IF GOVERNMENTS, MOST ESPECIALLY the US’s, had pursued sensible monetary, fiscal and regulatory policies over the past 40 years, the number of global billionaires would be 20,000—ten times the 2,043 listed in this issue.
Wealth creation flourishes best in benign environments. Since the 1970s, bad policies have too often been the rule.
Money is the most misunderstood topic today. It is still holy writ among economists that manipulating the supply and cost of money can guide economies, the way a steering wheel does a car.
In reality, the only question about the central banks’ monetary activities is how much damage they will do. A prime example, of course, is the Federal Reserve, whose antics since the 2008–09 economic crisis have suffocated the US economy.
Money is not wealth. It facilitates the buying and selling of products and services. It measures their value the way a clock measures time. A gold standard, which the US abandoned in 1971, keeps currencies stable better than any other system. Stable money facilitates productive investing, without which we have no wealth creation.
Taxes are a burden. High rates hinder economic growth. When Europe imposed supersales taxes called value added taxes (VAT) in the late 1960s and 1970s, coupled with sky-high income taxes, growth rates plummeted.
Critical question: Will the US make Europe’s mistake by imposing a quasi-VAT of 20 percent, called the border adjustment tax? Incredibly, many Establishment Republicans are pushing this anti-working-families exaction. Economy-crushing regulations have spread like weeds. Fortunately, the Trump Administration seems serious about waging war on these tax equivalents.
Stable money, low taxes, commonsense rules. So simple. Yet, politically, so hard to achieve.
Death of an American Giant
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Home-Cooked Meal Is Now Greatly Valued
The pandemic has also brought with it an improved focus on hygiene, use of technology in dining, rise of cloud kitchens and resurgence in popularity of Indian ingredients
Paytm 3.0 - Reaching Near Breakeven In Two Years
As of 2020, Vijay Shekhar Sharma’s super app for financial services had run up losses in thousands of crores. Now, as digital payments gets yet another boost courtesy Covid-19, he’s hopeful of reaching near breakeven in two years
THE PANDEMIC HAS CAUSED WOMEN GREATER LABOUR PAIN
Covid-19 has shown that women are more likely to face the brunt of job losses than men, and find fewer opportunities when they want to resume. That apart, several have to deal with increased hours of unpaid work at home and even domestic abuse
LEADERSHIP WILL BE ABOUT SEEING THE BIGGER PICTURE
Leaders must not only guard their teams first during a crisis, but also deal with stakeholders with respect and dignity. And apart from pursuing business goals, they should remain committed to our planet and the environment
PHILANTHROPY SHOULD BE HUMBLE, BUT NOT MODEST
Apart from building a flexible and resilient framework for the future, philanthropists, civil society and the government must work in tandem so that every rupee is absorbed on the ground
INTEGRATED HEALTH CARE, TECH WILL DISRUPT SECTOR
While clinical research will get a boost, having a skilled workforce and public spending on health care will be challenges in the near term
DIGITALISATION WILL HELP IN VALUE CREATION
As the pandemic brings technology and innovation to the core of business and daily life, the next decade will see about 150 million digital-first families in India
Industry 4.0: Climate Revolution?
Augmenting sustainability alongside digital capabilities is an economic, competitive and global opportunity for India’s businesses, but regulations need to reflect intent
EV Dream Still Miles Away
Electric vehicles have remained a buzzword in India for years. But not much has moved on ground due to high upfront costs, range anxiety and charging infrastructure
Living Waters
A virus has caused us to scramble for oxygen but our chokehold on the environment is slowly strangling the very waters that breathe life into us. The virus is a timely reminder: We are merely consumers, not producers of life’s breath on this planet