IV Differennt Sectors of Economy - The ideal structures

A) Transport Sector

There are 6 parts of the transport industry-

1. Roads

2. Passenger transport on the roads

3. Goods transport on the roads- open for private parties

4. Local Transport- open for private parties

5. Railways (including the tracks, passenger trains & goods trains)

6. Airways

Parts 1,2,5 and 6 will remain under total govt monopoly and parts 3 & 4 will be open for perfect competition by private parties.

1. Roads – Road could be a separate and individual part of earning for govt even if it does not run its own buses or trucks. Govt could collect toll-tax from the private vehicles passing through the roads. If govt do not lay the plastered roads and just keep a free natural track for passing of anyone as was there during medieval times, govt has no right to collect taxes. But if govt is spending on the plastering of roads it and people are using those plastered roads, then naturally it becomes the boundation of public to pay money for the product they are using. Govt gets the right to collect profit from their plastered roads. And I have seen that toll collection is a business of huge profit.

But I oppose toll collection due to two reasons-

i) First reason is that practically toll collection is very difficult task as people do not tolerate such system. And thus it leads to clashes between the toll collectors and the general public.

ii) Secondly it is impossible to collect as much toll from the vehicle as per its road usage. Even if a person has to travel 5 kms on the road he has to pay atleast of 30 kms.

iii) Thirdly if we have to properly collect the taxes we have to create dividers between the roads and the remaining area. And the natural beauty of the rods and the poetic freeness that they give us today will be lost. The people who love travelling can understand my intention. People who live to earn money can not understand this logic. But people who earn money to enjoy life can understand me

But it does not mean that govt should stop furnishing of roads. Making of Good roads and other mediums to connect people is one of the fundamental duties of the Government. But instead of toll collection from roads I would suggest 2 ways to earn money –

i) Govt should run its own passenger transport service I the form of buses and should prohibit all private parties from administering passenger buses.

ii) Govt should sell Fuels used in vehicles on the profitable rates as the vehicles running on the road will use the fuel in the same proportion in which they will use the roads.

2) Passenger transport on roads – State govts(not central govt) will run state transports. All these state transports will use a particular model of bus. And no private party will be allowed to buy this particular model. The speciality of this model will be that all parts of this model will be of such dimension that they cant be used in any other model of vehicles (not only other buses but all vehicles).

B) Fuels and Electricity

There are 4 parts of this sector -

1.      Nuclear based Fuels or materials which are the sources of great energy and could also be used as weapons and which need a great protection as anti-national elements could use them against the nation easily.

2.      Electricity Produced from Nuclear power.

3.      Direct Fuels as Coal and Petroleum etc whose handling is relatively easy.

4.      Electricity produced from coal, or other non conventional sources as wind power, solar energy, tidal energy etc or any other (except nuclear energy)

1)      Nuclear Fuel – As nuclear material has high strategic importance, they will be fully controlled by central government from production to usage.

2)      Electricity produced by nuclear plants - The electricity produced by nuclear plants will be first sold to the railway and to the other Central government ventures. However if there remains enough extra electricity after using in central government units, it can be sold by the central governments to the state governments if any state government demands that electricity.

3)      Non-Nuclear Fuels – Every state will have its own Fuel Board who will arrange Fuel such as Coal, Diesel, Petrol, Kerosene etc  from somewhere and will distribute to the final users through their distribution units (generally will be called as Petrol Pumps. In this process of distribution, these Boards will earn profits. No private firm will be allowed in the production or distribution process of these fuels. This is about the distribution part………..On the production part of the Fuels such as Coal, Diesel, Petrol, Kerosene etc that state will have the authority in which they will be found. That state government will process and sell those fuels to the Fuel Boards of their own or of the other states on the beneficial rates. Thus production or the oil refineries will be in the hands of that state government in whose state the raw petroleum will be found. A separate department called Energy department will be there to see that what sources of energy are available in the state and to produce as much energy as possible.

4)      Electricity (by non-nuclear sources) – Similarly every state will have its own electricity Board whose task will be to get electricity from somewhere and to sell it to the final users by making profit in this distribution process. Here also no private firm will be allowed in this distribution or the production of electricity………….And the production of the Electricity will be done by the Energy department who will use the solar, thermal, tidal, or wind power available in the state to produce electricity.

Thus in every state there will remain three departments for managing Fuel and Electricity –

1)      Fuel Board - and To distribute (sell) Fuels such as Coal, Petrol, Diesel, Kerosene, Gas, etc to the ultimate users of the state after purchase from any possible source.

2)      Electricity Board – To distribute(sell) electricity to the ultimate users after purchasing from any source.

3)      Energy department – Its task will be to Explore such  resources in the state that could be turned into Fuel or Electricity i.e. Energy and then to establish production units to produce Energy and then Manage the Production and then to sell that energy(Fuel or Electricity) to the Boards of their own or any other state)

In addition the Central govt will also have a Nuclear department.
The function of all these deparetments has been made clear in the above paragraphs.

C) Telecommunications

Each State and the Central Govt will have their own telecommunication companies and there will be open competition between these companies. For example there will be companies like Orissa telecom, Maharashtra telecom, Tamil telecom, BSNL etc who will not bound in any geographic boundary and will compete with each other. The result will be that the customer will be able to chose the better service ad ultimately the profit will go in the pocket of any govt only not in the private hands.

D) Banking Sector - A Government monopoly

This is the most vital sector in "Humanistic-Capitalism" system and solely Govt will own the Financial institutions in this system because -
1) Govt will promote Large number of private Cottage industries and for it Govt will have to provide micro finance in large numbers
2) As there are unexpected ups and downs in business and also for small business it is more difficult to survive them and only external support can save such businesses. Therefore govt should be ready to provide financial support to businesses in the time of crisis.

And while it will be mandatory for the govt to provide finance, it will also be mandatory to earn a good interest on it. And this interest will be a good source of income for the Govt.

Like the telecommunication industry, here also each state and the central govt will have their own bank(besides Reserve Bank) who will compete with each other so that the customers could get better services.

E) Agricultural Farms- Equal Distribution

1.     1) All the Farmers should possess equal area of land. In this way all the farmers of the nation will remain equal. In the present scenario when some powerful politicians (yes politicians not pure farmers) possess 15-20 sq km of agricultural land, also there are some poor farmers who own only 100 sq m land piece only. So firstly this unequal distribution of agricultural land should be corrected....................Besides equal distribution it is also necessary that there should be a fix size of agricultural farms which should be neither too small nor too large. The large sizes will result in the deficiency of agricultural land turning a large population into agriculture labour. While the small size will make farmer dependent onrhe small local financers and he will always remain a poor person. Thus a farm -land shhould be of size 250m*250m. This farm should be an undevisible unit. Let us call it 1 FARM.

2) Unit Farms - The size of 250m by 250m is an ideal size for an agricultural farm. This minimum size ensures that the owner will have sufficient economical resources and he will not be exploited by the moneylenders, food-merchants and the brokers. And he will be able to store his produce(in case of grains and pulses etc) for a long time...............Also this size should be maximum as size more than this will mean that far less number of people can own such agricultural farms.

3) Transfer/Heirship/Selling of unit Farms - (Undevisible Unit) As such a Unit Farm is an undevisible unit it cant be distributed between 2 or more persons. It could be transferrred from one owner to another as a single unit by the means of heirship or selling.

F) Manure Supply for Agriculture

First of all Chemical Fertilizers should not be used at all in agricultural farms. Because use of Chemical Fertilizers initially increase the production but it make the land barren in long run. So bio-manure made from the cow-dung should only be used in agriculture.

G) Local transport & waterways

1.     The Local Transport in a city

First of all -for local transport- such vehicles should run which should be maximum 12 Seater (As in India we can see TATA Magic and Vikram. Secondly one who is driving such vehicle should own that vehicle also i.e. those poor persons who presently serve as Drivers in such Vehicles should be provided with Financial Aid by the banks and government so that they could buy their own vehicle............And proper checking should be done in such cases so that no well established person could own a vehicle. The govt will take care that while any vehicle is running its owner should be present on the vehicle in the form of conductor or driver.The simple reason behind this rule is that any person will not be allowed to buy two or more vehicles or boats and he will not able to run them on rent.

2. Waterways - This sector will also be in private hands and as usual all the rules applied for taxi owners will be applied for boat owners also.

H) FMCG Sector

No Big Firm or company should be allowed in FMCG sector. High competition should be there but it should be taken care that in any product segment no company/firm should hold more than 2 percent share in market.

I ) Retail Marketing Sector

Conventionally this segment has remained fragmented and thus has given employment to lakhs of people. Infact 70 percent of the self employed people are in the area of retail marketing only. And only 30 percent are in production, construction or service sector. Local kirana store, elecrical shop, stationery, cloth shop, utensils shop etc are all examples of Retail marketing.
Now a days we can see that big companies like Bal-Mart are entering into this sector which will lead to unemployment of many small retail marketers. Surely it will give employment to a lot of people but those people will be just employees of Wal-mart