Indian Economist Dr.Ajay Shah has been pushing to reform the Reserve Bank of India for quite some time. In way there are no too many supporters for him, of course it is matter of time. But the current proposal that he has been thinking is also in right direction. Though, I don’t agree with him in everything thing.
In his recent piece he has written something which the liberals don’t agree in it entirety. But it shows ways to approach The State to take out of its nose from smelling the issuing Money! Bone!
Take for example:
He says “The Indian monetary policy debate is about the key ideas of the successor to the RBI Act of 1934, which was drafted by the British in the 1920s. The authors of this act never envisioned the conditions of 2009, either in terms of the Indian economy, or our knowledge of monetary economics. In this debate, RBI staff are interested parties and have to recuse themselves.”
Read recent Ron Paul interview (see Anti-Fed Activists Fuel Push for Audit)
India yet to realise RBI damages in “Real Time Economics”
well, we in india arent anti RBI because we dont pretend that the RBI is independent. it is verily, a handmaiden of the finance ministry. as long as people dont mind a paternalistic pronob babu telling us how to live, the RBI's actions are not that sinister unlike the fed which is owned by private banks.here the RBI is owned by govt banks -since a majority of them are nationalized.
ReplyDeletei'd think the RBI folks are less dangerous than the ones in delhi
yahh it seems to be but in terms of printing more money at 20 percent or so every year, the RBI role does not make sense in blame the free market always.
ReplyDelete