While working on the analysis of Opposition promises for freebies that included Rs 8500/month and the Guarantee Card as handed over by the CONgress Party to the voters, I was perplexed on how this Rs 8500/mth help any of the household? Oh, well let me correct myself – 8500/lay/mth not per household.
A deeper dive on the Poll Promise revealed the Economic explanation of the case by the Crown Prince of CONgress none other than Mr. Rahul Gandhi. Per the Video that I came across, Mr. Rahul Gandhi was stating that these 8500/mth or 1,00,000/year will be infused by the household pushing the economy to a greater hight. This can be deciphered as – “Even if you don’t work and each 18+ in your house gets 8500/mth, your house will participate in the overall growth of the nation”. Let’s analyze Mr. Rahul Gandhi’s idea –
- Let’s consider there are 25% 18+ females in the country, so by that the number would be roughly 37,00,00,000
- Multiply that 37,00,00,000 with 8500 = Rs. 31,45,00,00,00,000 (Three lakh crore plus) and that is a very conservative calculation for that matter
- The question is from where would these be collected? – Tax on Income? Tax on Sales? some other taxes? or by cutting down the budget for Defense / Infrastructure or what?
- Anyways, if 8500/mth means those who would get free money wouldn’t work per say, most of the Domestic helps, MNREGA workers, Construction workers etc etc will disappear
- This would then cause increased labor cost as there would be dearth of Labor
- Increased cost would mean increased prices and increased inflation
- Increased Inflation would mean rising cost of Capital through increased taxes and increased levies
- That would probably throw economy in a tailspin. probably repeating 1991 when India has to sell 21 tonnes of Gold to keep its Forex deposit in shape
- That would mean Budget cuts for major projects, Govt Grants et al and that would also mean that this 8500/mth would dry-up
- With Economy in tailspin and no free money, increased expenses, where would people go? that means there would be a bad situation of overall Country from Economic Perspective.
- And we would be buried in debt – increasing hunger, poverty and crime
BTW, in the whole chronology of events, I have not mentioned the amount of fake recipients who would be created by various Vultures to fill their own coffers. Something that CONgress is veteran at doing, the way they did for MNREGA workers and many other SCAMs during their regime.
So, considering the above, do you think 8500/mth free money is worth choosing a Corrupt Govt? Do you think that such Party that proposes to guarantee first employment to youth will be able to sustain the economic route of the country and would they be able to meet the Poll Promises when the economy will degrade due to their lynching of votes as well as country’s resources?
Answer to the questions is NO, they will loot more and more and make us beg for our livelihood!!
