Relevancy of Gandhian economics in the post covid-19 world

In India, back to the ‘normal’ economics of GDP or towards a more human and more local economics?

After 1947, India had two alternatives : it could run behind the West to catch up; or it could take the path which was less chosen, following Gandhian Economics approach for human development. But, instead of Gandhian approach, India chose the former one which tilts towards the growth of GDP.

Gandhian economics approach is based on development of human beings. Gandhi said that  unless the people of India's villages have economic and social freedom, India can't be free. This was his vision of 'purana swaraj.' Gandhi and his economic advisors understood the power of villages'  people and local communities, better than the economists of India's planning commission did. Poor people were merely statistics for other economists.

According to Gandhi, economics must serve for basic human needs. The purpose of investment should not be merely  GDP growth, it should be human development intensive. Well being of human must be the cornerstone of investment. To increase size of GDP by marking fodder human beings for investments would be a bleak milestone.

Gandhi had same economics approach that Lee, former Singapore PM, had too. For him, the measure of make Singapore a most developed nation was the per capita income of Singaporeans, rather than GDP growth.
Tata, Gandhi and Lee belived that availability of decent jobs, proper wages & health care systems for employees is the first step for a well developed economy.

Gandhian Economics is based on simple principles  -

  1. Human beings and local communities must be the means of development - their well beings must be the purpose of investment.
  2. Governance must be strengthened at local level in both villages and cities.
  3. Wealth is a good thing, but the wealthy people should be only the trusties of communities' wealth, not owners of it.
  4. Alienation of owners from the workers must be reduced with the creation of a new Cooperative Capitalist Enterprise model where the employees are, not remote Capitalists, or state, owners of the company.
The world has been 'de-globalising' since the financial crisis 2008. Numerous countries have raised the barriers for the migration of people from other countries. Many have moved towards localization of works. World Trade Organization (WTO) is already sick. 
Economic crisis triggered by Covid-19, is pushing economy to move towards localization which was already under way. The worst standstill in the world supply chain due to a long lockdown has compelled governments to make materials in their own country.

After 1947, India chose the path that went  towards the approach of GDP growth. India decided to catch up Western countries, instead of move towards a more human and more local economics - the Gandhian approach.
After economic & social crisis, now, we are back at the same crossroad path. In the post covid-19 world, back to the normalcy, which path, India should choose. Economics of GDP; or a more human and more local economics?

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