GITAM Foundation Award conferred on the economist and Sanskrit scholar

Economist and Sanskrit scholar V.R. Panchamukhi on Saturday said in liberalisation, privatisation and globalisation (LPG) paradigm of development, unnecessary emphasis had been laid on competition as an engine for resource allocation.

Delivering 33 Foundation Day Endowment Lecture of Gandhi Institute of Technology and Management (GITAM) at GITAM University here, he said the overemphasised role of competition had led to competition among persons of not-equal calibre. He said that this would imply annihilation of the relatively weaker player.

Earlier, he was conferred GITAM Foundation Award – comprising a cash award of Rs.10 lakh from the interest accrued on Rs.3 crore donation made by GU president M.V.V.S. Murthi, a citation and a silver memento.

Mr. Panchamukhi said: “We cannot expect fair results from wrestling between a well-trained Sumo wrestler and an unexposed rustic rural wrestler from India. The latter should be first trained in the art of Sumo wrestling and he should be well nourished and made fit to face the challenges.”

Thus, relying on competition alone without the support of cooperation schemes would imply irreversible damage to the domestic economic actors, he opined.

On LPG model of development, he said the LPG paradigm raised many expectations in different segments of economy. It was envisaged that LPG paradigm would significantly increase the growth rate of GDP, enhance the efficiency of resource allocation and reduce poverty as a result of the trickle down principle of the growth process.

It raised the hope that it would reduce inequalities, encourage exports and increase access to capital and technology in the global market. Mr. Panchamukhi said in a way, the LPG paradigm almost promised the moon on the earth.

Referring to poverty in India, he said despite several expert groups and efforts to paint a rosy picture about declining poverty, he said as per conservative estimates, nearly about 23 million people were below poverty line (BPL), which was equal to the combined population of many European and African countries. “The time may come when they demand a separate constituency for representation in Parliament. Why not a portfolio separately for poverty,” he wondered. Mr. M.V.V.S. Murthi in his remarks asked the rich to contribute part of their income to eliminate poverty.

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