BUDGET BLUES

One of my colleagues, Santhosh,  told me today that the Greek language did not have the word ‘blue’ and possibly the Englishmen adapted this from some French or other Scandinavian dialect. I take his word for it because Santhosh is a very knowledgeable professor!

However the conversation set me thinking and the words that came to my mind in a flash were ‘budget blues’ – I think at my sub-conscious level the Union Government’s budget to be presented on the 28^th February must have influenced this – considering that every newspaper that you lay your hands on these days carries some article or other on the budget and what is more every columnist (!?) worth a penny or two (or perhaps not worth so much!!) has some suggestion for PC (I mean Mr. P. Chidambaram) – not your personal computer or Priyanka Chopra!

The newspapers are screaming that the budget has to provide stimuli to kick start growth and if India were to achieve non-Hindu rate of growth (I wonder why bring in religion into economics), there have to be a lot of 

.   efforts to reverse market sentiments (read SENSEX); the sentiments of you and me don’t (the honest tax paying public) do not matter. 

.   capital gains to be clearly defined – you and I don’t have any gains either revenue or capital but does that enter into the equation?

.   India should ensure that Standard and Poor (whose standards seem to be poor) do not down grade or that Moody’s (whose mood is it anyway and who is not moody these days) should certify our economy as investment grade – do these ratings affect you and me?

.   real estate business has to be given a fillip so that the middle class can afford houses – who is middle class today? – the way the prices of essentials have shot up during the recent past has probably made most of the middle class also BPL or a la Sashi Tharoor – cattle class!

.   concession in taxes for women wage earners – Pray, Where is gender equality?

But my worries about the budget are different. I am almost certain that I will have to pay more income tax and of course indirect levies in the form of rise in price of every item that I need for my down-to-earth living not luxurious living, mind you!

But I have to consider myself a rich man because the Government is expected to tax the rich. My logic is Government taxes the rich; I pay taxes and so I must be rich – I can hear some logician telling me that there is, in this syllogism, a fallacy of undistributed middle, whatever that means!  But I have not stolen any one’s properties – this is a caveat of mine because Pierre – Joseph Proudhon said that ‘the possessions of the rich are stolen property’.

In any case there is a periodical increase in price of diesel which will ensure that every household item that I need will cost more thanks to transportation costs

Indirect levies, customs, excise etc. will ensure that other items that I may consider buying go beyond my reach and most of the Aam Aadhmi about whose welfare the entire political spectrum is reportedly concerned.

The increase by four rupees and reduction by two rupees of the price of petrol will ensure that I do not even touch my vehicle and so no social contacts – in any case does it exist given our pre-occupation with TV – serials that do not seem to reflect reality and reality shows that are far removed from reality and of course, the Indian cricket team playing some country or other.

To you and me personal budget is a great feat of balancing fixed income with escalating prices. Our capabilities in this may surprise even the circus juggler of three or more balls and catching them in time without letting any of them fall. But while the circus man does not let fall any ball, you and I have to sacrifice some expenditure or other – that is allowing some ball to slip from your grasp to use the circus terminology.

We have been taught early in our life 'cut the cloth according to the coat’ meaning plan your expenses within your income and if possible (?) save some for the rainy day – that it does not rain adequately is why we are not worried about the rainy day!

 

The Tamil poet Thiruvalluvar said that if governance is good there shall be no deficit of rain – probably God tells us that our governance needs to be improved! And in any case, we get the governance that we deserve or we deserve the governance that we get, which ever way you want it!

Another concern of the analysts is that the savings of the household sector has fallen over the years – please tell me how you can save given the prevailing prices! In any case the modern trend of ‘live for the day and don’t worry about the future’ ensures that our savings will not grow.

Still I am hopeful PC will not tax me heavily because 2014 is only 10 months away! I am an eternal optimist.