One-stop shop to make India 20 times richer

Category: Public policy

The ultra-puerile, nonsensical “good people” theory of governance

Key comments from my FB post here. The “good people” theory of governance is the most obvious sign of someone’s ignorance about basic economics and governance. This theory is typical not only of the socialists but of the thousands of half-baked “economists” and “liberals”.


India’s problem is the design of its governance system and policies. If people don’t understand this point, they can be as honest as they like and they will totally fail to change anything.

Half baked ideas continue to flourish. No takers for serious work, that will involve a lot of thinking and understanding.


It takes ENORMOUS intelligence to create good institutions, which neither you have a clue about nor most Indians. I’ve not seen one single writing of yours which shows how to create good institutions in India.

Hence the delusion that “good” people can do anything good for the country.


Just like LKY is not a “good” people alone, so also the leaders of Australia are not “good” people alone.

It takes ENORMOUS sense and competence to design good institutions. 99.99999 per cent of Indians have no policy competence or sense and hence cannot design good institutions.

You may be a “good” people yourself but will be entirely useless to India unless you understand this point that governance is a science, not some random thing that any “good” person can do.

Then you will need to start studying how good institutions in India must look like. Then work out a transitional path.

If you are interested, all this is already explained in BFN + SBP manifesto.

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For my future reference: my current broadband speed at home

NBN is coming to my home next month and I suspect (from the reports in the media) that I’m going to have to pay far more to get even the speeds I’m currently getting.

NBN in Australia is centrally planned, allows no market based testing, and can be rated as the world’s worst example of broadband rollout.

Anyway, here’s my current speed (at a distance of nearly 30 metres from my router):





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Response to Parag Hede regarding the role of population in India’s Third World status and performance

Parag has commented:

Comments below:

It is true that overpopulation appears to be a problem. But in reality, it is not population itself that is the problem but lack of opportunities (education, good jobs) for the population.

A large population is an asset, not a liability. The human brain – ingenuity – is the greatest resource. Furthermore, natural resources are not finite. We are constantly discovering new reserves and alternative substitutes. Likewise, for the production of food. Food prices are constantly falling as a relative share of our incomes, as humans are able to grow more food on less land, by using better technology. Humanity is not in any danger of ever running out of natural resources or food, no matter how much our population increases.

Well-educated people who can employ their skills in meaningful, nation-building, indeed, civilization-enhancing work, are never undesired, no matter how many of them are there. In fact, more such people are there in a country (or the world), better it is for that country.

But when learning opportunities and good employment opportunities are limited (which are results of bad governance and bad systems in a country), population becomes a drain on the system. In this case, a person takes more from the country than he produces for it. In that case the person does become a burden.

SBP’s goal is creating more opportunities and setting up better systems so that each and every individual is enabled and empowered to contribute to their maximum potential. With good systems and incentives in place, each and every person can and will become an asset for our great country. The more the number of highly educated persons in India, the greater the scope for innovation.

In fact, under the scenario of policies that SBP will implement, our large population (of capable people) will allow us to progress even faster.

The government should just see to it that they provide essential public goods such as law and order, police, justice, and some infrastructure. It must ensure reasonable equality of opportunity through the facilitation of high-quality education and high-quality vocational training for the poor, and create a business-friendly and business-enabling economic environment for the private sector to create jobs and innovate.

The government has absolutely no role in curbing the population or interfering with a couple’s personal choice to have as many children as they wish.


The size of a country’s population does not correlate with a country’s level of poverty. Even in India, even as our population has grown manifold after independence, absolute poverty has declined after liberalisation of the economy.

The richest parts of India, such as Mumbai, Delhi, Bangalore, etc. are also the most densely populated.

The richest parts of India, such as Mumbai, Delhi, Bangalore, etc. are also the most densely populated. Singapore, Hong Kong, Bahrain and Netherlands are more densely populated than India but are also much richer.

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