Category Archives: India

by | 17 November 2008 · 9:00 pm

Mohammad Ali Jinnah: Too much a toff for Yorkshire

From Indian Summer: The Secret History of the End of an Emperor, by Alex von Tunzelmann (Picador, 2008), pp. 94-95:

Jinnah was a successful barrister, born in Karachi and called to the bar at Lincoln’s Inn. Tall and slender, he hardly ate, and smoked fifty Craven A cigarettes a day! He was often described as looking cadaverous, but this description does no justice to his dynamism. With his smooth coiffure and glittering stare he looked more like a cobra than a corpse. The photojournalist Margaret Bourke-White described at length “the Oxford-educated Jinnah” with his “razor-sharp mind and hypnotic, smoldering eyes.” Jinnah had not, in fact, been educated at Oxford; he had attended a madrassa in Karachi and a local mission school. But it was easy to believe that this urbane gentleman, described by the New York Times as “undoubtedly one of the best dressed men in the British Empire,” his public speaking rich with quotations from Shakespeare, was part of the British elite.

Jinnah had begun his political career in Congress. He made himself a figurehead for Hindu-Muslim unity and was acclaimed as such by Hindu Congress luminaries. He had joined the Muslim League in 1913, confident that he could act as abridge between the political parties. But it was the emergence of Gandhi as the spiritual leader of Congress in 1920 that began to push Jinnah out. “I will have nothing to do with this pseudo-religious approach to politics,” Jinnah had said, rejecting the call for satyagraha. “I part company with the Congress and Gandhi. I do not believe in working up mob hysteria. Politics is a gentleman’s game.” But politics is rarely gentlemanly, and as if to prove it there was a profound and deadly clash of personality between Jinnah and the other English gentleman of Congress, Jawaharlal Nehru. Like his compatriot and friend, the poet Muhammad Iqbal, Jinnah disdained “the atheistic socialism of Jawaharlal.” “We do not want any flag excepting the League flag of the Crescent and Star,” he would declare. “Islam is our guide and the complete code of our life.”

Despite his position as one of the key figures in the rise of twentieth-century Islam, Jinnah was no fundamentalist. His Islam was liberal, moderate and tolerant. It was said that he could recite none of the Koran, rarely went to a mosque and spoke little Urdu. Much has been made of his reluctance to don Muslim outfits, his fondness for I whiskey and his rumored willingness to eat ham sandwiches. In fact, he never pretended to be anything other than a progressive Muslim, influenced by the intellectual and economic aspects of European culture as well as by the teachings of Muhammad. The game he played was carefully considered: here was a Muslim who understood the British sufficiently to parley on equal terms, but asserted his Islamic identity strongly enough that he could never be seen to grovel. His refusal of a knighthood was significant; so, too, was his demurral in the face of Muslim attempts to call him “Maulana” Jinnah, denoting a religious teacher. Some historians go so far as to describe him as a “bad” Muslim, revealing more about their own ideas of what a Muslim should be than about Jinnah’s faith. In any case, the Muslim League suffered from no shortage of good Muslims. What it had lacked was a good politician. And Jinnah was without question one of the most brilliant politicians of his day.

Jinnah had married Rattanbai “Ruttie” Petit, the daughter of a prominent Parsi banker, when he was forty-two and she just eighteen. Rebellious and beautiful, Ruttie had been a close friend of Jawaharlal Nehru’s sister Nan Pandit; she was closer still, indeed almost passionately so, to Padmaja Naidu, who would later become Jawahar’s lover. The deeply personal and incestuous nature of Indian politics is plain from these relationships. Jinnah’s marriage was not an easy one. After the birth of their daughter, Dina, he and Ruttie separated. Ruttie died on her thirtieth birthday in 1929, following a long affliction with a digestive disorder. Jinnah was devastated at her death and moved to London with Dina. He took a large house in Hampstead, was chauffeured around in a Bentley, played billiards, lunched at Simpson’s and went to the theater. He considered standing for parliament in the Labour interest but was rejected by a Yorkshire constituency, allegedly with the verdict that it would not be represented by “a toff like that.” His sister Fatima gave up a career as a dentist to become, in effect, his hostess, though that title belies her full significance. Fatima Jinnah was a woman of intelligence and drive, and was influential in her brother’s move toward Islamic nationalism.

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by | 9 November 2008 · 12:04 pm

Gandhi: Obstacle to National Independence?

From Indian Summer: The Secret History of the End of an Emperor, by Alex von Tunzelmann (Picador, 2008), pp. 96-97:

But probably the most surprising obstacle to Indian independence was the man who was widely supposed to be leading the campaign for it: Mohandas Gandhi. Gandhi’s need for spotless moral perfection hamstrung his party’s progress. His principal object was to make the Indian people worthy of freedom in the eyes of God. The object of actually achieving freedom from the British was secondary. Gandhi’s most influential work, Hind swaraj, published in 1908, set out very clearly his point of view: that European civilization was corrupt, atheist and destructive, but that merely driving the British out of India would not serve to make India free. To be free, Indians needed to relinquish violence, material possessions, machinery, railways, lawyers, doctors, formal education, the English language, discord between Hindu and Muslim, alcohol and sex. It is for this reason that his campaigns so often faltered. Gandhi stood for virtue in a form purer than politics usually allows. Whenever he had to make a choice between virtue and politics, he always chose virtue. He strove for universal piety, continence and humility, regardless of the consequences. Even if a person were faced with death, or a group with obliteration, he would sanction no compromise of moral integrity. It is impossible to assess how the Indian nationalist struggle might have proceeded without Gandhi, but there are ample grounds for thinking that a more earthly campaign led by a united Congress, perhaps under the joint leadership of Motilal Nehru and Mohammad Ali Jinnah, could have brought dominion status to India in the 1920s. Gandhi ‘s spiritual style of leadership was a source of inspiration to millions, but, politically speaking, it was erratic. Within Congress, too, it created divisions. Congress was not a church, and Gandhi’s mystical judgments were often difficult even for his closest followers to accept.

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by | 9 November 2008 · 11:25 am

Gandhi: Too Saintly for the Good of Others?

From Indian Summer: The Secret History of the End of an Emperor, by Alex von Tunzelmann (Picador, 2008), pp. 40-41:

Few political figures have been so widely misunderstood as Gandhi, in his own time or today. He emerged at a time when monarchies were falling and communism loomed; he was contemporary with Lenin. To many listeners, aware of the march of events in Russia, Gandhi’s speech sounded like a rallying cry to Indian socialism, with its talk of the casting off of jewels and the power of the workers. This was, indeed, the reason that young radicals like Jawahar [Nehru] were so attracted to him. But a closer examination of Gandhi’s words reveals something different, and much more profoundly religious. He had confronted the moral behavior of society, not its structure. Gandhi called for the princes to stop wearing their finery and instead “hold it in trust” for their subjects. This is not the same thing at all as telling the masses to rise up and seize it. Gandhi was not challenging the princes’ right to hold wealth, nor even their right to reign. He was asking for a change of heart.

Gandhi’s condemnation of princely luxury was part of a much broader preoccupation with returning India to what he supposed had been a prehistoric “golden age” of godliness, simplicity and humility. He had begun to reject Western ideals of progress and technology, and insisted that India’s future lay in a return to simple village life, not industrialization. As a symbol of this, he adopted hand-spinning on a wooden wheel and used only khadi—hand-spun—textiles. He developed a distaste for the synthesized drugs and surgery which he associated with Western medicine, describing them as “black magic.” Doctors, he believed, “violate our religious instinct” by prioritizing the body over the mind and curing diseases that people had deserved by their conduct. Lawyers, meanwhile, had propped up British rule by espousing British law and were like “leeches” on the people, their profession “just as degrading as prostitution.”

This position had fueled continual conflict in his own family life. Unsurprisingly, he was far from supportive of his sons’ ambitions to pursue careers in medicine or law. “I know too that you have sometimes felt that your education was being neglected,” Mohandas wrote to his third son, Manilal. But, he contended, “education does not mean a knowledge of letters but it means character building. It means a knowledge of duty.” His eldest son, Harilal, fared worse. After Mohandas denied him a legal scholarship to London, he ran away from home, married a woman without his father’s consent, was disinherited and ended up unemployed, destitute and bitter. When Manilal tried to lend Harilal money, Mohandas was so furious that he banished Manilal from his presence for a year. Manilal ended up homeless, sleeping on a beach.

It is not easy being a saint, and it is perhaps even less so to live with one. “All of us brothers have been treated as a ringmaster would treat his trained animals,” Harilal wrote to his father in the course of a twelve-page letter deploring Mohandas’s treatment of his wife and sons. And yet, to a wider audience beyond his immediate family, Gandhi’s charisma, determination and fearlessness were inspiring.

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by | 1 November 2008 · 8:22 am

Hindustani for British Royalty, 1921

From Indian Summer: The Secret History of the End of an Emperor, by Alex von Tunzelmann (Picador, 2008), pp. 58-59:

On 26 October 1921, Dickie [Mountbatten] and David [Windsor] left Portsmouth on the battle cruiser HMS Renown. On 12 November, they came ashore at Aden on the south coast of Arabia, the westernmost British colony ruled from Delhi. The pair of them drove past large gatherings of black spectators hemmed in by the occasional white man in a pith helmet. Union Jacks fluttered in the sky, and a huge banner was unfurled. It addressed the Prince of Wales with a loyal exhortation: “Tell Daddy we are all happy under British rule.” And it was from this acceptably loyal outpost of his future empire that David embarked finally for the Jewel itself….

The prince’s itinerary had been planned according to long-established royal tradition. He was to progress around India attending interminable parties, opening buildings, killing as much wildlife as possible and only interacting with the common people by waving at them from a parade. The sentiments of the royal party were made plain in the booklet of Hindustani phrases produced by Dickie and Sir Geoffrey de Montmorency and circulated on board HMS Renown. It comprised a list of basic numbers and verbs, plus a few everyday expressions. These included:

    Ghoosul teeyar kurro—Make ready the bath
    Yeh boot sarf kurro—Make clean these boots
    Peg do—Give me a whisky and soda
    Ghora lao—Bring round the horse
    Yeh miler hai; leyjao—This is dirty; take it away
    Tum Kootch Angrezi bolte hai?—Do you speak any English?
    Mai neigh sumujhta—I don’t understand

The words for please and thank you are nowhere to be found.

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by | 24 October 2008 · 6:08 pm

India’s Diverse Diasporas

From India: The Rise of an Asian Giant, by Dietmar Rothermund (Yale U. Press, 2008), pp. 233-235:

The cultivation of sugar-cane in colonies such as Mauritius and the Natal province of South Africa, in Trinidad, Guyana and Surinam in the Caribbean and Fiji in the Pacific Ocean created settlements of Indian labourers as many stayed on as free labourers after their contracts had expired. In some of these places the Indians emerged as the majority of the population, but with few exceptions they did not rise above the position of labourers. Therefore the diaspora in the ex-sugar colonies is not much of an economic asset to India. Mauritius is an exception to this rule. It has shown encouraging signs of economic growth and its Indian majority dominates the politics of the island but has maintained equitable relations with the other ethnic groups. Mauritius has become a major offshore banking centre for investors who channel their investments in India through the island. This has led to the strange phenomenon whereby tiny Mauritius ranks high among the nations investing in India. Being well aware of the benefits of good relations with Mauritius, India is even prepared to protect the maritime economic zone of the island with the help of its navy….

The era of decolonization did not provide much scope for re-migration from the diaspora to India. Nor did the erstwhile colonial powers invite people of Indian origin to settle in their home countries. There were only two striking exceptions to this rule. The Netherlands became the target of a mass exodus of Indians from Surinam after that colony gained independence in 1975. This was due to the fact that the Dutch had granted citizenship to the people of Surinam and since the Indians did not get along with the Afro-American majority, they left for the Netherlands before their right of citizenship could be revoked. A similar exodus of Indians from Uganda to Great Britain had taken place after Idi Amin had established his tyrannical rule in 1971. The Indians of Uganda were not the offspring of indentured servants but had followed the Uganda railroad. The workers who built that railroad had also come from India, but almost all of them had returned to their homes in the Punjab. The subsequent immigrants from India were for the most part literate Gujaratis who manned the administrative posts of the railway or set up shops in the hinterland which had been opened up by the railway. When these people were persecuted by Idi Amin and shifted to Great Britain they did very well there as a result of their business acumen. This group of the Indian diaspora is of considerable importance for India. But, of course, the Indians who came from East Africa are only part of the Indian diaspora in Great Britain, which also consists of Indian professionals and businessmen who migrated from India to the ex-imperial country in search of greener pastures.

Another post-colonial migration which had some similarity to the export of Indian manpower in colonial times was the recruitment of Indian labour by the countries along the Persian Gulf when those countries earned millions of petro-dollars. This recruitment benefited all South Asian countries. Most of them sent unskilled labourers to the Gulf; India had the lion’s share of skilled administrative jobs. For quite some time the ample remittances of these skilled personnel filled the gap in India’s balance of payments which was usually affected by a negative balance of trade. When the first Gulf War of 1991 disrupted this profitable connection, India was hit very hard, the more so as the disaster was sudden and unexpected. When Indira Gandhi was asked in 1981 whether she could envision an Indian exodus from the Gulf similar to that from East Africa precipitated by Idi Amin, she jauntily replied: ‘The Arabs need US.’ Her successors also took this for granted and were rudely awakened by the Gulf War.

The Indian diaspora in the countries along the Persian Gulf was very different from that everywhere else. First of all it was of very recent origin. This diaspora had no second or third generation members born in the country of residence. Moreover, the Indians who came to the Gulf did not intend to settle there for any length of time. There were many educated people from Kerala among them who simply wanted to earn enough money to build a house back home. Busy construction work in the villages of Kerala provided striking evidence of this trend in the 1980s. Under such conditions there was hardly any incentive to establish Indian community centres in the Gulf countries. The Indian diaspora was not concentrated in anyone place and its members fluctuated. Nevertheless, this was the diaspora which was most important for India, due to the economic effect of its remittances. Other Indian diasporas would be less inclined to send money to India as they would rather invest it where they lived. The occasional support of poor relatives in India did not give rise to substantial remittances.

Today’s Wall Street Journal weighs in on one of the barriers to the expansion of India’s diaspora in the U.S., where “the American Association of Physicians of Indian Origin which was founded in 1984 has 42,000 members” (Rothermund, p. 235):

The Chandrayaan-I blasted off about dawn from the Satish Dhawan Space Center. It is expected to reach lunar orbit by November 8. The probe, whose principal goal is to “conduct mineralogical and chemical mapping of the lunar service,” carries five scientific payloads from India and others from NASA and the European Space Agency. With this achievement, India joins the U.S., Japan, Europe, Russia and China in the lunar club.

India deserves congratulations for the Chandrayaan-I, which attests further to that nation’s remarkable strides as an economic and scientific power. That said, we cannot fail to draw attention to how this event bears on the continuing lunacy of Congress in limiting visa quotas for highly skilled immigrants.

American universities are filled with foreign students, not least from India, getting degrees in engineering and science. Many dearly wish to stay and work in the U.S. Instead, we basically kick them out after training them, owing to the Congressional limit of 65,000 H-1B visas, which are used up the day they are released in March.

Would calling this the “pre-emptive export of jobs overseas” make it any less attractive to economic protectionists?

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Filed under anglosphere, Caribbean, economics, education, Fiji, India, migration, South Africa, U.K., U.S., Uganda

by | 21 October 2008 · 6:25 am

India’s Vibrant Vernacular Press

From India: The Rise of an Asian Giant, by Dietmar Rothermund (Yale U. Press, 2008), pp. 223-224:

The rise of the vernacular press would have pleased Mahatma Gandhi. He disapproved of advertising and printed no ads in his papers. But perhaps he would have relented if he had realized that advertising revenue is the lifeblood of the vernacular press. When Gandhi reorganized the Provincial Congress Committees along linguistic lines in 1920, he did so because he was convinced that people must conduct their political debates in their mother tongue. The thriving vernacular press proves this point. Gandhi would also have been pleased by the national orientation of the vernacular press: none of the papers mentioned back any kind of secessionism. This is also due to the fact that the ‘print capitalists’ who control the papers are very much aware of the benefits of an integrated national market. Another encouraging feature is that none of these papers are ‘party papers’ to the extent of being owned and operated by a political party. The private owners of the papers may sometimes back a particular party, as Ramoji Rao backed the TDP, but such alliances are temporary with the party depending on the ‘print capitalist’, not the other way round. In earlier times parties controlling the government could exercise considerable influence on newspapers by placing advertisements or withholding them. Nowadays revenue from commercial ads is far more important than that derived from government advertising and this has greatly enhanced the freedom of the press.

India’s lively and free press is of great importance to the country’s democracy. It is significant that the first big spurt in growth of the vernacular press was witnessed after Indira Gandhi’s ‘Emergency’ had been terminated in 1977; her attempt at gagging the press by means of her emergency powers led to a pent-up demand for information. Many people became avid readers when they had access to a free press once more. There is, of course, the more subtle method of influencing the press by co-opting journalists: giving them official importance or letting them know that their careers may depend on adopting certain political views fits in with this method. By now journalists earn good salaries and enjoy many perks, so the threat of forfeiting them might influence their views. But the large number of journalists would make it difficult to co-opt all of them: in 1950 there were only about 2,000 in India but by 1993 there were 13,000 officially registered journalists and there may have been many unregistered ones. At present there are probably more than 26,000. As there are no powerful unions for journalists in India Indian journalism has no collective voice; but the large number and the great variety of journalists are in themselves guarantees of the freedom of the press.

Most Indian journalists are urban people who only occasionally show up in the countryside. But they have rural counterparts who are really behind the newspaper revolution which has swept India in recent years. These rural stringers are often graduates engaged in various activities in their locality. They may own some land or a repair shop and also serve as distributors of newspapers, as advertising agents and as part-time correspondents. They usually are not paid by the editors but send in their news items free of charge. If their contributions are printed, this enhances their reputation in the village and helps to increase the circulation of the paper which they distribute. In their own way, these people support the freedom of the press and it is mainly down to them that huge numbers of newspapers are sold in India every day.

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by | 20 October 2008 · 5:53 pm

India’s Huge Informal Labor Sector

From India: The Rise of an Asian Giant, by Dietmar Rothermund (Yale U. Press, 2008), pp. 211-213:

The poor in India are a vast reserve army of cheap labour. Organized labour in the ‘formal’ sector of the economy is a comparatively small part of the total labour force. In 2003 the public and private sectors together employed 27 million workers. The private sector is the smaller one with 8.4 million but a greater share of the ‘manufacturing’ category with 4.7 million as against only 1.5 million in the public sector. According to the theory of W. Arthur Lewis, in a ‘dual economy’ (traditional and modern) there is a reserve army of labour in the traditional sector which supplies the modem one with a steady flow of new recruits. But the Indian economy is not a dual one: it consists of two parallel economies. Since the reform of 1991, employment in the formal sector has practically stagnated; there has been only a slight shift from the public to the private sector, the first losing and the latter gaining 1 million employees. These figures would confirm the frequent comments on the phenomenon of jobless growth. But, of course, this refers only to the formal sector; the actual growth takes place in the informal sector. In fact, from 1978 to 2000, the share of the informal sector in the total labour force increased slightly from 91.3 to 92.4 million, although one would have expected a decrease of informal labour in a period of steadily increasing economic growth. The wage differential between the two sectors is enormous. For employees in the public sector, official statistics show an average daily per capita rate of Rs 681. According to the National Sample Survey mentioned earlier, the daily wages for male casual labourers in urban areas are Rs 75 and in rural areas Rs 56; the rates for female labourers are Rs 44 and 36 respectively. The figure for the public sector would, of course, include the high salaries of the Class I officials, but they are a small minority when compared to the legions of humble Class IV officials who do manual work or errands for the higher-ups. Nevertheless, even these humble people are head and shoulders above the casual labourers in the informal sector. Moreover, their jobs are secure and permanent, unlike the ‘informal’ jobs, which are subject to the rule of ‘hire and fire’.

Subjection to the rule of ‘hire and fire’ has increased with the growing casualization of informal labour. New forms of contracting labour have developed which permit the employer to shift the onus of hiring and firing casual labour to agents who are told how many workers are needed at any given time. Casualization has particularly affected women workers who were previously not very active in the labour market but have joined it in recent years in increasing numbers. Concerned social scientists have coined the term ‘feminization of poverty’ in order to characterize this phenomenon.

The ‘informal’ proletarians are not protected by any trade unions, which for good reasons concentrate on the organized sector of the economy. Very few of the recognized trade unions can depend on regular fees paid by their members. Accordingly, union leaders must look for other sources of income. They usually squeeze the employers by threatening to stir up trouble. There is no collective bargaining in India: wages are set by officially appointed tribunals and there are also tribunals which try the cases of individual workers who have been made redundant or have not been paid the wages due to them. Therefore most labour leaders are lawyers who spend their time pleading before those tribunals. The informal proletariat has no contact with such tribunals or lawyers.

The usual staff of a workshop in the informal sector consists of the boss and fewer than ten workers. In small firms which operate as subcontractors for manufacturers, the boss may even be an engineering graduate. Capital investment in such workshops is minimal so very often they band together and help each other out. One has a lathe, the other a drilling machine, etc.; if the piece of work requires both, it is carried from one shop to the other. The ignorant observer may think that this cluster of workshops is a slum, but on closer inspection he will be surprised to see the quality and variety of their products. Bigger firms rely on such subcontractors for two reasons: first of all, they can keep the number of workers and the investment in machines limited; and, secondly, if there is a slack in demand they can cut the orders farmed out to the subcontractors. This explains the phenomenon of jobless growth in the organized sector. The huge number of subcontractors who have the reserve army of labour on their doorstep shield the organized sector against risks but can also respond very quickly to increased demand. There is, however, a growing gap between labour productivity in the organized and in the informal sectors. In 1983 labour in the organized sector was about six times more productive than that in the informal one; by 1999 the differential had increased to nine times. This would also account for the wage differentials between the two sectors.

The wages paid by subcontractors, particularly if they work for manufacturers producing cars or machine tools, have to be higher than the wages of casual labourers mentioned above, but they would still be much lower than those in the organized sector. The qualifications of the informal proletariat working for subcontractors range from those of skilled workers to that of untrained people. The skilled workers in workshops would be the ‘creamy layer’ of the informal proletariat and they would be above the poverty line. But the great majority of the reserve army of informal labour are quite poor, something that would be particularly true of the many landless labourers who are at the beck and call of the landowning peasantry. Earlier systems of permanent attachment of such labour to the households of their employers have long since disintegrated because the employer can always find casual labour and does not need to retain labourers in the off-season. Even at times when the harvest or other seasonal operations suddenly require additional labour, there are nowadays migrant labourers who make themselves available for seasonal employment. Workers from Tamil Nadu will show up in the Punjab or elsewhere at a distance of 1,500 kilometres from their home. Here, too, the informal proletariat shows its usefulness as a reserve army of labour. About 43 per cent of India’s rural population are landless. If one deducts from this about 8 per cent for traders, carters, and so on there would still be 35 per cent of labourers who depend on their daily wages.

Of course, ‘casualization’ is hardly limited to India or to informal sectors of large economies. One report last year estimated that 70% of the faculty in American universities now depend on part-time or limited-term contracts. So, to twist the clause that begins this passage: An oversupply of postgraduate degrees provides a vast reserve army of cheap labour for universities.

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by | 7 October 2008 · 8:40 pm

Surprising Correlates of Birth Rates in South India

From India: The Rise of an Asian Giant, by Dietmar Rothermund (Yale U. Press, 2008), p. 181:

The National Population Policy for the year 2000 had once more set a target for the achievement of the replacement level of the Indian population. The replacement level is defined in terms of the Total Fertility Rate (TFR) of 2.1 births per woman in the course of her life and should be reached by 2010. Demographic projections would prefer to assume 2016 as a more realistic date. The average Indian TFR had come down from 6 in 1951 to 3 in 2001. To the great surprise of planners and demographers, several south Indian states have proved to be way ahead of the National Population Policy. Kerala registered a TFR of 1.71 in 2001, and Tamil Nadu was at almost the same level with 1.76, closely followed by Andhra Pradesh at 1.94. Karnataka was still above the replacement level, at 2.24; it was estimated that it would reach that level within a few years. Andhra Pradesh was the greatest surprise of them all: its TFR had dropped from 2.39 in 1997 to 1.94 in 2001. It has a high rate of female illiteracy and there has been no significant economic progress in this state. The major assumption of demographers that female education and economic progress would lead to a lower TFR was therefore contradicted by the experience of Andhra Pradesh. Moreover, the decline in the TFR usually takes time and does not happen in such a dramatic fashion as it did in Andhra Pradesh. Perhaps it was an awareness of future deprivation rather than of economic progress which prompted even illiterate women to resort to birth control. This goes against all normal demographic assumptions, but there was a striking parallel to this development in Andhra Pradesh in East Germany at the time of German reunification. The number of East German births dropped by 40 per cent at that time, which must have been due to apprehension of an uncertain future on the part of young East German women. This shows that perceptions of the future rather than long-term social and economic trends may influence the decisions of women. This is, of course, only one aspect of the rapid spread of birth control. Knowledge of the methods of contraception and the will to adopt them are also of great importance. Demographers who have studied the spread of adoption of contraceptives have noticed a snowball effect. After an initial phase when only a few women practise birth control, the demonstration effect catches on and others follow their example. In a strange reversal of the assumption that female education leads to birth control, it has been found that birth control may foster female education. Among illiterate women who adopted contraception there were many who would send their girls to school. The correlation seems to be significant, but of course it does not necessarily indicate a causal relation.

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Filed under economics, education, Germany, India

by | 4 October 2008 · 12:25 pm

Affirmative Action Dilemmas in India

From India: The Rise of an Asian Giant, by Dietmar Rothermund (Yale U. Press, 2008), pp. 168-170:

Before [V. P.] Singh was toppled, his government had introduced the 27 per cent reservations for the backward castes in August 1990. The Congress government under Prime Minister Narasimha Rao had to live with this new rule and made no attempt to reverse it. It was soon faced with a landmark judgment of the Supreme Court in November 1992, which forced the government to establish a National Backward Classes Commission with quasi-judicial powers to determine the claims of castes for the recognition of their ‘backwardness’. The judgment of the Supreme Court was due to a lawsuit initiated by some members of backward castes. The judges feared that they would be inundated with such suits and realized that they had no criteria by which to determine such cases. Moreover, they felt that litigants who were not at all backward as far as their economic situation was concerned would nevertheless try to obtain the benefits of affirmative action. The judgment of 1992 therefore included an injunction which obliged the government to define the criteria by which the ‘creamy layer’ of the backward castes would be excluded from such benefits.

The debate concerning the ‘creamy layer’ highlighted the problem created by the synonymous use of the terms ‘caste’ and ‘class’. All official statements referred to ‘backward classes’ when they really meant backward castes, the term ‘caste’ being deliberately avoided as it referred to an undesirable aspect of Indian social life. However, caste and class are not at all identical. Many members of the high castes are poor labourers, whereas there are many rich people of low caste origin. Since speaking of a rich class among the members of the backward classes seemed to be incongruous, the term ‘creamy layer’ had to be used.

The National Backward Classes Commission was established by an act of Parliament (Lok Sabha) in 1993. Even before it was constituted, a special commission had reported on the problem of the ‘creamy layer’. It was decided that the children of high government officials or of persons with an annual income above Rs 100,000 would not be entitled to the benefits of affirmative action. In 2004 this limit was raised to Rs 250,000 (approximately US$ 5,000). But whereas the ‘creamy layer’ could be defined in this way, it was much more difficult to fix the basic criteria for defining ‘backwardness’. Of altogether 1,133 applications received from various communities during the period from 1993 to 2003, the commission accepted 682 for inclusion in the list of backward classes and rejected 451. In its report submitted in 2004, the commission admitted that it had to base its decisions on inadequate data and often had to fall back on the census of 1931 as it was the last one which contained information on castes. The commission therefore recommended that future census operations should once more provide data on caste affiliations as it would otherwise be impossible to base affirmative action on reliable social data. It is doubtful whether the Indian government will follow this recommendation concerning census operations in view of the political trouble it might cause. Moreover, once it is known why such questions about caste are asked, interested parties would see to it that the respondents answered them in a suitable manner.

The problem of defining the criteria of ‘backwardness’ came up once more in 2006 when the Congress-led coalition government decided to extend the reservation for OBCs to educational institutions. The reservation of government jobs was controversial enough, but educational reservations cut even deeper as far as the career prospects of students from higher castes were concerned. Due to India’s rapid economic growth, many students look for jobs in the private sector rather than for government posts. But whatever job one wants to get, access to higher education is the necessary precondition. Once more the Supreme Court played a decisive role. It asked the government to specify the criteria for OBC reservations. In addition, doctors launched a nationwide strike against this new policy since they are the only group of educated people whose strike really matters. The government stuck to its policy. The political equation is obvious: there are probably about 400 million OBCs in India and their vote will decide the outcome of the national elections which are due in 2009.

In the absence of census data, the National Sample Survey Organization finally supplied some relevant data in 2006 which were based on a sample survey of 125,000 households. According to this, the proportion of OBCs in the Indian population amounts to 41 per cent whereas the Scheduled Castes account for 20 per cent and the Scheduled Tribes for 8 per cent. As far as household expenditure was concerned, the survey showed that in the rural areas the OBCs attained about the same level as the ‘forward communities’ in this respect, whereas in the urban areas these communities were far ahead of the OBCs. Of the members of urban ‘forward communities’ 52 per cent spent Rs 1,100 per month whereas among the OBCs only 28 per cent reached that level.

The politics of affirmative action has certainly strengthened the solidarity of the Other Backward Castes…. The ‘social federalism’ of a caste-based society is also reflected in the pattern of regional parties whose rise was discussed in an earlier chapter. The notions of hierarchy associated with a caste system have vanished from political life where the manifold patchwork of regionally dominant peasant castes is much more important than notions of hierarchy and hegemony. But one particular element of stratification has survived in spite of all affirmative action: the stigma of ‘untouchability’.

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by | 28 September 2008 · 11:53 am

India’s Infrastructure: Bad News, Good News

From India: The Rise of an Asian Giant, by Dietmar Rothermund (Yale U. Press, 2008), pp. 157-160:

Next to airports, India’s seaports require thoroughgoing modernization. The biggest and most famous of them all, Mumbai, has a notorious reputation for terrible delays and incompetent handling of goods. A few years ago, turnaround time was about eight days, regardless of the size of the vessel; this has improved somewhat but even now about four days are required to load or unload a ship. This is due to deliberate negligence as the port earns more by collecting demurrage charges than by any other means. The trick of this trade is the stranglehold which Port Authority labour has on the loading and unloading of goods. In most other ports around the world, the port authority is merely a landlord, providing berths and cranes, etc. but no labour, with loading and unloading done by labour hired by the shipowner or his agent. The port authority with ‘dedicated’ labour is a British legacy. In British ports it may have made sense to retain a labour force specialized in loading and unloading ships, particularly in the past when most of this work was not mechanized. Nobody would have thought that delay rather than speed would be the result of retaining specialized labour. Making money on demurrage charges is, of course, a flagrant example of being penny-wise and pound-foolish. No shipowner in his right mind would enter a port such as Mumbai unless he absolutely has to because it is his destination. Bulk breaking is taking place elsewhere in efficient ports like Singapore or Colombo. Many a ship with only part of its load to be delivered to India would rather call at those ports than enter an Indian port. Jawaharlal Nehru Port across the bay from the old port of Mumbai is supposed to be somewhat more efficient than the old one, but it is first and foremost a container port under the management of the Indian railways and is thus not a direct competitor of the old port. Although Jawaharlal Nehru Port is India’s largest container port, it handles only about 10 per cent of the freight handled by Hong Kong, the world’s largest port of this kind. The inefficiency of Indian ports is not only delaying imports, it is also harming the export trade. In the old days of ‘export pessimism’ this was ignored, but now when producers in India wish to export some of their production to achieve economies of scale, they may give up such plans as their goods get stuck in the port….

The story of Sunil Bharti Mittal, who is now the biggest private operator in this field, is a good example of the rise of the new type of Indian telecom entrepreneur. He is not related to the famous steel tycoon Lakshmi Niwas Mittal, and his rather unusual family name Bharti is made up. His father, who belonged to a caste of traders, married a woman of a higher caste. This inter-caste marriage was frowned upon at that time and the couple adopted the name Bharti. Sunil started making cycle parts in Ludhiana. In 1983 when many imports were still banned, he hit upon the idea of manufacturing push-button telephones and then launched his Airtel brand of mobile phones in 1995. From making phones it was only one further step to acquiring two mobile phone licences and one fixed net licence. Subsequently Mittal expanded his operations and now provides his services in all 23 mobile telephone circles of India in which field he has overtaken the public sector firm BSNL. In order to raise the capital for this relentless expansion he linked up with foreign investors. In 2001 the American firm Warburg Pincus acquired about 6 per cent of Bharti Televentures; later the Singapore firm SingTel and the British firm Vodafone also acquired shares in Mittal’s company, but they are all minority shareholders. Meanwhile Sunil Mittal dominates the Indian telecom scene and continues to win prizes both in his personal capacity as an exemplary entrepreneur and for his company as the best in its field. He has also pioneered broadband connectivity in various fields and is always a step ahead in adopting new technologies. Mittal had started from scratch as an innovative entrepreneur. As he has stated, he was inspired by Mahatma Gandhi’s words: ‘First they ignore you, then they laugh at you, then they fight you, and then they lose.’

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