Archive for September 7th, 2012

Keynes in Jodhpur? In 1929? (Picked from KBC-6….)

September 7, 2012

I just could not help myself from not posting this. Just saw KBC 6th edition (Kaun BAnega Crorepati) and was always damn good (a tad too lomg though today). As always KBC provides me fodder to write (see KBC-5 and prospect theory,  Economics of KBC choices…)

The last participant on today’s show (7-Sep-12) was asked: Which of these palaces was built to provide employment during famine?

The correct answer was Umaid Bhavan Palace at Jodhpur. The contestant said Amer Palace at Jaipur and lost.

I was amazed to note this. Amitabh Bachchan added that the construction work started in 1929 because of the famine. This was just when Great Depression started! So the world economy got a shock in 1929 and Jodhpur had its own famine shock.

It seems even before Keynes wrote his General Theory which released in 1936, the Maharaja (king) of Jodhpur was using Keynesian policies to stimulate demand in his local economy. By employing people during famine, he provided them with both jobs and income (and eben food as Mr Bachchan said). And meanwhile also got his palace built. So it seems unlike the bridges that lead to nowhere following Keynesian policies, there was more useful construction work (actually should leave that to historians to say whether good use or not).

And the palace took good 15 years to build. Fairly long time..

Now most might say that the king must have forced the people to start and continue work. It must have not been by willingness to work etc.. So not sure..

An excellent natural experiment this on figuring whether the Keynesian approach worked in Jodhpur or not.

Hope to get more insights on economics etc during this edition of KBC..

 

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RBIQ: RBI’s Inter-School Quiz to promoting Financial Literacy

September 7, 2012

A super initiative by RBI.

RBIQ – A quiz by RBI to connect to student community..>Catching  them young is clearly the mantra..

Roots of Chile’s Malaise..(similarities with India??)

September 7, 2012

A nice article by Andres Velasco.

What could worry Chileans?

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Politics and the Origins of Religious Rituals of Muslims..

September 7, 2012

A/R duo had said they will be blogging about more religions later and show much is linked to political struggles.

The latest post shows how politics led to origins and changes in Muslim rituals ..

Nothing much to say except keep bringing it on guys..

Welcoming Marginal Revolution University

September 7, 2012

Though it is all over the place by now.

However in case some have missed, Marginal Revolution Bloggers have started a Marginal Revolution University.

The first course is to start on development economics.

Great stuff.. Looking forward to it…

Road to hell is paved with good intentions, rational expectations and efficient markets..

September 7, 2012

A superb article on Nobel Prize winners in economics  (HT: LibertyStreet Econ Blog)..The title of the post has been picked from the same article..Simply could not resist it..

It points how calling the Prize as Nobel Prize when it is actually a Prize in the memory of Alfred Nobel, is a PR trick. Other Nobel Prizes are given as per the will of Alfred Nobel. This one is given by Sweden Central bank and is funded by taxpayers:

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