Recently illegal immigrants from India have been flooding the borders. Ever since certain south American countries have relaxed their border laws, thousands have used this pipeline to sneak through the U.S. southern borders. In the past 3 years 2600 Indians have been captured crossing the border, up from just the typical couple hundred. They are the 4th largest immigration group in the U.S. Human smugglers are also helping the process because they can typically get more money from the Indians. Even though India is economically secure, it is culturally significant for an Indian to travel abroad. Especially in certain locales, it is almost tradition in certain areas for Indians to immigrate abroad. By moving to the Western states, they are elevating their status. When they are caught, many claim asylum do to religious persecution of the sikh religion in India, but asylum isn't usually granted because that hasn't been an issue since the 1980's, and in fact the president is a sikh.
This article was kind of surprising to me at first because it seems strange that Indians would want to immigrate away from even financially secure homes, but it turns out it is a regional tradition. It makes me wonder whether as India's global status continues to increase whether this kind of cultural thought process will disappear. When they come here, the immigrants generally take on jobs like taxi driving and farm labor, often making less than what they did at home, but they gain the status of living in the west, and eventually the start making more. I guess I never thought of that as a push for people to immigrate, but I imagine that in some ways it is similar to how American college students are encouraged to study abroad, or how many nationalities come here on foreign exchange programs. For now it seems hard to determine whether this is an increasing trend, or just a spike do to the relaxing of certain south American laws, but hopefully, for their sake, the Indians can learn that their own country is doing quite well enough.
"More Illegal Immigrants from India crossing border." USA Today. <http://www.usatoday.com/news/nation/2011-07-17-illegal-immigration-indians_n.htm?csp=34news>
Sunday, July 17, 2011
Thursday, July 7, 2011
Post 7
According to the Economic Times the Indian economy could see as much as a 4.9% increase in economic growth if they had equal opportunity for women. It seems that even though the UN recently praised India for its democracy there are still low numbers of women in key economic areas, and that 63% of women don't have much say in household matters. Even though they are constitutionally equal it seems that many don't know their rights and even though there have been some women in political power, they are virtually nonexistent in the judicial area of India.
Other sources though seem to suggest that female contribution to the workforce is impressive, even accounting for 30% of the software industry (Indian population is about 50% women) but that Women are still behind men in education enrollment and success. They also don't have very many property or land rights. It is believed that women were once equal with men in ancient times but that Islamic influences deteriorated their rights and freedoms in the medieval ages. There were some demoralizing practices such as killing wives with their husbands, and in some areas covering women up and limiting their movement. Now the Indian president is a Women, so many great strides have been made and I think that it is a sign of a positive future for India as a rising first world nation.
Other sources though seem to suggest that female contribution to the workforce is impressive, even accounting for 30% of the software industry (Indian population is about 50% women) but that Women are still behind men in education enrollment and success. They also don't have very many property or land rights. It is believed that women were once equal with men in ancient times but that Islamic influences deteriorated their rights and freedoms in the medieval ages. There were some demoralizing practices such as killing wives with their husbands, and in some areas covering women up and limiting their movement. Now the Indian president is a Women, so many great strides have been made and I think that it is a sign of a positive future for India as a rising first world nation.
Saturday, July 2, 2011
Post 6
The other day high ranking U.S. and Indian economic officials met at the 2nd annual India-U.S. Financial and Economic Partnership. Attendees included India's chief economic advisor and head of the Indian reserve bank. The U.S. was represented by the Fed Chairman and the Exchange commission chairwomen. The purpose of the meeting is to discuss mutual regulatory policies. They discussed economic problems both countries are facing, as well as infrastructure investments needed in India, but no resolutions were passed. Nonetheless the meeting shows that both sides are eager to strengthen economic ties. Outside of the official meeting, Indian leaders worked to reassure American investors that the current economic slump was an aberration and that the economy was on the right track. Investors are still worried that the current leadership will not be able to pass the necessary reforms to allow the country to grow.
Indian Banking Emerged in the late 1700s but the oldest existing bank is the Bank of Bengal. During the American Civil War the US supply of cotton to Europe fell, so Indian Banks opened to finance trade with Indian cotton instead, but due to high speculation most failed. Since then until the 1900s banking was relegated to Europeans. In the 1900s India enjoyed relative stability and small banks popped up to serve ethnic and religious communities. After the Indian Independence, the government took measures to hold an active role in the economy, including the creation of a reserve bank, and various regulations. Then they nationalized the 14 largest banks so that the gov. could control credit. Only recently, in the 90's has the government started to relax its control on banking, allowing private banks to be established again, and this influenced a retail boom, and the economy has been strong since then. Now the banking system is considered quite mature. The Indian Fed reserve was established no that long after the US.
Wikipedia
Islam, Frank. "US investors seek hassle-free entry into Indian Economy." The Economic Times. 2 July 2011. <http://economictimes.indiatimes.com/news/economy/foreign-trade/us-investors-seek-hassle-free-entry-into-indian-economy/articleshow/9071165.cms>
Indian Banking Emerged in the late 1700s but the oldest existing bank is the Bank of Bengal. During the American Civil War the US supply of cotton to Europe fell, so Indian Banks opened to finance trade with Indian cotton instead, but due to high speculation most failed. Since then until the 1900s banking was relegated to Europeans. In the 1900s India enjoyed relative stability and small banks popped up to serve ethnic and religious communities. After the Indian Independence, the government took measures to hold an active role in the economy, including the creation of a reserve bank, and various regulations. Then they nationalized the 14 largest banks so that the gov. could control credit. Only recently, in the 90's has the government started to relax its control on banking, allowing private banks to be established again, and this influenced a retail boom, and the economy has been strong since then. Now the banking system is considered quite mature. The Indian Fed reserve was established no that long after the US.
Wikipedia
Islam, Frank. "US investors seek hassle-free entry into Indian Economy." The Economic Times. 2 July 2011. <http://economictimes.indiatimes.com/news/economy/foreign-trade/us-investors-seek-hassle-free-entry-into-indian-economy/articleshow/9071165.cms>
Thursday, June 23, 2011
Post 5
In recent news the India currency, the Rupee has fallen in value for the second day in a row as investors pull over $300 million from the country this month. This is due to falling trust in the growth of the global market, especially after the U.S. Federal Reserve lowered its expectations for global growth.
The Rupee
The Rupee is the Indian currency and the "cents" are called paises. At the end of the month all cent denominations below 50 paises will cease to be legal tender. This is similar to the argument you may have heard a while ago about getting rid of pennies since they are basically worthless. I don't think this is the same as the south american nation (i can't remember at the moment) that changed its denominations every few years to mask its rampant inflation, but it is interesting nonetheless. The exchange rate for India is on the order or 45 rupees to 1 dollar, so you can imagine that 1 paise is probably just about worthless like our penny.
India was one of the first to use coins and the Rupee was based on the silver standard since the 1400s when it was introduced. This had a negative affect in the nineteenth century when the worlds larger nations were on the Gold standard and new silver deposits reduced its value. Several attempts were made to change this but only recently was it taken away from any mineral standard.
Wikipedia
Varma, Anil. "India Rupee drops on concern global economic growth will falter. <http://www.bloomberg.com/news/2011-06-23/india-rupee-drops-on-concern-global-economic-growth-will-falter.html>
The Rupee
The Rupee is the Indian currency and the "cents" are called paises. At the end of the month all cent denominations below 50 paises will cease to be legal tender. This is similar to the argument you may have heard a while ago about getting rid of pennies since they are basically worthless. I don't think this is the same as the south american nation (i can't remember at the moment) that changed its denominations every few years to mask its rampant inflation, but it is interesting nonetheless. The exchange rate for India is on the order or 45 rupees to 1 dollar, so you can imagine that 1 paise is probably just about worthless like our penny.
India was one of the first to use coins and the Rupee was based on the silver standard since the 1400s when it was introduced. This had a negative affect in the nineteenth century when the worlds larger nations were on the Gold standard and new silver deposits reduced its value. Several attempts were made to change this but only recently was it taken away from any mineral standard.
Wikipedia
Varma, Anil. "India Rupee drops on concern global economic growth will falter. <http://www.bloomberg.com/news/2011-06-23/india-rupee-drops-on-concern-global-economic-growth-will-falter.html>
Sunday, June 19, 2011
India
In recent news, the Indian government has tightened the economy again to try and control inflation that has hit more than 9% recently. This week was the 10th interest rate hike of the past 16 months. Businesses are concerned the policies could hurt growth and new investments, and think that some reforms such as in infrastructure, banking, and the fuel sector are the only way to fix the problems. It seems that India's economy has been losing a little bit of steam in the last year.
This article touches on some of the problems the Indian economy faces. In addition to infrastructure problems discussed last week, it is also constrained by corruption, red tape, and many controls. Also it faces $230 billion in debt, much less than the U.S. but still significant to warrant aid and borrowing. According to the economist, it is obvious that India's growth comes from private companies and a strong workforce, not from government direction like in China. It is a certain type of democracy that has enabled the freedom for growth but has done little to support it. Often the burden of providing clean water, backup electricity and transportation for workers falls on the individual corporations. Because of the governmental problems, China will continue to outstrip India in the global market, but India will be strong through knowledge based products (such as software and technology) especially as those things grow in importance.
"India's surprising economic miracle." The Economist. Sep. 30th, 2010.
Panchal, Salil. "Busines rounds on Indian Government over economy." <http://www.google.com/hostednews/afp/article/ALeqM5j3xPWBIaKsZKT8LtIxO0N1LE1Jgg?docId=CNG.69ead26989f7f2ebf65544104f3b136c.6a1>
This article touches on some of the problems the Indian economy faces. In addition to infrastructure problems discussed last week, it is also constrained by corruption, red tape, and many controls. Also it faces $230 billion in debt, much less than the U.S. but still significant to warrant aid and borrowing. According to the economist, it is obvious that India's growth comes from private companies and a strong workforce, not from government direction like in China. It is a certain type of democracy that has enabled the freedom for growth but has done little to support it. Often the burden of providing clean water, backup electricity and transportation for workers falls on the individual corporations. Because of the governmental problems, China will continue to outstrip India in the global market, but India will be strong through knowledge based products (such as software and technology) especially as those things grow in importance.
"India's surprising economic miracle." The Economist. Sep. 30th, 2010.
Panchal, Salil. "Busines rounds on Indian Government over economy." <http://www.google.com/hostednews/afp/article/ALeqM5j3xPWBIaKsZKT8LtIxO0N1LE1Jgg?docId=CNG.69ead26989f7f2ebf65544104f3b136c.6a1>
Saturday, June 11, 2011
Post 3
According to "The Hindu" the U.S. and India are set to have economic related talks within the next month. Started by Obama this will be the second Economic and Partnership meeting since 2009. The two big topics expected to be addressed are defense and visas. The U.S. is concerned about India's interest in fighter jet contracts with other countries even though India has already bought numerous other defense products from America.
The second topic the nations hope to iron out is regarding visas. Indians make up about 44% of inter company transfer visas, and over 6.5 million Indians traveled to the U.S. last year, but there are accusations that Indian companies are misusing the visas.
I think this is an interesting article as it indicates the significant level of India's economy and its impact on U.S. concerns. The U.S. is worried about India's defense spending and contracts, hoping to get a slice of the pie. It seems that India is worried about getting too deeply involved with U.S. military contracts. Further more it is worried about the impacts of so many businesses and there visa practices. Indian travel to America has also been growing, increasing 8% since last year.
Lakshman, Narayan. "Focus on economics in upcoming India-U.S. meetings" The Hindu. (online version of India's National Newspaper). 6/12/2011
The second topic the nations hope to iron out is regarding visas. Indians make up about 44% of inter company transfer visas, and over 6.5 million Indians traveled to the U.S. last year, but there are accusations that Indian companies are misusing the visas.
I think this is an interesting article as it indicates the significant level of India's economy and its impact on U.S. concerns. The U.S. is worried about India's defense spending and contracts, hoping to get a slice of the pie. It seems that India is worried about getting too deeply involved with U.S. military contracts. Further more it is worried about the impacts of so many businesses and there visa practices. Indian travel to America has also been growing, increasing 8% since last year.
Lakshman, Narayan. "Focus on economics in upcoming India-U.S. meetings" The Hindu. (online version of India's National Newspaper). 6/12/2011
Friday, June 3, 2011
Blog week 2
In recent news, it has been estimated that India will grow to be the world's 3rd largest economy by 2030. It is now at $1.4 trillion but estimating from its trajectory, businessman Mukesh Ambani says it will be $30 trillion in just 20 years.
Short history lesson. India was controlled by the British Empire until 1947, when Ghandi helped to peacefully gain its independence. But not long after internal conflict resulted in the splitting off of Pakistan. The two nations have been at war since, and it has led to both nations experimenting with nuclear weapons. Despite overpopulation, extensive poverty and corruption, India's economy and world status continue to grow. It is currently on the UN security council.
India's economy has been steadily increasing since it shifted to a more open market in the 1990's, with privatization of many industries and the reduction of regulation. Most of its workforce is in agriculture, but most of its money comes from its service sector. Since India has a large english speaking population, it has been able to export a lot of IT services and such.
Recently India has been working to reduce its debt and has successfully prevented inflation and other issues from the global economic crisis, and in fact its economy was still growing throughout the crisis. But it has some long term problems such as education, urban migration and poor infrastructure that it will have to combat in the long term.
Sources:
World fact book.
http://economictimes.indiatimes.com/news/economy/indicators/india-to-become-30-trillion-economy-by-2030-mukesh-ambani/articleshow/8710774.cms
Short history lesson. India was controlled by the British Empire until 1947, when Ghandi helped to peacefully gain its independence. But not long after internal conflict resulted in the splitting off of Pakistan. The two nations have been at war since, and it has led to both nations experimenting with nuclear weapons. Despite overpopulation, extensive poverty and corruption, India's economy and world status continue to grow. It is currently on the UN security council.
India's economy has been steadily increasing since it shifted to a more open market in the 1990's, with privatization of many industries and the reduction of regulation. Most of its workforce is in agriculture, but most of its money comes from its service sector. Since India has a large english speaking population, it has been able to export a lot of IT services and such.
Recently India has been working to reduce its debt and has successfully prevented inflation and other issues from the global economic crisis, and in fact its economy was still growing throughout the crisis. But it has some long term problems such as education, urban migration and poor infrastructure that it will have to combat in the long term.
Sources:
World fact book.
http://economictimes.indiatimes.com/news/economy/indicators/india-to-become-30-trillion-economy-by-2030-mukesh-ambani/articleshow/8710774.cms
Friday, May 27, 2011
First post! Alright lets start blogging about India's economy. I chose India because I wanted to learn more about this newly rising country, and its significance in the near future. India is an anomaly in its area of the planet, where along with China, it is experiencing the transition from third world country to a modern global economy.
I first started thinking about this when I read an article about BRIC, which is an acronym standing for Brazil, Russia, India and China, signifying an alliance between 4 large nations that are in a similar economic position and who together wish to gain the respect and power in the global economy they think they deserve. Indeed they collectively have 40% of the worlds current population.
I hope that by the end of this semester, you and I will have a better understanding of India's current economic influence, the impact that BRIC will have on the current world order, and how it got there, from colonization to an independent world power unlike that of which most former colonies and third world countries have achieved. From what little I know of India now, I think it will be interesting to see how this unique and stratified culture has been able to grow so rapidly.
----Sawyer
I first started thinking about this when I read an article about BRIC, which is an acronym standing for Brazil, Russia, India and China, signifying an alliance between 4 large nations that are in a similar economic position and who together wish to gain the respect and power in the global economy they think they deserve. Indeed they collectively have 40% of the worlds current population.
I hope that by the end of this semester, you and I will have a better understanding of India's current economic influence, the impact that BRIC will have on the current world order, and how it got there, from colonization to an independent world power unlike that of which most former colonies and third world countries have achieved. From what little I know of India now, I think it will be interesting to see how this unique and stratified culture has been able to grow so rapidly.
----Sawyer
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