...The Economy of Black Money With the recent onslaught of allegations on benami properties, illegal wealth stashed in foreign banks and tax evasions the subject of black money is a hot topic in India. Professor Arun Kumar in his Lecture titled “The Economy of Black Money” debated and informed about various causes and its ill effects. Black money is only a tiny part of black economy. Arguably the entire elite class is involved in some kind of black money exchange. With corporates and government working in tandem for their own good, decision are made on the basis of black money paid compromising National Security. About 4 lakh crore goes out of India every year to about 77 tax havens making the Indian economy weaker. This is called flight of capital or drain of wealth. Only about 3% of Indian population is involved in black money laundering. Various studies have shown that black economy has grown over the years with stock markets, mining and oaring and now of recent the service industry is key contributors to black economy. Such huge amount of black money laundering can only be successful by a system. This system is theorised as a Triad that is formed chiefly by three things. Corrupt business class, corrupt bureaucracy and corrupt middle men working in nexus with criminals. Here the problem is not narrowly technical. Honesty is imperative. So then what can be done about this? The lecture pointed out some steps that can be taken to reduce black economy if not stop it....
Words: 298 - Pages: 2
...IDUKKI,KERALA EFFECTS OF BLACK MONEY ON INDIAN ECONOMY ABSTRACT: Black money is one of the hot topics of discussion now a days in our country. The black economy represents not less than one fifth of the aggregate economic transactions. Black money results in the functioning of a parallel economy. In India, black money refers to funds transacted in the black market, on which income and other taxes have not been paid. It practices those activities which are contrary to the principles of economic policy pursued in an economy. Therefore it is called illegal economic operation. It is well-known that there is a large quantity of money, income and wealth which has been...
Words: 1640 - Pages: 7
...Indian Black Money Abroad In Secret Banks and Tax Havens Second Report Of The Task Force on the steps to be taken by India Members Shri Gurumurthy, Chartered Accountant, Chennai Shri Ajit Doval, former Director Intelligence Bureau, Delhi Prof R.Vaidyanathan, Professor of Finance Indian Institute of Management, Bangalore Shri Mahesh Jethmalani, Senior Advocate, Mumbai Submitted to BHARATIYA JANATA PARTY 1 I. The First Interim Report The first Interim Report of the Task Force appointed by the Bharatiya Janata Party was released to the public on 17-04-2009. Afterward different world governments, particularly those in the West, have increasingly begun targeting tax havens and intensely began pursuing black money. The US, and France particularly began a huge campaign against the evil of black money. The estimates black money lodged in tax havens by global financial institutions like the International Monetary Fund reached as high as $18 trillion. The instability in the global financial order itself was traced to the evil money. So the issue has now acquired a totally different dimension. In the first Interim Report, the Task Force had suggested broad national and global strategy for dealing with the menace of black money out of the country. The substance of the recommendations of the Task Force in the First Interim Report is summarized here: Global Strategy: • Creating a powerful public opinion and broad national consensus on the issue. Those who do not...
Words: 25854 - Pages: 104
...This is so shocking.. ..If black money deposits was an Olympics event.. India would have won a gold medal hands down. The second best Russia has 4 times lesser deposit. U.S. is not even there in the counting in top five! India has more money in Swiss banks than all the other countries combined! Recently, due to international pressure, the Swiss government agreed to disclose the names of the account holders only if the respective governments formally asked for it.. Indian government is not asking for the details... ..no marks for guessing why? We need to start a movement to pressurize the government to do so! This is perhaps the only way, and a golden opportunity, to expose the high and mighty and weed out corruption! . Please read on..and forward to all the honest Indians to.. like somebody is forwarding to you... and build a ground-swell of support!for action ! . Is India poor, who says? Ask the Swiss banks. With personal account deposit bank of $1,500 billion in foreign reserve which have been misappropriated, an amount 13 times larger than the country's foreign debt, one needs to rethink if India is a poor country? DISHONEST INDUSTRIALISTS, scandalous politicians and corrupt IAS, IRS, IPS officers have deposited in foreign banks in their illegal personal accounts a sum of about $1500 billion, which have been misappropriated by them. This amount is about 13 times larger than the country's foreign debt. With this amount...
Words: 11582 - Pages: 47
...BAE Black Money Scandal “You have to learn the rules of the game. And then you have to play better than anyone else.” (Einstein, n.d.). It has been the better of two decades that one of the most prestige military arms manufacturers has armed United States troops. Sophisticated weaponry is the cornerstone that signifies a military’s strength and dominance. To meet the service and supply demands of today’s military, BAE System has made a commitment as the United States number one arms vendor. As chief distributors of arms, BAE have made customers on a global scale fulfilling the needs of militaries around the world. In the race for attracting customer dominance the better practices of business always have not been BAE’s top priority. Allegations that BAE were not using ethical business practices led to a case that inevitably unraveled BAE’s integrity. The United States lost confidence in BAE Systems by inconclusive allegations of the Al-Yamamah arms deal, bribery, and fraud. Al-Yamamah Arms Deal The Al-Yamamah arms deal can best be described as “you scratch my back and I will scratch yours” recorded arms sales. Behind the smoke screen there was an agenda brewing between two parties the United Kingdom and Saudi Arabia. The Al-Yamamah arms agreement was an arms agreement between the two countries. September 1985 Saudi Arabia paid for the commercial order of arms sales by means of 600,000 barrels of crude oil per day delivered to the United Kingdom. The delivery did...
Words: 788 - Pages: 4
...devalued, or revalued it. (Black, Module 4, Topic 4.4). The manual minted sliver coins at the time were often irregular in size and shape. Besides, after periods of usage, the old sliver coins were naturally worn and torn which normally had thinner edges. The bullion content of these coins became less weight than legal coins. Some unscrupulous speculators took a chance that deliberately minted with short-weight bullion content, or physically clipping or filling little segments of precious metals from the proper coins. The silver chips would be collected and illegally melted by individuals, then smuggled to the foreign countries. “When the debased money was circulating along the legal coins, the latter will tend to be exported, leaving only the inferior money in the circulation.” Gresham described these unethical practices as “bad money drives out good”. (Black, Module 4, Topic 4.4) Because the clipped coins were not liable to the public, it was habitually accepted only for less than their stamped value. On the other hand, people tended to use these suspicious coins to pay taxes. Oppositely, the British government was eager to raise funds for the war against France. With these double results, the British government was advised by William Lowndes to cry up the value of the money in order to discharge large debts with a small sum. The revaluation could be reversed when the war ended which would cry down to receive more revenue from the tax payers. (Black, Module 4, Topic 4.4) Once...
Words: 803 - Pages: 4
...your textbook, what is the definition of hyperinflation? |No |Author |Textbook |Definition | | | | | | |1. |Mishkin, Frederic S. |The Economics Of Money, Banking & Financial|Whenever a country’s inflation rate is extremely high | | | |Markets, ninth edition - Pearson |for a sustained period of time, its rate of money supply| | | | |growth is also extremely high. Indeed, this is exactly | | | | |which show that the countries with the highest inflation| | | | |rates have also had the highest rats of money growth. | | | | | | |2. |Ben S Bernanke |Inflation Targeting: Lessons from the |That high inflation is detrimental to the economy has | | |Thomas Labach |International Experience. Princeton |long been recognized...
Words: 665 - Pages: 3
...to gain insight on how society was during this time period. Society’s view on the roles of women, the value of money, and racism, as well, were just some of the themes mentioned that shaped the film into what it was. The film’s message about the roles of women in society was clearly demonstrated. In Trading Places, Penelope, Louis’ girlfriend, appeared to the audience as a women who was quite dependent on his income and expected to be taken care of throughout her life. But, once he lost his job, including his fortune, Penelope did not last much longer with him. By her actions, the viewers were able to draw the conclusion that Penelope was not quite interested in him, but his fortune instead. The film also incorporated a scene that portrayed the message that women did not respect themselves. When Louis is finally released from jail, he is soon approached by a woman named, Ophelia, who is a prostitute. This also exemplified how society perceived women as individuals who were willing to do anything in order to make money, which seemed more important than protecting themselves. Trading Places also shows how money can often lead to the destruction of an individual or even society. In one particular scene, the Duke Brothers pay Clarence Beeks a large amount of money in order to commit terrible actions. Instead of Clarence turning down the offer, it appeared that money was more important than the life of a human being. In order to receive the ten...
Words: 611 - Pages: 3
...given an eye-opening confession at a Lagos-based church. Samuel Johnson, an Edo State indigene, explained that his journey into advanced internet scamming began in The University of Port Harcourt after he joined the ‘Black-Axe’ cult. “I followed them into a very thick forest during the night of initiation,” the young man narrated. He was just 19 years old at the time. “We reached a place where there was a candle and a coffin encircled by 50 young men. They tortured us with canes until we started bleeding. They then cut my tongue on a razor blade and gave me something to drink.” The quiet, intelligent student changed drastically from that day onward. “It was like I had two people living inside me,” he recalled. “I became very aggressive. I had this strength to want to steal and started stealing from people. I also started smoking and drinking excessively. Anytime I drank, it’s like I became stronger.” A cult friend into online fraud, soon egged him into joining. However, for Samuel, there was a strange, spiritual element to his deceptive tricks, widely known in Ghana as 'sakawa'. “There was a spirit inside me that kept teaching me. I was not just any fraudster; I learned it from meditating on it. It was inbuilt. Even if I walked into a room and money was kept there, I would know where to find it.” Starting by procuring foreign sim-cards from UK and USA so as to deceive potential victims, Samuel specifically targeted wealthy foreign ladies in North America. “I had...
Words: 1549 - Pages: 7
...I am a 33 year old white guy and have been working in Clinical Research for 7 years in SC. I have been an Alliance Member for a little over a year now, and it was the best money I have ever spent. A couple years ago I had been struggling with life and dosed some LSD with a friend so I could contemplate my worries from a more spiritual perspective. Heading home early the next morning, coming down from my trip and listing to Sirius radio I heard a 10 second blurb "End of America.com". I was a Democrat with zero interest or knowledge of finance with Bill Mahr as my main source of political 'information', but was captivated by the provocative website domain. I watched the video as soon as I got home and bought the Stansberry Digest immediately afterwards. I have a degree in Applied Mathematics and have always been good with numbers. I was a young American guy hypnotized by the country's pretentious sense of entitlement to live the American Dream, but I was forever changed by the insurmountable evidence of the irresponsible financial policies, corrupt political practices, and historical warnings hiding in in the daze of the average American's prideful ignorance. Porter, thank you for inspiring me to learn about such important issues and to motivate me to be part of solution. I love the Black Label shows, and definitely think that our society is overly concerned about political correctness. I have also seen many examples of fundamentalist people that are bat-shit crazy and usually...
Words: 1287 - Pages: 6
...Monetary Policy Todd Underwood ECO/212 13 July 2011 Tulin Melancon Monetary Policy Money, Money, Money -- what is it all about? To quote Charles Dickens "Annual income twenty pounds, annual expenditure nineteen six, result happiness. Annual income twenty pounds, annual expenditure twenty pound ought and six, result misery." Purpose and Function of Money Money is a generally accepted method of payment for goods and services including repayment of debts. The functions of money include a medium of exchange, which is an alternative means used in trade to avoid the inconveniences of the barter system. Money also functions as a unit of account, which is a standard monetary unit of measurement of value and cost of goods, services, or assets. As one of three well-known functions of money, it provides meaning to profits, losses, liability, or assets. Another function of money is as a store of value, which means it can be saved and used at a later time, and be predictably useful when used. Any kind of object or secure verifiable record that fulfills these functions can serve as money Central Bank Management of the Monetary System The central bank plays an important role in keeping the nations economy running smoothly. The bank provides management of the supply of money and credit and with currency and payment services like electronic funds transfers and check clearing. The central bank also serves as the “banker” for the United States federal government by providing...
Words: 747 - Pages: 3
...PIZZA HUT - MOSCOW: CASE ANALYSIS () Executive Summary: Pizza hut is faced with challenges as they try to get their “toe in the water” and enter the market in Moscow. The challenges are: * Lack of standard supply chain process * Cultural clashes * Language barriers * Service differentiation for Ruble and hard currency customers * High exchange rates and complication in pricing (government versus black market rates) * Communication (disconnect between the local employees and the management team) * Employees had to work long hours and cover for absentees * Turnover and ongoing training for the new staff jeopardized the service and quality of Pizza Hut. Proposed solutions include a complete analysis of the political, economic, social, technological, environmental and legal aspects. The key to Pizza Hut’s success in Moscow is effective supply chain management. Efficient Management of materials, manpower, money and production will create a positive outcome. Focus areas for improvement include training, sourcing, understanding culture, adapting to the local environment, and creating a new lifestyle for the Russians. In other words, we recommend inducing change in employment conditions, payment methods, quality adherence, and customer service culture by partnering with local suppliers, customers, employees, companies and government agencies. Background: The joint venture between PepsiCo and its partner, Mosrestoranserise was based on a $3...
Words: 806 - Pages: 4
...in which cash and checks will no longer exist. A new form of funds transferal will become common such as the use of credit cards or more generally e-money. In today’s digital world, money is becoming much more a concept then a physical entity. People are using credit cards and debit cards and other kinds of electronic payments more and more everyday in order to pay for different goods & services. Still, it is part of the human nature to need a tangible mean of payment. You can count cash with your hands, you can feel it. In fact, it would be very difficult to make people trust in digital money as the only form of currency. On another hand, the cashless society has many opposants who’s biggest concern is the invasion of individual intimacy for money is untraceable, anonymous and negotiable whereas digital payments are completely the opposite, every transaction is recorded; marketing firms and governments are already using gathered information and data about internet users and people are afraid of how this information being used. However, this has some advantages such as being able to track down terrorists, drug dealers and black markets because the only mean of payment would be electronic. My last point will be about that fact that a cashless society would rely on information systems and technology. This makes digital money a sword with two edges since it is true that it facilitates transactions and fund channeling but this whole system could collapse if there were to be...
Words: 281 - Pages: 2
...like a lot, but it can save about $250,000 in tuition costs(Herrea). With saving that money, many college student athletes could graduate college with not owing any money to the bank or the college. To many people it seems like student athletes do not receive a lot of scholarship money, but,“Overall colleges and universities awarded more than $3 billion in athletic scholarship money in 2013. In 2013 the average amount of money awarded to NCAA(national collegiate athletic association) division one athletes was $13,821 for men and $14,600 for women”.(Holland, Schoer) This means that they receive over $50,000 in scholarship money during an average four year college stay. That through an education, which can potentially make them even more money in the future.College grugated on average make 85% more than adults with a high school diploma (Herrea). For most of those who graduate college are in debt, but most athletes don't have to pay loans once out of college which leads to making profit right out of college.(Tan).If the athletes are granted scholarship money they can make more money and have a better life in the future. Colleges do not have enough money to afford to pay college athletes.This because most programs run at a deficit. “Surveys have told us that most athletic budgets are currently operating in the red. Even Though a school may have a lucrative football program, a lot or the money goes towards other athletic programs and expenses.”(College Can’t Afford to Pay Athletes)...
Words: 654 - Pages: 3
...Benefits of Exporting Goods By John F Black Ads by Google Export from China Made-in-China.com Wholesale Price from Manufacturers Join Us Today & Inquiry Directly! Export Agent Yiwu China www.Ejetgroup.com Sourcing,Translate,Buying,Inspect Warehouse, Ship, All Export Service Container Shipping Companies www.tgl.by Europe - Kazakhstan. Europe - Russia! Having a business is a difficult. You have to deal with a great deal of red tape while you are starting out. You spend all of your hard earned money on the business and you take on a small loan to get you started. Then, you worry constantly about making payments. You also need to address the problems with payroll, suppliers and customers. All the while, everyone thinks you are making out big while screwing everyone over when in fact you are working harder than anyone out there. It should be good to know that your hard work will soon pay off. You no longer need to scrounge the bottom of the barrel for a limited market full of cheapskates. There is an opportunity where you can sell your goods to a wider market and bring an untapped market to your business. You can do this with the magic of exporting. Exporting is a great way of growing your business because it opens up a multitude of opportunities for you and your business. The most obvious benefit is the additional income it provides. The more people you sell, then the higher income you would likely get. Aside from the added income there are other benefits to exporting your...
Words: 541 - Pages: 3
