: &ldquo;If any process is changed&hellip; take for example, the Railways: if a bogey changes tracks, there is a change in speed.&rdquo; And noting that when Manmohan Singh was Finance Minister &mdash; during the years of economic reforms from 1991 &mdash; GDP growth had fallen to less than 2 per cent, Modi suggested that such slowdowns were an inevitable eventuality when the tectonic plates of the economy were shifting.<br /><br />Such a characterisation of the demonetisation move is more than a little disingenuous. Modi&rsquo;s larger point &mdash; that structural reforms deliver a shock to the system in the short term, which translates into slower economic growth &mdash; has at least some validity. In that sense, his invocation of the 1991 parallel is not entirely incorrect. Illustratively, in 1991-92, when the PV Narasimha Rao-headed minority government unleashed &lsquo;big bang&rsquo; economic reforms, GDP growth did slide to a lowly 1.3 per cent. Indian corporates initially struggled to adapt to the heightened competition arising from a lowering of protectionist tariffs, and the demand contraction that accompanied the sudden and sharp devaluation of the Indian rupee.<br /><br />But with the unleashing of the &ldquo;animal spirits&rdquo; of the economy, growth bounced back &ndash; to 5.1 per cent next year, and further to 7.3 per cent in 1994-95.<br /><br />But it takes a wholesale suspension of sense and sensibility to believe that the demonetisation move &mdash; however well-intentioned it may have been in its avowed earnestness to wipe out the &lsquo;black economy&rsquo; &mdash; counts as a reform measure in the way that an unshackling of the economy does.<br /><br />Please <a href="https://www.thehindubusinessline.com/opinion/the-demons-alternative/article25942371.ece" title="https://www.thehindubusinessline.com/opinion/the-demons-alternative/article25942371.ece">click here</a> to read more. <br /></div>                                                           
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    <br><a href="https://www.thehindubusinessline.com/opinion/the-demons-alternative/article25942371.ece" class="re" target="_blank">The Hindu Business Line, 8 January, 2019, https://www.thehindubusinessline.com/opinion/the-demons-alternative/article25942371.ece</a><div class="clear"></div>
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        LATEST NEWS UPDATES | The DeMon&#039;s alternative -Venky Vembu    </title>
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-The Hindu Business Line

If the Centre had stuck to its &lsquo;minimum government&rsquo; promise, it may have met the note-ban goals &ndash; without the pain

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If the Centre had stuck to its &lsquo;minimum government&rsquo; promise, it may have met the note-ban goals &ndash; without the pain

In a New Year&rsquo;s Day interview to a news agency, Prime Minister Narendra Modi revisited his government&rsquo;s..." />
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                            <div align="justify">-The Hindu Business Line<br /><br /><em>If the Centre had stuck to its &lsquo;minimum government&rsquo; promise, it may have met the note-ban goals &ndash; without the pain<br /></em><br />In a New Year&rsquo;s Day interview to a news agency, Prime Minister Narendra Modi revisited his government&rsquo;s demonetisation move of November 2016. Perhaps this was born of the realisation that the notebandi decision and its impact on the economy would likely define the NDA government&rsquo;s term in office &mdash; but not in the way that he and his advisers had envisaged.<br /><br />Specifically, Modi addressed the point that the overnight withdrawal from circulation of currency notes of Rs.1,000 and Rs.500 denomination, which cumulatively accounted for 86 per cent of the value of the notes in circulation, had precipitated a slowdown in the economy.<br /><br />Framing that fact against a broader context, he said: &ldquo;If any process is changed&hellip; take for example, the Railways: if a bogey changes tracks, there is a change in speed.&rdquo; And noting that when Manmohan Singh was Finance Minister &mdash; during the years of economic reforms from 1991 &mdash; GDP growth had fallen to less than 2 per cent, Modi suggested that such slowdowns were an inevitable eventuality when the tectonic plates of the economy were shifting.<br /><br />Such a characterisation of the demonetisation move is more than a little disingenuous. Modi&rsquo;s larger point &mdash; that structural reforms deliver a shock to the system in the short term, which translates into slower economic growth &mdash; has at least some validity. In that sense, his invocation of the 1991 parallel is not entirely incorrect. Illustratively, in 1991-92, when the PV Narasimha Rao-headed minority government unleashed &lsquo;big bang&rsquo; economic reforms, GDP growth did slide to a lowly 1.3 per cent. Indian corporates initially struggled to adapt to the heightened competition arising from a lowering of protectionist tariffs, and the demand contraction that accompanied the sudden and sharp devaluation of the Indian rupee.<br /><br />But with the unleashing of the &ldquo;animal spirits&rdquo; of the economy, growth bounced back &ndash; to 5.1 per cent next year, and further to 7.3 per cent in 1994-95.<br /><br />But it takes a wholesale suspension of sense and sensibility to believe that the demonetisation move &mdash; however well-intentioned it may have been in its avowed earnestness to wipe out the &lsquo;black economy&rsquo; &mdash; counts as a reform measure in the way that an unshackling of the economy does.<br /><br />Please <a href="https://www.thehindubusinessline.com/opinion/the-demons-alternative/article25942371.ece" title="https://www.thehindubusinessline.com/opinion/the-demons-alternative/article25942371.ece">click here</a> to read more. <br /></div>                                                           
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    <br><a href="https://www.thehindubusinessline.com/opinion/the-demons-alternative/article25942371.ece" class="re" target="_blank">The Hindu Business Line, 8 January, 2019, https://www.thehindubusinessline.com/opinion/the-demons-alternative/article25942371.ece</a><div class="clear"></div>
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Home हिन्दी

The DeMon's alternative -Venky Vembu

Published on Jan 9, 2019   Modified on Jan 9, 2019

-The Hindu Business Line If the Centre had stuck to its ‘minimum government’ promise, it may have met the note-ban goals – without the pain In a New Year’s Day interview to a news agency, Prime Minister Narendra Modi revisited his government’s demonetisation move of November 2016. Perhaps this was born of the realisation that the notebandi decision and its impact on the economy would likely define the NDA government’s term in office — but not in the way that he and his advisers had envisaged. Specifically, Modi addressed the point that the overnight withdrawal from circulation of currency notes of Rs.1,000 and Rs.500 denomination, which cumulatively accounted for 86 per cent of the value of the notes in circulation, had precipitated a slowdown in the economy. Framing that fact against a broader context, he said: “If any process is changed… take for example, the Railways: if a bogey changes tracks, there is a change in speed.” And noting that when Manmohan Singh was Finance Minister — during the years of economic reforms from 1991 — GDP growth had fallen to less than 2 per cent, Modi suggested that such slowdowns were an inevitable eventuality when the tectonic plates of the economy were shifting. Such a characterisation of the demonetisation move is more than a little disingenuous. Modi’s larger point — that structural reforms deliver a shock to the system in the short term, which translates into slower economic growth — has at least some validity. In that sense, his invocation of the 1991 parallel is not entirely incorrect. Illustratively, in 1991-92, when the PV Narasimha Rao-headed minority government unleashed ‘big bang’ economic reforms, GDP growth did slide to a lowly 1.3 per cent. Indian corporates initially struggled to adapt to the heightened competition arising from a lowering of protectionist tariffs, and the demand contraction that accompanied the sudden and sharp devaluation of the Indian rupee. But with the unleashing of the “animal spirits” of the economy, growth bounced back – to 5.1 per cent next year, and further to 7.3 per cent in 1994-95. But it takes a wholesale suspension of sense and sensibility to believe that the demonetisation move — however well-intentioned it may have been in its avowed earnestness to wipe out the ‘black economy’ — counts as a reform measure in the way that an unshackling of the economy does. Please click here to read more.

The Hindu Business Line, 8 January, 2019, https://www.thehindubusinessline.com/opinion/the-demons-alternative/article25942371.ece

Tagged with: Demonetisation Currency demonetisation Economic Reforms black money

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• Demonetisation: Not bad in law, says Supreme Court in 4:1 verdict
• Hardships faced can’t be seen as shortfall of demonetisation: Centre to SC -Abraham Thomas
• SC asks RBI to provide quorum details of its Central Board meeting that recommended demonetisation - Srishti Ojha
• Would the government have brushed aside the Reserve Bank of India if it had objected to demonetisation, Supreme Court asks Centre

 

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