Please Follow My Notes and My Video 10-DEC-2016
The Hindu – Editorials
Adoctrine of unpredictability
- What are the challenges of doctrine of unpredictability?
- Are there any major policy shifts in foreign policy under PM Modi?
- What is Mad man Theory?
- What makes the author to think that we are moving in to a world of fluidity?
Cash need not be king
- What are the major impediments in shifting to cashless economy?
- What are the advantages of a digital economy?
- Discuss the initiatives till date to shift to a digital economy?
South Korea at cross roads?
- What are the economic, strategic challenges South Korea is facing?
Common service centres - A leap in to the digital world
- What are common centres?
- Are they are silent revolution happening in rural India?
- Can they play a role in digital economy?
- What are the challenges they are facing?
Adoctrine of unpredictability
Since Modi became the Prime Minister, surprise element and unpredictability has increased in Indian foreign policy actions. Though Philosophically the policy did not see a change but, tactically surprise element is increasing.
Initiatives stated under Modi doctrine though started before, their pace of implementation has definitely increased. For example, shift from non alignment to a partnership with USA, maritime partnerships with USA, Japan, Singapore during Vajpayee era, SAARC-Pakistan during Gujral era, India first during Man mohan Singh era.
In relation with Pakistan, Modis invite to SAARC leaders for his swearing in ceremony, surprise visit to Lahore are one side of the coin. On the other side, surgical strikes, rising the balochistan issue, boycott of SAARC are the other side of the coin. All these have an element of surprise.
Unpredictability in foreign policy action goes to Nixon era in USA and is famously known as Madman theory.
- Unpredictability beyond a point will have diminishing returns.
- Overly aggressive posture can increase tensions at our borders and it can lead to shift of focus form economic and developmental priorities.
- A doctrine of unpredictability runs counter to the deterrence theory, as all the countries will be more interested in pre emptive strikes,
- Isolating pakistan diplomatically can Push Pakistan towards china, Russia and Iran on connectivity. It has started offering strategic maritime advantages off its shores.
- A policy of unpredictability in a fluid global scenario will make things much complicated.
Cash need not be the king
Advantages of digital economy
- Cost of cash transactions is very high. Digital transactions can save money to banks and efficiency of banking operations will increase.
- Revenue of the Government is bound to increase as every transaction is captured
- Formal sector will raise with better safety nets to the workers.
Kisan credit cards to farmers, RuPay cards, incentives for digital transactions are the steps in this direction.
South Korea at cross roads – already discussed
A leap in to the digital world
- The concept of CSCs was approved in 2006 as part of the National e-Governance Plan. CSCs are set up in a public-private partnership mode, with a designated state agency being a franchisor of sorts for village level entrepreneurs (VLEs) to set up centres.
- It is expected that around 3,00,000 CSC will be established by 2017.
- The CSCs help people apply online for a range of services — passport registration, PAN cards and Aadhaar cards, and a whole host of other certificates — without them having to visit a government office.
- Financial viability
- Lack of end to end integration of Government services online.
- Inconsistency in Government mechanisms and the legal framework.
- CSC network is not moving on a faster pace.
Other positive externalities
- SHGs are establishing CSCs.
- CSCs are playing an important role in digital financial literacy.
- Industrial production shrank 1.9% year on year on October. The reasons are shrinking demand, subdued investments and high base effect.
The specter in Europe
- Globalisation is presented as shift in Jobs, immigration to developed nations by the rightist leaders in Europe. The core of globalization is about capital movement. From 1980-90 onwards financial transactions to goods and transactions ratio is 28:1. Shift from monetary economy to digital economy further facilitated this. National politics today have a little control on the movement of capital. Xenophobia in Europe stems from the failure of the politicians to manage global capital.
- Going digital – what shall be done
- Building the digital divide and necessary e infrastructure
- Regulatory and legal framework
Question of the day
India need to bridge the digital divide in the country to effectively move towards a digital economy. Discuss the role of Common service centres in achieving the same.