Telangana – A perspective on 29th State of India

Couple of week back we all witnessed the high pitch fights and altercations in Lok and Rajya sabha over passing up of the bill to create a new state of Telangana. In this article we would like to view creation of state in a different perspective .We are not going to talk about seat creation, vote bank and high emotions running around.

We shall analyze few aspects of yet another larger democracy in World, United States of America. USA is a federal form of government. Simply speaking various states have come together and chosen to be represented under one flag.  Over a period of time states utilizing their autonomy USA has witnessed unprecedented progress and now is world’s richest country.

Parameters

United States

India

GDP (PPP)

$16.7 TN

$4.96 TN

States

50

29

GDP/State

$334 BN

$171 BN

                                                                                                                    Data Source CIA

On comparing GDP (PPP) of the two countries USA and India, it is apparent that even when national GDP of US is more than 3.3 times that of India, US per state GDP is only 1.95 times more than that of India. Let’s do another comparison.

When the same parameters are compared with respect to population, the results are stark. India’s per state population is 6.51 times more than that of USA.

Parameters

United States

India

Population

317 Million

1200 Million

States

50

29

Population/State

6.34 Million

41.3 Million

                                                                                                                      Data Source CIA

The asset of any country is it’s population and countries that have recognized it and have put efforts to enrich their human capital have witnessed a great turnaround. This turnaround is then reflected in increased GDP of the country and per capita income of its population.

In order to concentrate on population, a democracy would need micro management of the region,
–       Understand regional concerns,
–       Recognize the assets
–       Identify opportunities and
–       Build policies, which would lead to growth of the region.

We believe that this would be achievable by creating smaller states to ensure growth of the region and its population. We firmly believe that creation of Telangana is a step in right economic direction.  We would like to get the focus of the country towards the BIMARU states, which are riddled with low state GDPs.

Carving out smaller states of the BMRU region would go a long way in creating a long term balanced and incremental growth of the country.

“By DoD Rangers”

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