There may be all sorts of subtle issues at work here that are impossible to understand at a distance, but this NYT story suggests that the stock market collapse is the reason that Sonia Gandhi has decided not to claim the position of prime minister of India. “Today’s development came after the country’s stock market recorded a huge single-day fall on Monday, amid concerns over the new government’s approach to economic reforms. Investors feared that economic reforms could be slowed or halted because of pressure from the left.”
Source link: http://blog.mises.org/2011/ballots-or-stocks/
Ballots or Stocks?
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She knows the new govt will be pretty much following the old reforms and there is little the Left parties can do. That stock market collapse is more emotional in nature and quite temporary too. She has refused to be the PM for practical reasons not because of the collapse. There’re a lot of people who’re opposed to her being the PM due to her foreign origin. For her it’s a huge risk to be the head of the state and take some bold decisions related to economics and politics, coz later she could easily be blamed as a foreigner being insensitive to India’s national interests.
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