Wednesday, May 31, 2006

Penureniac

We had a debate?

First of all, let us bask in the sunlight of our own self-approval.

On April 27th, we issued an investment advisory. On May 18th the SENSEX crashed by 826 points. The markets continue to remain shaky, the Rupee charts new lows every day. Apparently the central bank is doing all sorts of things to prevent it from falling further.

On May 19th, we analysed the possible outcomes while the GoM deliberated on the quota row. There was widespread optimism and even some statements from the Government that they were seriously considering a 9+9+9 formula. We were pretty much right on. As we had predicted, the Government announced and is widely expected to go ahead with the 27% reservations in all premier institutes in one fell sweep sans the creamy layer exclusion.

Dilip D'Souza laments that we didn't have a sane debate, with anti-reservation folks using foul language etc. Well, a debate is when both sides are willing to listen (*). A debate is when instead of subjecting the dissidents to lathi charge, you actually work out a solution, not merely hand them a piece of paper with no name on it. So, what we have here is exactly what we had last week, i.e. the same 27% reservations with which we started. Which is the way Arjun Singh wants it. Well, he gets it. What debate?

Actually, once they annouced the 27% quota, there was no going back without losing all the electoral advantages. Promise a toddler a full choco bar and try making him accept one third choco. Creamy layer - same story. If the creamy layer exclusion is implemented, Government will lose support from the powerful OBC lobbies.

So, what happens to the 53% increase in seats? Well, that's another story. As realitycheck points out, the Government will try to pull one over our eyes. The entire Tughlaqian proposal of increasing the seats at a cost of over Rs. 12,000 crores can not possibly be completed in a year. It seems, the medicos may be the least affected after all. As it is they have a few hundred seats and even doubling the capacity will not be a big strain. IITs and IIMs are a different story. Apart from one or two IIT/IIMs (which have undergone expansions recently), the others are severely resource constrained, both from infrastructure and staffing point of view. It is our estimate that at best the number of seats can be increased by an over all 10% in a year. This 10% will not be prime seats. Seats added to JNU can not be counted as seats in IITs or IIMs. A new IIM will not really equal its already well established peers, not in its first year of operations.

Although realitycheck remains optimistic, we do not think the SC intervention will amount to much. When you have a constitution that does not know how to protect itself from illiterate ministers, the SC hardly has any power. Besides, it is not a problem that can not be fixed.

.... the rally also sought reservation of equal percentage of seats in both houses of Parliament for OBC candidates. As for reservations in high courts and the Supreme Court and co-operative bodies, the leaders did not specify the percentage of quotas.

Here is what will happen in the coming few months: The ministers will mostly stay out of the country and out of reach. PC doesn't have much of a choice, he will be stuck defending a falling Rupee. They will commission various studies, leak bogus reports about capacity expansion and wait out the summer. Come next session, the tired students will get too busy to protest. To get a taste of how the creamy layer will be dealt with, here is a revealing comment from Abi's blog:

I want the creamy layer to be defined on the education level and job of the parents and not on economy alone. Any criteria based on economy is going to be a failure in a country where we do not have a reliable way to find the income of those who don't get a salary.... (hey... Yess....... I hear some one telling that even among the salaried class, there are few who earn more under the table than the pay cheque !!!!)
- Dr. Bruno.

We do not rule out a constitutional amendment to further define the creamy layer.

Now, with all this, the opposition will not have much of a choice, will it? Don't be so sure. We predict that a game of reservation-chicken will soon start between various parties. The one who gets the most percentage reserved, wins.

(*) Actually, as far as we are concerned, we fundamentally oppose quotas of any sort. Case closed.

Tuesday, May 30, 2006

With leaders like this

Leaving the country in a total turmoil, Hon'ble minister of Human Resource Development has gone on a pleasure trip to Saudi Arabia. I guess the quota issue has already been settled.

Details are here.

Monday, May 29, 2006

Just another BRIC in the wall

BRAZIL: Mostly left-wing Government finally opening up the economy even more.
RUSSIA: Communism has fallen, problems still persist.
...............

CHINA: The industrial/services sector operates in an insular virtual capitalist environment.



INDIA: Becoming rabidly communist. A bunch of intellectuals with dubious ideas on economic development have hijacked the media.

Why the farmers commit suicide

Well, Dilip D'Souza thinks that the privileged folks are directly responsible for this. There is a grain of truth in that, we will come to that.

Consider this. Agriculture accounts for less than 1% of the GDP of the United States (by the way, it is not because US imports most of its food. It has surplus Corn and Wheat production). Most advanced economies have figures in low single digits. In India, the share of agriculture has fallen from 55% in 1950 to barely 20% as of 2005. The reason is simple: you could only eat so much. Also, agriculture has become remarkably efficient over the years.

The Government insists on giving unsustainable subsidies to farmers while brutalizing the service sector and the industries. It takes 89 days to get a permit to open an industry in India compared to a few days in Australia, China and 49 days in our neighboring Pakistan. Even Sri Lanka and Bangladesh have better figures. The agricultural subsidies are a net drain on our economy.

The problem is, agriculture employs most of the vote bank. It would be political suicide for any parties to reduce incentives. But what they could do is incentivize the small scale industries and open up retail and service sectors. We could have done this long ago, instead of megalomaniac dreams of creating humongous steel plants. We could have easily got on to the small scale and semiconductor manufacturing bandwagon. We coulda been a contender.

But the politicians (the real privileged class of India), would have none of that. Instead of welcoming Wal-Mart with open arms, they are busy sharing the loot.

People like Dilip D'Souza are barking up the wrong tree.

Co-Blogger wanted

No, not for this site, not immediately anyway.

Looks like The Other Idiots blog is now left with only two bloggers: Amar Akbar Anthony (AAA) (founder) and Dilip D'Souza (whose profile we covered here).

The increasingly loony stance (*) of AAA has driven away most of the other bloggers. Abi hasn't written any article recently. Annie is unlikely to want to get her nose rubbed again. Anand, Vikrum, Uma and Pablo went back to where they came from. There is a new dude, Rajshekhar. Whatever.

Dilip D'Souza quotes from an article about the relative strengths of India vs. China. He admits that the topic has been discussed so much that it is yawn inducing. Needless to say he picked this one out because it gave him some food for his communist beliefs.

He picks out two paragraphs from the said article. The first one contains the words elitist, egalitarian, higher caste and has this statement:

India's leaders have largely represented the interests of the highest castes in a very stratified society. Growth has not been as important as preserving the elite's privileges.

The second one contains this statement:

As India's investment environment improves, however, capital will become more abundant and, rates of return will fall. In other words, to sustain higher rates of economic growth, India must paradoxically become a less efficient user of capital.

Please discuss.

Meanwhile, the Supreme Court has finally stepped in. For full coverage, please check out blogger RealityCheck's post.

(*) Check this out. Also, see here, AAA has been internalizing stuff from other people.

Sunday, May 28, 2006

Year 2010: And the #1 destination for IT/BPO is ....

Year 1981: Seven young software professionals set up a small outfit, using their own money. One of them reportedly pawns his wife's jewellery. India is a land of darkness. Its abysmal rate of growth is termed the Hindu Rate of growth.

Year 1991: Faced with the prospect of default and a balance of payments crisis, India is forced to open up the economy acting on a directive from IMF as a pre-condition for a bailout.

Year 1992: That young company goes public. It is called Infosys.

Year 1999: The y2K phenomenon coupled with many IT/BPO outfits leads to unprecedented growth in the sector. India may have already put its murky past behind or has it? Infosys gets listed on NASDAQ.

Year 2004: Unprecedented growth in the IT/BPO sector. By some estimates this sector grows at over 25%. Already the young sector is about 3% of the country's GDP, slated to reach as high as 8% by 2008. Infosys reaches $1 billion in revenue. Resentment sets in the minds of many who missed out. They are fed misinformation. Apparently Infosys stole money from them to grow rich. The incumbent party is overthrown in general elections. A motley crowd of communists, casteist zealots and communal supremacists seize power.

Year 2005: Former Prime Minister and Karnataka's leader Deve Gowda launches a vicious attack on Narayana Murthy. There is a huge backlash against IT/BPOs. Many leaders attack the IT industry. The internet is abuzz with rhetorics such as "code coolies" hurled against IT/BPO staff. Many IT/BPO firms look for greener pastures elsewhere. Infosys has already opened offices in China, Philippines. In December the parliament contemplates a law which gives the state unlimited power to give away educational seats as they please, no questions asked. A neighboring country wonders why is it missing out on the IT/BPO stuff?

Year 2006: The constitution is duly amended and laws are enacted. Arjun Singh launches a salvo against the whole knowledge community, he is hell bent on implementing 27% reservations for OBCs, a loosely coined catch all phrase. The country is in flames. It is practically a civil unrest. Government refuses to budge. Commerce and Industry minister Kamal Nath gives an ultimatum to industries to implement quota in 2 year's time.

Year 2007: The quota is implemented. The country gets divided along caste-lines. There is massive resentment among folks on both sides. In IITs, there is a long line in front of the toilets every morning. Many students give the breakfast a miss in the mess hall. The breakfast isn't worth the lines reminiscent of bread lines in Warsaw. At AIIMS, New Delhi cafeteria, a Brahmin student from a middle-class family watches a stunning dusky girl in skin hugging jeans speak with her family in Chennai on her latest PDA-phone. Her father is a minister in TN. She drives a Honda City to college. She got her admission through the OBC quota.

Year 2008: There is an immense pressure to change the format of IIT-JEE. Apparently the exam has a huge casteist bias. Government announces 22.5% quota for SC/STs and 27% quota for OBCs in all private sector companies, to be strictly enforced by a myriad of commissions.

Year 2010: The companies desperately look for a country that has a strong English speaking population, relatively young demographic and hospitable to the private sector by miles. They finally find this country. They didn't have to look far.......






















References:


Wikipedia: Hindu rate of growth
Wikipedia: Infosys
Deve Gowda lashes out
Indians to train Pakistan BPO staff
Pakistan appeals to Bush for BPO dollars
2004 Elections

Note: The map of Pakistan as shown here is the official Pakistani version which shows parts of Kashmir in Pakistan, which India strongly disputes. We apologize if it hurts sensibilities but let us point out that after Infosys and many other companies move their headquarters to Karachi, this discussion will become merely academic.

Saturday, May 27, 2006

Mamma will give you a free seat

We have good news for our readers, The Other Idiots site is back up online. If there was any point in the site update aside from the absence of a lot of old comments and random changes in urls (which screws up some of our earlier posts), we failed to see it. To be fair, they have started publishing our comments along with the url. Boy, are we grateful.

We will shortly begin analysing and discussing their recent posts.

It appears that the head honcho of the site, Amar Akbar Anthony, needs some gripe water. Here is a sample from him:

No Mr Confused, you are living under my dictatorship. My name is Adolf Hitler II. You are a Jew who will soon be exterminated. Don't Panic. (*)

In his most recent post, he virulently attacks the anti-reservation activities of, get this, two toddlers. Yep, that's right. He goes ape-shit at two tiny tots. At this point we do not know how to react to this. We will discuss the issue with a paediatrician.

(*) The invective was directed at blogger confused.

Wednesday, May 24, 2006

Unforgiven

Big man, pig man, ha ha, charade you are
You well heeled big wheel, ha ha, charade you are
And when your hand is on your heart
You're nearly a good laugh
Almost a joker
With your head down in the pig bin
Saying 'keep on digging'
Pig stain on your fat chin
What do you hope to find?
When you're down in the pig mine
You're nearly a laugh
You're nearly a laugh
But you're really a cry.

Tuesday, May 23, 2006

The War Against Reservations: End of Round I




The world has changed. We have been dealt a massive blow by ideological terrorists.

Here is a resource to help you cope with the loss: Coping with the aftermath.

We will be back.

How imminent is a genocide?

The Romans in full view of the crowds in the Coliseum were going to feed a Jew to the lions. When it got close, the Jew bit it. It yelped and ran away. From the stands of the Coliseum, someone screamed, "Jew, Fight Fair!"

There are 50 Sulabh Shauchalayas (public toilets) in Delhi; all of them are cleaned and looked after by Brahmins.

What do they want from us? When Joseph's Tomb was ransacked, the yeshiva and synagogue burned to the ground, Jewish holy books desecrated, and Jews barred entry to this holy site, Israel set up a roadblock. Someone from the Coliseum screamed "Jew, Fight Fair!"

Did you know that you also stumble upon a number of Brahmins working as coolies at Delhi's railway stations? One of them, Kripa Shankar Sharma, says while his daughter is doing her Bachelors in Science he is not sure if she will secure a job.

When Arabs tried to kill Jewish worshipers at the Western Wall and banned Jews from visiting the Temple Mount, the site of the JEWS' first and second Temples, Israel again set up roadblocks, and someone from the Coliseum again screamed "Jew, Fight Fair!"

You also find Brahmin rickshaw pullers in Delhi. 50 per cent of Patel Nagar's rickshaw pullers are Brahmins.

When a sniper intentionally targets a baby and kills Shalhevet Pass in cold blood, Israel destroys a few buildings. From the Coliseum, someone screams "Jew, Fight Fair!"

This reverse discrimination is also found in bureaucracy and politics. Most of the intellectual Brahmin Tamil class has emigrated outside Tamil Nadu. Only 5 seats out of 600 in the combined UP and Bihar assembly are held by Brahmins -- the rest are in the hands of the Yadavs.

A family driving home from Jerusalem was targeted; the mother and father shot to death and children seriously injured, and Israel "retaliated" by setting up an army lookout at the spot. This lame response only drew a louder "Jew, Fight Fair!!"

The study also found that 55 per cent of all Brahmins lived below the poverty line -- below a per capita income of Rs 650 a month. Since 45 per cent of the total population of India is officially stated to be below the poverty line it follows that the percentage of destitute Brahmins is 10 per cent higher than the all-India figure.

Sources:
Jew, fight fair!
Are Brahmins the Dalits of today?

Day 10: Kill your inner socialist

The reservation protests are spreading like wildfire. Medicos in New Delhi, Chandigarh, Assam, Baroda and elsewhere have joined the protests. Engineering colleges have jumped in too. Engineering students can get quite nasty. We urge you to exercise restraint.

Meanwhile a petition has been filed which seeks to declare the ongoing strike as illegal, by who else? The Scheduled Castes and Scheduled Tribes Medical Association. We covered why we believe that the doctors have a right to strike.

Yo dudes, give the country back all the hours of productivity lost so far in protesting for your upliftment first. Actually it could add up to quite a bit and save a few million Dalits, give or take.

Long ago when I joined a large corporation, I had to go through an induction program. Part of it consisted of watching short video clips followed by a discussion of corporate philosophy.

On of the shorts showed a young man walking along a sea-shore. He would pick up fish that had been swept ashore and throw them back into the sea, one by one. At this point the instructor stopped the video and asked us what we thought. I said, I had a strong urge to eat fish fries. I almost lost my job for that remark. The correct answer is of course, it helped that one fish. A lot of pro-resevation folks are using this line of argument. The problem is, reservations help just one big fat Dalit. Not the scrawny hungry dude you would like to help.

A big revolution is taking place. If it is successful, maybe, just maybe we will shake off our socialist past and surge ahead as a nation. But the media is busy covering cricket matches. Someone went out for a duck. Big deal. The quota system is the biggest duck ever thrown at our faces.

Monday, May 22, 2006

Quota bewilders foreigners

The reservation fiasco has foreigners completely baffled. This is a crisis of national proportions. Given that the media is typically socialistic in most countries, it could be expected that they would cheer for it with all they got. But so far we had one cautious piece from the Economist which we covered here. Yahoo gave it some coverage. Business Week ran a feature too. This feature is so extremely confusing that we did not even read it. An example passage:

He suggests converting the caste system back into a guild system, encouraging those with traditional skills to pursue them. "Caste's positive aspect should be the basis of India's competitive strength in manufacturing," he says.

Hello?

The most affected are foreigners in India. Unable to decide which side to bat for, many are depressed. Some have reached conclusions. Here is a blog post by Peter Foster, Daily Telegraph's South Asia corrspondent:

Has India gone bonkers?


I guess being a Brit he knows how to cut though the South Asian crap (they did it for several centuries) and absorb the salient points.

So, here is a sample conversation between a pro-reservation guy, an anti-reservation chap and a foreigner.

Pro: Reservation is just affirmative action. This Brahmin is a jerk. Won't let me work.
Foreigner: Affirmative Action is good. Definitely good.
Con: But quotas are not AA ... there are a lot of diff.. (his voice is drowned by Pro's shouts).
Pro: He discriminates against me, he won't even touch me.
Con: Why do you want me to touch you? That's so gay.
Foreigner: (accusatory tone at Con) Bad doggie.
Pro: (now shouting at the top of his voice) See! Foreigner supports us! Affirmative Action must be implemented.
Con: (somehow manages to shut Pro up by putting his hand across Pro's mouth): But it is 50%.
Foreigner: Eh? What?
Con: (barely able to contain a struggling Pro) It is 50% of all seats in colleges, jobs. Sometimes it is even more than that.
(at this point Pro breaks free and starts beating Con)
Foreigner: (confused and breaking into a sweat) Oh my goodness.

As a matter of fact many foreigners could hardly conceal their glee when the full situation including the student unrest etc. were explained to them. A full-scale civil strife in India would mean many IT/BPO jobs would come back home and it means a lot.

Have some pizza

Note: Veggies, please excuse us. No offence meant.

Here is a funny piece of stat:

The Cut off for MBBS Course in Tamil Nadu (link):

Open Quota: 296/300
BC: 295/300
SC: 294/300

What's wrong with this picture? Well, the last person to get a seat in any category has scored nearly 99% marks! People do not see a problem with that. Apparently this stat is being used as the great reservation success story! I guess pretty soon everyone will become a brain surgeon in TN. This is what is expected to happen to IIT-JEE after they open the doors. Everyone will become rocket scientists. See, problem solved.

Well, I am telling you it was already there. A whole Act was made, the Constitution was amended and the Prime Minister was fully aware of what this is going to mean. Actually, he had a meeting in which OBC leaders were called to convince them that this would give them the desired advantage. And they should, therefore, support this resolution. And at that meeting, he himself talked to them. Now, how do you say that he was unaware?

IIT students join protests

The nation is rocked by protesting youth. There is not enough media coverage.

Check out this photostream.

Most unfortunately The Other India site is down for sometime, presumably for maintenance. Must have patience. This is a bit worrying, we suspect they will screw up our previous articles that heavily link to their blog, not to mention fix the parts that we mocked.

How the f*** I am funny?

Ok, who is the funniest?

Kamal Nath (Minister for Commerce and Industry): But when, over these last 50 years, something is not happening, it is imperative for us to address it. There are many things, which have not happened.

Arjun Singh (Minister for Human Resource Development) : What do you mean by college seats?

P Chidambaram (Finance Minister): Volatility is caused by selling.

Let us tell you what causes volatility. It is when you piss all over the supply-side, by presistently threatening them with dire consequences, taxes, more and more regulations and by sending strong signals of a possible reversion to socialism. Good luck with the damage control.

Blame it on the constitution

Notice to readers: We will not provide a full coverage for the much awaited Arjun Singh interview on Devil's advocate. Our analyst refused to unscramble the mumblings of a blathering idiot. Besides the transcript itself is full of typos. Blogger RealityCheck has a full coverage here.

To read the transcript, please click here.

Some quotes:

I wouldn't like to go behind all this because, as I said, Parliament has taken a view and it has taken a decision, I am a servant of Parliament and I will only implement. (As barbarians, we can only mock).

College seats, I don't know. (In answer to what percentage of college seats are currently occupied by OBCs).

If they (reservations) are not working, it does not mean that for that reason we don't need them.

I don't think the perceptions of modern society fit India entirely. (He doesn't fit the perception of a human being at this point).

You are accusing me only. No one else is being accused. (Rings a bell? Click
here (*)).

So, this freak does not know anything. Blame it on the constitution.

(*) That other person has been relegated to the dusty back-pages of forgotten history. Can we hope for the same fate for this - er, dude (**)?

(**) Our analyst had typed out a very unparliamentary expression here, which we edited out.

Sunday, May 21, 2006

The doctors have a right to strike

As expected the politicians and communist(*) bloggers have started invoking the Hippocratic oath to criticise the doctors' strike.

Now, let us examine some parts of the oath. Here is the oath in its classical version. As you can see, this version of the oath by virtue of the rejection of abortion and gays would not cut it in the modern world. Therefore, a modern version is used today.

Salient portions:

I will respect the hard-won scientific gains of those physicians in whose steps I walk, and gladly share such knowledge as is mine with those who are to follow.
...............
I will remember that I remain a member of society, with special obligations to all my fellow human beings, those sound of mind and body as well as the infirm.

It is clear that the oath suggests that the doctors have a right to use their own judgement when they feel that the action or actions of certain groups is causing harm to the society as a whole.

Do peruse the site at your leisure. You will see that many doctors reject the oath in whole or part. Now there are two ways to look at it.

(a) Doctors are special. Hence they have special rights as well as special responsibilities. If this is the case, clearly as a whole you can not reject their judgement as to the critical selection process of medical colleges.

(b) Doctors are not special. If so, then certainly they do have a constitutionally protected right to strike.

As always, ministers are selectively using the above two. As far as striking is concerned, it is illegal since doctors are special. As far as reservations go, they are not special and hence have no judgement over marginally literate (**) ministers in the critical selection process. Let us remind our readers that doctors in all parts of the world, including Germany have struck work recently.

(*) Paradoxically, the roles of the communists and barbarians seem to have been reversed in their assessment of the strike. This is because it is an ideological war.

(**) With due respect to the readers who object to our use of profanities for our corrupt ministers, we adopt a no holds barred policy from now on. Enough is enough.

Saturday, May 20, 2006

Watch this video and weep

Pro and Anti-Reservation groups clash

Of course, quite predictably, the Pro-Reservation groups (basically thugs brought in by the truckloads by leftist parties) beat the crap out of the Anti-Reservation camp.

If you get the feeling like your favorite basketball team lost, don't blame yourself. Although CNN-IBN didn't elaborate, here is what happened: IITD and JNU students started a candlelight vigil protesting reservations. Pro-reservation thugs barged in and went on a rampage. No contest.

We also got censored at dcubed, one the many blogs maintained by Dilip D'Souza. We will run his profile soon.

Friday, May 19, 2006

Slicing the pie

The four-member Group of Ministers, which went into the quota issue in the wake of the agitation by medical students, will submit its report to Prime Minister Manmohan Singh on Saturday.

Scenario 1 is the current situation. The GoM has two choices really.

Option 2: OBCs and GC students are adequately appeased. OBCs get 27% seats based on current capacity, which comes from an added capacity of 27%. Note that this scenario violates the current accepted percentages promised - OBCs get only 21% of the total seats and SC/STs get about 18% for free.

Option 3: Capacity is increased by about 53%. SC/ST and OBC groups get their 22.5% and 27% free seats as promised by the "constitution". GC students keep their absolute number of hard earned seats.

Our house punter is on leave, so we won't make a bet.