A perusal of the manifestos of political parties for Tamilnadu Legislative assembly elections shows that the political parties want to continue/expand government’s involvement/interference in the private lives of people, in the name of extending welfare measures to the people, particularly the poor.The government decides on/ and provides the dress of the students, the books they read in the schools. the meals they eat, the age at which they join the schools, the age at which they go for work, the age at which they marry, the price the producers of agricultural produce get etc. This is not only against the spirit of freedom/rights of the people, but more dangerously expands the gap between parents and children. The bond between them is loosened and the affection between the members of the family is reduced to some extent. This is the reason why young people no longer have much affection for their parents which has necessitated the setting up of homes for old people. This is not to suggest that the government should not help people. What it should do, is to provide employment opportunities for all, with decent salaries with which people can take care of the entire needs of the children.
In India, what the government is trying, is to bring in foreign capital for the economic development of the country. This is not going to help in the long run though in the short term, this is necessary. The government should think of promoting local entrepreneurship by making available the capital through the Reserve Bank Bank of India by printing currency notes. Only where foreign currency is required for import of machinery, raw materials etc. the government should think of foreign capital. For a project which does not require foreign currency the government should not take loan from International organizations like World Bank, IMF etc, or think of Foreign Direct investment, portfolio investment. Bringing foreign capital investment will only lead to printing of fancy notes and depositing foreign currency in foreign countries. This will lead to the same inflationary effect as printing of currency notes without the foreign currency coming into the country. Ultimately foreign exchange outflow will be much more than the inflow which will weaken the Indian Rupee against foreign currencies,
On the other hand, the government should encourage Indian entrepreneurs to invest in foreign countries, where it is more profitable than in India. To assist Indian entrepreneurs to invest abroad, OVERSEAS INVESTMENT PROMOTION COUNCIL OF INDIA should be set up. This council should assist entrepreneurs with all information on opportunities, information on foreign rules, regulations, possible joint venture partners etc in the same way the various Export Promotions Councils/Export Development Authorities are assisting the exporters. This will help not only the individual entrepreneurs but will also help the country as the Indian companies will bring in foreign currency by way of dividends, technical fees, honorarium etc. Foreign exchange inflow will be higher than the outflow which will strengthen the Indian Rupee against foreign currencies.