The ideal global economy
It appears that we are now moving towards ideal world and ideal global economy that is facilitating
the spread of many companies to globalize.
The following are the guiding principles for an ideal global economy
Change in the mindset of
nations and people that give and take should be the leading principle that leads to fair deal to all.
Seamless integration of economies of nations is needed for development of human race.
In the seamless integration all the nations should be allowed to be links in a chain that rotates and powers the growth engine for all the nations and peoples.
It should afford a fair deal to the manufacturers, suppliers and consumers of goods and services worldwide.
It should facilitate all the nations to lead on their respective strengths.
From many economies and one world we should transit to one economy and one world.
Indian viewpoint
Since ancient times Indians believed in the concept or vasudhaika kutumbam. The broad meaning of this concept is that the entire human race belongs to a large single family.
IDEAL GLOBAL ECONOMY- Case study of Indian economy
India is a leading by example to demonstrate the wonders of trade and
investment liberalization that benefited international firms as well as Indian firms by facilitating their globalization. Before liberalization and economic reforms, India with huge natural and human resources and insulated was underdeveloped in most respects. Low purchasing power, shortages, controls, rationing, poor living standards, long lines, large unemployment, typified the Indian economy. The imbalance between demand and supply often led to social unrest. The balance of payments was a critical problem that forced the Indian government to pledge gold to meet its international payment obligations. Besides the Indian Govt. has to borrow large amounts to meet the minimum requirements.
The Indian political leaders realized that removal of controls liberalization of trade norms, facilitating free flow of capital and improving investment climate by lowering taxes and removal of restrictions on free flow of trade are the key to progress. They realized that time has arrived to wake up the sleeping elephant so that it will find a rightful place in the comity of nations.
The results of liberalization and improvement in trade and investment policies transformed India into a leading country attracting large trade and investment opportunities that facilitate free flow of capital and investments into the country. Now India is looked as a dream destination by many large international companies.
· Give and take policy and fair deal for all is at work in Indian economy today.
· Today Indian economy is the second fastest growing economy.
· According to IMF, WORLD BANK as well as CIA sources, INDIA achieved 4th rank in GDP PPP terms.
· India ranks 12th as per the GDP estimates of IMF.
· Rate of return on investment is high in India.
· There are no balance of trade problems that create a risk for foreign investments in India
· Huge appetite of Indian economy for capital and investments with reasonable safety is attracting the attention of the developed markets.
· Today Indian exports reach all the nations based on their own strength.
· Telephone density is growing at a fast pace enabling people to benefit from instant mode of communication.
· Today India has emerged as a leading soft ware and it enabled services exporter. The highly skilled human resources in the IT sector are providing jobs to Indians world over bringing billions of dollars home.
· Multi national companies like IBM, INTEL, FORD, SAMSUNG, LG, HYUNDAI have set up their manufacturing bases in india and are leveraging the local resources and adding to the national wealth. They are also enabling the country to emerge as an exporter of their products and services.
· Indian companies like TATA STEEL, TATA MOTORS etc are expanding their production facilities not only in India but are also setting up and taking over the manufacturing facilities in other nations.
· Many international power and construction giants are helping the setting up of ultra mega power plants, improving infrastructure like world class roads and airports.
· India has emerged as the largest market for civil aviation industry with Boeing and Airbus bagging the orders and agreeing to take some components and systems from India for use in the aircraft manufacturing.
I firmly believe that rest of the emerging countries will sure follow Indian example and facilitate expansion of trade and commerce and improve investment climate for large companies world over to globalise. We cannot stay away from destiny and improving the lot of peoples of the world that benefits every body.
Integration of global economies will eventually lead to one human race one family concept allowing all to live a comfortable life free from tensions. A world that offers equal chance to all. A world where demand supply equilibrium is never disturbed.
In conclusion I wish to say that we have come out of the worst prejudices against conflicting systems in the world and are on the fast lane to reach GLOBAL VILLAGE concept.