20 May 2008

A Mole, his Mother and our finance ministry... :)

A MOLE, a creature blind from birth, used to live with his mother. Once he said to his Mother: "I am sure than I can see, Mother!"In the desire to prove to him his mistake, his Mother placed before him a few grains of Britannia Fruit Cake, and asked, "What is it?" The young Mole proudly said, "Ohh..common mom...it is an Alu Tikki Burger." Feeling very sorry, his Mother exclaimed: "My son, I am afraid that you are not only blind, but that you have lost your sense of smell. Now, only god knows how you will survive in this world.” The argument made by mother was pretty justified as one who has to rely on his sense of smell, has lost it and rather realizing that he is feeling proud that his eye sight is quite OK.

When, the inflation in Indian economy moves to 7.83%, in an indication that the price situation is going to get worse, the claim of calming down the inflation by our finance ministry reminds me nothing but the story of the poor mole. The northward movement of the inflation curve and Ministers' hope of its decrease soon, shows that they have lost control over the market and at the same time their power to predict the market movement is also gone! When the age old panaceas, like export ban and barring future trading denies to work to cool down inflation, ministry keeps spreading words of hope. This might be the result of unhealthy political pressure on them. As economy and politics is not a perfect match, let’s don’t talk about politics.

A good economic policy is always a bad politics. With the hope of a good politics, let’s give a look at the bad economic policy. These days every body knows that inflation is a direct function of market speculation some way and other. A speculation makes consumers doubtful about the future price and availability of the goods, forcing him/her to consume more and store for future (for personal use or business use). So, to control the inflation more consumption is discouraged. Good, but being a common man, when I see our government is making itself safe by banning export and future trading and making the food share for his country safe, I usually feel that there is nothing wrong if we purchase 20kgs of rice extra for next month. After all, to whom we should follow?

Now, when we are consuming 20kgs of rice extra, what should our servant do? It is that obvious he will try to have at least 5kgs safe for next month. The cycle dies not ends here….by seeing the increasing demand our shop keeper will try to hide some inventory for future profit….result?

Result is....


How? !!!???

Arrreeee…..these terrorist will pay high cost for food here and their disposable income will go down…so they will have less money to purchase bicycles and ball bearings….direct decrease in numbers of bombs…is not it?