February 9, 2002
Steps towards a free(er) market - VI
Conspicuous consumption finally comes to India. For better or for worse, the SUVs are coming to India.. what better way to navigate potholes, 0.9-car lane streets, and with gas prices at $5 a gallon.
While this story doesn't quite qualify as a step towards a free(er) market, it illustrates an important underlying sentiment in Indian business and political circles. When it comes to market reforms, liberalization, and opening of domestic markets, nothing is off the table. This is a brand new skein of thought: look for every niche you can find, provide goods and services, make money.. hallelujah!!
While this story doesn't quite qualify as a step towards a free(er) market, it illustrates an important underlying sentiment in Indian business and political circles. When it comes to market reforms, liberalization, and opening of domestic markets, nothing is off the table. This is a brand new skein of thought: look for every niche you can find, provide goods and services, make money.. hallelujah!!
British multiculturalism under attack
More rational editorials from the mainstream Indian press, in contrast to some of the hysterical hyperbole coming from their British counterparts. Perhaps the subcontinent has more to offer its former colonial masters than curry and mint chutney..!
February 8, 2002
So you insult my religion, eh ? (Conflict of Expats Redux)
Interesting take from the Times of India on the multicultural flap over British Home Secretary David Blunkett's statement that among other things, said: (for Asian immigrants) ... Speaking English, learning the British way of life and acquiring British-born wives and husbands were important targets..
What's interesting is that a normally left leaning leading South Asian newspaper takes an exasperated view of jumpy, multi-cultural Britain with some fact-checking of it's own...
Most commentators neglected to mention, however, that the row was more of the medias own making and the government was not banning so-called spousal imports, though it announced more stringent checks on sham marriages contracted only to acquire a British visa or passport.
This kind of howling is just as prevalent across the Atlantic. I have always felt that the only way a multicultural society evolves from cohesion to strength is to blend immigrant cultures into the mainstream.. and to this day, most Indian immigrants I know divide themselves into two camps. The first, a small group of culturally integrated people who have given themselves to their community and changed and enriched it at the same time. They may or may not be married to white/black/hispanic/indian americans. Their spousal choices are irrelevant. What distinguishes them is an understanding that they are not economic cogs in a mass of uncomprehending American bigots..! They have a place in the life and culture around them, they thrive in it, they take pride in sending their kids to the prom and vote on local issues with enthusiasm. They have the confidence to give to American culture as much as they take from it.
The second, a truculent, victim-hood-seeking group seek to create for themselves an Indian "ghetto" within whose walls contemporary American culture is often mocked, American history and the role of immigrants is considered irrelevant, and the reproduction of a suddenly "perfect" Indian/South Asian society assumes paramount importance. Leading them by the nose are the army of sensitive multiculturalists who inhabit much of today's journalistic swamp.
It's time for this second camp to decide if they want in, or they want out..! They have a tremendous amount of energy and cultural synergy to offer. It is America's loss as well as theirs while this group of south asians continue to stare at the world passing them by while they sit huddled together in quiet distaste over flickering reruns of Bollywood movies and chai.
What's interesting is that a normally left leaning leading South Asian newspaper takes an exasperated view of jumpy, multi-cultural Britain with some fact-checking of it's own...
Most commentators neglected to mention, however, that the row was more of the medias own making and the government was not banning so-called spousal imports, though it announced more stringent checks on sham marriages contracted only to acquire a British visa or passport.
This kind of howling is just as prevalent across the Atlantic. I have always felt that the only way a multicultural society evolves from cohesion to strength is to blend immigrant cultures into the mainstream.. and to this day, most Indian immigrants I know divide themselves into two camps. The first, a small group of culturally integrated people who have given themselves to their community and changed and enriched it at the same time. They may or may not be married to white/black/hispanic/indian americans. Their spousal choices are irrelevant. What distinguishes them is an understanding that they are not economic cogs in a mass of uncomprehending American bigots..! They have a place in the life and culture around them, they thrive in it, they take pride in sending their kids to the prom and vote on local issues with enthusiasm. They have the confidence to give to American culture as much as they take from it.
The second, a truculent, victim-hood-seeking group seek to create for themselves an Indian "ghetto" within whose walls contemporary American culture is often mocked, American history and the role of immigrants is considered irrelevant, and the reproduction of a suddenly "perfect" Indian/South Asian society assumes paramount importance. Leading them by the nose are the army of sensitive multiculturalists who inhabit much of today's journalistic swamp.
It's time for this second camp to decide if they want in, or they want out..! They have a tremendous amount of energy and cultural synergy to offer. It is America's loss as well as theirs while this group of south asians continue to stare at the world passing them by while they sit huddled together in quiet distaste over flickering reruns of Bollywood movies and chai.
The Caliphate - coming soon to a country near you
MuslimPundit is back, doing what he does best, going after more starry-eyed pan-Islamists with rubber gloves and a very sharp stick in this latest, exhaustively documented, detailed (if a trifle long) article. This is a must read, and I won't bother rehashing his points. Just go read if you haven't already. He concludes by saying:
To say that one’s belief is superior is fine and dandy, but when belief in one's superiority is predicated on a false and intolerant belief, it automatically becomes insidious and should therefore be treated as such. We look at their Islamist beliefs in more detail in the next part. And we'll be handing out weapons shortly.
I for one, cannot wait.. As many commentators have written before, with rational thinkers like Adil, Islam has hope!
To say that one’s belief is superior is fine and dandy, but when belief in one's superiority is predicated on a false and intolerant belief, it automatically becomes insidious and should therefore be treated as such. We look at their Islamist beliefs in more detail in the next part. And we'll be handing out weapons shortly.
I for one, cannot wait.. As many commentators have written before, with rational thinkers like Adil, Islam has hope!
Kashmir cooling off
Several welcoming political developments in Indian-held Kashmir, which while heating up the political game, may lead to a long-term cooling of tensions within the region. One report can be found here. Another on the maneuverings of the Hurriyat conference can be found here.
Hawala vs. Western Banking
Reader Tom Roberts writes to say:
..In contrast, the growth of the Western banks was led by men who were intimately
involved with the running of their national governments. In consequence, the
institutions of both legitimate banking and the establishment of national
governmental debt markets added to the legitimacy of both government and
finance. The contrast to the present system in South Asia is disturbing. ..
It's only disturbing in the sense that South Asian governments have been slow to recognize that hawala is an integral part of their
societies. This, at the expense of undercapitalizing a huge segment of their economy, which is underground precisely because the legitimate governments keep them there. The elite who run these governments and the Big-Company capitalists have been loathe to legitimize hawala because of the ideological
blinkers many wear, not to mention the fear of competition from the nimble little guy.
If one removes the anti-terror-fighting blinkers, the basic rules of hawala, mixed with the transperancy and legal backing of current western banking systems, is what free-market based international finance should be. It liberates the little guys, the classic Mom & Pop operations, the innumerable SBOs, from the stifling hand of over-regulation.
..In contrast, the growth of the Western banks was led by men who were intimately
involved with the running of their national governments. In consequence, the
institutions of both legitimate banking and the establishment of national
governmental debt markets added to the legitimacy of both government and
finance. The contrast to the present system in South Asia is disturbing. ..
It's only disturbing in the sense that South Asian governments have been slow to recognize that hawala is an integral part of their
societies. This, at the expense of undercapitalizing a huge segment of their economy, which is underground precisely because the legitimate governments keep them there. The elite who run these governments and the Big-Company capitalists have been loathe to legitimize hawala because of the ideological
blinkers many wear, not to mention the fear of competition from the nimble little guy.
If one removes the anti-terror-fighting blinkers, the basic rules of hawala, mixed with the transperancy and legal backing of current western banking systems, is what free-market based international finance should be. It liberates the little guys, the classic Mom & Pop operations, the innumerable SBOs, from the stifling hand of over-regulation.
If you travel far enough, you will eventually meet yourself
In a classic case of non-linear blogger crosslinking, a number of blogs have cross-referenced and substantially enhanced my previous post on extra-legal banking or hawala:
- Instapundit: Even a simple mention gets that hit counter clicking like crazy..!
- Perry de Havilland: Perry over on Libertarian Samizdata has written extensively on hawala and extra-legal banking. If I had known, his posts would have headed the list. A must read, with a complete description of the activities of hawala merchants. It's amazing how close to modern free-market principles this ancient custom is, dating from the 11th century.
- Coyote @ the dog show: Finally, a way to get this Wyoming blogger-bowhunter into the wonderful world of economic law..!
- Richard Bennett questions the importance of hawala in the actual funding of terrorism. To quote: "..but it's easy to overstate its importance since its ability to transfer funds is limited by the liquidity of hawaladars, which is probably not all that great...". That's difficult to estimate, no doubt, but some estimates put $4 billion in hawala transfers through Indian markets each year. That's not chump change either.
February 7, 2002
Lifting Braudel's* bell jar - I (legitimizing hawala)
The last time I checked, the media attention on the money trail left by terrorist organizations appears to have taken a back seat to the legal war over detainees, the Marin mujaheed and the war on the ground (in that order). Is it possible that basic economics is so extremely boring..? Naah..
Several NET-research clicks later, I managed to compile a representative list of where the war on terror-money appears to be headed and what people are thinking. In what is a very interesting turn of events, the institution of hawala now appears on every crosshair, from India to London to American shores. Most of the analysis and reporting is good, but incomplete in the sense that I felt they glossed over the steps governments need to take to address this underground banking system. Too often, the phrase "go after the money" and "strangle the terror-hawala nexus" becomes an easy substitute for critically rational thinking. I'm going to try and do some right now, comments are very welcome.
Here's what is floating around the mediasphere:
*Fernand Braudel - whose bell jar metaphor I used for the title - I should learn how to spell his name correctly
Several NET-research clicks later, I managed to compile a representative list of where the war on terror-money appears to be headed and what people are thinking. In what is a very interesting turn of events, the institution of hawala now appears on every crosshair, from India to London to American shores. Most of the analysis and reporting is good, but incomplete in the sense that I felt they glossed over the steps governments need to take to address this underground banking system. Too often, the phrase "go after the money" and "strangle the terror-hawala nexus" becomes an easy substitute for critically rational thinking. I'm going to try and do some right now, comments are very welcome.
Here's what is floating around the mediasphere:
| Resource | Key Points |
| Hindustan Times | ..Referring to hawala money being used to finance terrorist activities, Dam suggested that hawala should be regularised and regulated like commercial banks. He said the US had taken steps in this direction and other nations are moving to regularise hawala.
What should be under scrutiny is what form this regularisation will take. All too often in the developing world where hawala-like banking is prevalent, regularisation takes the form of some version of European common law which never works. Hawala is an entrenched extra-legal system, and will the people who use it will resist attempts to replace it with a risky new system. A more rational approach would be to simply codify and extend the hawala laws already in existence into the present legal system. |
| e-venthorizon Hawala, or the bank that never was An excellent analysis of hawala and a critique of current Asian banking laws by Dr. Sam Vankin |
In the wake of the September 11 terrorist attacks on the USA, attention was drawn to the age-old, secretive, and globe-spanning banking system developed in Asia and known as "Hawala" (to change, in Arabic). It is based on a short term, discountable, negotiable, promissory note (or bill of exchange) called "Hundi". While not limited to Moslems, it has come to be identified with "Islamic Banking". Hawala consists of transferring money (usually across borders and in order to avoid taxes or the need to bribe officials) without physical or electronic transfer of funds. Money changers (Hawaladars) receive cash in one country, no questions asked. Correspondent hawaladars in another country dispense an identical amount (minus minimal fees and commissions) to a recipient or, less often, to a bank account. E-mail, or letter-carrying couriers (Hundi) are used to convey the necessary information — amount of money, date it has to be paid, etc. — between Hawaladars. The sender provides the recipient with code words or numbers (such as the serial numbers of currency notes), a digital encrypted message, or agreed signals (such as handshakes) to be used to retrieve the money... If Asia had reasonably expedient, reasonably priced, reasonably regulated, user-friendly banks, Osama bin Laden may have found it impossible to finance his mischief so invisibly... Yet, the crux of the problem is not the Hawala or the Hawaladars. The corrupt and inept governments of Asia are to blame for not regulating their banking systems, for over-regulating everything else, for not fostering competition, for throwing public money at bad debts and at worse borrowers, for over-taxing, for robbing people of their life savings through capital controls, for tearing at the delicate fabric of trust between customer and bank (Pakistan, for instance, froze all foreign exchange accounts two years ago)... The key here is the absence of expedient, reasonably priced and reasonably regulated banks, which are absent because much of the political and legal elite of developing world refuse to accept that extra-legal arrangements exist because people want them to. The law often needs to bend to the will of the people, otherwise they become unenforceable. |
| Asia Gateway: |
Hawala has been a traditional method of moving money in south Asia long before Western banking became established in the region protecting early merchants along the silk road against robbery. In ancient China it was known as "fei qian" or "flying coins". The system spread throughout the world – to other Asian regions, the Middle East, eastern and southern Africa, Europe and North and South America – following immigration patterns. Based on a man's word there is a strong market segmentation in that, for example, a Pashtun is trusting only a Pashtun hawaladar, a Sikh only a Sikh one, and so on.... Evidence that hawala is not a financial anomaly, but the most natural way for people to want to conduct commerce. |
| Chronicle |
$4 billion sifts past India's `hawala' gate each year... This is not small change.. and is reflective of the hidden wealth of the people of India, undercapitalized and underutilized beacause laws grafted from the Anglosphere experience do not apply to the social culture of South Asia.. in other words, common law may mean very different things to the farmer in Punjab, to a coffee-grower in Kerala, or a Pashtun sheepherder. |
| The Hawala triangle |
Dubai, India and Pakistan form a hawala triangle responsible for significant international money laundering activities that go far beyond South Asia," ..efforts to control the hawala system have been largely ineffective... "There is no reverse settlement,".... "The broker who delivers the money knows that sooner or later he will need the services of the broker who initiated the business. The broker in India and the broker in the United States trust each other and there is no record of the transaction." Criminalising such a large-scale human endeavour that is rooted so deeply in history is laughable and idiotic. Like the failed drug war which penalizes consensual behavior and therefore can never be effectively enforced, stigmatizing hawala simply drives it deeper underground. |
| Asia-week |
Recent events might help end Asia's complacency on money laundering. Now that the U.S. has put it on the top of the global agenda, few countries will want to be seen as being out of line. But Paul Sheehan of Lehman Brothers in Hong Kong says it also makes good business sense to choke off funny funds. "Terrorists don't have pension plans or buy unit trusts, so they are not really profitable customers." What's more, as Bush implied, bankers should know that if they abet terrorists, they become criminals, too. How do you choke grains of sand in a clenched fist..? If you cannot do that, shouldn't the goal be to introduce more transperancy in an effort to legitimize the hawala and in the process, force terrorists into riskier modes of finance, such as robbing banks. |
| Business Week - Pakistan Cripples the Money Movers |
As it stamps out the age-old hawala system of unrecorded international currency transfers, the country's economy stands to gain ... No one expects hawala to make a comeback any time soon, and Pakistan's brokers are out looking for other sources of income.... Bad Prediction..! Do they really expect us to believe that in a country whose president openly acknowledges the unenforceability of most law, and where hawala is an age-old tradition of commerce, it can be stamped out, or even suppressed ? How long can Musharraf's auditors and policemen run after the elusive Hawaladars, who today use encrypted emails, cell phones, oral contracts and blood-trust to function almost invisibly..? |
| The Indians are coming.. | The Enforcement Department is now going to go after some high-profile hawaladars.. what fun.. what are the chances
that any real (and boring) legal reform will trump high-profile lawyer-baazi..? |
*Fernand Braudel - whose bell jar metaphor I used for the title - I should learn how to spell his name correctly
A meme to infect with
Little Green Footballs is urging everyone to spread this meme in anticipation of the winter olympics.. I'm doing my part.
February 6, 2002
Steps towards a free(er) market - V
BIOTECHNOLOGY - this is virgin ground for Indian entrepreneurs, private sector R&D companies, and even state agencies. This article highlights the synergy between Indian expertise in the global software market and the still nascent biotechnology industry.
Early signals point to many small and nimble firms grabbing for the lowest hanging fruit in the complex field, with contract research for overseas players as one possibility.
This is great news simply because it shows the private sector is starting to take the lead over state institutions, which might allow India to leapfrog much of the regulatory inertia that tends to hamper biotech research in the West. The other encouraging sign is that international analysts appear to be bullish about the prospects of a major Indian foray into this field.
"Pharmaceutically speaking, I don't think India is a developing country," said Oppel Greeff, President for Africa, India and Latin America of Quintiles Transnational, a US-based clinical trials firm..
What analysts and India-watchers will hope for now is a regulatory policy that is based on sound science and not on radical enviro-junk that characterizes much of the vocal opposition to biotechnology and gene research. As always, a sound legal environment is the only surefire way to allow for private investment in this sector to thrive.
Early signals point to many small and nimble firms grabbing for the lowest hanging fruit in the complex field, with contract research for overseas players as one possibility.
This is great news simply because it shows the private sector is starting to take the lead over state institutions, which might allow India to leapfrog much of the regulatory inertia that tends to hamper biotech research in the West. The other encouraging sign is that international analysts appear to be bullish about the prospects of a major Indian foray into this field.
"Pharmaceutically speaking, I don't think India is a developing country," said Oppel Greeff, President for Africa, India and Latin America of Quintiles Transnational, a US-based clinical trials firm..
What analysts and India-watchers will hope for now is a regulatory policy that is based on sound science and not on radical enviro-junk that characterizes much of the vocal opposition to biotechnology and gene research. As always, a sound legal environment is the only surefire way to allow for private investment in this sector to thrive.
Coyote is a bowbender..
Just discovered that Anthony Swenson: coyote@thedogshow makes his own bows. In the world of bow-hunters, it's a sign of ultimate authority, wisdom and pundithood. Me, I stick to making my own arrows and leave bow-making to those craftsmen who know better.
Of course, this means I now have to check in on the Coyote more often and tease archery tips out of him.. hmm.. I've often thought about what it would be like to move out West just for the hunting and the more varied hunting and outdoors experience. Don't think my better half would enjoy that though. In the meanwhile I have to content myself with envying Mr. Swenson's lifestyle opportunities. Us suburban Chicagoans have to make do with lurking on the edge of farmland trying to outwit whitetails.
Of course, this means I now have to check in on the Coyote more often and tease archery tips out of him.. hmm.. I've often thought about what it would be like to move out West just for the hunting and the more varied hunting and outdoors experience. Don't think my better half would enjoy that though. In the meanwhile I have to content myself with envying Mr. Swenson's lifestyle opportunities. Us suburban Chicagoans have to make do with lurking on the edge of farmland trying to outwit whitetails.
Another Blogger tribute
Moira Breen of Inappropriate Response now has the Kolkata Libertarian pegged as one of her "Blogs of the Week". No wonder I'm noticing all those clicks coming my way from her site. Having been infected by the Natalie Solent Google-virus, I can only say, "so long and thanks for all the fish.."
Steps towards a free(er) market - IV
More positive fallout from the newly announced economic reforms by the ruling BJP. As predicted, much of the focus has in fact been on the food grain controls relinquished by the central government. The call is now afoot to enact some meaningful legal reforms which would introduce greater transperancy to the agricultural trade sector.
‘‘This (a warehouse law) would really compliment the decontrol exercise and would make it easier for the Indian farmer to get money immediately for his produce,’’ said Sharad Joshi, chairman of the Task Force on agriculture.
Not everyone is as enthused about the prospects of short-term benefits from this move, but for once, I'm in agreement (see steps toward a free(er) market - III) with the rest of the India watchers who say:
..According to Sardara Singh Johl, former director, Board of Directors, RBI and a leading economist, ‘‘This is a very good move. By allowing this the government is enabling trade to develop.’’..
..it will take years for large companies and multinationals to enter the market..
Yes, it will take years.. Indian farmers have been waiting for decades, a slow infusion of foreign capital as opposed to none, is always a good thing.
‘‘This (a warehouse law) would really compliment the decontrol exercise and would make it easier for the Indian farmer to get money immediately for his produce,’’ said Sharad Joshi, chairman of the Task Force on agriculture.
Not everyone is as enthused about the prospects of short-term benefits from this move, but for once, I'm in agreement (see steps toward a free(er) market - III) with the rest of the India watchers who say:
..According to Sardara Singh Johl, former director, Board of Directors, RBI and a leading economist, ‘‘This is a very good move. By allowing this the government is enabling trade to develop.’’..
..it will take years for large companies and multinationals to enter the market..
Yes, it will take years.. Indian farmers have been waiting for decades, a slow infusion of foreign capital as opposed to none, is always a good thing.
February 5, 2002
Let's not reach teotwawki, shall we..?
While scrolling through the archives of Coyote @ the dog show, and a side trip to USS Clueless, i just learnt a new word/acronym: teotwawki:
t.e.o.t.w.a.w.k.i.: The End Of The World As We Know It.
WOW..! And from USS Clueless comes this damning war game scenario where India and Pakistan commit us all to teotwawki.
For those willing to listen in the military, the value of wargames has been established beyond any question, and it's a routine way now to try to analyze a situation. According to this report, the US Army War College has extensively wargamed hypothetical Indo-Pakistani wars, and have found a plausible scenario for first use of nuclear weapons.
Most of the wargaming has demonstrated that there is a great deal to be gained by a surprise first strike -- which is hardly surprising. The scenario is that Pakistan makes such an attack on India and cuts off its access to Kashmir. India responds to this by invading Pakistan to capture Lahore with the intent to move west and cut Pakistan in half. This would blunt the attack by Pakistan launched from territory further north.
At this point, Pakistan goes nuclear, and this is the interesting point: its first use is against a foreign army on Pakistani territory. Use of fewer than five nukes stops the attack, but forces nuclear reprisals by India, who then nuke several Pakistani military targets, and then exchanges escalate until cities are getting hit. Curtains; cue the orchestra and raise the house lights.
Let's hope India and Pakistani militaries are good wargamers, and that their civilian and military masters are listening carefully. Maybe they are and that's why the nerve-tingling tensions along the border have subsided a little.
t.e.o.t.w.a.w.k.i.: The End Of The World As We Know It.
WOW..! And from USS Clueless comes this damning war game scenario where India and Pakistan commit us all to teotwawki.
For those willing to listen in the military, the value of wargames has been established beyond any question, and it's a routine way now to try to analyze a situation. According to this report, the US Army War College has extensively wargamed hypothetical Indo-Pakistani wars, and have found a plausible scenario for first use of nuclear weapons.
Most of the wargaming has demonstrated that there is a great deal to be gained by a surprise first strike -- which is hardly surprising. The scenario is that Pakistan makes such an attack on India and cuts off its access to Kashmir. India responds to this by invading Pakistan to capture Lahore with the intent to move west and cut Pakistan in half. This would blunt the attack by Pakistan launched from territory further north.
At this point, Pakistan goes nuclear, and this is the interesting point: its first use is against a foreign army on Pakistani territory. Use of fewer than five nukes stops the attack, but forces nuclear reprisals by India, who then nuke several Pakistani military targets, and then exchanges escalate until cities are getting hit. Curtains; cue the orchestra and raise the house lights.
Let's hope India and Pakistani militaries are good wargamers, and that their civilian and military masters are listening carefully. Maybe they are and that's why the nerve-tingling tensions along the border have subsided a little.
Steps towards a free(er) market - III
Some more good news on the free-market frontline of the Indian economy. Despite the risk of some political backlash from the socialist opposition and the heat from border tensions, India's ruling BJP moves ahead with a number of far-reaching economic as well as political and legal reforms:
India watchers will probably be watching one reform more closely than others: the removal of inter-state restrictions on agricultural products. Sounds boring and unimportant in the global scheme of things. However, these restrictions are the core of the great Indian agricultural paradox - how a country that has excess grain to export to the rest of the region, but cannot evenly distribute food products within its own borders. Allowing the agricultural sector to compete within the domestic economy will provide valuable expertise to domestic traders and farmers when the sector eventually opens up completely to international competition.
As for the hotel industry, why the government ever decided to get it's fingers into that pie is a complete mystery to me.. Maybe this will free up enough bureaucrats to focus on issues they have neglected till now, like homeland defense, a sound China policy, more business legal reforms, etc.
India watchers will probably be watching one reform more closely than others: the removal of inter-state restrictions on agricultural products. Sounds boring and unimportant in the global scheme of things. However, these restrictions are the core of the great Indian agricultural paradox - how a country that has excess grain to export to the rest of the region, but cannot evenly distribute food products within its own borders. Allowing the agricultural sector to compete within the domestic economy will provide valuable expertise to domestic traders and farmers when the sector eventually opens up completely to international competition.
As for the hotel industry, why the government ever decided to get it's fingers into that pie is a complete mystery to me.. Maybe this will free up enough bureaucrats to focus on issues they have neglected till now, like homeland defense, a sound China policy, more business legal reforms, etc.
Israel over the Indian Ocean - II
The TNR article on Indo-Israeli relationships appears to be making quite a few rounds, now found via Richard Bennett, and Little Green Footballs. The original article by Yossi Klein Halevi can be found at Jerusalem Dispatch: Septembers children:
It might be time to start an Israel over the Indian ocean series...
It might be time to start an Israel over the Indian ocean series...
What's a coyote doing at a dog show?
Just discovered a new blog: Coyote at a dog show via Megan McArdle. A great blog for people looking for gun rights arguments, such as this one.
The malevolent, ignorant or not, will not obey restrictions, reasonable or not. If you could take away all their guns, and you can't, they would use machetes, clubs, or ball bats, or sharp sticks, or rocks, or.. airplanes. You are far better off defending yourself with a gun than you would be going mano e mano with ball bats against some 250# goblin. Disarming the general population doesn't work any better than disarming airline passengers, it only makes them easier to victimize.
This got me thinking about gun-rights in India. I wondered what all the red haze was about as soon as I did so, realized it was just my raging reaction to the fact that gun-rights are a tragic oxymoron in India. In fact, last year in Kolkata, all the gun shops put together sold a grand total of twelve long guns to the civilian public. In the meanwhile, terrorists, crime lords, minor mafia hoods and drug barons tote AK-47s and Uzis to work..! Home invasions rocket as urban sprawl gives way to urban overflow, and the losers are always the law-abiding citizens smushed between uncaring law enforcement and their criminal counterparts.
The malevolent, ignorant or not, will not obey restrictions, reasonable or not. If you could take away all their guns, and you can't, they would use machetes, clubs, or ball bats, or sharp sticks, or rocks, or.. airplanes. You are far better off defending yourself with a gun than you would be going mano e mano with ball bats against some 250# goblin. Disarming the general population doesn't work any better than disarming airline passengers, it only makes them easier to victimize.
This got me thinking about gun-rights in India. I wondered what all the red haze was about as soon as I did so, realized it was just my raging reaction to the fact that gun-rights are a tragic oxymoron in India. In fact, last year in Kolkata, all the gun shops put together sold a grand total of twelve long guns to the civilian public. In the meanwhile, terrorists, crime lords, minor mafia hoods and drug barons tote AK-47s and Uzis to work..! Home invasions rocket as urban sprawl gives way to urban overflow, and the losers are always the law-abiding citizens smushed between uncaring law enforcement and their criminal counterparts.
Israel across the Indian Ocean
Found a great article in the New Republic on the burgeoning open relationship between India and Israel with a historical perspective, via the VodkaPundit. The parts that startled me were these:
...Beyond the shared interests and fears, what energizes the new relationship is romance. As in the United States in the 1960s, a generation of young Israelis has fallen in love with India. Several times a year, tens of thousands of young Israelis gather in nature reserves for Indian-style festivals, with canvas-covered chai shops and stalls selling Indian clothes and music...
...When India's ambassador to Israel, Raminder S. Jassal, walks the streets in his Sikh turban, young Israelis often press their palms in the traditional greeting of Namaste; sometimes he is addressed by Israelis in Punjabi...
I'm tickled pink by the fact that there are Punjabi-speaking Jewish people out there.. this just made my day.
On a more deliberate note, the anguished debate in the Palestinian press as to who lost India is doomed from the start. The Arab states never had India in any real sense. Yes, they may have had political support from the corridors of power, and still have sympathizers among India's Muslim population. Largely, they were looked at with fear and loathing by the average Indian who even cared about middle-east politics. The Arab image was that of a post-colonial oppressor who had to be appeased because new India was still a weak little child, hemmed in politically, unable to express the true feelings of her people. That veil of fear is now lifting, and the two Asian nations with so much in common are finding comfort in each others company.
...Beyond the shared interests and fears, what energizes the new relationship is romance. As in the United States in the 1960s, a generation of young Israelis has fallen in love with India. Several times a year, tens of thousands of young Israelis gather in nature reserves for Indian-style festivals, with canvas-covered chai shops and stalls selling Indian clothes and music...
...When India's ambassador to Israel, Raminder S. Jassal, walks the streets in his Sikh turban, young Israelis often press their palms in the traditional greeting of Namaste; sometimes he is addressed by Israelis in Punjabi...
I'm tickled pink by the fact that there are Punjabi-speaking Jewish people out there.. this just made my day.
On a more deliberate note, the anguished debate in the Palestinian press as to who lost India is doomed from the start. The Arab states never had India in any real sense. Yes, they may have had political support from the corridors of power, and still have sympathizers among India's Muslim population. Largely, they were looked at with fear and loathing by the average Indian who even cared about middle-east politics. The Arab image was that of a post-colonial oppressor who had to be appeased because new India was still a weak little child, hemmed in politically, unable to express the true feelings of her people. That veil of fear is now lifting, and the two Asian nations with so much in common are finding comfort in each others company.
February 4, 2002
Osama a eunuch ??
A flaky "Osama" story, this one related to my alma mater in India, that doyen of Indian technocracy - the Indian Institute of Technology @ Kanpur..
The irony of such Osama-worship coming from an alumnus of IITK; an institution conceived by, and then funded throughout its inception by US tax dollars, and now largely populated by a largely Americaphile student body is delicious. The kind of head-shaking story that seems to be coming out of the region in droves..
The irony of such Osama-worship coming from an alumnus of IITK; an institution conceived by, and then funded throughout its inception by US tax dollars, and now largely populated by a largely Americaphile student body is delicious. The kind of head-shaking story that seems to be coming out of the region in droves..
India on the edge of the Anglosphere - III
Richard Bennet has some very compelling rejoinders to the last Anglosphere post I made. He has now expanded his assertion as follows:
To sum up, I would modify my previous position to assert that India's traditions of self-governance and the separation of the spiritual from the phenomenal,
as well as its long involvement in trade and commerce with other nations,
made it a fertile ground for the development of a modern democracy,
once it managed to shed the notions of socialist economy it inherited from the British.
I agree with almost all of this - love all this cross-pollination of ideas so unique to the blogsphere! I still think it is highly unlikely that the tradition of the separation of the spiritual from the phenomenal played a big role in post-colonial Indian democratic growth. Remember that before the British Raj, the Mughal rule of India over a period of nearly 800 years effectively erased secular traditions from the memory of all but dedicated historians.
To sum up, I would modify my previous position to assert that India's traditions of self-governance and the separation of the spiritual from the phenomenal,
as well as its long involvement in trade and commerce with other nations,
made it a fertile ground for the development of a modern democracy,
once it managed to shed the notions of socialist economy it inherited from the British.
I agree with almost all of this - love all this cross-pollination of ideas so unique to the blogsphere! I still think it is highly unlikely that the tradition of the separation of the spiritual from the phenomenal played a big role in post-colonial Indian democratic growth. Remember that before the British Raj, the Mughal rule of India over a period of nearly 800 years effectively erased secular traditions from the memory of all but dedicated historians.
India on the edge of the Anglosphere - II
Stephen Green over at VodkaPundit (I already like this guy!) makes a case for bringing India furthur into the Anglosphere civil society.
What we don't have is manpower. What do we have, 400 million, tops? Manpower is the least important factor with today's technology, but it is still a factor. So where do we get the masses?
India, people, India.
And I'm not talking about bringing back the Raj. But look -- India is a mostly-functioning democracy, they're moving steadily westward in thought and political orientation, and English is already their language of business and politics. And wouldn't they just love to join an exclusive group where they'd carry more weight than the Brits?
The part I like about this is the effect this will have on both the Anglosphere and on India. Curry could be ratified as official Anglosphere nectar.. and Indian democracy would receive positive reinforcement after a half century of inattention.
What we don't have is manpower. What do we have, 400 million, tops? Manpower is the least important factor with today's technology, but it is still a factor. So where do we get the masses?
India, people, India.
And I'm not talking about bringing back the Raj. But look -- India is a mostly-functioning democracy, they're moving steadily westward in thought and political orientation, and English is already their language of business and politics. And wouldn't they just love to join an exclusive group where they'd carry more weight than the Brits?
The part I like about this is the effect this will have on both the Anglosphere and on India. Curry could be ratified as official Anglosphere nectar.. and Indian democracy would receive positive reinforcement after a half century of inattention.
Enron In India - III
It appears that one of the unfortunate consequences of the Enron debacle and the related mismanagement of the Maheswar Power Project (which was driven in part by Enron investment) is a call to end privatisation of public sector monopolies in India like power, oil and other infrastructure industries. Some bizarre and unreasoned conclusions go as follows:
The libertarian world, and in fact much of the capitalist world, has repeatedly asserted that privatisation is not and has never been a silver bullet to cure all social and economic ills. In fact, privatisation of state run enterprises often needs to be the last step in a long series of reforms that lead to true free market capitalism. The history of Enron, the history of the Soviet economic collapse, and similar market reform bungles elsewhere, points to one crucial mistake. Free markets cannot thrive where the rule of law either does not exist, or is not precise and evenly applied. Privatisation in India has rarely been preceded by the shoring up of legal custom and as a result, all that happens is an exchange of players in a world where the flouting of laws is considered the norm. The massive increase in corruption that one sees as a result is simply due to the fact that there is now more money in the pot!
The notion that infrastructure industries are natural monopolies is not new, and may well be true in many cases. However, to assume that they should be run by the state because the state is such a benevolent mother figure is pure, unadulterated hogwash! Those who cry for re-nationalization of private industry have quickly forgotten the sad history of the entire socialist world, whose citizens are in such a sorry state because of the inefficiencies and corruption bred by statist monopolies.
- ..far from reducing corruption, as it was supposed to do, privatisation at least in the power sector, has in fact, led to a massive increase in corruption...
- ..The public sector had no such incentive to maximise profit by corruption because its profits do not go to private hands. The fact is that the infrastructure sectors like power, telecom, roads, oil etc., are just not capable of having a free market. ..
The libertarian world, and in fact much of the capitalist world, has repeatedly asserted that privatisation is not and has never been a silver bullet to cure all social and economic ills. In fact, privatisation of state run enterprises often needs to be the last step in a long series of reforms that lead to true free market capitalism. The history of Enron, the history of the Soviet economic collapse, and similar market reform bungles elsewhere, points to one crucial mistake. Free markets cannot thrive where the rule of law either does not exist, or is not precise and evenly applied. Privatisation in India has rarely been preceded by the shoring up of legal custom and as a result, all that happens is an exchange of players in a world where the flouting of laws is considered the norm. The massive increase in corruption that one sees as a result is simply due to the fact that there is now more money in the pot!
The notion that infrastructure industries are natural monopolies is not new, and may well be true in many cases. However, to assume that they should be run by the state because the state is such a benevolent mother figure is pure, unadulterated hogwash! Those who cry for re-nationalization of private industry have quickly forgotten the sad history of the entire socialist world, whose citizens are in such a sorry state because of the inefficiencies and corruption bred by statist monopolies.
February 3, 2002
India on the edge of the Anglosphere
Richard Bennet over at the navel of the Blogsphere reminds us that when it comes to India, the reason democracy took firmer root than in the other British colonies has more to do with its own secular and democratic past. To quote him:
The thing is, India had traditions of secularism and democracy predating the British Raj by several millenia. These underpinnings connected with the Western notions of democracy, ensuring a more vibrant democracy in India than in any of the other British colonies where democracy languishes today: Pakistan, Malaysia, Singapore, etc. The Brits were smart enough to avoid completely uncivilized areas during their colonial period, and there's no argument that former British colonies have done better than former French, Dutch, or Spanish ones.
Developing a historical consciousness seems to be a major obstacle in this era of political correctness.
I agree that self-government in India has a long history. However, there is a difference between traditional Indian democracy and the political beast we understand today. Self-government in India was always limited to the village panchayat or a council of village elders whose authority was limited to settling local disputes and minor civil infractions. Furthurmore, like my mutual funds, past performance is no guarantee of future results.. The lessons of Indian history do not lie in the glory of its accomplishments, but why those accomplishments dried up, what went wrong, and why India is still referred to in polite circles as a "slumbering giant". If self-government, democracy, seperation of church and state are so key to human happiness and prosperity, what happened to India? This is a devastating question that deserves a critical and rational answer. I regret that part of that answer has to be that they probably never existed in the perfection that some historians hope.
For example, the tradition of secularism that Richard refers to is really an oversimplification of the results of the fine Indian institution of caste. First there were the Bramhins, then came the warriors, then came the merchants, then came the sweepers and cleaners of chamber pots..! That this appears to be the original division of church and state is purely coincidental and superficial. In the Anglosphere, this separation is an intellectual and spiritual barrier often codified in law. In India throughout history, this separation was a simply practical division of labor dictated by caste hierarchies. The "church" has always permeated every aspect of Indian social life for millenia, well past the British Raj, and continues to do so today.
I would suggest that there are other reasons why democracy and secularism took hold in India and not elsewhere. The widespread adoption of the English language was possibly the most important one. There were other attempts at unifying India through language.. the Mughals invented Urdu, ancient India had Prakrit, but none had the international character of English. English united the then tiny but influential Indian ruling class, and today has allowed the growing middle class to cross ethnic, religous and racial barriers like no other time in Indian history. The english language also opened up the vast body of science and technology to Indians. Then one of the most deep rooted of Indian beliefs - the quest for knowledge - took off and continues to flourish today through the lives of both native and expatriate Indians the world over.
Richard also mentioned the Indian state of Kerala, one that was least disturbed by the British, yet has the highest literacy and political consciousness of any region in South Asia today. Kerala is the very avatar of civil society by which we can measure ourselves. Yet the reasons for its prowess has to do with the fact that Kerala has always been engaged in free trade and commerce with the outside world throughout history. As a result, the region has experienced more social growth and intellectual ferment than any other. Aside from the tiny fact that it is one of the last bastions of communism in India, they are doing rather well for themselves.
As for not developing a historical consciousness, mea culpa..!
The thing is, India had traditions of secularism and democracy predating the British Raj by several millenia. These underpinnings connected with the Western notions of democracy, ensuring a more vibrant democracy in India than in any of the other British colonies where democracy languishes today: Pakistan, Malaysia, Singapore, etc. The Brits were smart enough to avoid completely uncivilized areas during their colonial period, and there's no argument that former British colonies have done better than former French, Dutch, or Spanish ones.
Developing a historical consciousness seems to be a major obstacle in this era of political correctness.
I agree that self-government in India has a long history. However, there is a difference between traditional Indian democracy and the political beast we understand today. Self-government in India was always limited to the village panchayat or a council of village elders whose authority was limited to settling local disputes and minor civil infractions. Furthurmore, like my mutual funds, past performance is no guarantee of future results.. The lessons of Indian history do not lie in the glory of its accomplishments, but why those accomplishments dried up, what went wrong, and why India is still referred to in polite circles as a "slumbering giant". If self-government, democracy, seperation of church and state are so key to human happiness and prosperity, what happened to India? This is a devastating question that deserves a critical and rational answer. I regret that part of that answer has to be that they probably never existed in the perfection that some historians hope.
For example, the tradition of secularism that Richard refers to is really an oversimplification of the results of the fine Indian institution of caste. First there were the Bramhins, then came the warriors, then came the merchants, then came the sweepers and cleaners of chamber pots..! That this appears to be the original division of church and state is purely coincidental and superficial. In the Anglosphere, this separation is an intellectual and spiritual barrier often codified in law. In India throughout history, this separation was a simply practical division of labor dictated by caste hierarchies. The "church" has always permeated every aspect of Indian social life for millenia, well past the British Raj, and continues to do so today.
I would suggest that there are other reasons why democracy and secularism took hold in India and not elsewhere. The widespread adoption of the English language was possibly the most important one. There were other attempts at unifying India through language.. the Mughals invented Urdu, ancient India had Prakrit, but none had the international character of English. English united the then tiny but influential Indian ruling class, and today has allowed the growing middle class to cross ethnic, religous and racial barriers like no other time in Indian history. The english language also opened up the vast body of science and technology to Indians. Then one of the most deep rooted of Indian beliefs - the quest for knowledge - took off and continues to flourish today through the lives of both native and expatriate Indians the world over.
Richard also mentioned the Indian state of Kerala, one that was least disturbed by the British, yet has the highest literacy and political consciousness of any region in South Asia today. Kerala is the very avatar of civil society by which we can measure ourselves. Yet the reasons for its prowess has to do with the fact that Kerala has always been engaged in free trade and commerce with the outside world throughout history. As a result, the region has experienced more social growth and intellectual ferment than any other. Aside from the tiny fact that it is one of the last bastions of communism in India, they are doing rather well for themselves.
As for not developing a historical consciousness, mea culpa..!
Upgraded..
The Kolkata Libertarian has been moved to the 'posh blogs' section of Libertarian Samizdata. Thanks to Perry and the gang. It had something to do with an uniformly high quality of postings. No pressure there, not at all.. :-)
Legends of the Pashtun
The buzz going around is that the Taliban are really the lost tribe of Jews... amusing, irrelevant, surreal. Nothing more!
More multicultural fallout ..?
Randall Parker sends this interesting link from the Spectator on how Western intellectuals may have contributed to the cause of Islamic fundamentalism in Europe and elsewhere by their own actions.
A closer reading of the article reveals some interesting things about the author. He begins by describing Tipton as a pimple on the backside of modern British consumer society. I am always a little suspicious of European unilateralists bearing gifts, and reading on, I was right..! His distaste for Tipton has little to do with its unfortunate dilemma of high unemployment and racial discord. It has to do with the fact that Tipton belongs to the class of hated suburbia. The kind that he feels ..are no substitute for the social amenities of a proper city.. According to the author, suburban sprawl was responsible for 9/11 and only the reabsorption of British youth into the congested web of true city life can save them..
This article is a backhanded sneer at the inevitable march of consumerist societies, and a dig at people who prefer their fitted kitchen cabinets in quiet suburban towns to the stresses of city life. Even while laying much of the blame on the distortion of multiculturalism by Western intellectuals, Dalrymple manages to shift some of it on the backs of suburban expansion and the free market forces. These are the very same forces that are Britains only weapon to stem the rise of religious fundamentalism on her shores.
A closer reading of the article reveals some interesting things about the author. He begins by describing Tipton as a pimple on the backside of modern British consumer society. I am always a little suspicious of European unilateralists bearing gifts, and reading on, I was right..! His distaste for Tipton has little to do with its unfortunate dilemma of high unemployment and racial discord. It has to do with the fact that Tipton belongs to the class of hated suburbia. The kind that he feels ..are no substitute for the social amenities of a proper city.. According to the author, suburban sprawl was responsible for 9/11 and only the reabsorption of British youth into the congested web of true city life can save them..
This article is a backhanded sneer at the inevitable march of consumerist societies, and a dig at people who prefer their fitted kitchen cabinets in quiet suburban towns to the stresses of city life. Even while laying much of the blame on the distortion of multiculturalism by Western intellectuals, Dalrymple manages to shift some of it on the backs of suburban expansion and the free market forces. These are the very same forces that are Britains only weapon to stem the rise of religious fundamentalism on her shores.
The conflict of expatraites - II
Perry de Havilland over on Libertarian Samizdata read my earlier post on the conflicts of expatriate Indians and wrote me such a compelling email that I have to share it with everyone, uncut..He says:
I found your post 'The conflict of expatriate Indians' very interesting. I am myself dual national: my mother was a US national, my father British...I was born in the Netherlands. I have lived much of my life in both countries (plus several other places) and I must say that being a 'citizen' of both has actually led me to my view of rejecting the very concept of 'citizenship' itself.
One may use a passport as a matter of convenience, because any means used to negate the ability of states to impose their writ on a person and their movements is useful. As it happens I can do so without breaking the law but I would not hesitate to indeed break the law to enter a country if I had to, justified on the principle that there can be no crime without a victim and that only actions, not origins, give any state the right to exclude anyone from anywhere. My right to freely associate is just that: my right.
I have always felt strongly that being what Marx called a 'rootless cosmopolitan' was in fact a good thing. In my case however Marx was not actually correct (surprise surprise). I am not rootless at all, but rather a rooted in what James Bennett calls The Anglosphere. Bennett, who has always said that the Anglosphere is much more than the so-called 'White Commonwealth', actually calls India 'The frontier of the Anglosphere', pointing out how many of the more useful English memes took root quite successfully there. I think this is also why many Indian expats come to the UK and US and do very well for themselves: they 'get' what it is about just fine.
The Anglosphere is characterised primarily by civil society and only then by the structure of its states. It is this that leads to the Anglosphere's adaptive nature, its ability to assimilate the useful. It is also why it draws the 'huddled masses yearning to be free' from all across the globe... not quite for the reasons many Americans quaintly imagine but the attraction is true enough.
My point is that 'nationality', dual or otherwise, is a mistaken way to look at things, particularly for an expat. People do not emigrate because they favour one 'state' over another and certainly not one government over another. Governments change in the blink of an eye. Societies on the other hand change but slowly and are the repository of vast pools of evolved memes. Some societies meme-pools are stagnant swamps because it is the state, not civil society at all, which lies at their centre. Thus people emigrate to nations where, whilst there will still be a state, it is civil *society* that lies at its heart. One can feel an affinity to a civil society but to care overly about 'citizenship' or 'nationality' is not worth the effort. In truth they do not, and should not matter, any more than the canard of race matters.
I 'get' the description of India being "the edge of the Anglosphere". The success that several English memes have had in India have much to do with how the English language rooted itself in the "Indian" mainstream. From then on, it was simply a matter of time before the memes of democracy and political free-will began to disseminate amongst a large segment of the urbanized, educated populace.
The challenge now facing India is to ensure that these memes have a chance to grow and evolve within the Indian context, and to allow every Indian the benefit of liberty, the unfettered exercise of rational free will and the fruits of free-market cooperation.
I also agree that in the long term, the issue of citizenship should not matter to an expat, whether they are from India or not. However, in the short term, i think the question of citizenship may have to be given serious consideration, as proof of one's affinity for a particular kind of 'civil society'. It's wrong to have to do that, but may be a necessary short-term evil some expats will have to bear the cost of.
I found your post 'The conflict of expatriate Indians' very interesting. I am myself dual national: my mother was a US national, my father British...I was born in the Netherlands. I have lived much of my life in both countries (plus several other places) and I must say that being a 'citizen' of both has actually led me to my view of rejecting the very concept of 'citizenship' itself.
One may use a passport as a matter of convenience, because any means used to negate the ability of states to impose their writ on a person and their movements is useful. As it happens I can do so without breaking the law but I would not hesitate to indeed break the law to enter a country if I had to, justified on the principle that there can be no crime without a victim and that only actions, not origins, give any state the right to exclude anyone from anywhere. My right to freely associate is just that: my right.
I have always felt strongly that being what Marx called a 'rootless cosmopolitan' was in fact a good thing. In my case however Marx was not actually correct (surprise surprise). I am not rootless at all, but rather a rooted in what James Bennett calls The Anglosphere. Bennett, who has always said that the Anglosphere is much more than the so-called 'White Commonwealth', actually calls India 'The frontier of the Anglosphere', pointing out how many of the more useful English memes took root quite successfully there. I think this is also why many Indian expats come to the UK and US and do very well for themselves: they 'get' what it is about just fine.
The Anglosphere is characterised primarily by civil society and only then by the structure of its states. It is this that leads to the Anglosphere's adaptive nature, its ability to assimilate the useful. It is also why it draws the 'huddled masses yearning to be free' from all across the globe... not quite for the reasons many Americans quaintly imagine but the attraction is true enough.
My point is that 'nationality', dual or otherwise, is a mistaken way to look at things, particularly for an expat. People do not emigrate because they favour one 'state' over another and certainly not one government over another. Governments change in the blink of an eye. Societies on the other hand change but slowly and are the repository of vast pools of evolved memes. Some societies meme-pools are stagnant swamps because it is the state, not civil society at all, which lies at their centre. Thus people emigrate to nations where, whilst there will still be a state, it is civil *society* that lies at its heart. One can feel an affinity to a civil society but to care overly about 'citizenship' or 'nationality' is not worth the effort. In truth they do not, and should not matter, any more than the canard of race matters.
I 'get' the description of India being "the edge of the Anglosphere". The success that several English memes have had in India have much to do with how the English language rooted itself in the "Indian" mainstream. From then on, it was simply a matter of time before the memes of democracy and political free-will began to disseminate amongst a large segment of the urbanized, educated populace.
The challenge now facing India is to ensure that these memes have a chance to grow and evolve within the Indian context, and to allow every Indian the benefit of liberty, the unfettered exercise of rational free will and the fruits of free-market cooperation.
I also agree that in the long term, the issue of citizenship should not matter to an expat, whether they are from India or not. However, in the short term, i think the question of citizenship may have to be given serious consideration, as proof of one's affinity for a particular kind of 'civil society'. It's wrong to have to do that, but may be a necessary short-term evil some expats will have to bear the cost of.
