Modi & Trump Giving Their Economies Self-Inflicted Wounds: Jairam
The global financial markets have been sent into a tailspin after the White House announced new tariffs on Mexico and Canada, sparking a fierce backlash from world leaders and economists. The Sensex and Nifty indices in India opened sharply lower, with the Sensex plummeting over 3,900 points and the Nifty falling by over 1,000 points. Amidst the chaos, Congress leader Jairam Ramesh was quick to point out the similarities between Prime Minister Narendra Modi and US President Donald Trump’s economic policies, saying that both leaders are experts in giving their economies self-inflicted wounds.
In a scathing tweet, Jairam wrote, “It’s no wonder that Mr. Modi and Mr. Trump describe themselves as good friends. Both are experts in giving their economies self-inflicted wounds. The global economy is paying the price for their reckless policies.” His comments come as the global markets are reeling from the impact of the US-China trade war, which has seen both countries impose tariffs on each other’s goods.
The US-China trade war has already had a significant impact on the global economy, with many countries experiencing a slowdown in growth. The Indian economy, which was already facing challenges, has been particularly hard hit. The country’s GDP growth rate slowed to 5.8% in the first quarter of the current fiscal year, the lowest in six years. The Reserve Bank of India has also cut interest rates several times in an effort to boost the economy.
Despite the challenges facing the economy, the Modi government has continued to pursue its pro-corporate policies, which have been widely criticized for benefiting a select few while harming the broader population. The government’s decision to abolish key labor laws, such as the retrospective amendments to the Companies Act, has also been criticized for harming workers’ rights.
The government’s handling of the economy has also been criticized for being opaque and lacking transparency. The Union Budget, which was presented in July, was widely criticized for being vague and lacking concrete measures to address the country’s economic challenges. The budget also did not provide any new measures to boost the economy, which has been a major concern for economists and policymakers.
In contrast, the Trump administration’s economic policies have been marked by a similar lack of transparency and opacity. The administration’s decision to impose tariffs on steel and aluminum imports, which was seen as a protectionist measure, was widely criticized by many economists and policymakers. The tariffs have also been criticized for harming American consumers, who are facing higher prices for many goods.
The Trump administration’s handling of the economy has also been marked by a similar lack of expertise and understanding of economic policies. The administration’s economic advisor, Larry Kudlow, has been criticized for his lack of experience in the field of economics. Kudlow, who was a journalist before joining the administration, has been accused of being a “economist in name only”.
In conclusion, Jairam’s comments are a stark reminder of the dangers of reckless economic policies. The global economy is facing unprecedented challenges, and it is essential that leaders take a more nuanced and informed approach to economic policy-making. The Modi government and the Trump administration would do well to learn from each other’s mistakes and work together to find solutions to the global economic challenges.
Source: https://x.com/Jairam_Ramesh/status/1909116322992009326
