Just watch this wonderful Video.
Posted by : Crystal David John

From Hamsini Srinivasan 09/EC/15

I am a recent alumnus of the Economics Department of Stella Maris College, having passed out in May 2012. I am working as a marketing executive and I am pursuing an MBA in June 2013.

My three years in Stella Maris has played a very integral role in making me the very confident person I am today.In this respect, I have to specially thank the Economics Department.  It was because of the professors in this department, that I hold such strong values today and posses such a vast array of knowledge which has helped me to cross 75% of the process in securing an MBA admission. I am eternally grateful to the Economics Department for making me graduate as a much better well - rounded individual as compared to when I first joined College.

At this point, I feel it is only proper that I show a token of my humble respect to my wonderful professor. Hence I am donating Rs. 25000/- to the Economics Department of Stella Maris College. 

Thanking You

Yours ever Sincerely

Hamsini Srinivasan,

Dept. No. 09/EC/15

I am posting the verbatim copy of Hamsini's letter I received. Thank you dear 15 for your kind words and cash contribution.

Dr. Crystal David John

Have Fun!

Memories of an Alma Mater

Memories of an Alma mater… and a thank you note.
Gaudiose Mujawamariya (00/EC/66) Ph. D.

2003-2013, ten years have gone by! How time goes fast! Indeed, it has been ten years since I left Stella Maris and the truth is I have not noticed how time has run on me. Well, that is an exaggeration, given that I have changed in several visible ways which could have happened only in this time span; for one thing I have become big (not a joke!) and a mother, and also mature and perhaps even wiser (I hope so!).

I joined SMC from far away, perhaps the College has not seen again any other far-off wanderer who ended in its wall. The circumstances of my landing make a story too long to tell, but the shortest version is that I was young, eager to learn and a risk taker in terms of going into a new environment. I must admit that I was also looking for some adventure, I thank my parents for letting me go. 

I reached the College when the first semester was mid-way. I remember and will always be grateful for the support of many of my classmates of the 00/EC batch and the faculty who went long miles to help me. Thanks a lot my dear colleagues, you have not only helped me with buying the first textbooks and correcting my class notes, but you have also welcomed me into your family and made me part of it. I must say that it took a lot of effort to reach out to me taking into account that my level of speaking English was limited to ‘yes’, ‘no’ and ‘I don’t speak English’….Luckily I survived on my French background but I would not have made it without my small English-French dictionary. To be honest, the Indian accent didn't make my transition into the English language any easier...I survived.

I liked Economics and even if I had no idea of where I was (please do not laugh at me for I bet there are more than two persons in the College who still think that my country is located in South Africa), I seriously learnt the Indian Economy as if my life was hanging on the five years plans. I enjoyed most of the subjects including some mathematics, but I also took the opportunity to improve my English which later facilitated the reading of other subjects that I came to love as well. I worked hard.

There are two places in the campus that I liked most. The first is of course the Chapel where I always had some quiet moments with God as my source of strength. And then there was the library. I liked the library because I am principally a book person. And when I discovered the whole section of French fiction which was dusty because no one had touched it for years, I was just filled with joy. I started reading the books one by one, unhurriedly, as I knew they all belonged to me!!! After finishing the section, I ventured to English literature and to my amazement, I discovered that I could understand the stories. Reading helped me to expand my English vocabulary. 

I mentioned the good places, but let me also mention at least one of the places that I considered as my torture chamber; that was the canteen. Dearest Canteen, I have nothing against you in particular, but to be honest, despite all my bravery, I always feared your spices. Whenever I came to visit you, I always knew that I would leave crying. I am not really a ‘hot’ person and you have reinforced my conviction that I am and will always be a ‘sweet’ person. Anyway, are you still in partnership with that crow which was always hanging around you?

I could go on and try to bring back the memories, but that would take several pages…truth is that age is catching up on me and those memories are slowly fading away, maybe I should pass by to refresh them…I still have the good ones though, such as the events of the College, NSS, NCC, and sports days, the inter-college competitions, etc. It wasn't easy being in a new environment, new place, new culture, new everything, I struggled through it all but all in all I am happy for the experience. My three years at Stella Maris have shaped my life and led me to where I am now; I am thankful for the education and nurture received at the College. The hardest part was about missing my parents and family but the many friends made at the College and my surrogate community helped me pass through the most difficult periods of my life. God was always there for me. He kept me closer and sustained me, for my biggest fear was to lose faith in Him, thanks to the religious environment at Stella, this did not happen. Thanks to the wonderful Stella family and thanks to the Economics Department for encouraging my small steps.

Gaudiose Mujawamariya (PhD) got her BA degree in Economics from Stella Maris College in 2003, her Msc. in International Development Studies and PhD degree from Wageningen University, Netherlands. Currently, she is a lecturer and researcher at the Faculty of Economics and Management in the Independent Institute of Lay Adventist of Kigali in Rwanda.

Raise hands not for sexual violence against women, rather for patting on their back…

Women today are moving at par with men,

Along with the brooms, they also hold the pen,

Thus, gathering courage to write their own destiny,

Making themselves a niche, creating a new history,

‘In search for an answer’, when men act violently and give their life a jolt,

And instead, blame the women saying; “Sorry! It’s not my fault…”

Is it the definition of a chauvinist

With highlights being violence, torture or a rapist?

Women for them, are considered as a game of play,

Being ‘Victims’ of sexual violence day after day…

Agreed, we have not yet been released from patriarchy,

But is this their way of exhibiting chivalry?

Girls are killed before they even see the world,

Frightened ‘Victims’ remain in their shells, are curled…

One walked on the road and on her face acid was thrown,

For all she knew, there was no time to mourn.

Where lay her fault in the whole show,

That her life had to witness that fatal blow?

Is safety a question mark today, when in a moving bus a girl raped?

And the bureaucrats and the crowd stands gaped.

While for justice, the nation came to a standstill,

When into her body, pipes and drips were being drilled…

Some say, what provokes men, is their outfit,

So now, do clothes decide if a woman in the society is fit or a mis-fit?

Then justify the rape of a 5 year old,

Who, after the incident, is even ignorant of how her life will unfold…

Accepted, that at times even women commit a mistake,

And their dignity and life is at stake,

But a change must be, not in the outfit of women, rather in the mindset of the men folk,

Educating them about ‘respect for women and girls’ which for them, is a joke…

A son when lonely and low, sleeps on his mother's lap,

But doesn’t hesitate to give his wife a slap.

He cries on his mom's shoulder, hides behind her back,

While, the wife brightens his life with hue, he darkens hers to make it black…

The irony is that both are women who make better his life,

Then why the difference in respect between mother and wife?

If the adage “Behind every successful man is a woman”, is true,

Then why beat her up black and blue…

A woman bears to the maximum extent she can,

However, if her loved ones are troubled, she can beat any man,

She is taken for granted, for her cry is never heard,

But, it is a woman who gives birth, makes a building a home, and moves the generation forward…

The day this homemaker goes on strike, the life of a man will come to a halt,

And she will nonchalantly reply; “Sorry! It is not my fault”…

~~Saaksshi Goyal

III BA Econ

10/UECA/047

True - Economics Does Matter!

http://www.ndtv.com/article/india/3-minor-sisters-looking-for-food-raped-murdered-at-a-dhaba-in-maharashtra-333117


Yes Economics does matter in all our lives. I have posted this for us to realize the real costs involved in just trying to feed ourselves especially if we are poor, weak, and destitute. Its such a pity - what these three little girls had to face, only because they were hungry! We as economists and budding economists should feel the real vibes of our economy!


Crystal David John
PG Head
Department of Economics
Stella Maris College
Chennai

Will Gold in India Lose its Sheen?

            India’s love affair with gold can be dated right back to the epics of Mahabaratha and Ramayana when gold was idolized by the gods and kings, and was the epitome of wealth and stature.  This idea seems to have carried down all through history.  In India, gold has almost become a necessity, let alone a status symbol.  People invest in gold to get their daughters married off, regardless of their financial background.  Gold often gets passed down through generations of women who wear this precious metal almost right from the time they are born.  Gold is also associated with the Hindu goddess ‘Lakshmi’ who represents wealth and prosperity.  In addition to all this, the advent of ‘Akshaya Tritiya’ seems to have coerced people into buying large amounts of gold on this supposedly auspicious day.    

            Apart from the rich culture gold seems to have associated with it, India’s obsession with the yellow metal has several economic reasons as well.  Indians seem to look at gold as a form of savings, rather than investment though national accounts fail to acknowledge this fact.  As a result, gold is getting hoarded and left sitting in lockers instead of being used for productive purposes in the economy.  People aren’t interested in investing in stocks or mutual funds; they would much rather invest in a metal that would not deteriorate and can be easily liquidated in times of dire need.  From an investor’s point of view, gold can never be an idle or unproductive asset provided its value continues to appreciate.  Rich or poor, investing in gold seems to be the most risk-free asset that can help one cope during periods of heavy inflation.  In fact, 60% of India’s gold demand comes from rural areas.  Farmers invest in gold after their harvest in order to meet expenses during the next farming season.  As 60 Minutes correspondent Byron Pitts puts it – ‘In India, gold is financial security that is also a fashion statement.’

            However, this obsession with gold seems to be taking its toll on the Indian economy.  India is one of the countries that produces the least amount of gold, yet has the highest demand for it.  Thus India relies heavily on gold imports – 1,079 tonnes of it during 2011-12.  Gold imports increased from around $40.5 billion in 2010-11 to around $56.2 billion in 2011-12, with most of this coming from Switzerland, the UAE, South Africa and Australia.  As a result, India’s current account deficit stood at 4.2% of GDP, with 60 percent comprising of ‘net’ gold imports.  According to the Bureau of Economic Analysis, current account basically measures trade, as well as international income, direct transfers of capital and investment income made on assets.  A current account deficit signals that a country is importing more goods, services and capital than it is exporting.  And thanks to heavy gold imports, India’s current account deficit is well over the sustainable level which usually falls under 3%.  If this deficit continues to rise, it will make India vulnerable to the external sector and in the long-run, foreign investors may begin to question whether economic growth can provide adequate returns on investment.

            Thus Finance Minister P. Chidambaram has stepped in with a plan to try and narrow the current account deficit.  He feels that the only way reduce the deficit is to bring down the demand for gold by making gold imports more expensive.  He has proposed that customs duties be raised from 2% to 4% on gold coins whose purity exceed 99.5% and from 5% to 10% for non-standard gold.  These hikes are in addition to the ones already implemented in the 2012 budget.  But whether making imports more expensive will actually bring down the demand for gold is certainly questionable.  Gold seems to have fairly inelastic demand in India.  In fact between 2002 and 2011 as gold prices soared, consumption soared along with it.  Another worry is the creation of a black market for gold if customs duties on imports are pegged too high.  People will begin smuggling gold through the borders of Pakistan and Nepal and contribute further to the already infamous Indian parallel market. 

            Chidambaram isn’t the first Finance Minister to express serious concern over India’s excessively high demand for gold; generations of Finance Ministers have tried to implement various schemes in order to bring down the demand.  Some of these suggestions have included financial institutions selling products as proxy for gold, encouraging households to deposit family jewels in fixed deposits schemes that will earn them interest and a pay-back in the form of gold bars years later and a pension scheme which guarantees a fixed amount to a person for the rest of his/her life against gold surrendered to the bank.  Yet each of these suggestions seems fundamentally flawed. First, if banks start selling gold-link financial products then banks will begin to hold gold instead of individuals.  This scenario will not help increase the productivity of gold.  Second, there are very few fund managers that would be willing to offer fixed pension schemes.  And lastly, it is very difficult to get Indians to surrender gold, whatever the reward may be.

            The proposal to bring down India’s demand for gold has naturally sparked debate all across the country.  The government strongly believes that gold is an unproductive asset.  Considering international prices of gold are currently so high, the government feels that money from foreign exchange reserves could have instead been spent on importing assets that would have been of more value to the economy.  Mangalore-based economist Jayadev Moleyar says, “Most gold is in the form of ornaments with the private people in households or are piled in bank lockers for most of the time. Gold doesn't have economic value; it only has emotional value. And considering the heavy pressure its puts on imports, it is an investment better avoided.”  Other experts also feel that gold needs to be circulated productively in the economy and not hoarded, particularly in a country where poverty levels are high and infrastructure is low.

            Another set of experts and the general public however, hit back at the government’s views.  Some experts say that though gold was used primarily for jewelry purposes earlier, the trend is now slowly shifting towards investment.  People are investing in gold keeping in mind long-term benefits.  Gold is almost the only accessible investment option for the rural poor.   The public has further defended their demand for gold saying that the Reserve Bank of India holds gold as reserve for more or less the same reason – financial security.  In fact states such as Utah in the United States have passed laws to make gold legal tender.  People have started blaming poor governance for the widening trade deficit, and not the demand for gold.  Also, in a country where gold holds such a high level of significance during a wedding, it is near impossible to do away with it.     

            On a personal note, the demand for gold in India is unlikely to go down anytime soon, considering its almost sacrosanct nature.  The mindset of Indians that has been cultivated over so many centuries is difficult to change within a matter of just a few months.  The government and the people however, should try and find middle ground and reach an understanding.  The government needs to understand that for individuals, gold is the most reliable and risk-free asset, as has been proven time and again through numerous financial crises.  For many of the rural poor, holding gold is almost a means of survival.  Though national accounts look at gold only as either consumption or investment, the government must understand the value gold savings hold for an individual. 

At the same time, individuals must realize the detrimental effects excessive hoarding may have on the economy.  As they say, ‘too much of a good thing is bad.’  While gold is necessary for financial stability and weddings, large amounts of it left idle in lockers will negatively impact macroeconomic factors.  Considering around 50% of our population is below the age of 25, there is a good chance that a large section of this population will get married in the next couple of decades.  This part of the youth should take it upon themselves to cut down on lavish weddings and only spend wherever necessary.  While increasing the price of imports may have negligible instant effects on the demand for gold, other measures combined with this may be able to slowly bring down demand over a period of time.  But the government needs to provide an alternative to the people; something as reliable as gold, it they manage to put gold back into the financial intermediary system.  There is also the chance that things may get corrected indigenously.  The use of gold for investment purposes is increasing, while the consumption trend seems to be falling.  If this pattern continues, investors will try and look for the next best valuable asset.  Madhusudan Daga, a well-known gold analyst claims that silver seems to have more bullish prospects than gold.  If people slowly switch over to other assets, gold demand may automatically fall.

            So will gold in India lose its sheen? - A few carats here and there perhaps, but nothing more; at least not anytime soon.

Anjana V. Logan

IIIrd Year, B.A. Economics
10/UECA/002