The AP state government has recently released a document titled “ Annual Fiscal Framework 2003-04” (AFF). This document is ostensibly intended to serve as a basis for formulating the budget after considering the feedback received from the public. Without resorting to financial mumbo jumbo, I would like to draw your attention to the real issues, which get obfuscated by the mirages the government is trying to create.

Series of scandals have engulfed the urban co-operative banks in the state. Thousands of small depositors, lured by the comparatively higher interest rates offered by some of these banks, lost their life savings and not know who to turn to.

Gandhiji’s birthday celebrations this year led to some serious efforts to examine our economy and society today. I had occasion to participate in two such discussions. A couple of things struck me in these discussions. In one, a politician said that part of the reason for our underdevelopment vis a vis Southeast Asian countries and China is that we are constrained by Democracy! In the other, some participants talked of the evil impact of globalization on our economy and culture! Let us examine the facts and fiction on both these hypotheses.