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Accountablility by Government bodies

 
Functional Area : India
Activity:  8 comments  63 views  last activity : 03 22 2011 17:37:42 +0000
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What is our Planing Commission up with. Take for example the import of crude. We import close to 13.5 billion dollars wiorth of crude every year. The first gear transit of private cars and other automobiles wastes fuel in such a way that we can deduct close to 6 billion to 7 billion from this imports. Suppose if we take the lower figure of 6bn, the net present value as calculate below, is, taking 6% as opportunity cost that is returns that can be earned investing the present investment elsewhere or competing projects,

6/(1+0.06)+6/(1.06)^2+6/(1+0.06)^3+6/(1+0.06)^4+6/(1+0,06)5=25.274 billion dollars.

So this much of money can be spent at the present state to scientifically improve road facilities or provide Volvo local transit such that these import bills can be reduced. We don't do it, and I believe the Planning Commission as suspected lacks professionalism or tools do their job daily.

The other variables they seem to lack is meaning of 'externality', 'leakages' in way of high indirect taxes and so on and so forth. So Planning Commission seem to be in need of reformulating their work norms to fulfill the growing and expanding nature of Indian economy to keep up with the professional tools.

 Top Comment : Suryanarayan Murthy   | 03 18 2011 04:22:44 +0000
In my opinion, our Planning Commission lacks planning. Any dissenting voice pl ?
 
8 comments on "What is it that our Planning commission lacks ??"
  Commented by  NATTERAJA R. ARIKRISHNAN, AREA SALES MANGER, UNIFLEX CABLES LTD    | 03 22 2011 17:37:42 +0000
Our planning commission is functioning with some sort of lacuna and it needs to plan effectively to harvest the productivity in right time with proper vision.

Thanks for the referral Mr.Mathew Ji.
  Commented by  Mathew Cherian, Research Associate/Analyst, Western Michigan University    | 03 18 2011 08:33:34 +0000
Sorry, I mispelt the name Mahalnobis as Mahanoblis, some books use my version. I found out that it is he who discovered the Chi-squared test in comparing cross sectional data in statistics. Thanks Mr. Murli for correcting.
  Commented by  Mathew Cherian, Research Associate/Analyst, Western Michigan University    | 03 18 2011 08:28:15 +0000
Mr. Srinivas, thanks well said, one thing one should not dellude is that economics is a science which we too had a hand in developing around the age of Budha probably 1500 BC, later on its development was completed in the West. So borrowing their ideas is the only way out, our own modern ideas devoid of scale may not be wise. That doesn't mean they are doing it right, they simply as I said, conjuring up ideas that are not scientific or borrowed. So they keep slowing down the economy at the peril of the people. Nice that such a high ranking official like you can speak so openly. Thanks.
Rating : +1 
In Indian democracy people have no power except to elect their representatives.  Even their judgement is also being hijacked by the political parties and leaders.  They are expected to represent the voice of the people instead they are squeezing the voice of their masters and busy on how to gain from the position. The Govt. babus (civil servants) the other power block of the country never try to know the pains of the people.  They are busy in holding and attending the meetings and taking decisions on behalf of the Govt. which lacks the ground reality.  Planning Commission is one such Govt. body filled with this kind of babus.  They are very much interested to tour different countries in the name of study the development elsewhere instead of touring the nook and corners of this land.  Govts. spend crores of money for this tours and other unnecessary studies.  Our constitution, our planning, our law and every thing are borrowed ideas from other countries.  As long as the aspirations and needs of the people of the land are not taken into consideration, there tend to be loopholes in any kind of developmental activity.  Govts. should focus on it.  As Mr. Suryanarayana Murty told our planning Commissions lacks planning.
  Commented by  JAGADEESAN S, Project Leader/Managing Consultant, Project Consultant    | 03 18 2011 06:21:03 +0000
something intresting to Mr.Mattew calculation
  Commented by  Mathew Cherian, Research Associate/Analyst, Western Michigan University    | 03 18 2011 05:39:50 +0000
Mr. Murli, Mahanoblis as we know had no supervised training in Economics, he was a mathematics phd student at Cambridge when on independence Nehruji was searching for filling top positions found Mahanoblis and requested him to lead our planning. Mahanoblis convyed the situation that he had no experience in planning. On Nehrus insistence he accepted and subsequently since they had no idea what planning was they searched around and found Russia had planning and Mahanoblis was sent there to learn from experience what planning is. I think he went and learned something like the five year plan came back and the rest I think was from work came by the way not according to any Economic foundations. So these errors tend to exist in our environment and we probably has to live with it until somone profesionally trained can come in and create a new effective model.
  Commented by  S. Muralidharan, Head, Project Planning/Strategy, Knowledge Foundation    | 03 18 2011 05:27:40 +0000
Rating : +1 
We are continuing with "Mahalanobis" model!  A lot can be done to improve the situation.  Evolving a new system means "effort"!  They rely on data what their people collect, collate and present.  Members and Advisors of the Planning Commission should spend most of their time in the field, travelling nook and corner of the country, before making any policy!  Most of the time they are in the conference rooms, eliciting opinions from the theoreticians and not from the cross-section of society!
  Commented by  Suryanarayan, Asst Vice President (Corporate Finance), A Hydro Power Project    | 03 18 2011 04:22:44 +0000
Rating : +1 
In my opinion, our Planning Commission lacks planning. Any dissenting voice pl ?
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