Elected autocrats can take nations down wrong path: Raghuram Rajan
Monday, November 27, 2017 IST
1.Rajan said governments need to listen to a broader spectrum of people to reduce the possibility mistakes
2.He also said that one needs to wait for data to emerge to be able to assess the full impact demonetization
3.It's important to emphasise the message that we need better tax compliance in this country, he said
NEW DELHI: Former RBI governor Raghuram Rajan on Sunday said governments need to listen to a broader spectrum of people to reduce the possibility of mistakes, instead of planning their actions solely based on demands from their supporters.
When asked about the phenomenon of elected autocrats at the Times Litfest Delhi , he said, "It is worrying. It is often people, who appeal to a certain segment of society, have a very strong following. What happens then is that the potential for mistakes increases. You are not listening to the broader electorate. 'These are the people who elected me and I am going to listen to their will and wishes.' And you take countries down the wrong path sometimes."
He suggested that stakeholders in the system often bowed to strong leaders. "Illiberal democracy is not just a function of the leader, it is also a function of the system, which doesn't stand up and exercise independence - the corporate houses, the press and the business groups. All of them essentially tend towards bowing even though there are exceptions. They do that because their interests are all aligned. This is where illiberal democracy is crony capitalism also because it's a small group. There is a cosy relationship between the political and corporate establishments."
While Rajan said one needs to wait for data to emerge to be able to assess the full impact of demonetisation, the economist from Chicago Booth added that tax authorities could play a significant role in identifying evaders based on data at their disposal. At the same time, he cautioned against harassment. "We have to have a very people-friendly way of investigating based on all the tremendous amount of information that is now being collected. It's important to emphasise the message that we need better tax compliance in this country. To the extent we can do it without unleashing inspector raj."
The outspoken economist also suggested a competition within the government to improve service delivery. "We need competition in government services. Why should you go to get a passport from one location? Why not empower any location in India to give you a passport. Wherever there are choke points where there is a monopoly deliverer of a service that you need immediately, you become subject to their tyranny."
Related Topics
Related News & Articles
During floods, wild animals migrate towards Karbi-Anglong hills — an act of survival embedded in their DNA. But the animal corridors are now cramped.
Recently posted . 533 views . 1 min read
Holi, the festival of colours would be celebrated across the country tomorrow. For students who are appearing for CBSE Board Examination 2019 and planning to play H...
Recently posted . 685 views . 2 min read
The survivor submitted a petition to the Coimbatore District Collector, requesting the protection of her identity.
Recently posted . 632 views . 1 min read
According to an official who was quoted in the report, in the face of these rampant thefts, Indian Railways has decided that face towels which are given to passen...
Recently posted . 635 views . 2 min read
Indeed, even as the government protects the demonetisation practice in the midst of developing resistance, it has risen that previous RBI representative Raghuram Ra...
Recently posted . 596 views . 13 min read
Trending News & Articles
While the Uttarakhand High Court has asked to block 857 websites, the Ministry of Electronics and IT (Meity) found 30 portals without any pornographic content.
...
Recently posted . 61K views . 1 min read
The four boys as well as five school officials, including the director and principal, were arrested after the incident. The minors were presented before the Juvenil...
Recently posted . 8K views . 1 min read
Rahul was having an Italian passport and was carrying suitcase full of dollars. Some say it was about was it $2 million.
Rahul and his girl friend was th...
Recently posted . 7K views . 7 min read
True – Tr...
Recently posted . 6K views . 83 min read
More in National
FDs are considered as one of the safest and most common investment options. The interest income earned from FDs, however, has certain tax implications.
Recently posted. 585 views . 1 min read
Dhoni’s wife Sakshi Singh Dhoni was a director and a 25 per cent shareholder in a group company called Amrapali Mahi Developers Pvt Ltd, where Amrapali Group ...
Recently posted. 763 views . 1 min read
NEW DELHI: An Air India pilot on Wednesday deserted a flight on the runway of the Jaipur airport leaving 48 passengers stranded, apparently ...
Recently posted. 765 views . 4 min read
Recently posted . 1K views
Recently posted . 922 views
Recently posted . 1K views
Recently posted . 1K views
Recently posted . 1K views . 88 min read
Recently posted . 1K views . 35 min read
President Pranab Mukherjee will be on a one-day visit to Punjab on May 2, and be the chief guest at the 8th convocation of Lovely Professional University (LPU), Cha...
Recently posted. 726 views . 5 min read
Outside the New Delhi Railway station on Tuesday, there was a steady flow of passengers — students, migrants and professionals from within and outside Delhi &...
Recently posted. 704 views . 1 min read