{"id":35025,"date":"2018-10-31T14:50:32","date_gmt":"2018-10-31T09:20:32","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=35025"},"modified":"2018-10-31T14:50:32","modified_gmt":"2018-10-31T09:20:32","slug":"the-return-of-indias-super-rich","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/the-return-of-indias-super-rich\/","title":{"rendered":"The return of India\u2019s super rich:\u00a0"},"content":{"rendered":"<p><a href=\"http:\/\/www.livemint.com\/Opinion\/XYIk7Olm5XhcDuIDJXOqeL\/The-return-of-Indias-super-rich.html\"><span style=\"font-weight: 400;\">The return of India\u2019s super rich<\/span><\/a><span style=\"font-weight: 400;\">:\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The trajectory of wealth concentration in the country, not just the levels of recently estimated inequality, is important.<\/span><\/p>\n<p><b>Context:<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">High economic disparity among Indians<\/span><\/li>\n<\/ul>\n<p><b>What are the reasons for high economic disparities?<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">A large informal labour force<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Turbulent capital markets <\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Unequal access to education<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Employment and mobility of workforce <\/span><\/li>\n<\/ul>\n<p><b>What were the reasons of wealth concentration in the past?<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Wealth concentration at the top is an entirely different concept that cumulates past prosperity and disparity through inheritance, income and monopoly rents.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Example: Indian has been home to extreme poverty as well as richest people:<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">In 1937, the nizam of Hyderabad was declared the world\u2019s wealthiest person by Time magazine.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">His wealth was estimated to be equal to around 30% of India\u2019s gross domestic product (GDP).<\/span><\/li>\n<\/ul>\n<p><b>Why is the computing wealth inequality in India harder?<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The absence of similar tax-return data.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Issues of under-reporting<\/span><\/li>\n<\/ul>\n<p><b>What were the steps taken after independence to reduce wealth concentration?<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Old royal wealth was eliminated through the abolition of princely titles and annexation of private land into national wealth as part of Indian unification<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">A combination of Nehruvian socialism<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Indira Gandhi\u2019s nationalization <\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Progressive tax policies<\/span><\/li>\n<\/ul>\n<p><b>What is the current trend?<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The decline of income and wealth inequality between 1950-80; but no diffusion of prosperity <\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Due to emergence of new markets, promotion of private capital, modern investment, and market reforms made few Indians \u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">As India began to embrace the market, private capital adapted to more modern investments, and combined with market reforms, it made a select few enormously wealthy.These wealthy people are mainly leaders of the industries <\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Old wealth came to be replaced by more dynamic and financially savvy industrial wealth.<\/span><\/li>\n<\/ul>\n<p><b>What is necessary to bring equitable growth? <\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">India needs the effort to democratize economic resources to achieve equitable growth. Growth cannot be equitable if the superrich is able to accumulate wealth at even higher rates.<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>The return of India\u2019s super rich:\u00a0 The trajectory of wealth concentration in the country, not just the levels of recently estimated inequality, is important. Context: High economic disparity among Indians What are the reasons for high economic disparities? A large informal labour force Turbulent capital markets Unequal access to education Employment and mobility of workforce&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/the-return-of-indias-super-rich\/\">Continue reading <span class=\"screen-reader-text\">The return of India\u2019s super rich:\u00a0<\/span><\/a><\/p>\n","protected":false},"author":61,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[555],"tags":[],"class_list":["post-35025","post","type-post","status-publish","format-standard","hentry","category-test-1","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":"","cached_date":1704817705},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/35025","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\/61"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=35025"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/35025\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=35025"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=35025"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=35025"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}