{"id":224074,"date":"2023-01-28T19:03:10","date_gmt":"2023-01-28T13:33:10","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=224074"},"modified":"2023-02-20T15:03:45","modified_gmt":"2023-02-20T09:33:45","slug":"the-moral-and-intellectual-crises-in-economic-policies","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/the-moral-and-intellectual-crises-in-economic-policies\/","title":{"rendered":"The moral and intellectual crises in economic policies"},"content":{"rendered":"\n

Source<\/span><\/b>: The post is based on the article <\/span>\u201c<\/span><\/b>The moral and intellectual crises in economic policies<\/span><\/b>\u201d <\/span><\/b>published in<\/span> The Hindu<\/span><\/b> on <\/span>28th January 2023<\/span><\/b>.<\/span>\u00a0<\/span><\/p>\n

Syllabus: <\/span><\/b>GS3- Indian economy: growth, development and employment<\/span>\u00a0<\/span><\/p>\n

Relevance:<\/span><\/b>\u00a0Paradoxes of GDP growth<\/span>\u00a0<\/span><\/p>\n

N<\/strong>ews: <\/span><\/b>The article explains the <\/span>intellectual and moral crisis<\/span><\/b> affecting the Indian economy. <\/span><\/p>\n

What is the crisis of employment in India?<\/span><\/b>\u00a0<\/span><\/h2>\n

Job creation <\/span><\/b>has not kept pace with the <\/span>demand for jobs<\/span><\/b>. Moreover, most jobs don’t pay enough and have <\/span>no social security<\/span><\/b>.\u00a0<\/span>The <\/span>paradigm of economic growth and globalisation<\/span><\/b> followed by Indian governments is a cause of the problem.<\/span>\u00a0<\/span><\/p>\n

There is less employment because the <\/span>organised manufacturing and service sectors<\/span><\/b> are also employing fewer people per unit of capital in order to improve their <\/span>own labour productivity<\/span><\/b>.<\/span>\u00a0<\/span><\/p>\n

The Indian economy\u2019s problem is the <\/span>large size of its informal sector and the small scale of its enterprises<\/span><\/b>. Employment in the formal sector is also becoming informal with <\/span>outsourcing, contract employment, and gig work<\/span><\/b>.\u00a0<\/span>\u00a0<\/span><\/p>\n

Young men need jobs too. Increasing numbers of young and underemployed males are leading to more crime and violence, and sexual assaults of women in Indian cities.<\/span>\u00a0<\/span><\/p>\n

Concepts of <\/span>\u201ceconomies of scale\u201d are changing to \u201ceconomies of scope\u201d<\/span><\/b>, and enterprise forms from <\/span>concentrated to dispersed units<\/span><\/b>.<\/span>\u00a0<\/span><\/p>\n

How women’s participation in the workforce is not conducive to the employment scenario in India?<\/span><\/b>\u00a0<\/span><\/h2>\n

As per economists, more women in the workforce will lead to faster growth.\u00a0<\/span>\u00a0<\/span><\/p>\n

This <\/span>distorted view of the economy <\/span><\/b>ignores reality. More Indian women have been working outside their homes to earn money than in any other country perhaps. <\/span>\u00a0<\/span><\/p>\n

They are working in a)<\/strong> large numbers on farms, as caregivers and domestic workers, and weavers and producers of handicrafts in small enterprises, b) <\/strong><\/span>as teachers and as Anganwadi and ASHAs providing essential services to communities.<\/span>\u00a0<\/span>The <\/span>essential services<\/span><\/b> that women provide to society are <\/span>not considered productive work<\/span><\/b> for the economy. <\/span>\u00a0<\/span><\/p>\n

They are being pulled into the <\/span>limited jobs provided by the formal economy<\/span><\/b>. Pushing more women into the formal economy will improve the \u201c<\/span>female participation rate\u201d<\/span><\/b> in the formal economy and may add to GDP too.\u00a0<\/span>\u00a0<\/span><\/p>\n

However, it will not solve the basic problem related to the lack of<\/span> enough good jobs in formal sectors<\/span><\/b> of India\u2019s economy for the young population.\u00a0<\/span>\u00a0<\/span><\/p>\n

Why is the overemphasis on the growth of GDP not good for society and nature?<\/span><\/b>\u00a0<\/span><\/h2>\n

The<\/span> paradigm of \u201cgrowth, growth, growth<\/span><\/b>\u201d treats human society and nature as a means to goals of producing more wealth for investors and more GDP.\u00a0<\/span>\u00a0<\/span><\/p>\n

According to this <\/span>paradigm of growth<\/span><\/b>, the <\/span>human needs for safety, health and sufficient income<\/span><\/b> of workers only increase the cost of doing business. These are not concerns of the investors. The state must take care of them.<\/span>\u00a0<\/span><\/p>\n

What is the way forward for economic policy?<\/span><\/b>\u00a0<\/span><\/h2>\n

Growth of GDP is not the purpose of <\/span>human civilization<\/span><\/b>.\u00a0<\/span>\u00a0<\/span><\/p>\n

India\u2019s leaders must find a path to <\/span>reach \u201c<\/span><\/b>poorna swaraj<\/span><\/i><\/b>\u201d <\/span><\/b>related to <\/span>social, political, and economic freedoms<\/span><\/b> for all Indians.\u00a0<\/span>\u00a0<\/span><\/p>\n

Economic growth must create <\/span>equal opportunities for all to learn and earn with dignity<\/span><\/b> and not harm the natural environment that sustains all life.\u00a0\u00a0<\/span>\u00a0<\/span><\/p>\n

A <\/span>new paradigm of economic science and policy<\/span><\/b> is required.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Source: The post is based on the article \u201cThe moral and intellectual crises in economic policies\u201d published in The Hindu on 28th January 2023.\u00a0 Syllabus: GS3- Indian economy: growth, development and employment\u00a0 Relevance:\u00a0Paradoxes of GDP growth\u00a0 News: The article explains the intellectual and moral crisis affecting the Indian economy. What is the crisis of employment… Continue reading The moral and intellectual crises in economic policies<\/span><\/a><\/p>\n","protected":false},"author":10311,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1230,9],"tags":[216,10498],"class_list":["post-224074","post","type-post","status-publish","format-standard","hentry","category-9-pm-daily-articles","category-public","tag-gs-paper-3","tag-the-hindu","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":1700810566,"cached_date":1704813775},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/224074","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10311"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=224074"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/224074\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=224074"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=224074"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=224074"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}