We are again & again taking about corruption, quota, total dependency on agriculture, late industrialization, closed economy until 90, etc., these are PAST SINS...these are required to know where went wrong. How to correct these and bring prosperity to India?
ONLY way out is we need money to invest in infrastructure, education, health care, etc., Where to mobilize money ?? Here are some ideas.. 1. Reduce taxes by half so that corruption and greed disappear (it is not easy as said.. still we can try!!). Once the system is used to pay taxes, u can increase taxes!
2. Issue patriotic bonds thru banks to mop up huge un-accounted GOLD. (I read somewhere we have 40k Tonnes of Gold of which less than 10% is with Govt and balance with public.) If u pay 3 to 5% interest on half of mkt value of gold u posses, there will be huge collections. I dont how much $$ will this be...
3. Use foreign currency reserves to invest in infrastructure (already happening in very small scale). RBI fears this will trigger inflation...this is a short term fear...but long term benefits are huge if done along with lower taxes and other points
4. Bring metro land and other areas land under demat or secrutization scheme and allow for trading. Then, u know mkt rate of land for our poor infrastructure...land prices will come down, black money will disappear (since holdings are transparent, etc.,). fyi: I remember how in 90's many share brokers were defaulted becoz of default, fake shares,
