Whoever Fights Monsters …

I was one of Narendra Modi’s biggest fans.

I supported his candidature as the prime minister of India years before he became the phenomenon during the 2014 general elections in India. I can honestly claim that to the extent that I could I even worked indirectly for the Modi campaign.

Sadly, I am no longer a supporter. My support was based on the promises that Modi had made about the policy changes he would make if he were to become the PM. Professionally as a development economist — right from the very inception of the discipline of economics my tribe seeks to understand the nature and causes of the wealth of nations — I am interested in India’s economic development. Not just professionally, personally I am moved by the pity I feel for the poor and impoverished of the world and naturally India, my native land. My support for Modi was contingent and instrumental. I believed Modi would do what was needed to transform India into a developed nation. I wrote a damn book on “Transforming India” in 2011.

The fact is that Modi had made many promises, most of which were pleasing to classical liberals like me. We believed those promises because they were consistent with our beliefs and ideologies — limited government, prohibiting the  government from running commercial enterprises, non-discrimination, secularism, etc. Continue reading “Whoever Fights Monsters …”

What Social Classes Owe to Each Other

It would be wonderful if our schools exposed students to those great ideas that are the foundation upon which our modern civilization is built. These ideas are primarily from the social sciences. Social sciences, such as economics, explore and explain how society functions, and the pathology of failed societies. Among great ideas, I think the idea that the individual matters is paramount.

The institution of slavery has been abolished. At least that’s what we’d like to believe. But in truth, the individual is ruled by the collective, even in the best of societies. Even in the “civilized world”, the individual is de facto partially enslaved although de jure he is free. That’s a truth that very few people recognize. That’s a truth that every student should be exposed to because it matters immensely. That truth matters because only when one realizes that one is not free that the struggle for freedom begins. Continue reading “What Social Classes Owe to Each Other”

Drones Sighted at Heathrow Airport

Is my flight from IAD to LHR (scheduled departure 7 PM) going to take off or not?

In Praise of Idleness

It makes good sense for the slave master to persuade his slaves that idleness is a sin and he’s doing god’s work when he flogs the slaves to work harder. The harder the slaves work, the more the master can take for himself. But of course the real motive has to be concealed and clothed in moral raiment.

“Work hard, you b*tches, and stop complaining.” That’s what Mohandas Gandhi meant but put it so very piously by saying, “Purity of mind and idleness are incompatible.” See what I mean? Continue reading “In Praise of Idleness”

Government as the Overlord

Even though I know precious little about the formation of mass psychology, I am certain that how the citizens of a nation collectively view the world must have a causal relationship with the fortunes of a nation.

As individuals we are singularly powerless to alter the environment we grow up in. We have to take that as a given, outside our control, exogenous. How we view the world is not of our choosing. Our mental models are formed largely unconsciously, and shaped contingently. It is an enormous intellectual challenge for us to critically examine our conditioning — and in most cases plain old-fashioned brainwashing by state institutions  — and change our perception of the world.

Most critically, how people perceive government and governance matters. The what, why, and how of government differs from nation to nation, and those differences are consequential. To change how the collective’s conception of government and governance is to change its destiny.

This line of thinking is motivated by an email that my colleague Rajesh Jain received, and forwarded to me. I include the full text of the email and my response, for the record. Continue reading “Government as the Overlord”

The Peculiar Case of the Somali Shilling

Sudipta, a dear friend in the Silicon Valley, asked me to comment on a March 2013 article titled “Orphaned currency, the odd case of Somali shillings.” The piece is about how the Somali shilling continued to circulate even after the Somali central bank was literally destroyed in the civil war around 1991. The bank notes were “orphaned.”

When Somalia collapsed into civil war in January 1991, the doors of the Central Bank of Somalia were blown apart, its safes were blasted, and all cash and valuables were looted.* But something odd happened—Somali shilling banknotes continued to circulate among Somalians. To this day orphaned paper shillings are used in small transactions, despite the absence of any sort of central monetary authority.

I will leave you to read up that article before continuing here.  Continue reading “The Peculiar Case of the Somali Shilling”

Winter Solstice Greetings

The Winter Solstice began yesterday at 5:23 PM Eastern Time. It was the shortest day of the year and the first day of winter in the northern hemisphere. Around here (Latitude: 39.68N Longitude: 75.75W) the length of the day was approximately 9 hours and 21 minutes. Happy Winter Solstice.

Here’s a track from George Winston on the Windham Hill label. Continue reading “Winter Solstice Greetings”

Economic Growth, Population and Poverty Numbers

I normally don’t do numbers. But in this post, I will have to refer to numbers because wealth and poverty have to be understood quantitatively too. So let’s do the numbers.

It is an amazing fact that extreme poverty has fallen both in absolute and relative terms. The world’s population living in extreme poverty has dropped from 42% in 1981 to 11% in 2013. The world population was 4.5 billion in 1981, and 7.2 billion in 2013. Therefore in absolute numbers, extreme poverty numbers dropped from 1.9 billion to 0.8 billion. Over one billion people climbed out of extreme poverty, mostly in China. Good job, China. Continue reading “Economic Growth, Population and Poverty Numbers”

The British are Gone but the British Raj Lives on

“It was [in India] the British learned the art of imperial power. … India was decisive. It gave Britain the resources, the market, the manpower, and the prestige to build a world-wide empire. And in the years to come they worked feverishly to secure that prize.”  Continue reading “The British are Gone but the British Raj Lives on”