Why Nawaz Sharif’s Economic Model Failed

South Asians (from India-Pakistan-Bangladesh) are well known for low wages, good work ethics and more importantly for delicious feasts. Investment Bankers from Europe and Americas like to congratulate South Asians for being at the center of global financial attraction and the preferred destination for investment. Especially since China, Singapore, Thailand, Korea and Malaysia have achieved their development objectives, its now time for South Asia to move up. South Asians however, disappointed the world and more importantly its citizens for repeated failures in Transparency, Governance and Rule of Law.

All this despite the fact that South Asia happens to be blessed with abundant resources ranging from the majestic Himalayas in the north to the beautiful blue waters of the Arabian Sea, Indian Ocean and Bay of Bengal in the south. Population of 1.5 billion people, mostly young and hard working. Large agricultural lands add to its growing industrial base enjoying a good portion of world textiles and garments production. Resources couldn’t help Pakistan from spiraling down to its current low. South Asians would like to know “is it because of the corrupt politicians, or is it because of the System itself?”

First, there was the war of 1971, until then Pakistan was the combination of West and East Pakistan and a shining star for Development Economics, before the generals decided it launch genocide on its own citizens in the country’s Eastern Wing, resulting in a humiliating defeat for the Pakistan Army, making way for the birth of independent Bangladesh.

In reality, West Pakistani generals in their utter brilliance managed to secede from the majority part of the country (East Pakistan), breaking up a united Pakistan into the new Pakistan and Bangladesh. Statistics will show that the economic progress of united Pakistan in the 60’s came mainly from the export of Jute (East Pakistan) and Cotton products (West Pakistan), whereas the distribution of wealth favored mostly the Western wing, regardless of East Pakistan’s contribution or its majority population.

It doesn’t take rocket science to figure out why the poor farmers and workers in the East would stand up to this economic injustice. But the generals knew better, they chose guns and bullets to do the talking. By December 1971, Pakistan was defeated, general Niazi surrendered half of Pakistan to India along with 90,000 soldiers.  The highly prosperous, populous, hard working wing of the country had been lost forever. The stupid generals still couldn’t get it.

Neither did the politicians rallying around Bhutto understand what they lost. For them, it was not possible for Mr Bhutto to loose an election to a nobody called Mujib from the backward farm land of Bengal (East Pakistan). Heck, Bhutto was UC Berkley, Oxford, UN, Foreign Minister, Nuclear Weapons and all that, and what did Mujib have – nothing! that was according to the enlightened men and women around Bhutto. Mujib did have something. Brains. Yup, he knew how to talk to his people, he knew to what extent his people would tolerate injustice, he knew how to break that tolerance level. That was the magic of Mujib which Bhutto’s ego refused to see, no matter the consequences.

In post 9171 scenario, the country went from being Divided Pakistan to Weakened Pakistan. For decades the country saw the rise and fall of one military dictator after another. Politicians lined up to the generals like models holding signs reading “Take me, I’ll be obedient!”. Generals chose. And the “models” delivered, faithfully. In the process, some “models” earned billions. Connections with other equally shameful and corrupt “royals” were established and exploited for mutual gains.

Business was booming. Except for the poor man who had to work harder than before for his tax and Vat had to bear the responsibility for filling up the deep pockets of the greedy top brass. Electricity generation, foreign currency reserve, current account deficit, devaluation of currency, unemployment and inflation joined hands in an unholy alliance to convert a Weakened Pakistan into a Bankrupt Pakistan. None of these economic causes qualify as anything other than man made, the  work of few elites abusing the mass people, while billions of dollars found their way into European banks, picking up multi million pound flats along the way.

Nawaz Sharif’s economic model rested on Chinese and Arabian investments in mega infrastructure projects. While that sounds very promising, the country’s ability to sustain long term foreign debt was deteriorating quickly. Country’s ability to service foreign debt depends on its foreign currency earnings and reserves, not on Chinese investments in roads although in the long run good infrastructure becomes essential. Pakistan’s foreign currency reserve as of writing stood at 2 weeks imports. It should be more like 3 to 6 months imports. Exports stagnated while imports increased. Are workers becoming more costly to hire?

Foreign buyers like the low wages in South Asia. But that’s not all. Low labor wages is but one of the many ingredients making up total production cost. Energy, shipment, insurance, technology, labor efficiency etc contribute just as well. More than anything else, lack of power hindered manufacturers from investing in export driven factories, on the other hand, due to higher production costs foreign buyers preferred to look east, leaving the country with stagnating foreign currency earnings. This could not have happened without the contribution of the C factor.

This political-economic model, its architecture, guarantees the enrichment (beyond our imagination) of few elites at the top while the “productive forces” will continue to break their backs – working, paying vat and taxes and finally be forced to vote (thereby legalize) in favor of a blood thirsty greed based corruption ridden “system” of hidden imperialism. Imran Khan may be clean, but him alone hardly stands a chance to rectify the grand old system of greed and corruption that plagues the administrative machinery.

When would be a good time to strengthen the argument for upscaling an alternative to this unjust and harsh political-economic abusive system? Have you given the “alternative” a thought, would you even like to know what the alternative is…

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Why the West Fears Islam

When one examines the West’s fear of Islam, and tries to relate it to the reasons usually given — Muslim fundamentalism, militancy, radicalism, terrorism, totalitarianism — it is difficult, if not impossible, to justify this fear on the basis of reasons given. One has to believe, however, given all the facts and expertise available to the West, that the fear has to be rational. What is this fear that causes enemies of the Muslim world to play subtly on the theme of the Crusades in order to demonize Islam and Muslims? Let us first examine what it is not, before we draw our conclusion as to the real reason why the West fears Islam.

The fear of Islamic fundamentalism, militancy, radicalism, terrorism, totalitarianism, and the West’s discovery of the “rogue states,” appeared quite conveniently with the fall of the Berlin Wall, and the disintegration of the Soviet Union. Former Defense Secretary McNamara, in his 1989 testimony before the Senate Budget Committee, said U.S. defense spending could safely be cut in half. It became clear that the U.S. had to either undergo massive shifts in spending, a painful and unwelcome prospect for the defense establishment, or find new justification for continuing high levels of military expenditures. To provide this justification the Pentagon manufactured the threat of “rogue states and nuclear outlaws.” The Gulf War was a contrived opportunity to sell this justification to the American people, to protect oil company profits, and to control the flow of oil to Europe and Japan which need it much more than does the U.S.

The International Institute for Strategic Studies calculates that the $262 billion U.S. defense budget accounts for about 37 percent of global military expenditures. Russia, Japan, and China each will spend about $80 billion, $42 billion, and $7 billion. The six “rogue states” — Cuba, Iran, Iraq, Libya, Syria, North Korea — have a combined annual military budget of $15 billion. The U.S. budget for covert operations (U.S. terrorism?) alone is double this amount. Given the paltry defense expenditures of all the “rogue states” combined, even after correcting for differences in costs, one has to believe that the “rogue states” are no match, militarily, for the West.

And, leaving aside the morality of U.S. covert operations which invite retaliation, Muslim terrorists should not be a major fear. Far more acts of terrorism and violent crime in the U.S., according to government statistics, are committed by non-Muslims than Muslims. And if Muslims do pose a terrorist threat to the U.S., one hears little discussion of what it is that the terrorists really want. Perhaps, all they want is for the West to stop interfering in their countries, in ways that we would never tolerate in the U.S.

Islamic totalitarianism, an oxymoron to anyone with even a rudimentary knowledge of Islam, should not be a Western concern. A Muslim ruler may be totalitarian, but then her rule would not be Islamic. Furthermore, the Western record on supporting totalitarian Muslim regimes — Iran under the Shah, Iraq before the Gulf War — and doing business with non democratic regimes — China, Kuwait, Saudi Arabia — speaks for itself.

As for fundamentalism, Islam has no parallel to the U.S. Protestant Christian movement which opposed modern scientific theory, and which coined the term in 1920 to designate those “doing battle royal for the fundamentals.” Rather Islam has from its birth stressed the use of reason and logic.

Islamic law is based upon the Quran, examples and sayings of the Prophet Muhammad, analogical deduction, consensus among the learned, and individual reasoning. When the Prophet’s contemporaries heard the words islam and muslim, they understood them as denoting man’s “self-surrender to God” and “one who surrenders himself to God,” without limiting himself to any specific community or denomination, eg. in the Quran, 3:67, where Abraham is spoken of as having “surrendered himself unto God” (kana musliman), or in 3:52 where the disciples of Jesus say, “Bear thou witness that we have surrendered ourselves unto God (bianna musliman).” In Arabic, this original meaning has remained unimpaired.

Absent a generally accepted definition, the label Islamic fundamentalism serves only to obscure issues, rather than to resolve them. Meanwhile, the Christian Coalition, and the Zionists and their biblical claim to Palestine appear fundamentalist to many, yet both are courted by U.S. politicians, and not viewed as a threat.

One can go on eliminating Western arguments against Islam and Muslims. Eventually, one has to ask, what then is the source of the West’s fear of Islam and Muslims?

The late Marshall G. S. Hodgson, in Rethinking World History, states: “[Islam’s] conscious hopes for a godly world order represent one of the most remarkable undertakings in world history and because its less self-conscious general cultural heritage is laden with human values.” Muslims see the West beset with broken families, violent crime, drugs. They see a society divided by race, religion, and huge disparities in income. They long for a peaceful life in which they may provide for the basic needs of their families, and enjoy the respect due to all mankind regardless of their race, religion, position, or wealth.

These Muslims see their goals for a more just and compassionate society thwarted by a corrupt Muslim elite who pursue wealth and power regardless of the cost to their fellow human beings. They see these elites, who govern not by consensus as Islam prescribes, permitting outside powers to exploit their country while they derive few benefits, and find themselves subordinated by Western influences driving them down the troubled road taken by the West. They see few opportunities to earn a living because most opportunities are withheld for the elites and their sycophants. And they see these elites remaining silent when their faith, which offers solutions to the many social problems that plague the West, is denigrated in the propaganda which serves to maintain these elites.

The Muslim elites’ allies are the defense establishment and the neoimperialists. Islam’s mandate for justice and compassion opposes the primary objective of these neoimperialists who seek to follow policies outlined in 1948 by “the leading dove and peace prize winner” Mr. George Kennan, for the U.S. Department of State. In his top secret Policy Planning Study 23 Mr. Kennan stated in part: “. . .we have about 50% of the world’s wealth, but only 6.3% of its population . . . Our real task in the coming period is to devise a pattern of relationships which will permit us to maintain this position of disparity . . . To do so, we will have to dispense with all sentimentality . . . We should cease to talk about vague and . . . unreal objectives such as human rights, the raising of living standards, and democratization.”

To avoid exposure these neoimperialists and their allies in the U.S. defense establishment, spurred by the enemy within, divert attention by demonizing Islam and Muslims, thereby fanning the fires of bigotry and raising unrealistic fears among the people of the West.

Courtesy : The Wisdom Fund

Jerusalem – the Eternal Capital of Believers

The blessed land of Jerusalem belongs to the One who created it. That is the Almighty God, ALLAH the most Supreme. That is what I believe. I will put up my arguments below.

Prophet Musa (AS – Peace be Upon Him) delivered Bani Israel (the family of Isarel or Jacob) from the slavery of Phiraoun. The followers of Musa AS were thrown in the wilderness for 40 long years until an entirely new generation of jews grew up to accompany Joshua and Calebe to conquer the Promised Land. Nabi Musa (AS) himself never set foot on the Promised Land. Here lies the big clue to Bani Israel’s fortunes.

Nabi Musa AS went to Mount Sinai for forty days and forty nights in which time he received the Ten Commandments (or the Torah). Bani Israel during this time split into two broad groups. One held on to Faith and Belief in One God and rallied around Nabi Haroon (AS), Nabi Musa’s brother. While the other group rallied around a golden calf. Nabi Haroon AS represented Belief, while the golden calf represented the Duniya (the material world). The Duniya is Satan’s weapon to lure Believers away from the slavery of God to the slavery of their desires, lusts and ambitions.

Lets see whats written in the OT, Detronomy 31, 16-18:

“Deuteronomy 31:16-18English Standard Version (ESV)

16 And the Lord said to Moses, “Behold, you are about to lie down with your fathers. Then this people will rise and whore after the foreign gods among them in the land that they are entering, and they will forsake me and break my covenant that I have made with them. 17 Then my anger will be kindled against them in that day, and I will forsake them and hide my face from them, and they will be devoured. And many evils and troubles will come upon them, so that they will say in that day, ‘Have not these evils come upon us because our God is not among us?’ 18 And I will surely hide my face in that day because of all the evil that they have done, because they have turned to other gods.”

Bani Israel cant fool the Believers. A person cant be a criminal and an honest judge at the same time.  The Promised Land can only be inherited by such people who keep their covenant with God, who commit no evil on earth, who worship not foreign gods, who remain by choice the people who God loves, and not those who God has turned away from.

The only people who can inherit the Holy Land are those who keep their covenant with God, remain truthful to their religion and do not adopt any other creed in contradiction to the Unitary concept of God. What a man claims as his denomination is of the least concern. The most important criteria for the right to rule over Jerusalem should be a man’s faith in God followed by his righteous actions.

Only a true, sincere believer will call Jerusalem his home.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Empire Files: Israeli Army Vet’s Exposé – “I Was the Terrorist” — Socio-Economics History Blog

TeleSUR English Published on Mar 6, 2017 In a rare, candid conversation, Abby Martin interviews a former Israeli Army combat soldier who served as an occupier in Palestine’s Hebron City. Eran Efrati spent years as a sergeant and combat soldier in the Israeli military, but has since become an outspoken critic of the occupation of Palestine […]

via Empire Files: Israeli Army Vet’s Exposé – “I Was the Terrorist” — Socio-Economics History Blog

The Corbett Report: “Eva Bartlett Exposes the Lies on Syria” — In Gaza

From James Corbett’s November 6, 2017 post: “Today we’re joined by Eva Bartlett of InGaza.wordpress.com to discuss her reporting from Syria. We talk about the lies, propaganda and outright fabrications that have attempted to paint the terrorist insurgency as a “civil war” led by “moderate rebels,” including the use of children like Omran Daqneesh and […]

via The Corbett Report: “Eva Bartlett Exposes the Lies on Syria” — In Gaza