Indians seem to have taken a fancy to scams the same way that Somalians have to piracy.
Cheap == done by the DDM...Especially when we are not even sure if its even a scam... The media or anyone is within rights to demand an audit...But to begin pounding such a sensationalist article is bad..If can have very negative implications for foreign investments and perception of India...
Even though black can be a possible explanation for export growth there are several alternative explanations..Engineering companies were expected to do well due to tsunami in Japan..
If I wanted to bring black money into India , I would have either used hawala or taken advantage of the double taxation treaty with mauritius like most self respecting black money launderers do ... It is virtually off records...While export income is taxable... Only advantage that over-invoicing has is that the black money becomes "white"..
@ vera_k -- I merely said that cost of living is cheaper in India and I explained my logic as well as some others did.. Amongst the manufactured goods clothes and furniture are a lot cheaper in India and I stand by that... India is an exporter of textile as well as furniture...so it is expected to be cheaper locally..besides tailors and carpentors in India charge a lot less in comparison to American one's ...
I had the horrible experience of losing my formal clothes a few days before residency interview.. Since I was going to some top places I was advised to wear a decent suit.. (Formal attire is compulsory in khanate docs)... I had carried decent tailored one's from India which I lost... The cheapest american suits looked horrible ... I had to buy 500 dollar one's ... The bill was easily equal to my life time supply of clothes previously...
Try comparing life of a american taxi driver (or even entry level engineers, resident docs, fellowship students ,oceanographers) making 50k a year with 2 kids with an Indian making 25 lak a year.. you ll know what I mean..
You need to pay a $ 1000 atleast rent in NY to get a barely liveable studio apt... water pressure of 60 psi hardly matters ...and winters are tough...electricity bill's during winters are hardly low...full coverage health insurance costs 5k-10k a year.. And public schools are not free by any means... fees range from 2k-4k...its only after all thse expenses and taxes does one get to spend on i-pad or 60 inch screens..
question of enjoying new york in all its splendidness comes only if someone makes 200k or more.. by comparison an Indian making 25-40 lakh has a far better time...
I did not say that average indian is better off than an average american.. the average american makes 10 time more at present...but things in India are improving... Unless UPA makes a terrible mess (sadly thats what it seems to be doing) convergence may take place a lot sooner than expected..As Suraj pointed out India exceeded even the most optimistic expectations on the 2000 BRIC report...
I agree with your comment on quality plumbers . HVAC technicinans welders , plumbers etc of a great quality are very hard to find in India.. The NREGA workers should ideally have been trained to do these jobs..but our idiotic gov't thinks otherwise...
@ Advait public schools in US are not completely free as you might have expected..they cost as much or more than Indian private schools... even though they are infinitesimally better than Indian public schools (THOUGH NOT INDIAN PRIVATE SCHOOLS).. raising kids in US is not cheap by any stretch of imagination...
Drop out rates are high..In NY they are as high as 40%..ie only 60-65% finish high school...
http://mikebloomberg.com/index.cfm?obje ... 491507142E
As you notice , in Bloombergs own site he states that grad rates of 65% are all time high... (though how the high was achieved is omitted ) ..
I am not a fan of the Indian education system ..It sucks to say the least ... My school has taken exchange visitors and me myself had gone on a student exchange during my child hood got to observe and interact with foreign students .. IMHO the high school system in singapore was the best I know off.. From what I have read , finland has a supreme system ... The difference between these systems and the Indian system is that of heaven and hell..(hell being the Indian system..) However things are improving rapidly for the wealthiest 30% Indians...