Skip to main content

GDP Contraction , An act of God?

 


On 31 August 2020 , The data released by National Statistical office (NSO) of India's GDP for Q1 i.e. April-June is slipped or contracted by 23.9% . This contraction is the worst in the history of India after Independence. However , Godi Media which is completely busy in giving judgement to Sushant Singh Rajput case won't pay a heed regarding this failure of Government. For some adorers it can be a masterstroke too but i don't wanna interfere in their thinking and their blind faith. 

                       Source - BusinessToday.in

On 27 August , Financial Minister of India , Nirmala Sitharaman said , Covid-19 is an 'act of God' and it could lead to the contraction of economy. The centre gave two options to states after GST council meeting in which state governments were asked to borrow thousands and lakhs of crore from RBI due to GST revenue gap of 3 lakh crore this  year. However GST compensation Act 2017 guaranteed states compensation for any loss of revenue in the first five years of GST implementation making this law false and made the states 'Atamnirbhar' . 

WHY IS GDP SO IMPORTANT FOR A COUNTRY ?

Gross Domestic Product(GDP) of any country defines the status of ongoing condition of economy . It gives statistical information about the size of economy and how economy is really performing. A downfall in GDP rate suggest the contraction of economy. The major factor for economic contraction is drop in real personal income , retail sales and industrial production. 

EFFECTS OF ECONOMIC CONTRACTION

The major impact of economic contraction is unemployment. Companies stop hiring to save money due to low demand of products. Businesses cut spending , then lay off workers . People save their money due to which the demand and supply chain in the market decreases . Businesses of small and medium classes have to be closed , due to which the unemployment phase is on the threshold.   People have to choose the wrong path to make their living , due to which the level of crime in the country increases rapidly. 

Even after all these failures , some shameless governments claim that they are giving 1 crore jobs every year which are left as slogans. However , unemployment does not matter to the devotee group. They always stand in front of their masters to defend them from truth. Godi media also play vital role in defending Government. 

If economic contraction is an act of god than whom will Finance minister blame for her failure before march 2020? 

INDIAN GDP BEFORE MARCH 2020

Q2 2018-19      7.1%

Q3 2018-19       6.6%

Q4 2018-19       5.8%

Q1 2019-20       5.0%

Q2 2019-20        4.5%

Q3 2019-20        4.7%

Q4 2019-20        3.1%

Is this also an act of God? Whenever you talk about God , I am reminded of the 11th incarnation of Vishnu. You must have understood whom i am talking about.  If any bureaucratic person puts his mistakes on God , then understand that the country is on the path of progress where there is only sorrow and suffering. Have your forgotten the $ 5 trillion economy? This was not a jumla either ,  was it? Or will India depend on God alone? 

BY Abhishek kumar


Labels:

Comments

Post a Comment

No Spam Comments

Popular posts from this blog

The Importance of Moral Values in our Life

  The Importance of Moral Values in our Life How can one be well...when one suffers morally?"  Leo Tolstoy, War and Peace Holistic development of an individual is incomplete if moral values are neglected. Moral values are important because they allow you to have an overall feeling of peace and joy. Moral values can give meaning and purpose to your life. You are able to direct your behavior towards beneficial and fulfilling activities. Experts do believe that lack of moral value is the major cause of unrest and deteriorating condition of India. Restlessness among youth is the major cause of crime. Openness, easy access to unwanted elements and lack of self control are becoming bad components of our society. Youth must be directed and shown the right path. Education must focus on the all round development of a child because moral values help in making complete human beings not just individuals. prepares them for their future role. If analysed properly, lack of moral value is the...
Post a Comment
Read more

Which is more superior: Religion or humanity?

Religion and humanity have always been entwined with one another, laced in a beautiful yet cryptic mess with their relationship continuously being restructured by society. Both exist in the mind, soul and heart of every individual, weaving webs of connection across the globe and fusing together communities. Sometimes, it can be deemed as too difficult to isolate the two concepts of humanity and religion. Discovering where one concept ends and the other begins is considered confusing, thus bringing the question of ‘is religion or humanity more superior’ to light.                                            Courtesy : Forbes.com Only once you start to develop your understanding of the meaning behind the two notions of human interaction, do you begin to realise that humanity is far more superior to religion. Being the basis of society, humanity is the framework of how we, as humans,...
Post a Comment
Read more

Secularism vs communalism

Secularism and Communalism are the two different social ideologies. In simple words, the former one stands with the belief that religion should not influence or be involved in the organization of society, education, government, etc.   On the other hand,   the attempts to construct religious or ethnic identity, incite strife among people from different communities, and to stimulate communal violence between those groups, comes under the definition of communalism. The world has over 200 countries as a secular state, among which China, India, United States, Indonesia, Pakistan, Brazil, Bangladesh, Japan, Germany, United Kingdom, France, Italy, South Africa, South and North Korea, Iraq, Poland, Sri Lanka,  are the most popular ones. Even though Hindu nationalists did not participate in the Constituent Assembly to draft the country’s constitution, Hindu traditionalists were all present in the making of the constitution. There was a lot of pressure on Nehru and B. R. Ambed...
Post a Comment
Read more