January 14, 2009 2:06:16 am
The lead editorial in the latest issue of CPM mouthpiece Peoples Democracy says it is incumbent upon the government of India to immediately cease all military cooperation with Israel. India cannot be a party to financing the inhuman Israeli juggernaut. Further,India must exercise its influence amongst the developing countries to mobilise for an effective implementation of an immediate ceasefire and for eventual realisation of the Palestinian nation, it says.
The US and Israel list Hamas as a terrorist organisation. Now,it was the same US that had insisted upon democratic elections to be held within Palestinian territories as a precondition for taking forward the peace process. In these elections,universally acknowledged by western observers to be free and fair,Hamas won. It is this blatant refusal to accept popular mandate of the people in a democracy by the US and Israel that is the root cause for the current hostilities that Israel is unleashing against the Palestinians, it says.
Investigating the CBI
A report titled What is wrong with the CBI? raises questions about the integrity of the premier investigating agency in the context of the arrest of a senior CBI officer in Kolkata on graft charges. It says the official,who was arrested while allegedly taking a bribe of Rs 50,000,investigated the Tapasi Malik murder case in Singur and the Rizwanur Rehman case in Kolkata. In the Tapasi murder case,a CPM leader Suhrid Dutta was arrested and chargesheeted after the investigation. He has since been sentenced by the court but there are serious misgivings about the way in which he was implicated in the case. In the Rizwanur case,it is alleged that Bose did not take cognisance of the role of a Trinamul MLA who was mentioned in the suicide note left by Rizwanur, it says.
Get real on the stimulus
An article titled Blowing Bubbles At The Bust by noted economist C.P. Chandresekhar says the second fiscal package announced by the Centre is not fiscal but more monetary in nature,with little emphasis on increasing government spending.
Such an increase,in a context when tax collections are expected to be short of targets,would require additional deficit financing or credit-financed spending by the centre. Very clearly,unlike governments in many other countries in the world,the UPA has not shed the fiscal conservatism that is the centerpiece of its neo-liberal economic ideology. It is reticent to increase the fiscal deficit even in the current circumstances of declining inflation and slowing growth, he says.
The structure of the so-called stimulus package is shocking to say the least since it would only strengthen the kind of tendencies that generated the crisis in the developed countries in the first place, he adds.
It is now widely accepted that the financial and real crisis in the US and other OECD countries occurred because of an easy money and cheap credit regime introduced in a world of deregulated and rapidly proliferating finance.
Noting that the stimulus package that has been put in place over two phases in this country implicitly presumes that Indias case is different,he says the problem here,it is being suggested,is indeed one of inadequate liquidity,of costly credit and of an unwillingness to lend. And it is being presumed that efforts to address these issues directly would not put India in a situation where it too would be using a speculative bubble to drive a real economy recovery and paving the way for a financial meltdown that would that would abort or subvert that recovery. There are,however,clear indications that such assumptions are unwarranted. To start with,even if not as yet in a debt-driven crisis,India is substantially dependent on private credit to sustain growth,he says.
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