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             Mandatory                                                                 tion laws. However, the

             reading                     GOOD ECONOMICS FOR HARD                       authors provide impres-
                                         TIMES: BETTER ANSWERS TO
                                                                                       sive evidence that the vast
                                         OUR BIGGEST PROBLEMS
                                         Abhijit Banerjee & Esther Duflo               majority in every country,
                                                                                       except people in extraordi-
                   HIS EXTRAOR-          JUGGERNAUT                                    nary peril (“in the mouth
                   DINARY volume,        Rs.393 Pages 320                              of the shark”) and only a
             Teven though it’s                                                         small percentage willing to
             authored by Abhijit Ba-                                                   bear extremely hard work
             nerjee and Esther Duflo,                                                  and emotional alienation,
             distinguished professors   and Latin America — are                        are willing migrants. Ac-
             at the globally top-ranked   beginning to wonder what   The virtue of this book   cording to evidence and
             Massachusetts Institute   is next for them. Of course   is that the authors   polls conducted by the
             of Technology and win-   in most countries in the   believe in testing    authors, most people are
             ners of the 2019 Nobel   affluent West, slowing   all assumptions and     reluctant migrants even
             Prize for Economics, has   growth is nothing new at   policy prescriptions   within national borders,
             not received due atten-  this point, but what makes   through randomised   as the mass return of
             tion in the Indian media.   it particularly worrying   control trials     migrants to their vil-
             Although an avid reader of   is the rapid fraying of the                  lages during the current
             book reviews, your corre-  social contract that we see                    national lockdown in India
             spondent can’t recall even   across these countries.   all assumptions, opinions   has proved.
             one memorable critique   We seem to be back in    and policy prescriptions   Likewise on foreign
             of this insightful volume   the Dickensian world of   through RCTs (ran-  trade, although the
             praised to the skies by a   Hard Times, with the   domised control trials)   overwhelming majority
             host of renowned econo-  haves facing off against   to ascertain public and   of economists polled by
             mists including French   alienated have-nots, with   expert opinion on issues   the authors are in favour
             economist Thomas Piketty   no resolution in sight,”   of public import. RCTs   of free trade because of
             (“wonderfully refreshing”),   write the authors in the   provide readers a broader   Ricardo’s famous theory
             Raghuram Rajan (“teach-  introductory chapter titled   perspective of the pressing   of comparative advantage,
             ers you always wished    ‘MEGA: Make Economics    challenges of our time and   popular antipathy in large
             for, but never had”) and   Great Again.’          a better understanding of   diversified economies such
             American Nobel laureate    It’s noteworthy that   their complexity than 800   as the US — where imports
             Robert Solow (“balances   these words were written   word essays and talking   account for 2.5 percent of
             neat generalities of theory   last year before the global   heads on television can   GDP — is based upon the
             against the enormous     outbreak of the Covid-19   ever do. The USP (unique   citizenry willing to pay
             variety of deviations of   pandemic and lockdown   sales proposition) of Good   modestly higher prices for
             standard assumptions”).   of national economies   Economics for Hard      manufactures and services
                This work should be   around the world. One    Times (GEHT) is that the   to protect American jobs.
             compulsory reading for all   can safely assume that   most debated challenges of   Free trade works in
             Indian academics, media   these contemporary hard   our time — immigration,   favour of small countries
             pundits and formula-     times are twice as hard   free trade, income inequal-  where narrow domestic
             tors of public policy. For   as they were last year.   ity, limits of economic   markets don’t allow manu-
             the simple reason that it   Nevertheless, the issues   growth, environment   facturing companies to
             addresses the important   addressed and debated in   despoliation, artificial   attain economies of scale.
             hot-button issues of the   this thought-provoking,   intelligence, robotics and   This explains the exports-
             new millennium. “The go-  intellectually stimulating   unemployment, free mar-  led growth and prosperity
             go years of global growth,   compendium are as im-  kets and universal basic   of less populous countries
             fed by trade expansion and   portant now as they were   income — are thoroughly   such as South Korea, Tai-
             China’s amazing economic   a year ago.            subjected to RCTs.      wan and latterly Vietnam.
             success, may be over what   The virtue of this      For instance, the     And Indians should bear
             with China’s growth slow-  volume — and the prime   popular belief in the US   in mind that Mahatma
             ing and trade wars igniting   reason why the authors   endorsed by President   Gandhi was in favour
             everywhere. Countries that   were jointly awarded the   Trump, is that America   of self-sufficient village
             prospered from the ris-  Economics Nobel — is     would be flooded if it were   republics which require
             ing tide — in Asia, Africa   that they believe in testing   to liberalise its immigra-  minimal domestic trade.

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