SEZ

In a recent comment, Anirudh wrote: “I notice that the RISC model is in contrast to the development of SEZs( Special Economic Zones), where the focus is on developing certain areas, and giving them special privileges like tax cuts, etc… What do you think about SEZs, which were originally conceived as engines of economic growth? Should we have more of them?”

The RISC model is indeed distinct from “Special Economic Zones”. The RISC model is immersed in the prevailing economic rules. RISC is about what can be done under prevailing rules. SEZs are special, by definition. They have special rules.

I keep insisting that outcomes are a result of rules which govern economic activities — what’s allowed, what’s mandated, what’s prohibited. As I wrote in a recent post, “People as individuals are fairly indistinguishable across the world, save for their history, their culture, the geographies and so on. But as groups, their destinies are astonishingly diverse. I believe that this divergence is due to different set of rules. Rules and norms matter enormously.” Continue reading “SEZ”

Riksdag

Swedish parliament building

I am persuaded that what distinguished various groups (communities and nations) is the set of rules that they choose to impose on themselves and follow. People as individuals are fairly indistinguishable across the world, save for their history, their culture, the geographies and so on. But as groups, their destinies are astonishingly diverse. I believe that this divergence is due to different set of rules. Rules and norms matter enormously.

Historical accident bears that out. The fortunes of East and West Germany diverged post the 2nd World War, even though both had inherited the same culture, history, climate, language, and so on. The different outcomes were the result of different set of rules imposed by the US and its allies on West Germany, and by the Soviet Union on East Germany. One prospered and the other did not. A similar story can be told about North and South Korea. Continue reading “Riksdag”

An Introduction to RISC (from the archives)

Photo by Ravigopal Kesari on Unsplash

Time to revisit RISC — the development model that I proposed over 20 years ago. It was about helping the rural population develop so that they become urbanized. The solution to rural development is urbanization. The first step to urbanization is the development of rural people. That means providing them with services that help them increase their productivity.

The core insight is the importance of distinguishing between rural people and rural areas. We have to focus on the development of rural people and not on the development of rural areas. Quote: Continue reading “An Introduction to RISC (from the archives)”

Abraham Lincoln

A young Lincoln

Abraham Lincoln (1809 – 1865) was the 16th president of the United States, serving from March 1861 to April 1865. He was a complex character. Many have argued that he was the greatest US president.  I greatly respect and admire him, though I don’t agree with a couple of his major decisions.

He was a physical giant: 6 foot 4 inches tall. (Remember, at that time the average American male was probably 5 foot 7 inches.) And he was a mental giant. I was deeply moved by his Gettysburg Address.

The Gettysburg Address is a speech that U.S. President Abraham Lincoln delivered during the American Civil War at the dedication of the Soldiers’ National Cemetery … in Gettysburg, Pennsylvania on the afternoon of November 19, 1863, four and a half months after the Union armies defeated Confederate forces in the Battle of Gettysburg, the Civil War’s deadliest battle. It remains one of the best known speeches in American history

Here’s a bit about Lincoln’s speech in The Civil War documentary by Ken Burns. Continue reading “Abraham Lincoln”

Gandhi Matters – 1

Gandhi matters enormously and he is rightly considered the “Father of the Nation.” That of course means that Gandhi is to a very large degree responsible for what India became (or failed to become) after India’s independence from the British raj.

I haven’t always been a critic of Gandhi. Like the overwhelmingly large percentage of Indians, I uncritically accepted the idea that he was a “a great soul”, a mahatma. Mind you, Mahatma became his de facto first name, not the middle name. I was taught in school that he gave freedom to India, and I believed that to be true. Indians owed their freedom to him, and therefore he should be venerated, if not worshiped by all, and not just Indians. Continue reading “Gandhi Matters – 1”

Weather Report

Weather reports a few days ago predicted severe rainfall and flooding in Northern and Central California but it turned out to be a storm in a teacup.

After a few weeks in San Jose CA at a friend’s home, I was in Palo Alto CA at another friend’s home for a few days. Being in Palo Alto was interesting for two unrelated events. First, the mega-fraudster Sam Bankman-Fried of the FTX and Alameda Research fame was/is confined at his parents’ home in Palo Alto. So “SBF” was a neighbor of sorts for a bit.

As it happens, SBF was at a New York court on Jan 3rd for his arraignment and pleaded not guilty to all the charges. We’re sure to hear more about his embezzlement in the coming months. Continue reading “Weather Report”

Freeman Dyson on Climate

Freeman Dyson (1923 – 2020), was one of the greatest minds of the 20th century. He delighted in being a self-professed heretic. One of his heretical positions was on climate change. It’s a pity that more people are familiar with a hysterical Swedish teenager’s views on climate change than with Prof Dyson’s.

This is so because the teenager is photogenic and her claims, though utterly devoid of any rational support, makes for sensational headlines that the mainstream media relentlessly pushes on a public that is given to paranoia and panic.

Most of us, yours truly included, do not have the ability to do primary research and reach our own conclusions on matters that are of interest to us. We have to rely on others. It is up to us, then, to choose which domain expert we trust. Climate change: should we trust an emotion-driven teenager who couldn’t possibly know much about anything; or should we rely on a sober, super-intelligent scientific researcher and mathematician who has spent decades studying important matters, including climate change? Greta or Freeman? The choice isn’t that hard. Continue reading “Freeman Dyson on Climate”

Yeha Noha (Wishes Of Happiness And Prosperity)

I like the rhythms of Native American music. I have a collection of songs that are based on them. I say based on them because they essentially are “covers”, not the originals. Here’s one — Gesso’s Guitar Song by Mystic Rhythms Band.

A couple of decades ago, I had rescued a CD from a pile of stuff my friend Courtenay was about to trash. It was titled “Sacred Spirit.” The songs grow on you. I find them soothing. Here’s a song from that CD: Yeha Noha (Wishes Of Happiness And Prosperity).

Be well, do good work, and keep in touch.

Climate Change

Of the many challenges that the world is facing, climate change is the biggest and the baddest in my opinion. It has the potential to cause tremendous long-term damage and affect the most number of people.

It could be several orders of magnitude worse than the Chinese Covid19 pandemic, although they have one thing in common: the policy response to the Chinese virus imposed the terrible cost, not the disease itself. The policy response to the climate hysteria could end up destroying billions of lives. This is not hyperbole. Continue reading “Climate Change”

Doing Arithmetic

Humans are amazing in their variety. A dear friend of mine would sometimes call me for help figuring out some bit of arithmetic. “Hey Nu,” she’d say, “what’s 17 percent of 200?” That’s one end of the spectrum; at the other end is this Chinese kid. Prepare to be amazed.

I am sure that it would take me over an hour to do what the kid does in two minutes. What are those weird finger movements he does while doing the additions? Continue reading “Doing Arithmetic”