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[Results] Prelims 2020 Over - Gearing for 2021

Because of the corona virus issue? If it does not happen then worst affected will be people whose interview is stuck, around 600-700 such people I think are yet to appear for their interview.


@neyawn sir and others, what is your take?

This is the official Thread for discussion of Prelims Postponement, Please do not create new threads for the same.

jack_Sparrow,curious_kidand137 otherslike this
5.8m views

13.7k comments

@cat  C depends on demand. G is dependent on government. So basically socialism. I is investment and if you know the decision of investment

Di = f (p,k,s,x) k being fixed capital, s being savings, p being ability to profit. Now that's why your 0 corporate taxes don't work, why? Coz while it improves savings, companies won't invest a penny if there's no ability to profit. What does it depend on? On ability of people to purchase the product of the company. On the demand quotient. In a country where people live on bare minimum income, they can't have enough surplus money to avail such goods and services as corporations produce, thereby declining profit. So once again, socialism. 

Once again you googled out a piece of headline saying Chinese private sector having 70% contribution to 80% contribution. This is exactly what you shouldn't do. For China the greatest component of their gdp and growth is HOUSEHOLD CONSUMPTION (39%) and INVESTMENT IN FIXED CAPITAL (41%) which is because there is demand in the market, so there's sufficient reason to expand production and produce more.



Steve,
5.5k views
I don't understand this hoopla about growth and GDP and whatnot. People were happy in the Soviet Union too. And so are they in Cuba right now. This obsession with growth will take us nowhere.
4.8k views
@redemptionWe are heading towards middle income trap already and unless we redistribute resources, the growth will really stagnate. People really have a hard time understanding something so simple.

IMO, we should nationalize health and education. That will give people disposable income to spend on the products of company.


No 1,redemption
4.9k views

>IMO, we should nationalize health and education. That will give people disposable income to spend on the products of company

😍


5.5k views

redemptionsaid

@cat  C depends on demand. G is dependent on government. So basically socialism. I is investment and if you know the decision of investment

Di = f (p,k,s,x) k being fixed capital, s being savings, p being ability to profit. Now that's why your 0 corporate taxes don't work, why? Coz while it improves savings, companies won't invest a penny if there's no ability to profit. What does it depend on? On ability of people to purchase the product of the company. On the demand quotient. In a country where people live on bare minimum income, they can't have enough surplus money to avail such goods and services as corporations produce, thereby declining profit. So once again, socialism. 

Once again you googled out a piece of headline saying Chinese private sector having 70% contribution to 80% contribution. This is exactly what you shouldn't do. For China the greatest component of their gdp and growth is HOUSEHOLD CONSUMPTION (39%) and INVESTMENT IN FIXED CAPITAL (41%) which is because there is demand in the market, so there's sufficient reason to expand production and produce more.



Your bookish theory has holes as socialism has shown its wonders in venezuela and cuba. Don't implement this bs model in this country again. Also please share data on breakup of that comsumption expenditure does it come from majorly from the 1% extremely poor in China?Or is because of the overall consumption in econmy driven by a prosperous population in general relative to our own or other lower middle income countries?About investment in fixed capital that comes from profits which is obviously like u said bcs of higher demand cycle justifying more production. Also I have never mentioned 0% taxes that's like putting words in my mouth but lower taxes in general do work. Look at big corporates earnings expectations increase post corporate tax cuts last year albeit for a quarter as covid kicked in. Chillax

Handshake,
5.9k views

AureliusMsaid

@redemptionWe are heading towards middle income trap already and unless we redistribute resources, the growth will really stagnate. People really have a hard time understanding something so simple.

IMO, we should nationalize health and education. That will give people disposable income to spend on the products of company.


Or a significant pay hike in next pay commission unlike the 7th  😍

SergioRamos,
7.1k views

Also just because there is capitalism doesn't mean free health/education isn't viable. Infact higher growth leads to higher taxes and thus more spending by govts on essential services. It is important to widen the tax net and growth will take care of the govt tax revenue. A mix of free market capitalism+welfare policies and quality public services like in nordic countries would be better than most models imo. The problem with a some people is that they have an visceral contempt for businesses/entrepreneurs and thus can never accept the fast albeit slightly imperfect train of capitalism which can be tailored according to our needs.

5.8k views
@cat  Nordic countries? Read up on Swedish PSUs. Widening the tax net is not possible in neoliberalism. Its one of the reasons why our RD is burgeoning everyday and we are playing fiscal deficit blah blah. Welfare mechanism needs sufficient tax money. That in EU can happen because of GS GN divide. Why so? Nike produces textiles at 70rupees in bangladesh. Sells at 70 pounds in UK and pays off taxes to EU. The tax generation here is from labor generated in Global south. Michael parentis face of imperialism writes up on the impossible working conditions in bangladeshi textile sweatshops. These shops are basically hog tied to the global capital generating in the global north. You can't keep labor subservient to capital and expect good welfare policy. Surplus accumulation for europe and USA has always been on the basis of generation of dependencies in the global south. (Please look up samir amins dependency model)


Tetsuko,Steve
5.4k views

redemptionsaid

@cat  Nordic countries? Read up on Swedish PSUs


Read up on efficiency of Indian PSUs then compare with sweden🤔

5.7k views
PMFJI but this could be a little more illuminating if you guys gave your precise ideas on what mix of policies you'd prefer, for, I assume, none of you is for unfettered capitalism or for good ole communism. Let's not lock horns over mere words like socialism, these have meanings all over the place.
5.6k views
@cat  that's coz human capital. What efficiency do you expect in a state where 20% people aren't even literate?!

Also please read my edit.


5.3k views
@cat It's not just contempt but also jealousy in many a case. That said, the so called fat cats in the Indian system are there for they are good at manipulating policy. But I admit, there's something noble and moral about the small capitalist, the freedom of being on one's own is sweet. 


cat,
5.7k views
@Handshake I don't know if anyone here has contempt for msmes. Am all for supporting them, not the India inc and the cronies. Neither am I in support of a policy where the MSMEs are literally left at the mercy of a few oligarchs, who have all the buying power.(literally the reason why TreDS exists)


GaryVee,Steveand2 otherslike this
5.5k views

Handshakesaid

PMFJI but this could be a little more illuminating if you guys gave your precise ideas on what mix of policies you'd prefer, for, I assume, none of you is for unfettered capitalism or for good ole communism. Let's not lock horns over mere words like socialism, these have meanings all over the place.

Your assumption is correct we need the best of both worlds not absolute anything. Free markets+EoDB+Sensible regulations on One side. Skilling+free health+education is bare minimum on the other. We will need PPP as well. Another famous example is ofcompletely Jio due to which we had a mini digital revolution and the cheapest data in the world. So if the govt leverages pvt sector smartly for multiple positive externalities that would be ideal. Create synergies and win-win scenarios instead of any one model.

Tetsuko,Handshake
5.9k views
Is there a soc country where dissent from the official party views tolerated? In some cases official party has become synonymous with official family. One who is not well connected cannot hope to reach the top echelons of politics, bureaucracy and business there. It is apartheid of a different kind. Capitalism has its own problems but we need better-capitalism and not no-capitalism. Also, it stretches credulity to say humans can work efficiently and ingeniously without the promise of rewards commensurate with the success of their ideas.
4.7k views
@vision2020  let me rather ask you this. Is there a capitalist country that conducts biological experiments on its citizens for 30 years without them knowing about it? Yes. There is. Have the private sector oligarchs supported it? Yes. 

Welcome to land of freedom





And this is just a small list,


Just imagine if china had done the same, the whole world would have been reeing.

Thus, again, manufacturing consent by moan chomsky remains a required reading





Steve,
5.4k views

redemptionsaid

@cat  that's coz human capital. What efficiency do you expect in a state where 20% people aren't even literate?!

Also please read my edit.


Not again with your neoliberal assumption of my premise. I'm a fintech guy with expertise in finance defo not going in those highly dogmatic ideological positions and using cover of misplaced economic data. Idealogical moorings so strong can't be broken with reality of experiences. 

5.8k views
@vision2020 True, capitalism also tends to ossify the topmost layer, but that's at least a problem solvable without bringing down the edifice. Going against the Politburo on the other hand...Anyone with intellectual integrity who also has romantic notions about the Soviet Union may read The Gulag Archipelago, or at least a summary thereof. 
thelastcoyote,
4k views
@cat  as I said, you need to read a lot more. You neither have data, nor data sets. 

And as long as rate of return of capital is more than growth nothing can happen. 


3.8k views
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