There is a China hand in India's inflation, one important reason why the steady rise in interest rates may not be cooling the high inflation. About 25% of imported inputs that go into manufacture of goods produced locally are imported from China. In addition, a third of consumer goods imported into India come from China. The inflation in goods exported by China was 10% in July, much higher than its overall...

The popular outrage over the official definition of poverty at abysmally low levels of daily income, of Rs 26 in rural areas and Rs 32 in urban areas, assumes the state will deny basic services to a household whose income is above the figure. This is totally erroneous. There is no mechanism in the hands of the government to ascertain income or expenditure to identify the 'poor' on the ground. The...

Real wages in the hinterland have stagnated despite zooming economy While the economy has zoomed along at an average of 7.2% of GDP in the last decade, real wages in the hinterland have stagnated. You would imagine that after a decade of impressive economic growth averaging around 7.2 per cent, rural populations would be beneficiaries to this story. However, wage patterns considered over the last ten years show that real wages (wages...

The media imagery of a “liberated” Red corridor extending from Andhra Pradesh, cutting across the heart of India, all the way to Nepal is the most vivid representation of the threat that Maoists pose to our country. The Prime Minister describes the Maoists as India's most serious internal security challenge and the Home Minister rates it as a “problem graver than terrorism.” In search of an effective response, official committees have,...

The Centre proposes to merge the National Rural Health Mission (NRHM) and the yet-to-be-launched National Urban Health Mission (NUHM) in the 13th Five-Year-Plan period. The two ambitious Missions will be separate entities in the upcoming 12th Five-Year-Plan period, after the launch of the urban health mission, but subsequently merged. In its proposals to the Planning Commission, the Ministry of Health and Family Welfare has said that the National Urban Health Mission...