Articles by H T Parekh

faith in the rights of its own ethnic identities. Similarly ethnic discontent in Punjab and Kashmir undermines effectiveness of India's Pakistan policy.

it is in Karnataka or Gujarat there is no comparison between the assistance provided to these states and Andhra. This is where the States are at the mercy of the Centre. The Congress(I) government at New Delhi, while playing the dirty politics in a calamitous situation like this, does not seem to realise that it is only playing with the lives of the poor masses.


of chapter 9 (especially pp 252-255) provide heavy algebra without many further clear-cut economic results. At this final stage, the book seems to suffer from the usual syndrome of neo-classical 'general equilibrium-type analysis where 'everything depends on everything else' and unambiguous results become hard to obtain! The book ends with a long (pp 256-286) and interesting appendix on the much debated issue of tenancy in agriculture.

Stock Market, Capital Market and Money Market A Mid-Year Analysis H T Parekh IN the first half of 1982, the financial and monetary scene has transformed itself beyond recognition from what it was in 1981. The euphoria caused by inflation psychosis has gone. The stock market community is in the grip of a crisis and is paying dearly for its excesses. The impact of this is also being felt sharply by the new issues market, where the phenomenal burst of activity of 1981 has much subsided. No longer is it easy to raise new capital, though, overall, the market can be said to have broadened a great deal. In the money market, the constraint on resources has eased considerably for the banks. Pressure on them from the Reserve Bank on the one hand and for credit from their clients on the other has relaxed far beyond anyone's expectations. In industry and trade, a sellers' market is turning into a buyers' market making it difficult to pass on cost increases to the consumer. This is a new experience for the stock, capital, money and commodity markets. The painful process of downward adjustment is going on, the end of which may not yet be in sight.

So long as it cannot be established that there has been speculative inventory build-up in any section of industry, any large increase in bank credit need not cause the kind of alarm it has caused among academicians.