Page 33 - #letter to son

#SangamNiti MORNING
that assured users and citizens of the promissory note that there was
no question of a default and that an equivalent amount of value was
stocked as gold in the central bank’s reserves.

This sort of an assurance or ‘unconditional promise’ is invaluable to the
holder of the currency with respect to its legal tender status. Besides,
the promissory note also carries the assurance that it is a negotiable
instrument, wherein the issuer makes an unconditional promise in
writing to pay a determinate sum of money to the payee.

Recent events in history however are witness to the fact that the
government can withdraw the legal tender status of currency, rendering
its value as junk. As it happened in November 2016, with this one
stroke, the Indian government numbed the value of billions and trillions
worth of currency into a big zero. Though the effect of demonetisation
of specified bank notes has waned, the inflicted economic shock
suppressed GDP growth to some extent in the ensuing quarters.

With regards to money matters, economic experts have opined that in
the tussle between the central bank and the government, its ‘owner’, the
wrangle could be dissolved by having a rule-based monetary policy
with the central bank empowered with full autonomy. This could help
in fostering sustained economic growth with sustainable job creation.

Our chief at the home décor products company was a genius in the
sense that he was a free-thinker and yet operated within a structured
framework. His working style represented a clear case of delegation of
authority and sharing of responsibility in a stabilising, democratic way.
Hence, his decisions were both equitable and acceptable. Furthermore,
he also invested his time and energy in building people, which he
thought would build profitability as if by default. When I think of it
today, I know his goals lay much ahead than the mere pursuit of cash
which, if you think about, can be turned into valueless paper in no time.
Rather, he pursued a culture. Indeed, his leadership style would often
brighten my mornings.

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