The economy deserves the most meticulous and methodical approach in its management. Any sort of adventurism is going to be counter productive. In this context we must know of a couple of the cardinal principles of political economy. First is that the capital must be our sovereign master. It must have smoothest possible run. It must be least burdened with the taxes and be facilitated in the best possible way. Secondly, all citizens must be unrestrained to participate in the capitalist system as stakeholders. In this backdrop we must note that the taxes on the capital is never paid by the capitalists; they are simply passed on to the end users of services and products but in the process the taxes only constrain the capital from working in proportion to its potential. Secondly, welfarism is needed exactly because the capitalism is not allowed to have its free run. My take on the crisis of 1929 is that it was not a capitalist crisis but was the failure of economic management.
- Niraj Kumar Jha