We need to adopt capitalist economy, as it releases the full potential of the individual. Socialism locks the potential of the individual. Socialism does not motivate people to put in their best efforts in their work. To take an example, the state government owned and run transport corporations run at loss whereas private bus transport organizations run at profits. It is common to see that a government bus goes empty, while a private bus running a few minutes earlier or a few minutes later goes fully packed. The govt. owed Steel Authority of India (SAIL) runs at huge loss while privately owned Tata Steel runs at huge profit. It is good for the country, to privatize government owned companies so that they start earning profits and the money realized for sales, can be utilized for the betterment of the weaker sections of the society.
According to the Budget Estimate for 2017-18, total expenditure during 2017-18 is Rs . 21 46 735 crores which higher than the Revised Estimates for 2016-17 of Rs.20 14 407 crores only by about 6%. The inflation in a year will be about 10%. This means that in real terms the expenditure next year will be less than the current year. This will result in contraction of the economy instead of growth. If the rains are favourable and agriculture registers higher production and the private sector does well, the contraction of the economy can be avoided and even growth can be registered. For this the government should be proactive, reaching out to private sector and offer incentives. The regulatory role of the government should be reduced and developmental role should be concentrated upon. For example in the matter of pollution control, the authorities should not impose elaborate regulations on industries and punish those who violate the regulations but should come forward to establish pollution treatment plants and charge the industries for the same as service charges on a monthly basis just like electricity, water etc. charges. This could be done easily if the factory comes up in a cluster. If the industry is polluting one, government should encourage clusters so that it is cheaper to treat the pollutants.
Perusal of the list of 2017 Padma Award Winners shows that there is only one awardee in the field of Trade and Industry among the 89 awardees. This does not appear to be just and fair to the Trade & Industry sector, considering their huge contribution to the country’s economic development, employment generation etc. About 8-10% share for this sector would encourage them to contribute more to the socio economic development. Similarly to appreciate the role of spiritualism in shaping the values of the society and in recognition of the importance of spiritualism in the life of an individual, more holy people should be awarded Padma Awards, though they do not aspire for any award.
The Awardees should have some privileges and immunities.
One or some of the Members of Parliament from Tamilnadu could have introduced Private Member Bill in Parliament to amend the Act (under which Jallikattu is barred) to exempt Jallikattu from being barred. This could have made the Minister to request the MP/MPs to withdraw the bill assuring the Member/s that Govt would itself bring the bill to amend the Act. Even if this has not come about, the issue could have drawn attention of MPs of other states some of whom might have supported the amendment. A solution could have been found by this time if action had been taken a year earlier.
Separately the state should set up an expert committee to recommend which of the subjects in the Concurrent List and Union List could be transferred to State List. Prevention of Cruelty to Animals is a fit subject to be transferred to State List from Current List.
If a country is to sustain the economic development, local entrepreneurship should be encouraged, as without entrepreneurs a country cannot maintain development. Some of the policies to be adopted are:
i. If a project is to benefit people of only one village or town, the contract for the project should be given to a contractor from this village/town only.
ii. If no person from the village/town has sufficient money to invest, loans should be extended to willing entrepreneur on liberal terms. If no person has required knowledge or experience, such experts can always be employed by the entrepreneur
iii. Local people should be encouraged to set up partnership/private limited companies to undertake projects.
iv.If large project is likely to benefit a larger area and it is to cost much more than any person/group of persons from this area could afford to invest, the project could be given to any outsider, but local people should be associated by allotting some percentage of shares of the company.
v. the persons whose lands are to be used for the project should be allotted shares, in the investing company, instead of payment in cash, or the land owners should be paid for their land, partly by cash and partly by allotment of shares. This is in addition to providing employment to one or two members of the family of owners of the land.
These policies may affect a few communities and entrepreneurs from traditional business centres( large towns and states like Rajasthan, Gujarat etc) by depriving some opportunities, but these policies may prod them to go for bigger projects than they were engaged hither to, thus compensating their loss of opportunities for small projects
These policies could be done away with, once entrepreneurship is developed widely.