Tuesday, May 29, 2007

Lefty Schism - Unions vs Illegals

I found the emerging schism on illegal immigration interesting. US labour unions are opposed to illegal immigrants, in a departure from their general Lefty solidarity on everything else. I wonder how similar that political dynamic is in India? Do Indian labour unions see illegals from Bangladesh as allies or as a threat?

Perhaps India's best bet for accelerating economic reforms is to decentralize economic policy, to allow the local state govts more decision-making power in economic policy. That way, the naturally socialist-leaning states (eg. W.Bengal) will wallow in the socialist morass of their own making, while more economically progressive states (eg. Gujarat) can leave them behind in the dust. Competitive Darwinism will prevail, and the electorates in the backward states will ultimately revolt to kick out those keeping them behind, as occurred in Bihar.

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