WORLD FROM MY PERSPECTIVE

The break between Gandhi and Bose shuddered and worsened in 1939 when Bose opposed the strategy of Gandhi. Gandhi, indeed, asked Boss to give up the presidential elections of congress, nevertheless, Bose won a stumping majority.  This was declared by Gandhi as his defeat which left Bose with no choice but to leave congress which showcases his respect for Gandhi. Immediately after quitting congress, he formed a forward bloc inside congress itself which was welcomed by many of the congress leaders who followed Bose's strategy and it was considered an anti national element for which Bose and his comrades were arrested. During his time in the prison, Bose adopted to 'Fast unto death' for arresting him without a valid reason. After two weeks, the police had no other option but to release him and so he was house arrested. This was when Bose escapes from Kolkata with a strategy to reach Russia to seek support. The world affairs then instigated Bose in analysing a plan which

The thought of Indian Independence leaves the reminiscences of a great leader, Mahatma Gandhi in the youth today. In the technologically run world today, who does care about the feeling of nationalism and try rooting themselves with the past glory of our country? Have an idea that Gandhi is called the Father of our Nation as he struggled for independence and also, October 2 nd calls off on the eve of his birthday. That is the impact of the great freedom struggle of decades on today’s individuals I come across. I don’t think 1 in 1000 people know about what it is to do with the freedom struggle. Imagine the lives we are sulking in. The freedom to do anything you want was acquired pawning the lives of thousands and struggling for over a century utmost. About Gandhi, everyone would have studied in their schooling his achievements and his devotion to non violence and as the only centre of the Freedom struggle. Nevertheless, the victory of India is a shared victory. It cannot be dedi

In 1998, the European central bank was established following the introduction of Euro in 1999 for the credit transactions as 'virtual currency' in stock exchange, banking etc which later in 2002, evolved to be the non-virtual currency. It was introduced at a value on par with dollar that is 1 Euro equalling 1 dollar. Surprisingly, the value of Euro rose to 1.7$ on the first day of its inception. The Euro was formed merging the currencies of 12 nations of the EU which also included Germany’s mark and France’s franc, the most important currencies before dollar. Reserve currency has become a significant part in the foreign trade in today’s world. Let us go back to the past to know the different reserve currencies adopted by different countries in the 20 th century. Gold standard was adopted as a reserve currency by almost all the countries in the beginning of the 20 th century. Nevertheless, UK abandoned the gold standard and adopted sterling pound. As UK was the most powe

The reminiscences of the world wars left a scar on Europe. It shrilled over the devastation that pierced the economic conditions. There was not any support from the then powerful countries, which only tied them up tighter. There were many negotiations and peace accords signed among the European countries to work hand in hand and together develop their economies. Although, giving a cold shoulder towards the rival countries could not be ceased. Moreover, America started noticing the instability and tried on taking advantage to ruin them to ashes. There was an outcry in the entire Europe, which was left far behind, soon after the war. In order to bury the weaknesses, the great minds of the continent came up with the concept of EUROPE as a single force. They analysed the benefits of a single community which could build up a stronger foundation and ease the standard of living of the individuals. Nevertheless, the wrestle between Germany and France relentlessly grew. The only solution

It is a way back research which shows the relation between the unemployment and inflation. The immensely increasing production of the country should always avail opportunities for employment at an escalating rate. Even though, the production falls, there is minimum production that could encapsulate a good no. of people for jobs. There can always be jobs available for people in the developing country like India. But, we have hold good percentage of unemployed in the country. Where goes the fault? The administration reforms of the government which target the unemployment are meagrely sound. The tenacity and lacklustre among the individuals stand as a lay out, for the abundance of the problem. Inflation is a manipulative art, the scheming methodised by the government. When Phillips found out the critical correlation between the generally key pawns of the economy, it was considered an unending achievement. For, say the unemployment hikes, the people start getting out of jobs implies

Inflation is important because of its dominant affect on every aspect of the economy. Such one aspect tends to be balance of payments. A country to be stable should have a balance of payments surplus. A surplus is achieved by the countries with three characteristics. They are 1) Self sufficient goods circulated in the economy without any scarcity.2) Not at all dependent on imports.3) A good export base. With those three features, the country is also said to be called a self sufficient country as it can live without any dependence on the foreign countries and their goods. Now, inflation being a factor that affects the balance of payments, the government is as much worried to keep it in control. So, let us understand the impact briefly. The possible end effect of inflation tends to be price rise with the increase in the money flow in the economy. Increase in the money flow, devalues the currency in a country. That means, the rupee degrades against the foreign currency such as dol

Inflation to a layman is just about the inadequate hike in the prices. There are no causes and effects backing them. It is a ‘dark phenomenon’ which eats away their lives and leaves them all in the lands of misery. It is a curse of god for those who have committed sins, few analyse. Leaving behind all the weak effects of inflation, there are few reasons for the country to expect inflation rate of about 2% every year. Why is that? After all the horrendous effects of the inflation, why does a country need inflation? Let me get deep into this topic and analyse the focal points of inflation as well. Firstly let us analyse the state of affairs of a country with 0% inflation. For instance, a manufacturer produces moong dal of ten kgs, Rs 100 each. Of the 10 kg, he divides them into two equal packages, one for the domestic supply and another for the exports to USA. In order to cultivate the crop, the manufacturer imports the best fertilizers from USA. The salary of a common man in the p

Inflation is dangerous to society. Well, now, assess the repercussions of hyperinflation.  As we know, the central bank of any country is free to issue/print currency without any limit. Then why do they not attempt to print unlimited currency notes and make their country prosperous? What is tying up their hands? One word answer, Inflation. Why is inflation a pest to the economy? Why is every country trying to run away from inflation? Here is the analysis of the hyperinflation affected country, Zimbabwe. Having a deep understanding of this country would help us clear out all the doubts we have in our minds about inflation. Let us know how bad is the inflation in Zimbabwe. The toilet paper costs $145,750 (Zimbabwe dollars) which equals to 69 cents in American currency. Today $35 quadrillion dollars of Zimbabwe equal to $1 of USA. In 2008, the inflation rate hit 3.5 million% points leading to chaos and instability in the economy. Let us now dig back into the history of this country.

Before getting deeper into the causes of inflation, let us first understand what is meant by the term inflation which we keep hearing in our day to day lives. Inflation in general terms is a rise in the prices of goods and services (CPI) without the increase in the value or quality of those goods & services. For instance, in 1995, a pen’s price was Rs.5 and in 1996, the same pen costs around Rs.10. This increase in the price of a commodity from 5 to 10 is called inflation, generally. The price rise does not denominate inflation always. There might be number of good reasons for that.   For instance, the price of a watch in 1995 was Rs.100 and in 1996, the manufacturer added a steel strap to the watch to increase the durability of the same. This has led to the rise in price to Rs. 300. This price rise cannot be taken to inflation. The calculation of the price rise does not intend only to one or two goods. The nationwide hike in prices shown by the increase in the Consumer Price

Did you ever wonder how the paper currencies actually emerge? We know that the gold, silver and other metals were used in exchange of the required goods and services passing the epoch of barter system market. What are the factors that led to the change of medium of exchange all over the world? Let me scrutinize, step by step, the fruition of fiat money which is the existing currency form. Prior to that, let us understand “money”. As said, there are two types of goods.1) Free goods 2) Economic goods. Economic goods are classified as the capital goods, consumer goods and money. Now, is money to be considered as a good? Absolutely right! It is a good and money is backed up with two obligations, 1) It is used and valued in order to gain what we need.2) It should be scarce to perform its function and retain its definition. The direct exchange of goods for goods (Barter system) is replaced with the indirect exchange of money for goods. Basically, anything which created familiarity in

These are the various important personalities with great minds who all together made the Indian economy stand so high.

M Narasimham was the first and so far the only Governor to be appointed from the Reserve Bank cadre, having joined the Bank as a Research Officer in the Economic Department. He later joined the Government and prior to his appointment as an interim Governor, he served as Additional Secretary, Department of Economic Affairs. He had a short tenure of seven months. He later served as Executive Director for India at the World Bank and thereafter at the IMF after which he served in the Ministry of Finance as Secretary. He was chairperson of the Committee on the Financial System, 1991 and the Committee of Banking Sector Reforms, 1998. A Ghosh was the Deputy Governor of the Bank since 1982 and was appointed as an interim Governor for a brief period of 15 days till R N Malhotra could take over. He was earlier the chairman of Allahabad Bank prior to his appointment as the Deputy Governor of the Bank. He was also a Director of the Industrial Development Bank of India a

B N Adarkar was appointed as an interim governor till S Jagannathan could take over as Governor. He was a professional economist and served for many years in the office of the Economic Adviser of the Government of India and also held important positions in the Ministry of Commerce & Industry prior to his appointment as the Deputy Governor of the Bank. He also served as India's Executive Director at the IMF and as Deputy Governor. He played an active role in the establishment of the National Institute of Bank Management. N C Sen Gupta was appointed Governor for three months till K R Puri could assume office. Prior to his appointment as the Governor, he was working as Secretary to the Department of Banking in the Ministry of Finance. *  The floating exchange rate is a regime where a country’s currency   is set by the foreign-exchange market through supply and demand for that particular currency relative to other currencies. Thus, floating exc

As I think it is important to discuss about the Governors of RBI, their qualifications and their contributions, thereby I shall discuss a few needed things to know about the great minds, helped in shaping of our economy. K. G. Ambegaokar, a member of the Indian Civil Service, served as Finance Secretary prior to his appointment as Deputy Governor. On the resignation of B. Rama Rau, he was appointed as the interim Governor till H V R Iengar could take over. *  Refinance corporations are the institutions financially aiding the Bankrupt companies unable to meet their existing obligations. This is usually to change the terms of the loan i.e.; to reduce the interest rates and to extend the maturity period. * Decimal coinage is an age of decimalisation  i.e.; converting a currency from its previous non-decimal denomination to a decimal system, i.e., a system based on one basic unit of currency and one or more su