State of the economy.

I have blogged about this before, rising petrol prices are good for the country. 

http://www.dudurudh.blogspot.in/2011/10/rising-fuel-prices-best-solution-to-our.html?m=1
What is not good for the country though, is the depreciating rupee, the rising CAD and all the problems that come with it.
Dr Manmohan Singh, in parliament recently said that ” we must control our appetite for gold and economise our use of fuel”.
Now what good is an economist prime minister if he can’t run the country’s finances without asking the people of the country to ” control their appetite for gold and economise their use of fuel”,
Right? 
Wrong. 
Think about it. We’re a large country blessed with a lot of resources. Unfortunately, we don’t have gold or oil reserves. Well not enough of either anyway.
So we need to import both. And we can only buy in dollars. When we don’t have enough dollars, we need to buy that first and then use that to buy gold and fuel and what not. 
Now that’s the government’s problem. They must’ve screwed up in ways unimaginable to send an economy en route to 9-10% growth to spiral down to 4.5%. Yes? Definitely. 
Why should that bother us? Primarily because onions cost 80Rs/Kg and restaurants now only give you one slice of an onion in your salad. 
Now what can solve that? One of the multiple solutions, Increase the price of diesel. Ofcourse, that’ll make things worse because transporting onions will become more expensive and onions will cost even more and before you know it, you’ll be investing more in onions than in gold. 
That’s why they subsidise diesel. So that transportation isn’t expensive. Now you tell me, why a bloke in a gas-guzzling, CO2 emitting, road blocking, noise making, 25lac SUV needs that subsidy. ( Useful to remember at this stage that the subsidy comes from taxes that you pay. Yes. Now get angry).
Selective subsidy isn’t easy to implement. But it’s probably worth giving it a shot. I’m not aware of the adverse consequences of such an act and I’d love to know. 
Petrol is a luxury. So is diesel. But gold, is more than that. Gold is an investment. The fact that gold prices have risen sharply recently means that people who invested in it a few years ago, would’ve made a considerable amount of profit. It’s obvious that more people want to buy it. It won’t go up forever. 
There are other avenues to invest money. Use them. Don’t buy gold for a year. 
Does it ever anger you that the government is increasing fuel prices? THINK. It’s YOUR country. It runs using YOUR money. They buy crude oil using YOUR money. It’s a government not an MNC. Their revenue is YOU. 
Not buying gold and paying more for fuel won’t solve this almost-crisis. But it’ll certainly help. This isn’t to say that government should wait for your help. They can do plenty that they haven’t done already. But what kind of sleepy democracy only wakes up ( partially) every 5 years only to vote and then sits back and hopes for the best? 
Don’t vote for someone who claims he’ll bring petrol prices down. He won’t. Don’t boo someone who paints a realistic picture. Encourage them. Bite the bullet. Swallow the bitter pill. 
I’m not an economist. I know nothing of economics. There are smart people in Delhi to handle that. 
You voted them with your votes ( or with the absence of your vote). VOTE. Do those little things that you can do. And then complain. Don’t be a hypocrite. Don’t be cynical. Lets get this economy back on track and pointing in the right direction.

Rising fuel prices : The best solution to our environmental woes !

We are all ,at some level , hypocrites  . Some not as bad as the others but hypocrites all the same .
Especially when it comes to the issue of the environment and rescuing what little is left of it .

We have all read , heard , spoken , written, preached about fossil fuels being a precious resource that is almost gone. From the time I first heard about it ( about ten years ago in class 3 ) , the basic , most obvious  solution to this “problem” was moving to renewable sources of energy . Every single environmental science answer paper written by students of this generation will have that one point very clearly written . And yet , even today , people are discussing about the pros and cons of renewable sources of energy . Lets take solar energy for example . Pros : Renewable , abundant ( THAT is what you call an under statement ) , causes no pollution ,cheap to use . Cons : Hmmmmm..hmmm…some hum ho about it’s installation being costly . Kids half MY age can rattle off the advantages of solar energy . Then why is’nt it being used already ? It’s hard to beleive that in a world where technology has advanced enough to bomb entire countries at the push of a button from thousands of miles away , the technology to produce solar energy is’nt “advanced enough” to be used for vehicles or industries .
Lets leave that there . That is the job for the scientists .

 And THAT brings me to my point about people being hypocrites .
Yes . The technology is’nt available yet . But in the meanwhile we are just going to go on looting the oil fields , pumping toxic gases into the atmosphere and letting people die of lung cancer ?

Everyone knows that automobiles are one of the biggest source of pollution and the largest consumers of fossil fuels . But nobody wants to sacrifice their cars and use public transport instead . It’ll not only save the planet but also save money and reduce the ridiculous amount of traffic on the roads ! Everyone talks about it ! But a very large majority does not do it  ! Hypocrites !

You know what I feel ? The Government is the biggest environmentalist today . Why ? They keep hiking the prices of fuel ( and I hope they do it again , and again and again ) untill people can’t afford it anymore and will be forced to use other means of transport like buses ! It’s a childish argument . But It’s one of those ideas at which you laugh initially and then say ” hey . That is an actual possibility . “

Why not ! If pricing fuel really high will make people give it up then so be it ! But ,for some reason , nobody recognises that ! They’ll fight the government ,take to the streets and protest for a roll-back in prices . Then they’ll come home and teach their kids about the evils of using fossil fuels ! Hypocrites !

One day when fuel costs 300 rupees/litre and you are not ready to spend 90% of your income on a thing that is burning your pocket and the atmosphere  , you’ll come back to this blog and say “HAHA . you were right ! “

Hopefully by then , we’ll have those really smart people who call themselves scientists or indeed one of us , design a solar panel that can substitute fossil fuels for good . Otherwise , when those oil wells dry up , the world will come to standstill and we still won’t have a back up source of energy .
Think about it ! Are the high fuel prices all that bad ?!!