INDIAN FORM OF SOCIALISM WAS A MISTAKE (AGAINST) THE “FIREBRANDS”

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INDIAN FORM OF SOCIALISM WAS A MISTAKE

(AGAINST)

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The “FIREBRANDS” are:
- KANDY SHEOKAND
- MANOJ NAITHANI
- ROHIT
- SHIVANI SAINI
- SASWATI BARIK
- UDITA PANDEY

BY SHIVANI SAINI:

SOURCE - "INDIAN ECONOMIC DEVELOPMENT" BY D.K.SETH

“The happiness and unhappiness of a social, rational animal depends not on what he
feels but on what he does, just as his virtue and vice consists not in feeling but
in doing.”

An economy is a system by which people get a living .it is a collection of

production unit’s like- farms, factories, service centers, govt. offices, school,
colleges, banks etc.who produce goods and services for sale in the market.

And a socialist economy is one in which economic resources are owned by the
government. There is no private ownership, there is no freedom of production and
there is limited freedom of consumption, there is no free play of the forces of
demand and supply. Prices are not determined by free mechanism but, by the state
planning authorities.

Socialism basically is a system where ownership lies with the state, planning is
the productive force, and social welfare is the motive force.

Since ancient time socialism sustain in our economy, in ancient time when people
use to hunt animal for their food. They use to distribute it equally among
themselves without any discrimination thus this shows the sense of equality is in
our blood.

Even Tulsi Das’s description of an imaginary Ramrajya and Bhakti saints depicts the
dream of such a society that will have equality and social and economic justice and
collective ownership over the means of production as its cornerstones.

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SOURCE - "INDIAN ECONOMIC DEVELOPMENT" BY I.C.DHINGRA

*INDIAN ECONOMY IN MID-EIGHTEENTH CENTURY AT A GLANCE*

(PRE BRITISH PERIOD)

• Self sufficient but isolated village economy.

• Agriculture – main occupation.
• Food grains as the main agricultural product, produced for self consumption.
• Highly developed handicraft industry, especially textile handicraft.
• Indian export consisted mostly of handicraft, artistic fibers, wares, pepper,
opium and indigo.

But in 1757 with the coming of east India Company the dream fainted. As by winning the
battle of Plessey the British Empire consolidated completely in India by 1857.and
ruled over us for almost 100 years which led to slavery, exploitation, cruelty and
imbalance economy.

The 1857 revolt, the Jaliawalla Bagh massacre, the fight among people in name of caste
and religion. Destroyed India which was once known as the golden bird for its richness
in all fields.

SOURCE- www.images.google.co.in

The clips of post independence wars even today shake us as India is a rich land
where customs, religion and emotions bind us and make us feel one as we believe in
Vasudev kutumbhkam.

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SOURCE- www.images.google.co.in

*STATE OF INDIAN ECONOMY UNDER THE BRITISH AT A GLANCE*

• “Deindustrialization” of India due to British trade policies.

• Indian economy developed as a colonial economy.
• Back-to-land movement due to the destruction of handicraft industries.
• Introduction to zamindari system that was highly exploitative and harmful growth
of Indian agriculture.
• Commercialization of Indian agriculture.
• Indian industrial entrepreneurs coming up in a significant way after 1905.

All this made our people realize what our country really needed and they worked
towards the independence of our country as they realized if we remain in the hands of
the Britishers we can never attain what we want. This shows the unity we shared.

On the eve of independence Indian economy had:-

*STATE OF INDIAN ECONOMY AT THE TIME OF INDEPENDENCE AT A GLANCE*

•
• Production in the economy on colonial pattern.
• A weak & shattered industrial base.
• Highly “drained out” economy due to colonial policies of the British.
• Creation of a semi-feudal economy.
• “Deindustrialization” leading to employment, backward agriculture and low per
capita income.
• Growing population pressure since 1921
• Emergence of new modern industries established by Indian entrepreneur after 1925.
• A poor, backward, stagnant, and sapped economy at the time of independence.

Thus the need of the hour was:-

1. Better utilization of resources.
2. Balanced development of economy.
3. Equitable distribution of income
4. No class struggle.

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5. Social security.

Which was only possible through socialism?

As well said:- SOURCE – www.quoteworld.org

All fingers are not alike if you cut bigger ones to make all equal it is communism, if
you stretch smaller ones to make all equal it is socialism, if you do nothing to make
all equal it is capitalism.

Thus as we had to make all equal by uplifting everyone we worked towards socialism.

BY KANDY SHEOKAND:
SOURCE - "INDIAN ECONOMY" BY RUDRA DUTTA

“We the people of India, having solemnly resolved to constitute India into a sovereign
socialist, secular, democratic republic & to secure to all its citizen justice,
liberty, equality & fraternity”

This is the preamble of the Indian constitution. It is not a part of

constitution but it has specific significance. Each word of the preamble has its own
significance .Here the word socialist indicates that important means of production
will be transferred to public ownership these will not be allowed to be concentrated
in a few hands.

When Columbus & Vasco de Gama were attempting to explore new sea routes. India was
among the richest countries in the world &it became one of the poorest countries in
the world by the end of the colonial era in 1947.the end of British era left India
with amazing opportunities &daunting challenges .India greatly lagged behind
economically & socially as compared to developed countries. When world income grew
several folds due to industrial &technology revolution. A large mass of people were
poor homeless, unemployed…………..etc.
After independence, a number of initiatives were introduced that gave birth to the
Indian socialist state. India adopted the mixed economy or you can say jugalbandi of
private &public sector with key role to state. Government was anxious about the aam
aadmi not the khaas aadmi.

Do you think if India didn’t adopt the socialist approach then condition would be
worse? No doubt the GDP was poor, but people were growing, industries were growing,
agriculture was growing.

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SOURCE-www.planningcommission.com
Government of India took the initiative for the development .government played two important role
as –
1) Provider of fund
After independence India’s capital market was under developed, although there was
2) Entrepreneur significant demand for new capital but there was dearth
of providers. It is against this backdrop government established financial institution
like IDBI, IFCI, UTI, ICICI .etc.
In 1948, industrial policy resolution was passed which laid emphasis on small scale
industries along with large scale industries. These small scale industries have
emerged as India’s engine of growth. Today this sector provides employment to 20
million people & accounts for 40% of value added in manufacturing sector. In education
field also government set up institutions like IIT, IIM, etc………

Other important role played by government was he himself become entrepreneur.

Government set up all mega projects like
ONGC (oil & natural gas cooperation)-1956; it is the highest profit making corporate
in India
Sail (steel authority of India) – 1973; it is the leading steel making authority in
India.
BHEL (Bharat heavy electronic limited) – 1962; it is the key player in power
sector.etc……..

Today there may be economic boom or growth of 9.4% in GDP. but the benefits of these
are limited to handful of rich & a section of upper middle class, estimated not more
than 3% of population .the gap between rich &poor is increasing day by day.
Forbes billionaires list for 2007 featured 36 Indian businessmen with an accumulated
worth of $191billion i.e. Almost 20% of what entire Indian population earned during
the same year. .
This is the story of India with maximum numbers of poverty stricken people & will soon
house the maximum number of billionaires too. After all in this huge country there is
lot of land &natural resources left yet to be sold by the merchants of death ruling
this country.

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BY SASWATI BARIK:
SOURCE-www.planningcommission.com

Roadmap.........
The planning commission was set up in March, 1950 by a resolution Of the government
of India which defined the scope of its work in the Following terms:

“The constitution of India has guaranteed certain fundamental rights to the citizens
of India and enunciated certain directive principles of state policy, in particular,
that the state shall strive to promote the welfare of the people by securing and
protecting as effectively as it may a social order in which justice, social, economic
and Political, shall inform all the institutions of the national life, and shall
direct its policy towards securing, among other things,—

That the citizens, men and women equally, have the right to an adequate means of
livelihood; That the ownership and control of the material resources of the Community
are so distributed as best to sub serve the common good; and that the operation of the
economic system does not result in the concentration of wealth and means of production
to the common detriment.

First five year plan:

1. Rs.50 crores have been allocated for the Expansion of basic industries.
2. Central govt. Plan provides rs.15crores for cottage &small scale Industries.village
and small scale industries &handicrafts were given Importance.cess was imposed on mill
made clothes to assist development Of khadi &handloom.
3. It emphasised on the national malaria control scheme which had an Estimated cost of
rs10 crore, it also designed a proggrame of Industrial housing costing about rs.50
crore
4. It also formulated development programmed for forty-two industries in The
ptv.sector.this programmed was designed by ministry of commerce &industry.

2nd five year plan (1956-1961)

1. More thrust was given in the Heavy and basic industries.the govt announced its
industrial policy in 1956 accepting the establishment of a socialistic pattern of
society As goal of economic policy. it focused on heavy industries such as iron And
steel, heavy chemicals etc.this plan followed the Mahalanobis Model, an economic
development model developed by Indian statistician P.C.Mahalanobis in 1953
2. Hydro electric power projects five steel mills in Bhilai, Durgapur&jamshepur were
also established.
3. Many railway lines were added in the north east.

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3rd five year plan:

Establishment of a self reliant self Generating economy was the main aim of this plan.
1. Agriculture was Assigned top priority in this plan
2 It also laid adequate emphasis. In the basic industries which was Very much vital
for rapid growth of economy.
3. Many primary schools were started.panchayat elections were started And &states were
given more responsibilities.
4. State electricity board &state secondary education board, state road Transportation
Corporation was formed during this plan.

4th five year plan:

1. This plan put greater emphasis on the Farmer class. Greater industrial activities
& modernization of Agriculture was proposed.
2. More &more people were employed during this plan. Many services Centers were opened
which gave open opportunities for young Entrepreneurs.
3.14 commercial banks were nationalized. It effected a major change in Our economy.
Few financial institutions: industrial finance corporation of India(IFCI)it was
established in the year 1948 under industrial finance Corporation act,1948.
Its main objective is;
(1) To render long term loans
(2) To render financial assistance to long and medium term loan to scale
Industrial establishments such as public lltd cos.&co operative Societies which were
engaged in manufacturing &distributing power and Electricity.
Industrial credit and investment corporations of India (ICICI) it was established in
1955 under the initiative of he world bank.
Its main objectives are;
(1) To assist the formation, expansion and modernization of private Sector industrial
units.
(2) To encourage inflow of foreign capital needed for private sector Industries
(3) To render technological and administrative advices to industrial Concerns
State financial corporations (SFCS); state financial corporation act was passed in the
year 1951empowering the state government to set up Financial Corporation.

Its main objectives are;

(1) To provide financial assistance to small and medium scale
Industries situated in the state
(2) To lend money to those industries whose paid up capital don’t
Exceed Rs 1crore

Government policy relating to small business:

[a] National small industries corporation (NSIC)
[b] Small industries development board of India [SIDBI]
[c] All India handloom board etc.

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Housing finance;
[a]HUDCO
[b]NHB

BY MANOJ NAITHANI:
SOURCE - "INDIAN ECONOMY" BY K.P.M.SUNDHARAM

ROLE OF PUBLIC SECTOR IN INDIA

The evolution of the public sector in India

Prior to 1947 there was virtually no public sector in the Indian economy except the
railways, postal and telegraph. However in the post independence period the expansion
of public sector was undertaken as an integral part of the 1956 Industrial Policy. The
industrial policy 1956 gave the public sector a strategic role in the Indian economy.
For one thing at the time of independence the country was backward and underdeveloped
basically it was an agricultural economy with a weak industrial base, heavy
unemployment, low level of saving and investment and near absence of infrastructural
facilities. Indian economy needed a big push. This push could not come from the Indian
private sector which was starved of funds and of managerial ability and was incapable
of undertaking risk involved in large long term investment. It could only the
government intervention in a big planned way that could accelerate agriculture in
industrial production expand employment opportunities, reduce poverty etc. In other
words the public sector was thought of as the engine for self reliant economic growth
to develop a sound industrial base diversity in the economy and overcome economic and
social backwardness.

Role played by the public sector in India

After the attainment of planning there has been a progressive expansion in the scope
of the public sector. The passage of 1956 industrial policy and adoption of the
socialist pattern of society as our national goal further led to a deliberate
enlargement of the role of public sector.
It would not be appropriate to use any single measure to estimate the role of the
public sector in the Indian economy rather it would be desirable to use a few
indicators example employment, investment, value of output, national income generated,
saving, capital formation and capital stock.

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Share of public sector in India

Public and private sector employment in India

YEAR PUBLIC SECTOR PRIVATE SECTOR TOTAL % OF PUBLIC SECTOR

1971 111 67 178 62

1981 155 74 229 68

1991 190 77 267 71
2003 186 84 270 69
SOURCE - INDIAN ECONOMIC SURVEY 2004-05

Central government enterprises

Growth of investment in central government enterprises.
Total Investment (Rs. Enterprises
Particulars in Crores) (Numbers)
At the commencement of the 1st
Year Plan 29 5
At the commencement of the 2nd
Year Plan (1.4.1956) 81 21
At the commencement of the 3rd
Year Plan 948 47
At the end of the Five Year Plan 2410 73
At the commencement of the 4th
Five Year Plan 3897 84
At the commencement of the 5th
Five Year Plan 6237 122
At the end of the 5th Five Year
Plan 15534 169
At the commencement of the 6th
Five Year Plan 18150 179
At the commencement of the 7th
Five Year Plan 42673 215
At the end of 7th Five Year Plan 99329 244
At the commencement of the 8th
Five Year Plan 135445 246
At the end of 8th Five Year Plan
(31.3.1997) 213610 242
At the end of 9th Five Year Plan 324614 240
As on 31.3.2003 335647 240
As on 31.3.2004 349994 242
SOURCE - PUBLIC ENTERPRISES SURVEY (20O4-05)

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As a result of the deliberate policy of encouraging public sector, heavy investment

was made in the public sector so as to facilitate the process of industrialization in
the country by establishing heavy and basic industries and to create infrastructure of
power, electricity and transport. Expect of the short span on 5 years (1968-69 to
1973-74) in which growth rate of investment was about 10% through out the rate of
growth of investment averaged between 16 and 19% per annum.

Top five companies

RANK COMPANY NAME PROFIT AFTER TAX

(Rs in Crores)
1. ONGC 17770

2. RELIANCE 11434

3. IOC 7867

4. NTPC 6898

5. SAIL 6252
SOURCE – BUSINESS INDIA
Infrastructural development by the public sector.
Rapid industrialization of a backward but developing country like Indian depend upon
the creation of infrastructure such as transportation, communication, powers,
development, basic key and industries to come into existence or to develop fast enough
but the development of basic and capital goods industries and creation of
infrastructure involves heavy investment low yield and long gestation period. These
investment were therefore not attractive to the private sector not could the private
sector raise such huge resources in the fifties and sixties. Naturally, it was left to
the government to develop them and most of the public enterprises were setup in these
industries.
In fact, the basic rationale of public enterprise soon after India launched ambitions
economic plans was to create and expand the infrastructure and this they have done
quite successfully by and large. Their contribution to the Indian economy should
therefore be judge from this angle and not from the point of view of profit alone.

Role of public sector in export promotion

Most of the public sector enterprises have been started keeping in mind the
requirements of the Indian economy in the field of production and distribution.
However some public enterprises have done much to promote India’s export. The State
Trading Corporation (STC) and the Minerals and Metal Trading Corporation (MMTC) have
done a world wide job of export promotion in all parts of the world specially in the
East European countries. The metal ores have become the second largest single item on
our list of export has been due to the pioneering efforts of these organization.
Considerable success has been achieved in pushing up the export of Indian handicrafts
light engineering goods and many other new item of export Hindustan Steel Limited,
Bharat Electronic Ltd, Hindustan Machine Tools etc are some or the public enterprises
which are exporting increasing proportion of their output and earning foreign
exchange.

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FOREIGN EXCHANGE OF EARNING OF PUBLIC SECTOR SCTOR

ENTERPRISES

1965-66 35 CRORES

1984-85 5830 CRORES

2004-05 42,264 CRORES

SOURCE - PUBLIC ENTERPRISES SURVEY (20O4-05)

There is no denying the fact that the export performance of the public sector
enterprises has been quite credible.

Role of the public sector in import substitution.

Some public sector enterprises was started specially to produce goods which were
formally imported and thus to save foreign exchange. The entry of Hindustan
Antibiotics limited (HAL) and Indian Drugs and Pharmaceuticals Ltd (IDPL) into the
manufacture of drugs and pharmaceuticals so as to remove the monopolistic strangle
hold of foreign concern in this field helped India save foreign exchange used for
importing these items likewise the ONGC and Indian Oil Corporation Ltd are public
enterprises which attempt directly to increase self reliance of the country and reduce
our dependence on imports.

Limitation and abuses of the private sector

The behavior and attitude of the private sector itself was an important factor
responsible for the expansion of the public sector in country. When the Americans
insisted on the Bokaro project to be set up in the private sector Mr. JRD TATA openly
confessed that the private sector was not in the position to mobilize resources to the
tune of Rs 700 crores. Thus the private sector did not want to move into certain
sectors. The private sector was to take even the normal risk of business. During the
second plan period later many of the licenses issued to the private sector setting of
the fertilizers units. But these were surrendered when the need of fertilizers
products was paramount for the country to push an agriculture break through. To give
another example the business recession of 1966-67 frightened the private sector cement
industry for expansion, even though it had given an undertaking to government to
expand. To safeguard the long term prospects of the economy the government had to set
up the CEMENT CORP. OF INDIA to boost the production of India. The failure of private
sector drug industry to manufacture antibiotics at the same, its tremendous
exploitation of the consumers to the extent of holding them to ransom was responsible
for the entry of the government in drugs and pharmaceuticals industry. In number of
cases the government was forced to take over put sector industrial either in the
interest of the worker or to prevent the excessive exploitation of the consumer. The
takeover of sick cotton mills was due to the failure of the private sector. The point
to note here is that often the private sector did not function as it should and did
not carry out its social responsibilities.

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IN NUTSHELL
To sum up the expansion of the public sector was aimed at the fulfillment of our
national goals viz the removal of poverty, the attainment of self reliance, reduction
in inequality of income, expansion of employment opportunities, removal of regional
imbalance, acceleration of the pace of agriculture and industrial development, to
reduce the concentration of ownership and prevent growth of monopolistic tendencies
by acting as an effective countervailing power to the private sector, to make the
country self reliant in modern technology and create professional, technological and
managerial cadres so as to ultimately rid the country from dependence of foreign aid.

BY ROHIT:
SOURCE - "INDIAN ECONOMIC DEVELOPMENT" BY D.K.SETH

India faced many challenges after independence. There existed Social imbalances,
problems of women, child, and the depressed Classes. Illiteracy was the worst
drawback. They created hurdles to India’s social progress. Therefore the need for
social progress was deeply felt. Many steps were taken to achieve social progress in
India. They were taken through social movements, social legislations and education.

The bhoodan movement: Acharya vinoba Bhave started this Movement on 18 April 1951. It aimed
at creating a just and equitable Social order. It wanted the re-distribution of excess
lands from the Landlords among the landless poor. It encouraged voluntary Surrenders.
The central and state governments enacted laws to fix Ceilings on land holdings due to
the awareness created by this Movement. This movement focused on the plight of the
landless poor.

The sarvodaya movement: this was also started by vinoba bhave. It had the blessings of
our national leaders. It aimed at the upliftment and welfare of all. Promotion of
cottage industries and khadi 100 became the key areas of this movement. It wanted to
bring a silent Non-violent socio-economic revolution in India.

Development of women: the position of women in India prior to Independence was miserable.
Several social legislations were passed since 1947 to improve their position. Our
constitution guarantees Equality of sexes. The other measures are as follows:

The marriage act of 1954: this act made inter-caste and interrelations Marriages legal. It
fixed the marriage age of boys 21 years and girls 18 years. Child marriage is
punishable.

The Hindu code bill 1955 – 56: this bill is the magna carta in the History of women
development in India. It explains about marriage, Divorce, succession, guarandianship
and adoption.

The Hindu marriage act, 1955: this act made monogamy legal. It outlaws polygamy among all
Hindus. It confers equal rights of divorce On both men and women.

The Hindu succession act, 1956: this act gave equal right to a Daughter and her children to
succeed equally with the son and his Children to all the property of either parent.

The Hindu minority and guardianship act, 1956: this act safeguards the mother’s right to be the
natural guardian of her Children. It also gives women the right to adopt a son or a
daughter as In the case of men.

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The dowry prohibition act, 1961, (amended in 1984): this act protects women against dowry
exploitations. Dowry demand is severely punished.

The maternity benefits act, 1961: this act gives the working Women the right to maternity
leave.

The medical termination of pregnancy act, 197: this act allows Women to terminate pregnancy
which would risk their physical and mental health.

The equal remuneration act, 1976: this act provides for the Payment of equal remuneration to
women workers along with men. It prevents discrimination on grounds of sex in matters
of employment.

SOURCE - "INDIAN ECONOMIC DEVELOPMENT" BY I.C.DHINGRA

Now I will talk about MAHALANOBIS model,
The core of the strategy was rapid industrialization through heavy investments in
machine making & heavy industries.

Main features are:

High priority to industrialization of the Indian economy.

1) The productivity of labour.

2) Industrialization provides work opportunities.
3) Better utilization of natural resources.
4) Help in agriculture sector

BY UDITA PANDEY:
SOURCE - "INDIAN ECONOMY" BY H.L.AHUJA
Sri Krishna in Bhagwat gita said “I look upon all creatures equally, none is less dear
to me and none is dearer to me”.

The debate between socialism and capitalism is far from over. Capitalism and socialism
are both types of systems in different societies throughout the world that have been
successful at times, but also not so fortunate in it’s success at other times in
history. Both have their good and bad points, although the main focus i am presenting
will acknowledge socialism in better terms than the capitalist economy.
Fifteen years of "transition to capitalism" is more than adequate time to judge the
performance and impact of capitalist politicians, privatizations, free market policies
and other restoration measures on the economy, society and general welfare of the
population.

Over the past 15 years of the transition to capitalism almost all basic industries,
energy, mining, communications, infrastructure and wholesale trade industries have
been taken over by European and us multi-national corporations and by mafia
billionaires or they have been shut down. This has led to massive unemployment and
temporary employment, relative stagnation, vast out-migration and the de-
capitalization of the economy via illegal transfers, money laundering and pillage of
resources.

There are environmentalists who claim that capitalism requires continual economic
growth, and will inevitably deplete the finite natural resources of the earth, and

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other resources utilized broadly. Those environmentalists, such as murray bookchin,

have argued that capitalist production passes on environmental costs to all of
society, and is unable to consider its impact upon ecosystems and the biosphere at
large.

Socialists say that the workers in a capitalist economy struggle against corporate
greed. Working people should work together socially to produce all things together.
Capitalists are different and take the wealth that they create to build more capital
for him. They feel as if there is a contradiction between social production and
individual capitalist ownership. One capitalist deprives another capitalist of
property and more wealth is concentrated towards a smaller and smaller number of
people. In order to compete in this type of market things must be cut; jobs, wages,
and benefits.

Demerits of capitalism

SOURCE - "INDIAN ECONOMIC DEVELOPMENT" BY D.K.SETH

We are living in a world today where capitalism had outlived its usefulness and its
elements of barbarism are applying in many parts of the world. Capitalism has been
bitterly criticized by many thinkers’ philosopher and economist.
Karl marx the father of communist philosophy said that “capitalism contains the seeds
of its own destruction”.
The free and unfettered working of the market system has led to so many evils that
even in capitalist countries, the government regulates and controls the economy
through various measures such as physical control monetary and fiscal measures.

1 free market system of capitalist economy does not ensures maximum satisfaction at
minimum social cost
Goods are distributed according to ability to pay rather than their needs and wants.
So it does not ensure maximum satisfaction. The people who are willing to pay are not
generally those people who will derive maximum satisfaction. The free market system
may work in such a way that while the poor people are unable to feed milk to their
children the rich people feed milk to their dogs. Total satisfaction of the consumer
can be increased by withdrawing productive resources from production of luxuries and
devoting them to production of necessaries.

2 Principle of consumer sovereignty is no longer valid.

The big producers today do not merely satisfy or fill the want of consumer they
themselves try to create these wants by massive expenditure on advertisement and
propaganda to influence public to buy their product they manufacture. Thus while the
consumer still decide the goods allocation of resources among the goods to satisfy
their wants these wants are themselves increasingly influenced by the producers.

3 economic instability and unemployment

It does not ensure high and stable level of employment. Nor does it guarantees stable
level of price level. As a result there is cyclical fluctuation in level of economic
activity ups and down in the level of prices.

4 market mechanism does not ensures rapid economic growth

An important problem in underdeveloped countries like India is to promote growth so as
to raise its standard of living of people and to eradicate poverty and unemployment.
In these countries market mechanism does not ensures rapid and sustained economic
growth.

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5 class struggle
It divides the society in two classes haves and havenot or labourer on one side and
capitalist on the other. These two classes are hostile to each other. This result to
industrial disputes involving strikes and lockout.

There may be an economic boom a growth rate of 9% in gdp in 2007 but the benefits of
this are creamed off by a handful of the rich and section of upper section of society,
estimated at no more than 3% of population. On the other hand 52% of children are
malnourished. Yes accepted that jobs have been created in service sector in it in
particular this had benefited small mining group.

Indian economy is in a dizzy boom still there are farmers who are commiting
suicide because of debts. If this monstrous system of profit and greed is not replaced
soon enough conflict of much greater intensity of bloodshed will be inevitable in the
coming period in the name of religion, caste, and ethnicity and plugging the
civilization into barbarism.
Today socialism remains the only viable alternative in an increasingly unstable and
brutal capitalist world. It is this reality that ensures that socialism is not a spent
force but the wave of the future.

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