Chidambaram reveals ‘classic solution’ to revive sagging economy; Here’s his ‘plan’

By: |
February 07, 2020 9:09 PM

"The problem with the economy is there is no demand. There is a demand constraint. People are not buying goods and services and the reason behind it is that people don't have money," he said.

 

Former finance minister P Chidambaram. (PTI)

Former finance minister P Chidambaram said on Friday that “a classic solution” for reviving sluggish economy is to put money into the hands of “masses and not classes”, but the government will not do it, because it is a “suit, boot ki sarkar”. The senior Congress leader was here to deliver a lecture on “CAA-NPR-NRC and Union Budget”. “The problem with the economy is there is no demand. There is a demand constraint. People are not buying goods and services and the reason behind it is that people don’t have money,” he said.

“We have a classic solution for this condition. Put money into the hands of masses and not classes but this government will not do that because this government is of `suit boot ki Sarkar’,” he said. The jibe `suit boot ki sarkar’ (a government of rich and elite classes) had been first used by Congress leader Rahul Gandhi while targeting the Narendra Modi-led Union government during its first term.

Chidambaram referred to Mahatma Gandhi to state that unjust laws must be disobeyed. “The history of freedom has been such that people stood up against injustice. Complete obedience is a mark of dictator. Satyagraha, civil disobedience, this is in the DNA of India given by Mahatma Gandhi,” he said.

Do you know What is Cash Reserve Ratio (CRR), Finance Bill, Fiscal Policy in India, Expenditure Budget, Customs Duty? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Covid-19 second wave: Moody’s slashes FY22 India growth forecast to 9.3%
2Care Ratings revises downward GDP forecast to 9.2% for FY22
3Moody’s cuts India’s growth forecast to 9.3 pc, risks of longer-term eco scarring