Thoughts on economics and liberty

India is GIVING AWAY its ONLY competitive advantage (its best brains) to OTHER COUNTRIES

In BFN I cited an article which showed the very significant difference in output between people of different intelligence. The effect on output of differences in IQ is almost exponential. A 75 point difference in IQ (e.g. a person of 150 vs a person of 75) is like the difference between a person who can fly a rocket to Jupiter vs. a person who can only make a paper plane in his life. The person who makes the paper plane cannot even understand what it takes to make a rocket that can fly to Jupiter. In a way, they perform like a different species.

Effectively, one high IQ Indian is worth 1000 (or more) low IQ individuals in terms of economic output.

Every 20 point difference in IQ leads to an entirely different worldview, as if the persons were living on a different planet.

Politics can be perhaps be done by really stupid people – for a while (as has been happening in India) – but production and creativity is NOT something  that stupid people can POSSIBLY do. Great entrepreneurs have to be remarkably intelligent, else they can't compete in the cutthroat marketplace. Every slight difference in quality matters.

I've been trying to get real data about Indian IQs (by various sub-groups/caste, etc.) but haven't found much that is authentic. The following, though, is a genuinely researched report, and it reveals something really important:

According to the Forbes magazine: "Despite constituting less than 1% of the U.S. population, Indian-Americans are 3% of the nation’s engineers, 7% of its IT workers and 8% of its physicians and surgeons. The overrepresentation of Indians in these fields is striking–in practical terms, your doctor is nine times more likely to be an Indian-American than is a random passerby on the street. In 2007, the median income of households headed by an Indian American was approximately $83,000, compared with $61,000 for East Asians and $55,000 for whites. The proportion of Indian immigrants given an employment-related green card is one of the highest of any nationality. Consequently, it is mainly India’s educated elite and their families who come to the U.S.

The only direct evidence we have comes from the 2003 New Immigrant Survey, in which a basic cognitive test called “digit span” was administered to a sample of newly arrived immigrant children. It is an excellent test for comparing people with disparate language and educational backgrounds, since the test taker need only repeat lengthening sequences of digits read by the examiner. Repeating the digits forward is simply a test of short-term memory, but repeating them backward is much more mentally taxing, hence a rough measure of intelligence.

When statistical adjustments are used to convert the backward digit span results to full-scale IQ scores, Indian Americans place at about 112 on a bell-shaped IQ distribution, with white Americans at 100. 112 is the 79th percentile of the white distribution. For more context, consider that Ashkenazi Jews are a famously intelligent ethnic group, and their mean IQ is somewhere around 110." [Source]

India has been BLEEDING its best brains for well over 60 years now, thanks to Mr. Nehru's STUPID SOCIALIST policies.

I tried to explain this point to Swami Ramdev but he doesn't seem to have understood the magnitude of the issue, and why the loss of lakhs of India's best brains is India's GREATEST problem – much greater than the problem of corruption or poverty.

I'm currently trying to explain this issue also to Anna Hazare'sand Modi's think tanks.

Anna Hazare's think tank is proposing some really bad socialist ideas. I explained to them that their policies, if implemented, will further DRIVE away the best Indians from India. They don't seem to understand why this will be a TOTAL DISASTER FOR INDIA.

I don't know what to do.

Economics is extremely complex and counter-intuitive, but if India's leaders simply don't have the intellectual capacity to understand this very complex and difficult subject, then India is finished.


Sanjeev Sabhlok

View more posts from this author
2 thoughts on “India is GIVING AWAY its ONLY competitive advantage (its best brains) to OTHER COUNTRIES
  1. Kishan

    Sanjeevji, I am too ordinary a person to comment on your well researched and reasoned write-up.It is absolutely true that we have been losing best of Indian brains for more than 6 decades.Things started looking up a decade or so back, the brain drain had somewhat come down, but now things are back to the worst of socialistic years.
    The muck spread for 6 decades cannot be cleaned in months or even in years, it will take time and tonnes of patience on the part of those working for change, because the vested interests are going to fight the changers very ferociously and at every step.
    An honest, charismatic leader who understands economics or has advisers with the right ideas will be a great help in accelerating the process.


Leave a Reply

Your email address will not be published. Required fields are marked *