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PostPosted: Sat Sep 10, 2011 9:49 am 
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(Posts NOT related to weapon manufacturing will be deleted)

Why free-trade theory is useless for India

Some say that free trade reduces possibility of war. That is false. Thaat is like saying that free trade inside country will ensure that we dont need police, courts !! Well, if there is no police, courts -- then someone will always want to rob someone else's labor's output and land. Same way, ...there will be always some people in foreign countries like US..., UK, China, Pakistan etc who would like to rob the mineral mines, waters, lands etc.

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Now for a technologically less advanced country, low custom duty regime kills Military. How? Say we keep low custom duty on electronics etc, then Indian manufacturer wont manufacture them and we will never get skills to manufacture electronics. We need skills to manufacture electronics so that using them we can manufacture weapons. So in order to improve/increase weapons manufacturing , we need to support electronics industry in India and so we need high import duty on electronics items.

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IOW, free trade theory is pretty much useless for weaker country, because free trade can ruin their domestic electronic/mechanical manufacturing industries, and that would weaken weapon manufacturing.

Btw, you might have noted that so called free trade economists always avoid discussion on war, because they know that very analysis of was falsifies ALL their grand theories on free trade. And war is the MOST IMPORTANT of all realities. There will always be wars, and a good theory is good only if it enables us to fight and survive wars.


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PostPosted: Sat Sep 10, 2011 9:49 am 
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The main reason why free-trade bhagats want free trade and low import duties, is that before when there were high import duties and still manufacturing did not pick up due to lack of proper courts, lack of cheap land, red-tapism, high corruption, availability of good standard goods was low, although goods were made but were of poor standards. It seems to me, that this was a trap, first, have a socialist type economy structure with no procedures for lowering corruption and suffocating the middle people. And then suddenly opening up the doors with so called liberalisation, coupled with media hype made the youth support that to a large extent and did not realise that this is all being done to enslave the country and strengthen the hold of MNCs.


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PostPosted: Sat Sep 10, 2011 9:55 am 
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The law we have proposed is 300% customs duty coupled with FULL internal liberalization (all hire-fire, no PF law, no VAT, no sales tax, minimal excise, some income tax, 2% wealth tax , no license quota, no regulation except minimal environmental laws, practically few zoning laws etc) . The maximal internal liberalization will promote growth and freedom. And custom duty will enable manufacturer to make local goods.

Please see the 300% duty in conjunction with drafts mentioned in chapters 1, 5, 6, 21 and 41 of www.righttorecall.info/301.pdf . Will discuss more once you read those.


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PostPosted: Sat Sep 10, 2011 9:56 am 
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pls provide law-drafts that you think will allow 0% customs and also ensure that India manufactures weapons.

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I dont see that because if customs is low, most people will import electronics and engineering goods, and so skills of Indians will never grow, and we will never have weapon manufcaturing.

But I will comment more after you put DRAFTS by which you think weapon manufacturing can increase.

RTR procedures will bring necessary Govt will and will remove restrictions like labor law etc. But still after that, given that skills to manufacture electronics etc dont exist, the per labor output in the beginning will be low, and so customs duty will be needed


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PostPosted: Wed Sep 14, 2011 11:27 am 
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Another thing , I find that non-recallists or anti-recallists care about themselves rather than the country. They say` Why should we pay extra taxes to strengthen the military like custom duty, inheritance tax, wealth tax ?
Arre, if you do not pay for these , the country will get invaded and your wealth will be looted the first, along with 99% of the wealth of the country.
And if you try to protect your wealth individually , one has to spend much much more than what spends collectively on protecting the collective wealth. So, it is both economical and ethical for those with more wealth to pay more than those with less wealth as taxes.


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