Wealth of Societies

In the year 1776, when imperialism was expanding it’s claws in the East and Africa, the West stumbled upon the so called ‘ BIBLE of CAPITALISM’. Even after more than 200 years the book still holds strong. True the empires have long gone and globalization has created large global village, but even a single introductory page of the book is still valuable.

The wealth of nations depends upon the wealth of the society. The society’s level of development becomes more important when it’s a matter of a developing country where We stands before I. The developing countries have no dearth of wealth but it resides in the hands of a very few. The filtered coins that drops down creates the two most important classes on which a developing nation like India stands — The Middle Class and The Lower Class.

Adam Smith explained the level of a country in terms of it’s labor. The principle stands perfectly for individuals and families belonging to the above classes.

A economically lower class family has most it’s members involved in useful labor. But it still remains poor. Almost all members of the family are pushed to help the family but still has to live every day in a doubt. Regardless of the international market and government subsidies their consumable value is more than their income. Whereas a middle class family has at most 1–2 members employed in useful labor. While others are being trained to become a useful labor one day. But the training time is long. A middle class family consumable values are much greater than a lower class. True the middle class also lives in doubt but the family still lives well off. A developing country with a vision has a foresight. A long term planning. Similarly a middle class family plans the future of their non useful individuals and how to train them to be useful. But this long term planning requires a luxury — ‘ Patience of Investment’. Which in turn sits upon a backup stock. A middle class family, due to their greater value of labor can sit upon a backup, to have a patience of investment for the training of the next generation. But this luxury is scarce in an underdeveloped nations or a lower class family. Their survival is daily and they remain trapped in a cycle of underpaid less valuable labor.

Here a government’s socialist or keynesian ideas comes into play. Which is turn supports a country’s capitalism and propels them to a developed advanced capitalism.

But sadly Indian Government is pushing with all it’s might towards making India a haven for Crony Capitalist and Corrupt Politicians. There is no Jai Ram any more, it’s Hey Ram !!