Best of the Week
Most Popular
1. Market Decline Will Lead To Pension Collapse, USD Devaluation, And NWO - Raymond_Matison
2.Uber’s Nightmare Has Just Started - Stephen_McBride
3.Stock Market Crash Black Swan Event Set Up Sept 12th? - Brad_Gudgeon
4.GDow Stock Market Trend Forecast Update - Nadeem_Walayat
5.Gold Significant Correction Has Started - Clive_Maund
6.British Pound GBP vs Brexit Chaos Timeline - Nadeem_Walayat
7.Cameco Crash, Uranium Sector Won’t Catch a break - Richard_Mills
8.Recession 2020 Forecast : The New Risks & New Profits Of A Grand Experiment - Dan_Amerman
9.Gold When Global Insanity Prevails - Michael Ballanger
10.UK General Election Forecast 2019 - Betting Market Odds - Nadeem_Walayat
Last 7 days
Canadian Cannabis Stocks CRASH as Canopy Growth Hits a Dead End - 14th Dec 19
Retail Sector Isn’t Dead, and These 6% Dividend Paying Stocks Prove It - 14th Dec 19
Top 5 Ways to Add Value to Your Home - 14th Dec 19
Beware Gold Stocks Downside - 13th Dec 19
Fed Says No Interest Rate Hikes In 2020. What About Gold? - 13th Dec 19
The ABC’s of Fiat Money - 13th Dec 19
Why Jo Swinson and the Lib Dems LOST Seats General Election 2019 - Sheffiled Hallam Result - 13th Dec 19
UK General Election 2019 BBC Exit Poll Forecast Accuracy Analysis - 12th Dec 19
Technical Analysis Update: Tadawul All Share Index (TASI) - Saudi Arabia ETF (KSA) - 12th Dec 19
Silver Miners Pinpoint the Precious Metals’ Outlook - 12th Dec 19
How Google Has Become the Worlds Biggest Travel Company - 12th Dec 19
UK Election Seats Forecasts - Tories 326, Labour 241, SNP 40, Lib Dems 17 - 12th Dec 19
UK General Election 2019 Final Seats Per Party Forecast - 12th Dec 19
What UK CPI, RPI INFLATION Forecasts for General Election Result 2019 - 11th Dec 19
Gold ETF Holdings Surge… But Do They Actually Hold Gold? - 11th Dec 19
Gold, Silver Reversals, Lower Prices and Our Precious Profits - 11th Dec 19
Opinion Pollsters, YouGov MRP General Election 2019 Result Seats Forecast - 11th Dec 19
UK General Election Tory and Labour Marginal Seats Analysis, Implied Forecast 2019 - 11th Dec 19
UK General Election 2019 - Tory Seats Forecast Based on GDP Growth - 11th Dec 19
YouGov's MRP Poll Final Tory Seats Forecast Revised Down From 359 to 338, Possibly Lower? - 10th Dec 19
What UK Economy (Average Earnings) Predicts for General Election Results 2019 - 10th Dec 19
Labour vs Tory Manifesto's UK General Election Parliamentary Seats Forecast 2019 - 10th Dec 19
Lumber is about to rally and how to play it with this ETF - 10th Dec 19
Social Mood and Leaders Impact on General Election Forecast 2019 - 9th Dec 19
Long-term Potential for Gold Remains Strong! - 9th Dec 19
Stock and Financial Markets Review - 9th Dec 19
Labour / Tory Manifesto's Impact on UK General Election Seats Forecast 2019 - 9th Dec 19
Tory Seats Forecast 2019 General Election Based on UK House Prices Momentum Analysis - 9th Dec 19
Top Tory Marginal Seats at Risk of Loss to Labour and Lib Dems - Election 2019 - 9th Dec 19
UK House Prices Momentum Tory Seats Forecast General Election 2019 - 8th Dec 19
Why Labour is Set to Lose Sheffield Seats at General Election 2019 - 8th Dec 19
Gold and Silver Opportunity Here Is As Good As It Gets - 8th Dec 19
High Yield Bond and Transports Signal Gold Buy Signal - 8th Dec 19
Gold & Silver Stocks Belie CoT Caution - 8th Dec 19
Will Labour Government Spending Bankrupt Britain? UK Debt and Deficits - 7th Dec 19
Lib Dem Fake Tory Election Leaflets - Sheffield Hallam General Election 2019 - 7th Dec 19
You Should Be Buying Gold Stocks Now - 6th Dec 19
The End of Apple Has Begun - 6th Dec 19
How Much Crude Oil Do You Unknowingly Eat? - 6th Dec 19
Labour vs Tory Manifesto Voter Bribes Impact on UK General Election Forecast - 6th Dec 19
Gold Price Forecast – Has the Recovery Finished? - 6th Dec 19
Precious Metals Ratio Charts - 6th Dec 19
Climate Emergency vs Labour Tree Felling Councils Reality - Sheffield General Election 2019 - 6th Dec 19
What Fake UK Unemployment Statistics Predict for General Election Result 2019 - 6th Dec 19

Market Oracle FREE Newsletter

UK General Election Forecast 2019

Welcome To India, Obama Sahib

Politics / US Politics Nov 09, 2010 - 06:25 AM GMT

By: LewRockwell

Politics

Best Financial Markets Analysis ArticleEric Margolis writes: Getting out of the Washington goldfish bowl is also good for American presidents, particularly after an electoral shellacking.

It must have been a relief for President Barack Obama to see smiling Indian officials on his visit to Delhi rather than snarling Republicans back home.


India is a hugely important nation by any measure, so it was right for the president to continue the Washington-Delhi dialogue begun by former President George W. Bush.

After six decades of hostility and distrust, the United States and India appear set on a course of warm relations and strategic cooperation.

One million talented Indians already live in the United States, with many more to come. They already play an important fundraising role in US politics.

The catalyst for US-Indian amity was the 9/11 attacks that shocked the US and India into an alliance of convenience against foes in the Muslim world. But the looming threat of China, and Pakistan’s nuclear arsenal that worried Israel, also played a key role. To Republican strategists, the most obvious way to contain China’s growing power was to build up its great rival India as a counterweight.

India is now the latest international Klondike. Its $1,070 trillion economy, freed of oppressive government regulations know as the "license Raj," is booming at over 8% annual growth While the US has a mostly negative image around the globe, it is wildly popular in India.

US arms makers and high-tech industries are salivating at the thought of entering India’s market. India’s rapidly expanding military forces need modern equipment and replacement for aging Soviet-supplied weapons systems. America’s military-industrial-financial complex pushed Bush hard to make nice to India and pry open its formerly sealed gates. The pressure continued on Obama who dutifully continued Bush’s Indian policies.

However, some perspective is in order. The GDP of 1.2-billion person India is still only half of that of Italy. Forty percent of India’s 1.2 billion people subsist below even that nation’s dire poverty level. Almost half have no indoor plumbing. Childhood malnutrition and child labor are rampant. India’s evil caste system remains entrenched in spite of government efforts to uproot it, a racist system that condemns darker skinned Indians to a life of penury and servitude.

While the western media fulminates against Taliban’s or Iran’s treatment of women, a leading British medical journal reports an estimated 40,000 Indian women are burned alive each year by their in-laws to grab their dowries. Infanticide of female children is endemic. But few in the west seem to care.

India is a giant with feet of clay. A senior western diplomat in unhealthy Delhi told me that at any given time, half his staff is ill with serious maladies. India is plagued by grave health and environmental problems.

India is really two nations: modern, dynamic, high-tech urban India of about 100 million, and antique, timeless rural Mother India of 1.1 billion souls. The two are often in conflict and uneasily coexist. Per capita income is about $1,050, up 10% in 2010. By contrast, per capita income in rival China is three times higher – provided we believe Beijing’s statistics.

To China’s annoyance, President Obama proclaimed in Delhi that India should have a permanent seat on the UN Security Council. India is becoming a great power and deserves a seat among the world’s big boys. But so do Germany, Japan, Turkey and Brazil.

India and its people, long disparaged by British racist jokes, are delighted to be called equals by the great powers. In fact, nuclear-armed India sees itself very much as regional hegemon of the entire Indian Ocean extending from East Africa to Australia.

The Bush administration’s deal with Delhi to sanctify and facilitate India’s nuclear weapons programs was thought at the time a clever move. But it dismayed the rest of the world, made a mockery of non-proliferation, and outraged the entire Muslim world, which has been blasting the US for hypocrisy by threatening war against Iran, which is under UN nuclear inspection, while playing nuclear footsie with India, which rejected all UN inspection.

India’s leaders are no fools and will not be easily pushed or bribed into a stronger anti-China and anti-Iran stance by Washington – unless doing so suits Delhi. India needs oil from the Gulf even more than the US and is expanding its naval power to assure its supply lines.

Delhi maintains cool but correct relations with Beijing, but behind the wintry, trans-Himalayan smiles lies growing rivalry over Chinese-occupied Tibet, Indian-ruled Ladakh and Kashmir, their long, poorly demarcated Himalayan border (another gift of the British Empire), strategic Burma, and their intensifying nuclear and naval rivalry.

India claims China is trying to surround it, using Pakistan, Sri Lanka, Bangladesh, and Burma. The two Asian superpowers have been locked in a strategic and conventional arms race for a decade. In 1999, this writer postulated that the two giants would one day clash over their contested borders.

India will follow its own strategic and diplomatic interests – which are not synonymous with those of the United States.

Delhi has a long record of clever diplomacy that has isolated Pakistan and kept the world and UN out of the burning Kashmir problem, where 40,000–80,000 Kashmiris have died in a long independence struggle against Indian rule.

But the United States is now slowly being drawn into the dangerous Kashmir dispute – which triggered the 2008 terror bombing in Mumbai. Just look for example at the embarrassing revelations that one of the men involved in the 2008 Mumbai massacre was working for the US Drug Enforcement Agency.

The more Washington backs and arms India, the more its relations with China will deteriorate. Japan is also quietly building up India against China, to Beijing’s mounting anger.

The US could even be drawn into an India-China regional conflict. So caution is advised to US diplomats as they charge into the murky, tangled, poorly understood geopolitics of South and East Asia.

We also wonder if President Obama was briefed on India’s growing strategic arsenal. India has been steadily developing a family of long-ranged intercontinental ballistic missiles that can carry nuclear warheads behind the cover of space-launcher vehicles.

Delhi already has enough medium-ranged Agni-series missiles to cover potential foe China. Why then is Delhi spending billions to develop a reported 12,000 km ICBM whose only targets could be North America, Europe or Australia?

India is also developing nuclear submarines and subs armed with nuclear-armed cruise missiles capable of striking distant targets, as well as the powerful BrahMos anti-ship missile whose primary function is to attack aircraft carriers and large warships. Only the US Navy operates such large vessels in the Indian Ocean. India is also intent on building more aircraft carriers to project power.

The US and India appear destined to become rivals for Mideast and Central Asian oil and influence. There is no guarantee that today’s bonhomie between Delhi and Washington will be permanent. Great powers have their special interests – and no permanent friends or enemies.

Euphoria over the new US-Indian love-in should not cloud our judgment of South Asia’s realities, nor make us believe we can cajole India into becoming a regional policeman for US interests.

Meanwhile, Pakistan, Washington’s vital ally in the failing Afghan War, is seething with ill-concealed fury over Obama’s Delhi love-in and his claim that India has an important role to play in Afghanistan – which Pakistan sees as its strategic backyard.

South Asia is a minefield. Caution, and more caution, is advised.

Eric Margolis [send him mail] is contributing foreign editor for Sun National Media Canada. He is the author of War at the Top of the World and the new book, American Raj: Liberation or Domination?: Resolving the Conflict Between the West and the Muslim World. See his website.

Copyright © 2010 Eric Margolis

http://www.lewrockwell.com

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules