MARCH 28, 2020 Vol LV No 13 ` 110 A SAMEEKSHA TRUST PUBLICATION www.epw.in EDITORIALS Regulating the Private Health Sector to Eliminate COVID-19 Money, Banking Challenges before Independent Judiciary and Finance FROM THE EDITOR’S DESK Reason of the State and COVID-19 A set of five articles analyses issues relating to monetary STRATEGIC AFFAIRS policy and financial regulation from the standpoint of COVID-19 Should Make Us Re-imagine emerging markets and developing economies, the the World Order interdependence of global equity markets from a heterogeneous investor perspective, the structural malaise COMMENTARY affecting India’s growth process, regime changes in India’s Excluded in Rehabilitation monetary policy, and the impact of financial misconduct Majoritarian Politics and the Ayodhya Verdict on bank behaviour. pages 26–71 Waiting for Citizenship BOOK REVIEW Talking Sociology: Dipankar Gupta in Re-imagining the World Order Conversation with Ramin Jahanbegloo While societies may be more inter-connected than ever the absence of genuine multilateral cooperation has MONEY, BANKING AND FINANCE been exposed by the COVID-19 outbreak. page 10 Questioning the Orthodoxies Finance and Monetary Policy beyond Neo-liberalism Participatory Rehabilitation Regime Shifts in Indian Monetary Policy and Tenures of RBI Governors The involvement of persons with disabilities in planning Economic Slowdown and Financial Fragility and implementing of rehabilitating programmes is Financial Misconduct, Fear of Prosecution essential to realise the actual goals of rehabilitation. page 12 and Bank Lending Time-varying Nature of Stock Market Interdependence The Precariat Non-citizen The worst-off sections of society find little meaning in NOTES the concept of citizenship, as the citizenship ideal What Drives Transitions in Milk Productivity? remains a mirage by not challenging social inequalities CURRENT STATISTICS and class exploitation. page 18 ůŝŵĂƚĞĐƟŽŶ Rural Infrastructure Watershed Development Farmer Women ŽůůĞĐƟǀĞƐ Empowerment Tribal Development Financial Inclusion ĞǀĞůŽƉŵĞŶƚĂŶŬŽĨƚŚĞEĂƟŽŶ march 28, 2020 | vol LV No 13 COVID-19 Should Make Us Re-imagine the World Order EDITORIALS 10 As a biosecurity crisis brings the world to a brink, a humane globalism Regulating the Private Health Sector to Eliminate COVID-19 .............................................7 and institutions that actually supply public goods are in need. — Zorawar Daulet Singh Challenges before Independent Judiciary ............8 FROM THE EDITOR’S DESK Excluded in Rehabilitation: Disability in the Neo-liberal Era Reason of the State and COVID-19 .......................9 12 The experience of disability is explored within the growing impact of neo-liberal globalisation utilising an ethnographic approach. From 50 years ago ..............................................9 — Deepika Sharma, Kumar Ravi Priya STRATEGIC AFFAIRS COVID-19 Should Make Us Re-imagine the Majoritarian Politics and the Ayodhya Verdict World Order 16 The Ayodhya verdict favours politics over history and the religion of the —Zorawar Daulet Singh .....................................10 majority over principles of equality and justice. — Nayakara Veeresha COMMENTARY Waiting for Citizenship Excluded in Rehabilitation: Disability in the Neo-liberal Era 18 Social groups that are forced to live in precarious and vulnerable conditions —Deepika Sharma, Kumar Ravi Priya ................ 12 are effectively reduced to being non-citizens, despite being recognised as Majoritarian Politics and the Ayodhya Verdict formal citizens. — Harish Wankhede —Nayakara Veeresha ........................................ 16 Waiting for Citizenship What Drives Transitions in Milk Productivity? —Harish Wankhede ...........................................18 72 The trend in milk productivity and its association with breed improvement, feeding and animal husbandry practices, and effi ciency in dairy farming at BOOk REVIEW the household level are examined in Punjab. — S K Srivastava, Talking Sociology: Dipankar Gupta in Ramesh Chand, Anjani Kumar & N P Singh Conversation with Ramin Jahanbegloo— Outline of a Prolifi c Academic Endeavour —Sreedeep Bhattacharya ...................................23 Money, Banking and Finance In the context of the global recession and deepening economic slowdown in India, a set of fi ve articles discusses topical issues pertaining to the global fi nancial MONEY, BANKING and FINANCE markets in general and Indian fi nancial markets per se. Questioning the Orthodoxies —Partha Ray ......................................................26 Finance and Monetary Policy beyond Neo-liberalism Finance and Monetary Policy beyond Neo-liberalism: The Way Ahead for 28 The emerging economies need to practise enhanced and active surveillance Emerging Markets of their fi nancial sector in their quest for maintaining high growth along with —Rakesh Mohan ................................................28 fi nancial stability. — Rakesh Mohan Regime shifts in Indian Monetary Policy and Tenures of RBI Governors Indian Monetary Policy and Tenures of RBI Governors —Utso Pal Mustafi , Rajeswari Sengupta .............37 37 The regime shifts in Indian monetary policy during the period 1998–2017 are Economic Slowdown and Financial Fragility: examined using a multivariate Markov-switching Vector Autoregression The Structural Malaise of India’s Growth Process (MS-VAR) model. — Utso Pal Mustafi , Rajeswari Sengupta —Zico Dasgupta ................................................ 46 Financial Misconduct, Fear of Prosecution Economic Slowdown and Financial Fragility and Bank Lending —Abhiman Das, Avijit Bansal, Saibal Ghosh ......54 46 The dual phenomenon of an unprecedented slowdown as well as fi nancial fragility in the Indian economy is addressed in the context of India’s Time-varying Nature of Stock Market Interdependence: A Global Perspective overall growth trajectory and policy regime in the last two decades. —Avishek Bhandari, Kamaiah Bandi .................62 — Zico Dasgupta NOTES Financial Misconduct, Fear of Prosecution and Bank Lending What Drives Transitions in Milk Productivity? 54 In the presence of fi nancial misconduct, state-owned banks typically cut back Household-level Evidence from Punjab on credit creation and instead increase their quantum of risk-free investment. —S K Srivastava, Ramesh Chand, — Abhiman Das, Avijit Bansal & Saibal Ghosh Anjani Kumar, N P Singh ....................................72 Time-varying Nature of Stock Market Interdependence CURRENT STATISTICS ........................................... 79 62 Employing novel time-frequency based wavelet techniques, the APPOINTMENTS/programmes interdependence of global equity markets is analysed from a heterogeneous announcements ................................................81 investor perspective, with a special focus on the Indian stock market. — Avishek Bhandari, Kamaiah Bandi Letters .................................................................. 4 LETTERS Issn 0012-9976 Ever since the fi rst issue in 1966, EPW has been India’s premier journal for The Economics of a Plate sub-schemes, the procurement of pulses comment on current affairs and oilseeds in the last three years and research in the social sciences. of Food in India It succeeded Economic Weekly (1949–1965), through 2016–17 has been as meagre as which was launched and shepherded MMT MMT by Sachin Chaudhuri, “ halinomics,” the 11th chapter in the 0.02 million metric tonne ( ), 0.1 who was also the founder-editor of EPW. Economic Survey 2020, has quanti- and 2.7 MMT respectively. Less than 10% As editor for 35 years (1969–2004) T Krishna Raj fi ed what a commoner pays for a plate of of total pulse production was procured gave EPW the reputation it now enjoys. food in India and therefore relates eco- in 2018–19, which happened to be the Editor nomics to their everyday lives. Thali prices highest procurement year. To the best GOPAL GURU are computed using average monthly price of my knowledge, the price defi ciency Executive Editor data, used for the Consumer Price Index scheme was piloted in Madhya Pradesh Lina Mathias for Industrial Workers (CPI-IW), from as the Bhavantar Bhugtan Yojana only SENIOR Assistant editorS lubna duggal April 2006 to October 2019, and the to yield mixed results and later be INDU K nominal gains that a consumer has rolled back. Therefore, any claim of Sunipa Dasgupta achieved in the last fi ve years are esti- signifi cant impact of this particular copy editorS jyoti shetty mated as a difference between the infl a- scheme is questionable. The private Tejas Harad tion-based projected prices and the actual procurement and stockist scheme is yet Assistant editors prices of food commodities forming a to be launched. Nachiket kulkarni PMKSY SHRUTI JAIN thali. The estimates reveal that after is another scheme that they 2015–16, an average household gained claim to be responsible for the decline in editorIAL Assistant Malvika Sharad `10,887 and `11,787 per year on average thali prices. The 2004 Task Force on CHIEF FINANCE OFFICER from the moderation in vegetarian and Micro-rrigation had estimated a potential J DENNIS RAJAKUMAR non-vegetarian thali prices respectively. of 69.5 million hectare under micro-irri- production While the chapter talks about improv- gation. A NITI Aayog report fi nds that suneethi nair ing affordability of food, especially since only 10% of the total potential area has Circulation KULDEEP NAWATHE 2015–16, the results must be taken with been brought under micro-irrigation till