tag:blogger.com,1999:blog-19649274.post1561887334150115873..comments2024-03-29T12:03:50.891+05:30Comments on The Leap Blog: The fiscal correction that India requires is feasible: Aadhaar and subsidy reform holds the keyAjay Shahhttp://www.blogger.com/profile/03835842741008200034noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-19649274.post-70345875838277776452014-10-04T14:32:49.051+05:302014-10-04T14:32:49.051+05:30I think aadhaar is a project which needs care to i...I think aadhaar is a project which needs care to implement. It cannot be forced upon people without consultations. It is a good thing to move towards cash transfers but such a large system re-engineering needs lot of managerial skills. Strategy needs to be perfect. Policies need to be fine-tuned. People need to be taken into confidence. They need to be educated to handle the ATM card and also know to operate the ATM. People need to have trust and confidence in the system. Whatever measures you and nandan dish out is not the final gospel. Government has the right to take the positive steps in them after all the government has to answer the people. People will ask who will benefit from this scheme. Benefits to people should be evident within 2019 or else NaMo will be voted out because of DBT and Aadhaar implementation. I think they have very little time.A Gaming Enthusiasthttps://www.blogger.com/profile/03993385858950822199noreply@blogger.comtag:blogger.com,1999:blog-19649274.post-71246880079490521872014-09-10T19:54:50.338+05:302014-09-10T19:54:50.338+05:30(1) Aadaar is only half the story. There is an eq...(1) Aadaar is only half the story. There is an equal amount of work involved in validating and computerizing the addresses using the postal system and linking the addresses to all the residents. Indian govt has not even started on this work.<br /><br />(2) Regarding fiscal deficit, there is an important difference between the western world and India. Part of the govt spending goes towards public "investments" and other part of the spending is towards running the govt. It is important to reduce the "running" component and increase the " investment" component. Hopefully the replacement of planning commission is capable of making this distinction and recommend meaningful contribution towards identifying, evaluating and prioritizing public "investments". <br /><br /> Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-19649274.post-75354042279804333082014-09-09T17:20:50.999+05:302014-09-09T17:20:50.999+05:30I think one of the big aspects of Jan Dhan yojna n...I think one of the big aspects of Jan Dhan yojna not being spoken about is the intended but not spelt out intentions to implement DBT. One big aspect of DBT to work is having a bank account in the first place. Without that in place how does one implement DBT. So first open the bank accounts, then seed them with Aadhaar numbers, then use biometric based authentication to start moving all kinds of govt payouts directly to bank accounts rather than in cash. <br /><br />Pihttps://www.blogger.com/profile/14571269763388405266noreply@blogger.comtag:blogger.com,1999:blog-19649274.post-9606209216075241242014-09-09T15:06:53.527+05:302014-09-09T15:06:53.527+05:30Kindly check the numbers. According to the excel c...Kindly check the numbers. According to the excel calculations, the NPV of the project (@10% discount rate) is ~ 28,000 over 10 years, translating to a ~ 2,800 Crore benefit per year (present value). This is quite small compared to the overall deficit figure of over 2 lakh crore (per year) providedPraveenhttps://www.blogger.com/profile/02752474028691760263noreply@blogger.comtag:blogger.com,1999:blog-19649274.post-48134483547671304842014-09-09T09:26:16.826+05:302014-09-09T09:26:16.826+05:30If nominal gdp grows at the rate of 13-15% as it h...If nominal gdp grows at the rate of 13-15% as it has over the last few years then fiscal deficit (as a percent of this increasing gdp) will come down to 3% if expenditure is kept at current "absolute" levels. Is that right? So, deficit would reduce from 4.6/1 to 4.6/1.5=3 if nothing was done. I suppose if spending is proportional to gdp as opposed to absolute amounts (which it probably is, or should be), then of course it wouldn't help as the numerator would increase proportional to gdp. Nonetheless, the point is that the best way to manage debt/deficit is to grow the denominator (gdp). Anonymousnoreply@blogger.com