India hits the spend button

With rising incomes, working Indians are spending more on housing, education, healthcare, transport and communication than they did previously.

While the average monthly income has risen from Rs 810, in 1982, to Rs 1,486, in 1999-2000, the average family expenditure, at constant prices, has increased to Rs 1,138 in 1999-2000, against Rs 778 a decade ago.

Constant prices are based on prices and conditions of 1981-82 and are used to analyse real growth or change in living conditions.

According to a survey by the Ministry of Labour and Employment, as much as 41 per cent of working class families live in independent houses. The expenditure on housing has risen to 16.01 per cent as against 9.84 per cent, at constant prices, in 1981-82.

“A lot of credit for growth in working class housing goes to the Centre’s tax incentives given over the last seven to eight years,” said Renu Sud Karnad, joint managing director, HDFC.

The survey also found that between 1982 and 1999-2000, the average size of a family has decreased (from 4.5 to 4.46), while the number of earning dependants has increased (0.18 to 0.32) and non-earning dependants has decreased (3.1 to 3).

Food continued to remain the biggest expense for families but now consumes a lesser amount of the total expenditure. From 56.95 per cent in the last decade, it now forms 47.48 per cent of total expenses.

Medical expenses have increased from 2.54 per cent to 4.54 per cent, while education costs have risen from 3.15 per cent to 6.19 per cent. Medical expenses have risen from 2.54 per cent to 4.54 per cent and education from 3.15 per cent to 6.19 per cent.

Clothing expenses have seen a sharp drop — from 10.03 per cent to 4.99 per cent — with more demand for readymade garments. The percentage of families with debts has dropped from 50.17 per cent in 1982 to 38.11 per cent.

Obama talks tough on outsourcing

Taking a tough stand against outsourcing, the presumptive Democratic nominee Senator Barack Obama said that the choice is between giving tax breaks to companies that ship jobs overseas or give benefit to those corporations that keep jobs domestically.

“We can keep giving tax breaks to companies that ship jobs overseas, or we can give tax benefits to companies that invest right here in New Hampshire,” Senator Obama said at a joint appearance with Senator Hillary Clinton in Unity, New Hampshire.

“We can have a tax code that rewards wealth and hands out billions of dollars more to big corporations and multimillionaires. Or we can provide a $1,000 tax cut to 95 per cent of families in America, start rewarding work and not just wealth, and eliminate income taxes for seniors making $50,000 a year or less,” Obama said, adding that's an agenda for change that we can believe in. That's the choice that we can make in this election.

“We can allow millions of Americans to work full-time but still not make enough to support their families, or we can raise the minimum wage, index it to inflation, and ensure that hard work pays off in America,” the Illinois Senator said.

“I don't care black, white, Hispanic, Asian, Native American, young, old, rich, poor. It doesn't matter. There's this sense of what this country is fundamentally about, a fundamental goodness, and that if we tap into that, I am absolutely convinced that we can lift this country up to new and greater heights.

“This is one of those moments in our history when we have to tap the decency of the American people. This is our chance to turn the page on the policies of the last seven and a half years. This is our chance to bring a new energy policy to America and new ideas to America,”Obama said at a historic moment during the campaign trail.

“So here's the choice in this election. If you like the direction America is going, then vote for Senator McCain, because you'll definitely get more of the same. But if you think we need a new course, a new agenda, then vote for Barack Obama and you will get the change that you and we need and deserve,” Senator Clinton said in her opening comments

Law panel backs mercy killing for terminally ill

Taking the first step towards legalizing euthanasia or mercy killing, the Law Commission has decided to recommend to the government to allow terminally ill to end their lives to relieve them of long suffering.

Euthanasia, literally meaning 'good death’ in ancient Greek but popularly referred to as mercy killing, had been a taboo word in India though it is allowed in some western countries under the assistance of physicians. It allows those whose death is virtually certain to avoid their painful journey to the end.

The core of the recommendation to make euthanasia legal stems from several SC judgments which ruled that 'life does not mean animal existence’. "If a person is unable to take normal care of his body or has lost all the senses and if his real desire is to quit the world, he cannot be compelled to continue with torture and painful life. In such cases, it will indeed be cruel not to permit him to die," says the report, receiving final touches from Commission chairman Justice A R Lakshmanan.

"Hence, a terminally ill man or man in a persistent vegetative state can be permitted to terminate it by premature extinction of life," says the report which is likely to be submitted to the government in the next couple of weeks.

Explaining the step towards legalizing euthanasia in India, Commission sources say the majority of its members feel that permission to prematurely end an extremely painful life would only accelerate the process of death which has already commenced. "In such cases, causing death would result in end of his sufferings," the sources said. Aware that premature end of life would not be approved by Indian society, the panel explained: "When an individual is suffering from incurable disease or severe pain, mercy killing should be permitted to see that his agony comes to an end."

The Commission also proposes another radical reform — decriminalize attempt to suicide. This means the panel is recommending deletion of Section 309 of the IPC, which punishes a person who survives an attempt to end life with one year imprisonment and a fine.

Justice Lakshmanan and other members of the Commission feel that it is of no gain to punish a person, who under extreme duress decides to end his life but survives in the attempt. The recommendation to repeal Section 309 was earlier made by the Law Commission in 1971, which was accepted by the government. Steps were initiated to amend the IPC, but the move fell through in 1972.

In 1994, a two-judge bench of SC termed the provision unconstitutional, but two years later a five-judge constitution bench upheld its validity making attempt to suicide an offence. "Those who attempt suicide are distressed and in psychological pain and for them to face the ignominy of police interrogation heightens the distress, shame, guilt and further suicide attempt," he feels.

Lone MoS represents govt at Manekshaw's funeral

A military legend, an icon - Sam Bahadur may have earned many such epithets during his lifetime, and even after his death was described as such in condolence messages.

But Friday, the day of his last journey, seemed to be just another day in office for the political leadership and top military brass.

Right down from President Pratibha Patil, also the supreme commander of the armed forces, and Prime Minister Manmohan Singh to defence minister A K Antony and the three Service chiefs, none attended the "state funeral" of Field Marshal Sam Manekshaw at Wellington on Friday.

Only Army chief General Deepak Kapoor had valid reason to stay away since he is currently touring Russia and was represented at Wellington by vice-chief Lt-Gen M L Naidu.

The others it seemed were too busy with their "prior commitments" over the nuclear deal, promotion boards or meetings to spare some time for Sam Bahadur on his last journey. They, of course, did come out with the customary condolence messages.

Navy chief Admiral Sureesh Mehta and IAF chief Air Chief Marshal F H Major were very much present at their HQs in New Delhi, for instance, but were represented by just a rear admiral and an air marshal at the "state funeral".

The government, too, was poorly represented, with just minister of state for defence Pallam Raju heading for Wellington.

"In a rare gesture, the government took a decision to give a state funeral, as also depute the MoS defence to represent the government," said Antony, brushing aside questions on the poor representation at the funeral.

An aide added that Antony’s presence at the "small town" would have led to "protocol requirements". But the minister could have given protocol a miss for once at least.

The defence given for the missing Service chiefs, in turn, was that "reaction time" was "too less" to make arrangements to travel to Wellington, with one VVIP jet deployed with the President who was in Maharastra, and the other kept on "stand-by" for the PM.

But then, some of these VVIPs could have taken a ride with the MoS defence, who took an Embraer Legacy jet to attend the funeral. Or, they could have emulated Lt-Gen Naidu, who took a civilian flight from Delhi in the early hours.

"Shameful," was the response of a wide cross-section of retired and serving armed forces personnel.

Said a Brigadier, "We, as a nation, simply don’t respect or remember our heroes. Cricketing ones are honoured even after 25 years of winning a world cup, soldiering ones are forgotten promptly after the war is over. The nation turns to the armed forces only in times of emergency."

But then, added another officer, what else do you expect from a nation where till recently the Service chiefs were frisked at airports, while even Priyanka Gandhi’s husband Robert Vadra could sail through the security checks. "It’s only after the media took up this issue that the embarrassing matter was resolved," said a Colonel.

Anil Ambani firm signs up Bachchans in Rs 1,500cr deal

Reliance Big Entertainment (RBE) seems to be getting bigger by the day. Days after reports of the Anil Ambani firm planning to infuse about $600 million into Hollywood bigwig Steven Spielberg's DreamWorks comes the news of a mega deal with the Bachchans.

Sources said the deal could be worth Rs 1,000-1,500 crore and would include film production, television series, reality shows, internet and mobile content besides live shows. RBE will look into the managerial, marketing and distribution of the projects in the deal while the creative inputs would come from the Bachchans.

Some of the directors who have been signed up to direct films for the joint venture are Cheeni Kum director R Balakrishnan, Sujoy Ghosh, Rohan Sippy and Dr Chandraprakash Dwivedi. A source from Reliance Adlabs said that more directors would soon be signed up for the joint venture.

Confirming the JV, a spokesperson for RGE said, "We are proud of the association with the Bachchan family. We are confident that the creative genius of the Bachchans and the business acumen of Reliance will create magic and take entertainment to a different level. The joint venture and our strategy to tie up with Indian and international creative talent will help the company build a new-age global entertainment conglomerate."

Amitabh Bachchan's company AB Corp will facilitate the execution of the joint venture projects. Speaking to TOI , Bachchan Sr said, "We will provide the creative inputs and also share the profits. As of now, we plan to start with film projects and work in a way that will benefit us mutually. Also, they have given us the liberty to work outside and there is an unwritten understanding that we have the first right of refusal."

No takers for bargains on stock markets

There could be a lot of stocks that look attractive as their prices had fallen steeply from their peak prices, as the Sensex hit a lowest closing since May 2007.

But no one is rushing in to buy. Even funds, that are flush with money, seem to be in a mood to wait as the issues that haunt the market are going to threaten investor sentiment for a while.

Crude oil, at an all time high of $141, continues to be a major concern for global markets. Dow Jones Index fell by 358 points when the trading ended on Thursday. "Domestic issues like higher inflation at 11.42 per cent, more monetary action from Reserve Bank of India in its next monetary review meet on 29 July and political instability also added to the weakness," said Amitabh Chakraborty, president, Religare Securities.

There was not a single Sensex stock in green as the benchmark index fell by 619.6 points to close at 13,802.2.

State Bank of India, which hit Rs 2,540 in January is today quoting at Rs 1,158 with a forward price to earnings (PE) ratio down to 7.8 times. ICICI Bank is available at Rs 653, at a PE of 13.8. Infosys, the IT major continues to grow at 25 per cent but its PE is down to 17.5 on estimated 2009 earnings.

The story of emerging markets and India as an investment destination does not change, but short-term worries are going to keep investors away, says Bryce Johns, chief investment officer, Kotak Life Insurance. "Probably little more of unwinding to happen before people come back," Johns said.

Oil subsidies that the government is sitting on, the fiscal condition and election year are causes for concern that are likely to push the markets further down. “Investors should enter only if they have a three to five year investment horizon,” said Johns.

A day after State Bank of India and Union Bank of India hiked their lending rates, their shares fell by 4.6 per cent and 2 per cent respectively. Bank stocks continue to reel under the interest rate effect, while interest rate sensitive sectors like realty and auto took a hit. Unitech, the Delhi based developer on Friday declared 52 per cent fall in its fourth quarter profits. The stock is already down by 63 per cent this year.

He lived a wonderful life, says Manekshaw’s daughter

Wellington: “My father was lucky to have had a wonderful life especially his retired life and last days in Coonoor, where he was given good medical care at the Military Hospital,” said Maja Dharuwala, daughter of Field Marshal Manekshaw.

A composed but emotional daughter, Ms. Dharuwala offered to speak a few words following persistent requests from the media.

“My father liked and decided to settle down in Coonoor because my mother loved the place so much,” she said.

Field Marshal Manekshaw’s grandson Jehan, who stepped in to speak to the media on behalf of his emotional mother, said “We had been visiting Coonoor to spend time with my grandpa for the last two years. Wherever I was seen in and around Coonoor shopkeepers and public used to enquire about my grandpa and his health and used to convey their regards.”

“My grandpa had a great love for this people and place and the affection of the people of this hill district towards him had always been amazing.” Gently and softly avoiding further queries from the battery of media personnel, Jehan said, “Please nothing more to say.”

‘Humorous despite age’

“It was a great honour to treat a great hero who was brilliant, witty, humorous, charming despite his age and health,” this is what pulmonologist BNBM Prasad, Head of the Department of Respiratory Medicine, Army Hospital, New Delhi, said while briefing newspersons at the Madras Regimental Centre Quadrangle.

Sam Manekshaw, who was in and out of the hospital for the last two years, was sinking for the last four days and Army Hospital expert doctors were rushed to the Military Hospital, Coonoor.

Describing the last days and last moments of Field Marshal Manekshaw, Dr. Col. Prasad said “he found a strange will power even when he was critically ill and Manekshaw largely and greatly remained composed.”

Peaceful death

“He had a peaceful death with both his daughters holding his hand at the bedside.” A warrior who fought battles even while battling for his life “always proved to be a companion to the other ailing patients at the hospital,” Dr. Prasad noted.

Close aide’s account

Mann Bahadhur Thappa, a close aide of Field Marshal Manekshaw for more than a decade, said, “Saab just looked into my eyes when I visited him at the Military Hospital once during his last four days.”

Mann Bahadhur, trying to come to grips with the reality of the loss, said, “I knew that Saab was trying to tell me something but I understood that he was not able to speak, hence his attempt to convey something through the eyes.”

The former Army Chief always had a big heart for personnel from the Gurkha Regiment and had chosen to have all his personal aides from the Gurkha community.