Guwahati- A webinar on ‘Options India Can Take at the Present Stage for Its Economic Development’ was held by Royal Global University with Dr. R. B. Barman, former Executive Director, of the Reserve Bank of India, Chairman of the National Statistical Commission ( in the status of ex-officio, Minister of State, Govt of India) and Prof. Pulin B Nayak was Professor of Economics at the Delhi School of Economics, former member of the Prime Minister’s Economic Advisory Council (PMEAC), on 20 June 2020. He was joined in his deliberations by Prof.(Dr.) S.P.Singh, Vice Chancellor, Prof.Swabera Islam, Department of Economics, along with faculty, staff and students of RGU as well as from across India. The webinar was moderated by Mr. Jugal Kishore Bhattacharyya, Assistant Professor, Department of Economics, Royal Global University.
The webinar was started with an initial note by Dr. Islam, who spoke about the crisis emerging due to break up of COVID-19 in India and also highlighted the challenges ahead. Prof. Singh, shared his opening remarks where he mentioned the sufferings of Indian economy due to the COVID 19 pandemic. He stated about the relation between GDP growth rate and generation of employment opportunities and mentioned that a huge number of labourers have lost their jobs due to the ongoing pandemicDr. Barman, currently working as Member of SITA, Government of Assam, spoke on the Sustaining High Economic Growth Rate. He, in his deliberations, emphasized on inclusive growth which will ensure balanced development.
Developing countries are tripped again and again by microeconomic failures. He also spoke about models relevant for new world, which rest on two pillars of Micro behaviour of individuals and Structure of their mutual interactions. Dynamic changes may be captured through changing connections, networks, structures and processes under a complex adaptive system. The main stream economists have the conviction that prudent macroeconomic management can ensure both the growth and the stability. According to him, the micro-macro linkage to explain real sector, financial sector and fiscal sector nexus must needed for inclusive growth.
Prof. Nayak is currently working in Indian Institute of Economic Growth who presented his topic “Capitalism: Present Crisis and Reforms”. He emphasized on the role of market mechanism with a certain control for achieving a high rate of economic growth in India. In his deliberation, he made a comparison between India and China and stated about the success of market mechanism in China. According to him, India and China were at the same position based on per capita income in 1979. But China emphasized on capitalism and achieved 10% plus growth rate from 1980 to the next 30 years, which made a huge difference between India and China.
While spoken about the role of market mechanism, he also mentioned two major problems in capitalism, namely environmental and increasing inequality in the distribution of income and wealth. He also stated about the sufferings of India due to the COVID 19 pandemic. According to him, all the three sectors of the economy have been suffering but the service sector is the worst sufferer. He also stated that 80% to 90% of the labourers are employed in informal sector and most of them have lost their jobs due to the pandemic.
He also claimed that the sudden declaration of lockdown did not provide enough time to move these labourers from their work place to their villages, which created lots of problems during the initial phase of lockdown. There was something wrong with the policy taken and executed. While talking about rural economy, he emphasized on the establishment of village industries, small scale industries to absorb the labourer of the rural areas in India. Taking about the cash benefits provided to the labourer by the Government of India, he is of the view that hardly a very few of the labourer received such benefits as most of them are unregistered labourer.