What should Greeks do?

Greece has debt that it cannot repay. What should Greeks do? I believe that Greek have following options:

1. Have more austerity measures; Continue to remain in Euro. More wealth will be looted from Greece. Greeks will become more impoverished. The debt can never be repaid; so Greeks will keep suffering, as long as they choose this option.
2. Default on the debt; abandon Euro and adopt Drachma; let the Syriza (newly elected party) implement its socialist policies. Greece will see hyper-inflation. Greeks will suffer for a few years till they abandon socialist polices for capitalist ones. The pain in this option will likely be lesser than option 1.
3. Default on the debt; continue to use Euro if so permitted by other European countries or else abandon Euro for Drachma; adopt capitalist polices. The elected party Syriza will not choose this option. This option offers minimal pain to Greeks; it ensures a long term prosperity for Greeks.

The option chosen by Greeks impacts other European nations also. If Greece abandons Euro, the savings in Euro of Greeks will likely be seized by Greece government. The Greeks will get Drachma, which will be worth less than Euro. If Greece abandons the Euro, the European union is broken. Many banks in Europe will be bankrupt. Europeans can save their wealth by moving their savings to physical gold and silver. Expect Gold and Silver to rise by more than 30% in Euro terms in the next 2 years.

Conversations with PK

Here is an imaginary Question/Answer session with an evolved being.

Question) How many countries are there on your planet?
PK) We don't have any countries; in other words, whole planet is one country. This way there is no expense on armies, weapons, military, etc.

Question) What does the government do?
PK) There is no government. So no taxes. Every person manages the money he/she earns. Every person is responsible for his/her own safety and well-being. There are no elections world-wide, but voluntary groups are free to hold elections to choose security in-charge, transport in-charge, etc. Roads, Railways, Airports, etc are built by private companies for profit.

Question) Who takes care of the poor?
PK) Charities exist to take care to the under-privileged. People are free to donate to the charities.

Question) What does the police do on your planet?
PK) We don't have any police. The rich are free to hire security personnel for their safety. When a crime occurs, private investigators can be hired. When the criminal is known, the elders of victim's neighborhood get together and decide on the punishment for the criminal. There are no jails; private parties can be hired to restrain criminals temporarily. We don't have any judicial system.

Question)What about cigarettes, liquor, drugs and prostitution?
PK) There is no demand for cigarettes, liquor and drugs. So they are almost non-existent. We understand that these hide the symptoms of the problem, but don't solve any problem. Prostitution is rare because of poor demand.

Question) Do you have sports?
PK) Yes, voluntary teams are free to play with other teams. However, there are no world-wide competitions because few are interested. Sports is just a way of keeping fit and active.

Question) What industries do you have?
PK) We generate mostly clean electricity from sun, wind, water, nuclear, etc. It is used for transport and making other goods.

Question) What is money on your planet?
PK) Gold, Silver and Copper coins are used as money. Private banks exist that will store these coins safely. The banks are audited by independent parties to ensure that they really hold the coins.

Question)What is inflation?
PK) There is no inflation. Prices regularly fall because of rise in productivity. The total money supply is almost constant for centuries.

Question) How is parenting different on your planet?
PK) Children are raised with love. No one shouts or hits a child. The child is taught reasoning skills and communication skills. The child chooses any other skills for learning.

Question) How are your schools different from ones on earth?
PK) We don't have schools. Parents teach their children, when they are young. Later on tutors are hired to teach children depending for the subject the child loves. There are no common exams, but tutors are free to conduct tests. There are no colleges, but recommended subjects to be studied for various skills. While hiring an employee, the employer tests the person for necessary skill. Third-party independent certification agency exist for someone, who wants to publicize his/her skills.

Question) Do people fall in love?
PK) Yes! People, who love each other, decide to stay together (similar to husband and wife on earth). They are free to celebrate (similar to marriage on earth) their new relationship. They are free to break existing relationships.

Question) How is divorce managed?
PK) Should a husband and wife decide to separate, the elders of both families meet. A mutually acceptable solution is chosen regarding with whom will children stay, will any monthly maintenance be paid, etc.

Question) Is abortion legal?
PK) Parents are free to decide the future of their unborn child. If they cannot take care of the child, there are usually other couples who are willing to adopt the child. Parents are also free to abort the unborn child; but this choice is exercised rarely because these parents would normally use some form of birth-control. Sex education is imparted to teenagers; so unwanted pregnancies and sexually transmitted diseases are rare.

Question) Who builds roads, railways, etc?
PK) Private companies are free to build roads, railways, airports, buses, etc. People who use roads pay toll. Passengers travelling in railway/bus/airplanes purchase tickets. Profit incentive ensures good transport.

Question) What do you people eat?
PK) We are raw vegans. We eat raw fresh fruits and vegetables. We don't consume meat, diary, eggs or any animal product. We almost never use oil, sugar and salt. We rarely cook food. Most diseases of earth e.g. heart attack, blood pressure, diabetes, obesity, etc are rare on our planet. We live much longer than people on earth.

Question) There seems to be no philosophy on your planet?
PK) Philosophy is about living virtuous life. Usually religion and philosophy don't go well together. We teach children to live virtuous life and value virtues more than money/race/religion/gender/country. Our philosophy is about kindness, non-violence (unless attacked), happiness, peace, etc.

Question) Why do you think that your planet is better than earth?
PK) No religion, No wars, No government, No taxes and No police. In short, more freedom for individual. The individual is not sacrificed for the collective (group, race, religion, nation).

Question) Leaving aside religion, what is the next biggest improvement that we should do on earth?
PK) Discard fiat currency and accept Gold, Silver and Copper as money. This will eliminate almost all wars because wars will have to be paid for immediately, and not with inflation. A limit in physical money implies limit in the powers of government, police and judiciary.

Question) Other than religion and real money, what improvement would you suggest for earth?
PK) Peaceful parenting. Children raised with violence become introvert or criminals. Children raised with love tend to achieve more in life.

Question) Why don't you help our planet?
PK) If most people desire something, it will get done. Your world is in its current shape, because most people don't want it to change. When majority desires a change, the change will be inevitable. I cannot change something by force, without the consent of majority. That would be violence and lack of empathy. I am showing you a path; if you are ready, walk it.

Thank you PK.

What should parents teach children?

Parents should teach only following skills to their children.

1. Scientific thinking / logical thinking / critical thinking: Most parents don't teach this skill to their children because they want children to do as they say. If children think independently, they may come to different conclusion than their parents. These parents usually dislike their children questioning them. They usually bully their children into silence.
2. Communication skills / social interaction skills: Most parents don't teach this skill to their children because it undermines their authority. How can a parent, who loves to bully his/her children, sit and have one-on-one talk with his/her child as an equal?
3. Adults lie: Children never lie. Adults almost always lie. Children are in sync w.r.t. thought, word and action. Adults usually think one way, say another and do something else. Children are unselfish by nature; adults are selfish. Children have to be taught that most people are cheats or plain stupid. Most parents don't teach this to their children because children would immediately recognize their parents as selfish and/or stupid.

The rest children can figure out by themselves. Parents tell their children to become a doctor/engineer. They never ask their children what they would like to be because a child may choose a profession that the parent thinks will lead to lesser income in life (so less indirect benefit to the parent) or more expenses on education or greater effort for parent or some other inconvenience for the parent.

Comments on Chetan Bhagat’s book “What Young India Wants”

The main good points of this book (as per myself) are:

• Laws are strict in USA, China, etc; Laws are poorly implemented in India. In India, a criminal case normally goes on for many years. People die before they can be punished. India needs fewer laws and a swift justice system to implement them. Justice should be same for the rich and poor.
• True long-lasting wealth is money plus virtues. Indians place a wealthy immoral person on a higher pedastal than a less wealthy moral person. (A virtuous person should also be smart; the thieves surrounding him shouldn't be able to cheat him.)
• Most successful businesses in India owe their success to corrupt practices. The bigger the government, more the rules in country; greater is the corruption. Government should stay out of businesses like railways, public transport, education, banks, insurance, telecom, airports, etc. The government should not even have regulators here, because these can be bribed. Competition is the best regulator.
• The benefits of liberalization is reaching 10% of the citizens; 90% of Indians are left untouched. These 90% lose their savings to inflation; their land is stolen by corporates with the aid of politicians making land-reform laws; they don't have a voice in media that is controlled by corporate houses and government. This leads to "Naxalism"; young people are willing to take arms against the state. We don't need CRPF or military to fight Naxals; we want reforms that treat rich and poor equally in terms of rights.
• Australia produces 5 times rice per acre than India. China produces twice the rice per acre than India. The government rules make the farmer inefficent in India. On one hand the government gives subsidies to farmers; on the other hand the government decides the prices of farmer's produce, where will it be sold, etc.
• India has a draconian tax structure. We need to cancel many taxes and reduce the remaining.
• Anyone looking for RDX in China would land immediately in jail. In India, a newspaper sting operation obtained RDX in few hours. Law and order should be independent of politicians.
• Indian are not smart when it comes to voting. They vote based on caste and emotion. They should vote based on scientific facts. Only vote for party that
  1. Reduces taxes
  2. Privatizes heavily
  3. Reduces government regulations e.g. reservations based on caste, forms to be filled for any permission, etc.
  4. Cuts subsidies and deficit
  Everything else is likely insignificant.
• Most education in India is of poor quality. We need privatization and termination of government controls in education.

The main incorrect points of this book (as per myself) are:

• The book says, "USA values wealth, competition, individualism and religion." If that were true, USA would not have huge deficits, banks too big to fail in 2008 would not have been saved, Obamacare (collectivism) would never have passed in Senate and there would be mostly god-fearing people in USA.
  A country cannot have a set of values for all its citizens. Each person had to decide values for himself. The values of all its citizens together defines the values of the country.
• The book says, "Kids are encouraged to discuss issues with their teachers." This is partly true. Most parents also don't encourage their children to question. The book blames the teachers and education system. I feel parents should take a major portion of the blame.
• The book says, "87% of Indian women are stressed". The book does not mention how many Indian men are stressed. So it creates an impression that Indian male is exploiting Indian women, without giving any scientific data. This is a big mistake. A writer like Chetan Bhagat should keep his personal views separate from facts. Here, he has made the gross misatek of expressing an opinion as a fact.

Key teaching of PK movie

I watched the PK movie and liked it. The movie had an important teaching.
I discussed the movie with many of my friends. Unfortunately, even though they enjoyed the movie; almost everyone missed the key teaching of the movie.

In my opinion, the message of PK movie is that there are two Gods.

1. God has created us. We know nothing about this God. Anything said about this God cannot be proven.
2. Humans have created multiple Gods. These Gods typically punish us and demand sacrifices. These Gods are mostly cruel. These Gods exist solely for the interests of its mangers (so-called religious experts). The goal behind the creation of these Gods is domination of majority for the benefit of few.

The God that Hindus worship is wrong number. The Allah that Muslims bow before is wrong number. The God that demands confession for sins in Christianity is wrong number. The book worshipped by Sikhs is wrong number. Here, people worship out of fear of cruel God. The managers of these religions solely benefit from this fear.

RBI causes loss for Indians.

In Nov 2013, RBI allowed Indian banks to borrow US $34 billion for 3 years. Reference. The exchange rate was guaranteed by RBI. Interest rates for US $ is much lower than the interest rate for Indian rupee. So many banks took advantage of RBI's scheme.

Now Indian rupee is falling. This means that banks borrowed at cheap interest rates and the exchange rate loss will be borne by Indian taxpayers. So effectively RBI has transferred the wealth of Indian taxpayers to mostly private banks.

This policy was architected by the then finance minister P. Chidambaram and RBI Governer Rahuram Rajan. Chidambaram did not give an extension to the previous RBI governer Subbarao. It seems that Subbarao was not willing to co-operate with Chidambaram's corrupt policies.

This is just an example of how wealth is transferred to big corporates with the blessing of government. Of course, the big corporates are happy to give huge donations to political parties.

India's inflation rate is 11%

RBI has released the Money supply statistics till 5-Dec-2014. Reference.
One year ago, inflation in India was 14.9% (as per M3 money supply). Now, the inflation in India is 11.0%. This is a huge achievement for BJP government led by Modi. The Congress (UPA) government had consistent high inflation. In just 6 months, BJP (Modi) has reduced inflation by nearly 4%.