Central Government system : The saga of Punjab's bad luck
It is not possible to create a separate Punjab model of economy under the present Indian system. Why..?
India's economic policy is based on the Government of India Act of 1935. It was totally in favor of the colonial rulers. He was talking about giving Nizam policy. But Nehru and Patel rejected it, and adopted a strong center policy.
The present economic system is based on the policy of centralization much more than the Act of 1935. Under this policy, its main objective is to maintain economic equality in all the states. So the tax received from the rich state is spent on the poor state. For
example, if 100 rupees are deducted from Maharashtra, they get back 35 rupees, on the other hand, UP gets 142 rupees from the center in return for 100 rupees tax. You can understand why, despite being geographically better located, lags behind Madras, Mumbai, from Hong Kong, Singapore etc. (China solved this in 1978 through one country two system, That is why the laws in Shenzhen etc. are a little different, in 1965 India also tried to make it a kandla free zone). Annual revenue deficit grant is being given from central system. With the rest of this set up, no state, no municipality or panchayat can come up with a development plan according to the needs of the people.
The state government may collect a small amount of tax from gambling, alcohol, mining, road tax, oil or land revenue (which is also likely to be centralized soon). This has a partial effect on the budgets of the state governments. At the very least, stop leakage (for which the Center is now bringing in a law) and provide good law and order to the people, but cannot bring any major economic change in your life, it is in the hands of the Center strategically. Also tactically (through the Planning Commission). So in order to create any Punjab centric model, first of all you have to have economic freedom. Yes, the money that is being deposited in our banks, the capital that our people are investing in mutual funds, everything is being invested in large quantities in other states of India. Employment is generated. Capital investment of Rs. 800 per capita is being made in Punjab, Indian average is Rs. 6000 per capita, investment is Rs. 14000 per capita in Goa. So brothers Saving for our but productive use it has been in other states. It is a big loot from water and has been going on for the last fifty years. You can also read, federalism, nationalism and development, Routledge publications).
Not only this,
if Punjab's population is the currency then where this capital outflow will stop then due to tourism and NRI inflow the value of the currency against the dollar will be more than rupee today. Will meet at the original.
Today it is a major cause of depreciated currency migration (although due to the large difference in PPP value and traded value, Canada-Australia approach only understands that four or five thousand dollars does not have the purchasing power of two and a half million). Can get employment in Punjab only according to income aspirations rather than migration. Many more can be borrowed.
So if any economist speaks of the new economic model of Punjab under this policy without talking about self-determination then he is either ignorant or is misleading you.
~ Ajaypal singh brar, Shamsher singh