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Wednesday, April 30, 2014

Can the Gujarat Model Work Nationally?




CAN THE GUJARAT MODEL WORK NATIONALLY?

Economists, like astrologers, vary widely in quality and root bias. Both are into handing out prescriptions on how to improve one’s fortunes, and both do not worry over much about the burdens of efficacy or proof. By the time the results are out, astrologers and economists alike, have wrapped themselves in layers of protective caveats and codicils, or pushed off to the World Bank, IMF, the United Nations, or some professorial job/well paid think- tank abroad.

Some are mealy-mouthed about the actual growth of Gujarat during the Modi years, grudgingly admitting a higher trajectory, but caviling that it is still not all that great, not good enough to justify the hype and hoopla. These worthies need to be reminded of the difficulties of a state turning Right into market-driven economics, pushed by a dedicated but one state act of a Chief Minister.

This, while the country at large has been turning determinedly Left, in a paroxysm of statist socialism, orchestrated by a ruling party with a nostalgia for the seventies and eighties. Back then, majorities in parliament were the norm, and nobody in power circles talked about gauche things like money, or the necessary evil called ‘the economy’.

It was, instead, a high-minded orgy of employment over profit, social objectives over viability, ideology over truth, and other such stirring nonsense much beloved of the thinkers of the time. Remnants, no, entire continents, of this kind of date-expired belief still come from the worst run states, drowning in misery and squalor to date.

States such as Communist Kerala, which would be worse off than almost anywhere on this planet, if it were not for the hard earned Gulf money of millions of Keralites gone abroad. And West Bengal, ruined in mind and body by years of Communism, and now, muddle-headed populism. Its unjustified culture of entitlement without work and discipline, that has retarded Bengal. Or the gasp inducing backwardness of Bihar, where any stone thrown will tend to land on an anti-social of some kind, and any improvement, however miniscule, is still called an upswing.  

These states are also the loudest in proclaiming they have done excellently well, and Gujarat has achieved nothing compared to them. Oommen Chandy calls the Gujarat Model ‘a farce’, and well he might, because if he doesn’t laugh, he will surely have to cry.

Less than a year ago, Congress propaganda had it that the architect of the Gujarat Model, its Chief Minister Narendra Modi, had no takers outside the state borders of Gujarat. When this lie was nailed with the Modi Wave surging across the country, the attack was modified to include his model of governance. Meanwhile, Modi had grown in stature and popularity with talk of development, growth, jobs, industry, super-fast railways and the like.

Congress, smug in its assumptions, was waiting to pounce on the BJP’s Hindutva agenda when revealed, and, poor chaps, they are still waiting, even as the 7th stage of polling is concluded.
 In between, alarmed at Modi’s success even as campaign head, the Congress tried their ‘Anybody but Modi’ tactic by having their media minions try and sow discord. They feverishly suggested the names of various other BJP leaders. This too fell flat, and Modi was nominated the BJP’s prime ministerial candidate after all.

NaMo meanwhile, kept working throughout with a vigour, stamina and determination not previously seen in Indian electoral politics. This degree of application and demonstrated leadership is a key, if intangible, element of the much vaunted Gujarat model. A system is only as good as its driver after all.   

Congress now said Modi had done nothing special to foster the relative prosperity evident across almost all parameters in Gujarat; it was the innate industriousness of the Gujarati people, and that he was just taking credit for it. Conversely, finding this line was actually perceived as back-handed praise, Congress switched tack once again: Now Congress said the statistics, even those compiled by national agencies outside Gujarat Government control, were fudged, the reality on the ground was different, only certain sections prospered, big business were the only beneficiaries, and so on.

The flummoxed Congress could not however explain how Modi had won three consecutive terms with healthy majorities, every time. Besides, there was the ever present communal slur, but belied by the fact that BJP has won, even the municipal elections in Muslim majority wards, not once by fluke, but time and again.  
Still to the Congress, Modi is a ‘Feku’,  a name coined by the substantially out-of-work Congress General Secretary Digvijay Singh, a minor royal, and author of a thousand outrageous quips. He is only rivalled in the arena of boomeranging insults, by fellow senior Congressman Mani Shankar Iyer. But ‘Mani’, to give him his quixotic due, laments his own irrelevance with the same prominence as he insults Modi and the Gujarat Model of development.

Actual Right-leaning economists, as opposed to politicians from the UPA or the regional parties, like Bibek Debroy, tend to praise the Gujarat Model, even placing it at No. 1 in the state rankings three years running now. And Jagdish Bhagwati from Columbia University, along with his colleague Arvind Panagariya, have made clear they want to contribute significantly to a Modi-led NDA government.

But, inevitably, then there are others, like the welfare economist Amartya Sen, and his chela Jean Dreze, who trash GDP growth and jobs/industry oriented Gujarat, and for that matter, all of Sonia Gandhi run India too, for its inadequate record on alleviating poverty at ‘the bottom of the pyramid’ as the late Management Guru Prahlad had it. They want more given to the poorest of the poor, never mind what it does to the balance sheet.

It does, of course, set the politician up as an annadata, a far loftier position to comfortably occupy, than wanting to be judged and juried on performance, like the erstwhile chai-walla  Narendra Modi. The Gujarat Model puts the cat amongst the pigeons. So it is natural to hear a lot of squawking and seeing feathers that fly.

(1,003 words)
April 30th, 2014

Gautam Mukherjee

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